Forex trading is a system developed to allow people to trade currencies in the various markets. For
example if you bet $100 on the Yen to go up and it does, you make money. It has become incredibly
popular over the last few years not because of its tranquility but because of its volatile nature.
Seems sort of strange, but there is a good reason for it.
A volatile market can only mean one thing - a series of large spikes both up and down. This means the
gains are much higher than in any other form of online trading and it’’s not strange to see traders
making up to 100 times the amount they initially invested.
The forex trading market unlike options and stocks is greatly affected by a number of variables, one
of them being the news. During news time when an issue arises, a stir is created in the market. This
is a time when some of the largest spikes may occur and a great percentage of people make both huge
profits and huge losses.
Sticking To A Strategy
Some of the most successful online traders would agree with this technique - finding a strategy and
sticking to it. There is nothing magical about forex trading, the prices go up and the prices go
down. Whether or not you make money, completely depends on the predictions you make.
There is no room for gut instinct in forex trading. Emotions tend to get in the way of your desired
outcome and is one of the biggest reasons why 90% of traders fail within the first 12 months. There
are of course many scientific ways of helping to improve your odds when trading in forex.
The Simple Moving Average
One of these strategies is to use a simple-moving average. This is where we extract a set of averages
from previous existing spikes. Once you have determined this average you can then make an assumption
that whenever the price crosses this average in the future, it’’s a surefire signal to buy. There are
of course programs out there that can do this for you as it can be a fairly time-consuming job.
Some Tips For Beginners
Why ForexGen?
1. Lowest spreads in the market with 0-1 pips in 10 pairs, no commissions, no swaps and instant
account Activation.
2. Scandinavian quality with Swiss precision, funds secured and local agents in 18+ countries.
3. ForexGen offers Forex trading in the major currency pairs and crosses.
4. Low capital start, with $250 as a minimum account size.
5. Liquidity and 24/5 availability are the characteristic factors of the Forex market compared
with other financial markets.
6. ForexGen offers a free trial Forex demo account that allows you to test your skills and
practice without risking real money.
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