A. Learn the basics of Forex trading
Forex trading is not a blind game playing nor gambling. It is rather a smart money making business for the learned. In order to excel in forex trading and minimize loss, the beginner trader needs to first acquaint his/herself with the basic knowledge of Forex trading. Here the beginner starts by learning what Forex trading is all about, what is traded in the market, where to trade, when to trade and which pairs to trade, when to stay off from the market, when to enter and when to exit. etc. All this nuggets together comprise what is known as the basis of forex trading.
B. Learn about the different Currency Pairs.
It is important for the trader to learn the two major division of currency pairs as: Major and minor currencies. The major currency pair comprises: EURO, USD, GBP and JPY. Other currency pair outside these are known as minor currency pairs ranging from AUD, SGD, CAD, NZD, etc.
Similarly, some currency pairs are known to be very volatile such as EURUSD, USD/JPY, XAUUSD, XAGUSD, Nas etc. These pairs are not often the best pairs for beginners and reserved for experts only.
C. Choose a good broker
The choice of broker is very important for one to become a successful Forex trader. Some brokers today are known as market manipulators who cunningly set the market against the trader as to liquidate them and blow up their accounts. It is very important therefore that every trader should identify these criminal brokers and stay away from them. In order to learn about the recommended and trusted broker, every South African trader is advised to visit Wikifx global platform regularly to learn about real and scam brokers.
D. Develope a trading plan/Strategy
It is practically impossible for one to be successful in Forex trading without first developing a trading plan. The trading plan/strategy guides the trader on when to trade, what to trade and how long to trade. A trading plan is like a diary to every successful Forex trader.
E. Learn about Risk management
Risk management is more important than profit making in Forex trading. This is because without proper risk management, the trader is exposed to loose all his assets and investments within a very short time. It is therefore paramount that every beginner who desires to be successful in the Forex market should pay greatest attention to risk management.
F. Read daily news and updates about the market.
Daily news and updates helps the trader in carrying out a proper Fundamental analysis of the market. News and events are no doubt what moves the Forex market. It is therefore very necessary that every trader who seeks to be successful must make out time to learn, read and follow daily news and updates about the market especially the Fed Reserve news and weekly NFP and other related news. To get daily news and updates about the market, every South African Forex trader is invited to visit Wikifx.com daily and read the daily articles and updates about the Forex market.
