So far you’ve learned the basic information there is to know about the forex market and how it operates. You’ve also learned about technical analysis, and you’ve seen some of the trading patterns and strategies you’ll be using to make money as a forex trader.
If you’re still with me and you’re interested in trading forex, you’ll need to open a trading account with an online broker. I personally use and recommend eToro because they have a solid reputation, a friendly and functional trading platform and they give sweet deposit bonuses on new accounts (up to 25% of your deposit).
Where and How Do You Start Online Forex Trading?
Read This Before Starting With Online Forex Trading
I’ve given you what I think is a very solid understanding of the basics and the concept of online forex trading. I’ve also shown you that it’s possible to make a lot of money as a forex trader
If you want to start trading forex you’ll need to open an account with an online forex broker.
The most common deposit options are Visa, Paypal and Wire Transfer.
After you open your account, you’ll want to get used to the charting software, so give yourself 1-2 weeks to play around with charts and indicators. Don’t make any real trades before you’ve done this and don’t become confident that you’ll become a great trader in a few days or weeks. Just like with any skill, becoming a great trader takes lots of time and experience.
I then suggest that you take another 1-2 weeks to start with real-money trades, but with the minimum amount allowed. This will give you a chance to test your trading skills with your own real money and experience what it’s like to make money trading the markets, but it will prevent you from making initial costly mistakes with big amounts of money.
It’s essential that you always use a stop loss for every trade, and never risk more than 5% of your account on a single trade.
eToro’s Open Book Program
The main reason why I choose eToro over other forex brokers is that they offer what is called an Open Book program. This allows you to see the exact trades that hundreds and thousands of other forex traders make and it allows you to copy those exact trades for free.
Can you see the advantage here?
So with your eToro account, you can link up to the Open Book program and you can select the top traders (who all have track records that you can check out) and copy their trades. In other words… you can benefit from their skills and experience and profit without needing to know anything yourself.
What you can even do is automatically allocate a percentage of your account and give the instruction to automatically copy and execute every single trade (in proportion to your account size) of a trader you wish to follow. So theoretically if you find a trader who consistently makes 20% per month, you’d make 20% return on your own account per month.
Tip: I wouldn’t recommend blindly following anyone automatically. I would select people to follow but I would only copy their trades if my own analysis agrees with that trade. That’s why it’s important to learn solid technical analysis.
A Personal Note From Me
This is the end of my 3-part tutorial about forex trading. I know that not all of you were interested in the subject but I hope that you learned something new. Thanks to all of you who emailed me personally and want to know more about online forex trading.
There’s no doubt that I’ll still mention forex in future posts, especially since I’m making trading a part of my way to gain financial freedom (as an addition to making money through internet marketing).
There is still a lot of information about trading that I haven’t shared with you but if there’s enough feedback from you then I would consider creating a written guide and tutorial videos about the topic.
There are many of you who contacted me wanting to learn more about forex trading and even wanting personal coaching. I’m willing to offer personal coaching about forex trading via Skype for a reasonable rate where we’d talk and you can follow my screen through live analysis and examples of forex trades. Please email me if you want private forex coaching.
P.S. The next article will be back to personal development topics. I’ll be focusing on confidence and self-esteem topics for the next few weeks.