Article: How To Trade Forex As A Newbie
written by Ejovi L. Efenure, CEO, www.InvesticsFX.com
For some years now, forex trading has been gaining
popularity as one of the ways through which an individual can earn money with a PC
and an Internet connection. The problem is that many people get started before
they even learn the facts of the business.
Let's get the facts straight:
Fact #1: Forex trading is like the game of chess, it takes a little time to
learn, but can take a life time to master.
Fact #2: Forex trading is like two sides of a coin, it can be one of the easiest
ways to make money online, but it can also be one of the easiest ways to get
bankrupt.
Fact #3: It takes a good forex education, a good trading strategy and plan,
plenty of time to seat in front of your computer except for automatic forex
trading, sufficient risk capital and
proper money management rules with a dsiciplined mind to trade the forex market successfully.
Fact #4: Only about 10% of forex traders are successful, the remaining 90% lose
their money.
The question then is 'how can the average person looking to invest some money in
the forex market do so and actually get positive returns on his or her investment?'
Well, that sounds like a million dollar question or is it? The answer is not far
fetched; you should put your money in a managed forex account being traded by
humans or computer software.
A managed forex account is very similar to a mutual fund
where money of several investors are pooled together and invested in a variety
of financial instruments. One advantage with a managed forex programme is that
the problem of insufficient risk capital is eliminated. Also, multiple
strategies can be traded on the available fund for diversification of the
trading portfolio.
The trouble is which managed forex programme is good to join? From research, I
have found that it is diffcult to find a managed forex programme with monthly
returns exceeding 10% and in most cases, you get to pay a commission of around 30% of
the profit. To make matters worse, past result is not indicative of future
results. Many of them also require a very high minimum balance to join usually
from US$5,000 and above is required to open an account.
Nonetheless, InvesticsFX.com provides two good ways to invest in the forex
market for a positive return on investment namely InvesticsFX Manager
and InvesticsFX Signal Provider. Information about these services can be
obtained on the home page.
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