Posted by forex at 3:11 AM
Read our previous post
1. Understand how the currency market operates. Do not allow yourself to be led by your emotions. Enroll in a class that will teach you how the currency investment market works. Knowing the time the market is open (24 hours per day from 5 p.m. EST on Sunday until 4 p.m. EST on Friday), type of currency you can trade, and the amount of money you need to open an account are all items that a currency investor should understand before he invests.
2. Work with a currency trading firm. Having a currency trading firm on your side with a great deal of experience, success and knowledge of the market will literally be worth its weight in gold. Make it your goal to understand why the firm you choose to work with thinks the way it does. If you understand the reason why it is entering and exiting a trade at a specific time, you will be able to imitate the same thought patterns and be successful. Trust what you see them doing, and keep listening to what they say as long as they are making successful currency trades. Expect to act on their advice using real money once you have proved yourself in a free paper-trading account that they can set up for you.
3. Become an expert at observing market direction. Having an idea which path the currency market will take can make you a great amount of money. No investor is perfect, but you can use a number of indicators to help you to make an educated decision regarding which direction the market is headed. Invest in economies that are on the rise because this will lead to growth in the use of that currency. Familiarize yourself with growth indicators such as the Gross Domestic Product (GDP). If you can identify the economies around the globe which are on the rise, you can uncover some potentially lucrative currency trading opportunities.