How do you learn forex trading?
Learning how to trade in Forex is an art form!
Not really. I believe that's a myth.
Here are just a few reasons why:
First, you already know how to trade forex. If you go to the local store and you buy something and pay with it, you are trading. The amounts aren't the issue but what you do is. When you buy something you want to make sure you are getting the best value for your money. You want to buy it at the lowest possible price to get the most enjoyment out of it. The trade is that you gave the seller the money and he has given you the product. Forex trading is very similar.
Second, although the price of an item you want to buy at a retail store is set well in advance, there are factors that change it slightly. For instance, the manufacturer of a tie may recommend a specific price the retail store can sell it at or above but the retailer can choose to add a percentage to that price and sell it higher or can include additional items to make the tie more appealing. In Forex trading the prices change constantly mainly because there are too many buyers and sellers influencing what is happening on the market.
Third, you can be very specific when you buy an item, as in only buying it from a specific store, or agent, and on only buying a specific kind of product such as term life insurance instead of whole life insurance and that because you educated yourself about the product that changing would require you to learn about a new product. In Forex trading you also specialize if you want, in a specific set of currencies or area of knowledge within the technical analysis field.
Fourth, when you make a decision to buy a store item, often you come to that decision because you studied all the benefits and advantages of buying the product and decided that one brand was better than another so you go with the one that you feel better meets your buying triggers. In Forex you do pretty much the same thing. After studying the market you decide on buying or selling an item that just seems to match all your previous research.
Finally, you often will buy a product because you just have a good feel for the decision. Your gut instinct just seems to push you to make that decision. In Forex trading, after you have reasearched all you can, and considered all angles, it just feels right to go ahead and trade.
Although this is very simplistic, the main thing is that Forex Trading isn't all that complex. Once you learn the techniques and the processes, it is no different than any other commercial or business decision.
Why is it that it's so hard to invest?
Glad you asked that question.
The main reason why investing is a difficult process, I believe, is because of what's involved. Wehn we deal with cash, money, or whatever you want to call it, there's something else that comes up and that is the emotional attachment that money creates. We don't like to throw away money and we don't like what we don't know. Investing often feels like that.
How can you make Forex Trading easy?
Here are just a few steps to change this.
- One, start small. Invest with a small amount of money that you absolutely can invest with without feeling terribly attached if it disappears.
- Two, educate yourself about the market and how it behaves.
- Three, learn all you can about the investments you want to work with.
- Four, trust your instinct but only if you feel it has given you good vibes in the past.
- Five, learn what money is, which is, just a means to transfer energy from one area of the universe to another.
- Six, create a system and test it thoroughly. Once it gives you consistent results, use it until it changes. Tweak it but don't change unless it is not working.
- Seven, keep good records of all that happens during your trading. In other words, write a journal and record everything that happened during the trade, including your emotions and thoughts.
- Eight, don't criticize yourself if the trade did not go as you expected. Learn from it.
Lastly, make it fun!
Enjoy your investment journey.