Just the hard stuff. Investing in Forex

Just the hard stuff. Investing in Forex

Just the hard stuff. Investing in Forex

In the modern world, more than 50% of all earned money is "made", oddly enough, with the help of money. With the development and improvement of technologies, more and more new types of investment appear and become publicly available. One of these types will be discussed in this article.

The Forex market has been attracting assets of various types of investors for many decades. And there are many reasons for this.

Accessibility. On the trading platform, you can manage your capital from anywhere in the world. You want to work in your office, and you want to make deals while lying on the beach.
Simplicity. You don't need to be a genius to master the functionality of the trading platform.
Diversity. A sufficient number of services are organized around such a phenomenon as Forex today. The investor has a wide range of working tools for trading (currency pairs, indices, stocks, raw materials, metals), as well as approaches to trading and investing (independent manual trading, robotic trading, copying transactions, trust management).
Low entry threshold. Today, it is not necessary to have capital in the tens of thousands of dollars in order to work on the stock exchange, as it was before. To start working on Forex and get a tangible result from it, a start-up capital of $ 200-400 is enough.
Highest liquidity. It allows you to make transactions quickly and with minimal commissions and other trading overlays.
Let's take a closer look at the opportunities that the Forex market offers to investors.

The first is independent trading. This is the most common approach to working in the market and investing in it. The trader-investor works with his own capital. He chooses the time and place for his work, and determines the size of his risks. Therefore, he also takes all the profit that he could get from investing.

But it's not as simple as it seems at first glance. Often, independent development of the Forex market is associated with losses of both money and time, as well as nerves and forces. Only a few immediately understand that trading, like any new business, needs to learn from professionals. Most of them either come up with this idea after "bumps" in the form of merged deposits, or leave the market in frustration, without achieving success. As practice and statistics show, you need 2-3 years of continuous work and training to master Forex trading on your own. This is only to enter the "near zero" trade. When learning to trade from professionals, this period is significantly reduced, and the quality of trading improves very significantly.

The second option is robotic trading. It has become very widespread. According to various estimates, the share of market operations performed by trading advisors (or robots) today ranges from 50% to 90% (during the American trading session). The robot has no emotions, it can work 24 hours a day, it will not miss the entry point that corresponds to the algorithm embedded in it. All the profit that the adviser can make remains with the investor. But there is one significant and important disadvantage – it is a competent setting of the parameters of the adviser. Which is quite difficult to do on your own, especially for a beginner.The third option – copying the transactions of other traders – will be discussed briefly. Note the fact that many people, especially novice traders, are completely overlooked. Blindly copying and following the trading signals of other traders will not give you an understanding of the market. And it is unlikely that you will be able to constantly earn money with long-term trading.

The fourth option is trust management. Here everything is simple: you find a managing trader, transfer your capital to him for management and get a percentage of the profit that he generates. But not everything is so clear. First of all, it is very difficult to find a good Manager. Secondly, the entry threshold is significantly higher here. Its bottom line is $ 3000 – $ 5000. Third, no Manager can guarantee you a profit.

There are quite a lot of options and ways to work in the Forex market. And this, in turn, gives rise to many questions. Who can I learn to trade from? Where and how much to invest? What guarantees do I have on Forex?

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