Make money buying and selling currencies with some simple tips. Learn how to succeed you with currency trading.
Currency trading can be a sensible way to invest money. You can put money in currency appreciation and hope for a time or take part in active trading (daytrading) where you can profit from both rising and falling exchange rates every minute around the clock.
Forex & currency trading explained
Important Forex: Trading foreign exchange involves both risks and opportunities to make money. You earn money to speculate on movements in exchange rates.
Income Potential in Forex:A good Forex trader can earn multiple millions a year, even with limited capital.
Make Money Currency: The easiest way to learn forex trading is to try trading in practice with an online broker. To open a foreign currency account online is free. We recommend easyMarkets to anyone who wants to engage in currency speculation online.
Currency trading is the fluctuation in exchange rates to make money. A foreign exchange transaction always consists of a simultaneous purchase and sale. While you buy a currency, you sell another.
How much can you earn in forex?
This depends on a number of factors, but primarily these: How much are you willing to invest (risk), and what is your skill level?
Currency trading is easy to learn
A beginners without special knowledge must first learn the basics of foreign exchange trading. The easiest way to learn forex trading is to actually practice the market: Begin shopping, try different strategies and observe the results.
Risk and potential returns from currency trading
There is usually a correlation between potential return and risk. Currency trading allows you to earn huge amount of money, but also be aware that all investment entails risk, and currency trading is no exception.
Risk is, however, very variable, the greatest risk is that if you are trading on margin (also called leverage, this will come back to).
Fortunately it to you in foreign exchange trading can greatly customize your risk profile, whether you prefer low to moderate risk, or high risk.
Risk adjustment is something you will understand better as you level up in the foreign exchange market. To try out and find their own strategy is the key to success in foreign exchange trading.
How much money should you invest in foreign exchange to make something substantial?
You can start with as little or as much as you want. It is possible to earn millions even with quite modest deposits, but do not expect to get rich just by investing a few hundred Euro.
If you expect to live off the income from foreign exchange, you should probably have at least 200,000 to 500,000 million in initial capital, in addition to having a profitable strategy. However, you can start with much smaller amounts than this if you just want to run a hobby.
A good rule of thumb: Do not risk more than you can afford to lose.
How to earn money in currency trading
How can you make money in forex? You make money if the value of the currency you buy goes up in proportion to the value you sell.
Example: You buy Euros with US dollars. If the euro goes up in value against the dollar, you can switch back the euro against the dollar, and you will make money. Note also that you can not just buy Euros but you sell dollars simultaneously. In any currency trading takes place a simultaneous purchase and sale.
Difficult it is to make money in forex. Next we need to have clear is how this gjrøes in practice: What services should you use, and how currency trading is carried out in practice?
Online Forex trading brokers
Currency trading takes place via an online broker. There is a large selection online brokers. We recommend that you use an online broker specializing in Forex.
Of the online brokers we have tried, there are two, at most three, online brokers that meet our requirements for currency trading online.
It is especially a couple of candidates who stand out and who specializes just on currency trading. These we even exclusively positive experiences, and discussed below.
easyMarkets; the #1 currency & commodity broker
easyMarkets stands out as a versatile platform for foreign exchange trading. There are opportunities for every trader. easyMarkets is by far the best online broker for forex trading.
They have a specialized system for online trading of currencies. Shop here for all popular currency pairs. As a natural extension of the services, easyMarkets also introduced commodity trading where you will can spec cooler in gold, silver and oil.
Want to learn more about how currencies are traded, and how this is done in a profitable way? New customers will receive a free personal introduction to currency trading with easyMarkets if desired. Follow-up is done either by phone, chat or email (your choice) - this is a unique opportunity for anyone who creates an account at easyMarkets, and an excellent introduction to currency trading on one of the most professional trading platform for foreign exchange trading.
Traders who have 25,000 or more disposable money to trade for, will achieve significant benefits by using the easyMarkets. Their trading platform is superior for large customers, and the market's most affordable to use if you open a gold or platinium account. They also have practical mini accounts which reduce risk as well as small deposit required.
easyMarkets is the best option for traders who want to use a professional trading system, where no trader can be customized just the way you want it.