Tuesday, October 23, 2012

Begin Day Trading Forex

By Todd Watson

This is an obsession. Here is a wide open field that just about anybody can milk. It use to be for the mega rich people, the large companies and banks. They're trading foreign currency's.. Are you able to imagine this is a 1.2 trillion greenback a day being traded. That's 1.2 TRILLION a day. Now with the Internet you you too can trade the foreign currency's. You can set up an account with as little as $300.00 up to whatever. Regular accounts generally start with $3000.00.

You're able to leverage you funds 100 to 1. SO you will be controlling 10,000.00 or one lot in currency's for $1,000.00 and for each pip on movement you can make $100.00. With the mini account you may control 1 tenth of rather a lot. $1000.00 for $100.00 and your pip is worth $1.00. Just so you will understand a pip is what an increment movement in a currency is. You buy it if you think it will go up and sell it if you believe it'll go lower. Of course there are charts and all sorts of tactics to say what is going to occur. It just takes learning the in's and out's, ups and downs.

There are a large amount of different currency's but here are the primary ones that are traded. USA/YEN USA/Japanese GBP/USA UK Pound USA/EURO USA/EU Buck is European USA/CHF Swiss Franc USA/CAD USA/Canadian EURO BUCK/YEN There are no commissions and no charges only narrow Dealer spreads. These spread vary depending on the trades. Major pairs are 3 to 5 pips. You will find out more about all this when you start out. The wisest move to make is to start out with a demo account or what we call a paper account where you do everything as if it was real money but it's only on paper. So you get to learn the in's and out's and learn to read the charts and how to understand the elementals.

These are the world events that effect the currency's. There are several different secrets. Each have their strength's and weaknesses. They each cope with alternative ways at taking a look at the charts and their movements. Need some concepts? There are Scalping trades, surfing charts, sailing and a lot more. It's thrilling and fun, and sometimes a drag. Often you will win 100 to 500 pips. Then there are times you'll lose pips as well. You will never win all of the time. But thats where there account management comes in. You learn how to control your risk taking.

Sometimes the largest sin or failure comes when you let your emotions become involved. EVEN the gigantic shots often let their emotions get embroiled. Most the time it doesn't work and will cost you. So with good account management understanding the diverse charts you can take $300.00 and turn it into $6000.00 in 6 months or less.

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