Want To Trade Forex?
Trading foreign exchange is a very exciting thing, with a huge amount of money changing hands everyday. It also has the potential to offer a really great lifestyle, with people being able to replace their jobs and become full time traders.
It is an enviable lifestyle with the potential for great returns. However, potential traders need to be aware that it is not easy and to succeed they will need two things. A good strategy that they can stick too, even under pressure and secondly, a good Forex Broker.
Without a good forex broker, a trader finds himself at a significant disadvantage. Normally, this will stop them being able to trade cheaply or with reliability. This may include slippage, overall it has the effect of making it very difficult to become and stay a profitable trader.
When we talk about slippage, what we mean is when a trader tries to sell or buy for a certain price, but the broker cannot secure that price for them and then has to re issue a price, or re quote a price, that is obviously at a less good level.
Next to consider is the issue of the spread. Many people don't consider this, but it is also very important. the spread is the difference between the bid and the ask price. It can be looked at as a commission to trade. The larger the spread the more the cost to trade.
I've seen many novice traders do not realize what effects the cost of the spread can have on their profits. In some cases it can actually mean the difference between success and failure.
A good broker will also be able to offer help and training in the development of a fledgling trader. Looking at certain things like fundamental and technical analysis.
This can go a long way to helping someone to develop their first successful trading strategies. Also in this regard, a community feel with things like a forum, will help a trader to share ideas and their experiences with other traders and like minded individuals. - 23199
It is an enviable lifestyle with the potential for great returns. However, potential traders need to be aware that it is not easy and to succeed they will need two things. A good strategy that they can stick too, even under pressure and secondly, a good Forex Broker.
Without a good forex broker, a trader finds himself at a significant disadvantage. Normally, this will stop them being able to trade cheaply or with reliability. This may include slippage, overall it has the effect of making it very difficult to become and stay a profitable trader.
When we talk about slippage, what we mean is when a trader tries to sell or buy for a certain price, but the broker cannot secure that price for them and then has to re issue a price, or re quote a price, that is obviously at a less good level.
Next to consider is the issue of the spread. Many people don't consider this, but it is also very important. the spread is the difference between the bid and the ask price. It can be looked at as a commission to trade. The larger the spread the more the cost to trade.
I've seen many novice traders do not realize what effects the cost of the spread can have on their profits. In some cases it can actually mean the difference between success and failure.
A good broker will also be able to offer help and training in the development of a fledgling trader. Looking at certain things like fundamental and technical analysis.
This can go a long way to helping someone to develop their first successful trading strategies. Also in this regard, a community feel with things like a forum, will help a trader to share ideas and their experiences with other traders and like minded individuals. - 23199
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posted by X - Men @ 10:08 AM
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