In reality, there are no forex for dummies theories that will save you if you’re going into manual trading route. You can’t keep being a dummy in forex trading and scoring winning trades on regular basis, therefore your goal should be grow to be a trader that have the ability to do so. Needless to say, it cannot take place right away, yet you can make the task easier by paying attention on these points first:
1. Mastering the basic first
Learning how the forex market works and how the people involved in it make their living are two concepts that you should master first. I recommend you to get free lessons at currency trading course where you’ll get step by step tutorial to master the basis of forex trading. When you’ve done observing the traders, do a research about how forex broker operate their business; the result of this research will be very useful later when you must pick a forex broker that will holds your capital.
2. Short term trades or scalping strategies are bad idea
Many “experts” will suggest you to trade with minimum risk by utilizing scalping strategy; unfortunately, this is a recipe for disaster, not a “forex for dummies” strategy. While it seems like a low risk trading strategy because of the tight take profit and stop loss placement, you need to win numerous trades throughout the day to gain decent profits. Not only that, you’ll also bound to lose a couple of trades, so your winning trades must be able to cover the loss too.
3. Do not fill your head with unnecessary strategies
Trying to master all trading strategies known to men is simply stupid. Look for just a few proven and trusted strategies and test them in a demo account. If you’re able to obtain reasonable profits by utilizing those strategies, open a mini live account and continue the test there. Keep testing the strategies for the next few months to make sure it can survive against various market conditions. I suggest you read forex wealth builder review for details about profitable swing trading strategies.
If you wish to trade forex on your own, then the only forex for dummies solution for you is studying the best way to do it from an experienced mentor. The true forex for dummies strategy is getting a specialist trade for you (simple isn’t it?). An easy solution for this is owning an expert advisor with tested trading system behind it to handle your trades; read more about using an EA at automated trading software .
