Tuesday, February 26, 2008

Learn Forex Currency Trading Online - The Easy Way!

Learn Forex Currency Trading Online - The Easy Way!
Are you interested in learning how to trade currency on the
foreign exchange market? If so, there is no better way to
learn than by taking advantage of the wealth of resources
available to you online.

Forex is a hot subject, and there are so many web sites
about it, it can be hard to know which sites are relevant
and trustworthy versus which ones to avoid. My goal here is
to help you cut through the clutter, and find the resources
you need to learn Forex trading online - the easy way!

Step One: Know Your Terms

The hardest part of learning any system is usually in the
memorization of vocabulary, and the concepts represented by
the 'jargon'.

Forex is certainly no exception to this rule.

More often than not, you'll come across a word you are
unfamiliar with - and you'll look it up - only to find the
definition contains 2 or 3 other concepts you've never
heard of before.

So, before you dive in too deeply, make sure you have a
good reference handy. One very helpful site is
'InvestoPedia' (http://www.investopedia.com/).

Step Two: Open An Online 'Demo' Trading Account

You can test your basic knowledge - without losing your
shirt - by opening a demo Forex account with an online
broker.

Demos trades allow you to spot the weaknesses in your
skills and knowledge, while also getting you comfortable
with the fast-paced speed of the market and quick-thinking
required to move on opportunities.

Step Three: Consider Investing In Your Education

There are more than a few top-notch Forex training courses
available online. Some of these courses are run by online
brokerages and are interactive in nature. Other courses may
include ebooks or how-to videos put together by experienced
investors-turned-teachers.

Getting a Solid Forex Trading Education

There are a lot of Forex trading courses online that
promise to teach you everything you need to know to jump
into the market with confidence. If you are new to Forex,
though, how can you tell which ones will truly provide you
with the solid Forex trading education you need?

A reputable course should training material on all the
fundamental concepts for beginners, including:

*Exchange rates
*Fixed rates versus floating rates
*Currency pairs
*Bid Prices versus Ask Prices
*Spreads
*Lot Sizes
*Margins, Margin Calls and Leverage
*Pips Values and their role in calculating profit
and loss
*How to evaluate leading economic indicators
*How to read Forex signals and charts

This is just the bare minimum. A really good course should
also walk you through a variety of trading examples, and
show you how to perform 'test trades' yourself using a demo
account with a reputable broker.

Another thing you can do to help speed your learning
process is to immerse yourself in the literature of the
market. There are scores of books and magazines available
on the subject both online and off. You might want to have
a look at the free, online magazine called Currency Trader
(http://www.currencytradermag.com/).

Finally, consider enhancing your knowledge of other
financial marketplaces. You'll find some concepts and terms
repeated when reading about how to trade on the Stock
Market, or how things like interest rates fluctuate for
bonds, bills and other instruments.

This is especially useful if you feel more comfortable in
one area of financial knowledge than other because you'll
be able to see some related concepts from Forex in a
context with which you are already familiar.

Make sure you choose a course that suits your needs,
learning style and budget. Avoid any courses that sound too
good to be true in terms of the financial gains they
promise you. Forex takes time and you won't get rich
overnight on currency trading. It takes dedication,
patience and practice.

Above all, remember to have fun!


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Ever wished you could trade on Forex, but don't know how?
Let me show you the best resources and training materials
available online, and start learning today!
http://www.learn-forex-basics.com

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