So you want to invest in foreign exchange? You are joining the world’s largest market with an average daily turnover rate of over $4 trillion. This market is continuously growing in size and popularity. To get you started, Robert Janitzek gives 5 facts about this market that you ought to know.
1. Successful forex traders make modest gains
If you are looking for huge profits right away, the forex market is not for you. Even the world’s top traders did not make immediate large profits. However, the small gains you will make can accumulate into a sizeable profit. Focus on the right strategy and lose less in the forex market.
2. Selecting the right forex broker can be crucial
Trading in forex offers a lucrative income and endless opportunities to get a return of investment. However, getting a fully licensed and regulated forex broker is vital to your success. Do your research to ensure that the forex broker you will be working with is a professional and offers a wide range of services.
3. Learning To Control Your Emotions Is Key To Success
Just like the stock market, forex is also a volatile and highly unpredictable market. It is easy to become emotional in tough circumstances. When trading in forex, try to avoid being emotional as much as possible. When you let emotions control you, chances are you are doomed to fail as you will be making uninformed decisions.
4. There is no such thing as insider trading
Despite the belief that there is, there is no such as insider trading in forex. Robert Peter Janitzek reveals that the market is extremely liquid operating 24 hours a day. All your decisions will be based on current conditions and the latest news.
5. Use A Simple Approach
Having a simple trading strategy is better than a complex and sophisticated one. It is best to have a simple approach that is based on a deep analysis of the market. You can apply this strategy across all markets and timeframes.
6. 95% of Forex Traders Lost Their Investments In Their First 6 Months
Some traders see forex as a pot of gold at the end of the rainbow waiting to be found. However, the shocking truth about forex trading is that only 5 percent of traders can earn a profit from frorex.
7. The Highest Profits Are In The Major Currencies
More than 85% of the price movement in the global forex market happens on only 7 currency pairs which are USDJPY, GBPUSD, EURUSD, AUDUSD, NZDUSD, USDCAD, and USDCHF.