10 Best Ways to Learn Forex
“The journey of a thousand miles begins with one step.”
10 Best Ways to Learn Trading Forex
Trading currency markets is an attractive idea for lots of people with different ages, backgrounds, education or gender. But for many, the firsts questions are:
How to learn Forex? What to search for? Where to find a reliable broker ?
Based on our experience, we have compiled a list of best ways to learn Forex. We suggest to use some of the below ideas on your Forex journey – you may be starting getting basic knowledge or you may want to improve existing skills – the ultimate goal is to become a successful Forex trader.
The order of the below ideas in not important – choose the ones that you feel most comfortable with according with your learning style and also the ones that are easily accessible for you.
Browse and Read about Forex
The internet contain a vast amount of information so the easiest way to learn Forex trading is reading online forums, online content articles and e-books. These sources will mostly offer generic details regarding currency pairs, jargon used in Forex, basic technical analysis and charting information. You will also come across sites that delve into particular Forex trading techniques, strategies and systems but usually you will need to pay for detailed information.
Join a few forums that are designed towards foreign exchange and post any question you may have. Generally by browsing through the discussions and older posts you might discover the answers to your problems on just about anything related to currency trading. If you can’t discover the answer you can just submit the problem yourself and get a relatively quick response. Forum posts offer a wealth of information because traders who are earning money in Forex often offer assistance to newcomers. Forex Factory.com and BabyPips.com are a few good Forex forums.
Buys some good books and read them carefully
Go to Amazon Books or a local bookshop, purchase books related to Forex trading and then read them carefully, maybe a few times.
The two books I strongly recommend to any trader regardless of the level of trading experience are:
- Come Into My trading Room: A Complete Guide to Trading by Alexander Elders and
- Trading in the Zone: Master the Market with Confidence Discipline and a Winning Attitude by Mark Douglas.
Forex Brokers websites
Visit the websites of some big Forex brokers like Ava Partners, Easy-Forex and ForexYard. Go through their free training material provided on their websites. Some brokers have whole libraries of trading material starting with the beginner guides and up to complex technical analysis topics.
Subscribe to Forex newsletters/emails
Subscribe to updates from various websites and read their comments consistently. Some lessons will be designed toward the use of their product or platform and not totally focused on how to trade Forex however these can be useful when it comes time for you to make a decision about which Forex software platform to use.
Join Social Investment Networks
Join the social investment networks such as eToro , ZuluTrade and Currensee. Social investment networks are increasing in popularity as you can connect with other traders and discuss, trade, learn and share knowledge across the network.
The benefits of joining a social investment network:
- A great way for a beginner to get to see how experienced traders are actually trading in real time
- You can see the results and the performance of other traders over a period of time
- You can read about the trading strategy being used by the experienced trader and chat with other like minded traders
- You can copy trades from other people in the network
Watch Forex trading videos
If you are not into reading books and articles but prefer to learn by watching someone doing it then this is for you. Search for trading videos on YouTube and other websites. There are tons of videos on internet – some are really good and some not so good.
Usually a Forex videos is explaining a particular Forex trading strategy, system or how to use indicators. There are also videos provided by the brokers explaining how to use their Forex platforms for online trading. They’ll guide you through the exact steps of setting up the software, how to configure your preferences and how to configure your charts and technical indicators. These type of videos are very useful if you have an account with the broker or when you are in process of making the decision to open an account
Just be aware that all videos will show the “happy” scenario for the particular trading strategy or system presented. Even if all examples shown on the video may appear to be successful there are still inherent risks involved in trading Forex.
Have a mentor
I have heard numerous times people saying that they would like to learn by having a mentor. If you do not know someone locally who actively trade in foreign exchange, use the forums or other internet venues like Facebook or LinkedIn to request help.
Alternatively use the services provided by professionals and try some of the offers from Forex Mentor.
ForexMentor.com is the most trusted name in Forex education is home to Peter Bain’s popular currency trading courses and mentorship program. Courses and services for beginners, development and advanced traders.
Subscribe to Forex webcasts & webinars
Learn Forex by watching and participating to webinars. Subscribing to webcasts and webinars offered by Forex brokers or other providers.
Some webcasts might be free and you are just required to enroll beforehand, some might charge a small fee or require a regular subscription fee.
Attend Forex trading seminars
Attend local Forex trading courses and seminars. Some of these may be totally free but others might charge you a fee. Although some of fees can be very expensive, most are very good about teaching the basics as well as advanced techniques. Many of these programs have excellent support systems that will provide classes with demonstration of live trading and which have people that will walk you through your trading positions.
Open Demo Forex account
Probably the best way to learn Forex trading is to try out a free demo account with a Forex broker. A demo account allows you to trade with virtual money but using actual real quotes for currency prices. There is no better way to discover than by trying it out using actual techniques, but without any financial risk. Once you have been consistently profitable in the demo account and have gained some confidence in trading Forex, you can then apply the same winning techniques to a real Forex account.