You may earn A lot of money trading forex, however you have to be sensible about it. You are not likely to deposit $1000 into a forex account and earn $1000000 right away. And even if it’s attainable, your emotions would basically keep you from earning anything at all until you figure out how to manage them and trade systematically.
Let me try to put it into perspective for you. When you know what you are doing in forex, you could effortlessly average Five percent profits every week without spending a lot of time staring at charts. No problem. Simply learn to trade well enough to gain 5% each week. But do it this way…
1. Open a demo account at one of the numerous brokers. Make sure the account has only $1000 in it.
2. Place trades of .1 standard lots. NEVER place trades larger than that.
3. Try to earn (or lose) only about 20 pips for every trade. Use a well defined trading system and stick to it.
4. Keep trading like this until you’ve doubled your account. Do not stop trying even if it does take quite a while.
5. Open up a $1000 real account with real money and repeat the procedure. Pay special attention to your emotions as you earn and lose Your money and keep in mind how different it feels from your simulated account. Don’t let your emotions dictate your actions. Stick to the system.
Now here is the thing. Whenever your account increases by $1000, you can increment your trade size by .1. As your own skill increases so will your income. Before too long it will seem like you have been doing it forever and you can be very easily living solely off the income from trading.
NOTE: If you do not know what some of the phrases above mean, that is no problem. Visit BabyPips School at www.BabyPips.com and you can learn all of the terminology. Moreover, I highly recommend using a coach to help get you up to speed and educate you on some proven systems. I recommend Forex Signal Mentor at www.ameLabs.com/recommends/fsm.php
Once you come to be confident with your trading, you should consider reading my ebook on forex trading at www.Millionaire-Maker.org, and/or using an automated trading program to free up your time and effort. I have one of those also. Check it out at www.Forex-Set-and-Forget.com.
Anyway, I’m hoping this article answers your question. I know this article is somewhat lengthy, but trust me forex is definitely worth your time and effort.
About the Author:
Tony Manso is a currency exchange trader and software engineer whoâ€™s been trading forex since 2004 as well as programming since 1982. He’s the owner of AME Labs and also the creator of of the MT4 Expert Advisor called “AME Cross Trader”. His Expert Advisor was entered into the 2008 Automated Trading Championship and ended in 10th place out of over 700 contestants. He is also the author of an e-book; “The Forex Millionaire Maker” and a new MT4 Expert Advisor known as “Forex Set and Forget Automated Trading Robot”.
Tony absolutely adores talking about anything forex-related, especially if it pertains to automation. You could follow him on twitter (fxmilmaker), or perhaps read his blog at forex-millionaire-maker.blogspot.com
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