Saturday, March 28, 2009

How to Forex Trade Like a Pro Even if You are a Beginner

The forex is capable of producing serious profits but at the same time you can lose you shirt if you don't know how to forex trade properly. A new trader should not trade using real money until they have proven to themselves that they can make money with a demo account over time. As long as two years to be safe.
Until then as a new trader you should consider hiring a money manager or using an automated system until you learn to trade on your own.

Besides learning the technical details there are two major challenges a trader faces in order to become a successful trader. The first is overcoming your own emotions and the second is being able to monitor and trade a 24 hour market.

No matter how good your trading system is if you can't trade it consistently then you really don't have a system. If your emotions are allowed to affect your trading decisions that is enough to turn a winning system into a losing one.

To be consistent you would also have to be able to watch the markets 24 hours per day since it is a 24 hour market. Especially if you live in the western hemisphere where most of the movement happens when most of us are sleeping.

Until you learn to overcome these obstacles you are better off using an automated program or robot to trade for you. A robot will monitor the markets for you 24 hours a day and buy and sell for you when the market gives it the signals.

Trading robots are inexpensive and some are producing amazing results. Just make sure you test it out first on a demo before you trade a live account with it.

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