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    • Choosing a broker can take several days comparing different characteristics and conditions in the hope of finding your best choice. Here we have done various kinds of reviews where you can briefly consider brokers to suit your preferences. The brokers we have selected are trusted leaders who work with integrity, offer the most convenient combination of additional features, provide an easy-to-use platform and provide excellent customer service.
    • To start trading, you need to decide on the choice of payment method, trading amount, and then open a demo or real trading account. Payment systems for Forex trading should be reliable and secure, as well as provide the functionality necessary to brokers. Therefore, it is important to choose a convenient intermediary capable of providing a full range of services, security and stability of work.
    • Choosing a trading asset is a very important process. This decision needs to be thought through for each transaction, along with the expiration date, the amount of money you want to invest, and the forecast you will make. To get used to and start making profitable trades, do not trade everyone, hone your skills on a limited number of assets. Over time, you will find exactly the ones with which you are most comfortable working.

    What is Forex Trading

    The market was founded in the 1970s for currency exchange on a global scale, Forex was loved by traders for profit. The largest participants are Central and Commercial banks. In order to stabilize its currency, the bank can carry out operations aimed at strengthening or weakening, which is usually applied during times of crisis. However, the share of such transactions is small, and the market is dominated mainly by speculative transactions for the purpose of earnings.

    The «Foreign Exchange» market allows you to trade at any time of the day. There are traders who trade scalping and make short-term trades, they usually enter the market on a daily basis. You can also trade long-term in this case, the trader opens trades much less often, and not even every day. For profitable trading, several key points must be taken into account, which will be discussed below.

    Banking System

    The Central Bank lends to all large banks in the country, which in the future also deal with lending to individuals, commercial organizations and small businesses. According to its position, the Central Bank occupies the main place among the participants in the financial market. Therefore, he is a major player, which has the bulk of all funds throughout the economy.

    The functions of the Central Bank allow it to regulate the inflation process, build restrictions or, on the contrary, expand the monetary volume, as well as use interest rates in its economic strategies. Thus, large banks pay these interest rates set by the Central Bank on credit terms. Therefore, traders always consider all economic news related to any Central Banks.

    Recommended Deposit Amount

    You must determine for yourself how much income you want to receive from trading, and then calculate your deposit and draw up a further action plan. Profit is an individual concept. But, judging by the statistics, a person who receives 20% of income is considered to be quite successful. Agree, 20% out of $1,000 looks much stronger than 20% out of $100. The more capital you have, the more you can earn, and at the same time take risks with minimal costs. Experts recommend to start trading with capital of not less than 3-5 thousand dollars. But whatever the size of the account, it requires a reasonable approach. According to the golden rule of financial management, it is unacceptable to risk more than 3% of the available amount at a time. Some experts even consider this figure too high. It is reasonable insurance in case you suffer a loss. After a loss, you will at least retain the ability to cover losses from the next trade. Experienced traders are also advised to make a trade only if the potential «profit» is three times the possible loss.

    Choosing a Trading Strategy

    Each investor develops their own trading strategies over time. Some like the fundamental approach, news trading and economic events, while others prefer more technical methodologies. Whichever path you choose, it is important to learn about several proven trading strategies. Of course, every strategy needs to be tested on a demo account. You will have to spend time researching, finding the right strategy and then testing it on a live account. The analysis should be carried out taking into account the calculation of all transactions, as well as the degree of risks and rewards. If, on average, profitable trades prevail unprofitable, then this is a good result. It is better for beginners not to trade short-term trades. Such transactions create tension for the untrained, emotions and ultimately this will lead to the loss of the deposit. It is best to start with medium-term trades so as not to sit at the computer all the time and not annoy yourself.

    Level of self-control and Risk Preparedness

    Each trader should clearly understand that Trading is highly dependent on the emotional state of the trader. When trading, he should always be calm, balanced and focused. This helps to objectively assess the market situation and avoid many mistakes associated with over-excitement, irritability, psycho-emotional calmness of the trader. If a speculator is upset, angry, annoyed with something, then he already estimates the market inadequately, makes such mistakes that in a calm state he would never have done. He is also unable to concentrate, his discipline is violated, and all this always leads to the loss of part of the deposit funds, that is, to losses. The risks of losing funds are always present in the market. Here it is important to be able to make informed decisions and not lose concentration. Therefore, professionals advise, before starting to trade, psychologically tune in to work, be as collected as possible and keep your discipline under control.

    Market Volatility and Analysis

    The volatility indicator in trading is considered one of the most important indicators, it is this characteristic that allows you to calculate and perform various trading calculations for financial risks. This indicator can significantly affect the market. For example, the news of natural disasters will cause the national currency to fall, and the publication of a GDP growth report will respond with an increase in indicators. As a rule, before the release of the most important news, the markets calm down, but then sharp fluctuations begin, where you can both make a profit and suffer losses. Volatility is one of the most important indicators in the financial market, so it must be constantly taken into account, both in market forecasting and in trading.

    Economic Calendar and News

    Each trader who chooses a trading pair as an asset, in addition to various trading tools, must use an economic calendar or a calendar of events in his work. In it you will see all the main financial news that take place in the world, those events that directly affect the change in the exchange rate in any particular currency. The economic calendar reflects all the events that occur in the world and gives their past indicators and preliminary data, what may happen in the future and how the course may change. All these parameters are taken into account by the trader before opening a trade, while predicting the market movement.

    How to Choose the Best Broker?

    In order to trade the market, you will have to choose a broker that suits your needs and requirements, and in this section we will try to introduce traders to the most important characteristics of brokers. You can find thousands of different brokers, but only a small fraction of them will be regulated and in most cases these brokers are located in Europe. Unfortunately, you cannot check the financial condition of a broker, but you should do a little research to find out if your broker is capitalized enough to keep itself in business. In the past, many people lost their money due to using the services of brokers who only had $100,000 in their banks. This money is far from enough to support the broker, so do not forget to check its capitalization when choosing.

    The next thing to keep in mind is the trading platform used. Different platforms come with different features, but nowadays, almost all platforms have additional services that most traders use. For example, one of the most popular and widely used platforms is the MetaTrader 5 platform, and it is likely that the broker you choose will use this platform. Some brokers may work with more than one platform in order to provide their clients with the best trading experience. You should also check what your broker offers in terms of compatibility:

    • Web Trading Platform;
    • Web Based Trading Platform;
    • Mobile Trading.

    Mobile trading platforms are rapidly gaining popularity and it is an indisputable fact that nowadays almost everyone has a smartphone. Brokers that support mobile trading are becoming more and more popular, so be sure to check if the broker provides you with this opportunity. It’s also worth checking out the deposit methods and fees your broker supports. Generally, brokers allow you to deposit or withdraw money through a wide variety of payment methods such as Credit/Debit cards, Bank Transfer, PayPal, Skrill, etc. if you only want to use a specific payment method, then make sure the broker whose you choose, supports it.