2006-08-21 07:34:23 · 7 answers · asked by atheer k 1 in Business & Finance ➔ Investing
Trading is a difficult job.
With any job, if you are just doing it for the money, you will tire easily and eventually move on to another job.
If you trade just for the money, and not love of trading, you will also blow out your investment. At least the other jobs, you make something. About 85%-90% of all traders lose money. Tough odds. You better like it a lot, be ready to devote yourself to it, work crummy hours, and spend a lot of time with a computer.
But yes, it can be rewarding. But just because you are successful elsewhere, doesn't mean you can be a trader. Doctors and lawyers are the worst traders of the professionals. And you'll have to try it and invest a lot of money before you'll know. You must like to read, study, and learn.
2006-08-21 14:01:49 · answer #1 · answered by dredude52 6 · 0⤊ 0⤋
Forex trading is highly volatile, and risky - if you haven't paper-traded or practiced with fake money first. This is what I did for 3 years, until I was comfortable enough with the strategy I had developed to put real money into trading the Swiss Franc and US Dollar. While I do not trade Forex full time, it does provide me with a respectable side income.
I suggest a few things:
1) Keep it simple! Don't start monitoring 15 different currency pairs! Stick with one and master it.
2) Test your theories! There are a ton of articles and books out there that preach thousands of various technical indicators and oscillators and Fibonacci retracements.. While some may be legitimate, most simply serve to line the pockets of the authors and confuse you. Check this site out:
http://www.forex-markets.com/javacharts.htm
It offers free charts for a bunch of currency pairs, going back a few years. It's the best way, in my estimation, to get a grasp on how specific pairs operate, and to test your strategies.
3) Make sure you are adequately capitalized, and never bet the house on one trade! In order to trade full time, you need the bankroll - my recommendation is to have 50x the value of a 100 pip fluctuation. In other words, the value of 5000 pips. It seems like a lot, but it will keep your head above water in tough times.
So to answer your question, yes - you can make a respectful income, but only if you educate yourself first, and treat it like a business next. Investing $10,000 won't make you a millionaire overnight. You need to be realistic. Good luck!
2006-08-21 08:57:07 · answer #2 · answered by Lifestyle Freedom 1 · 0⤊ 0⤋
its possible to use forex to gain income, but of course you have to get started, learn trading strategies, risk management, and learning the use of technical analysis such as charts/indicators.
A trader wthout a plan may panic when there are unexpected swings in the market etc. so making your own style through trial and error can help, also indicators and charts are not always 100% right.. throgh practice you'll be able to gain and develop a feel on how the foreign exchange market works.
2006-08-21 20:13:56 · answer #3 · answered by Dreamer 3 · 0⤊ 0⤋
It's a great job if you are well trained and qualified, and not greedy. Also, just be aware of the hours that you will work, as this is a Global Market that is very active and competitive, while most people in the US are sleeping. Think Foreign Time Zones...
2006-08-21 08:58:19 · answer #4 · answered by Anonymous · 0⤊ 0⤋
I just started with a new forex investment scheme, its really great! I share it with friends inclusive of few high calibre professionals, they practiced it without any complaints. Check this out at http://www.MyFreeForex.com, it may helps.
2006-08-21 17:37:52 · answer #5 · answered by Jasmine K 1 · 0⤊ 0⤋
Forex is high return and high risk line of business..You can get more information at -
http://the-forex-trading.blogspot.com
2006-08-21 15:00:14 · answer #6 · answered by rahul 3 · 0⤊ 0⤋
visit http://netnew.tripod.com and search for online trading or finance page
2006-08-21 15:11:03 · answer #7 · answered by netnew 7 · 0⤊ 0⤋