Can You Make Money on Forex Trading ?
Can trading in Forex or in the Stock Exchange market become the main and the stable source of income? Actually, this question interests each novice trader, but there is no one who can give a definite answer. The success in this sphere of activity depends upon various factors: patience and equilibrium, the ability to make quick rational decisions, a developed intuition and a little bit of luck, but the most important factors are considered to be knowledge and experience.
Moreover, the process of learning should be proceeded throughout the whole activity. Because of the seeming freedom, when you do not have a supervisor and a strict work schedule, many novice traders forget that it is one of the most risky and responsible professions.
For becoming the main source of income, trading requires much time and effort. Furthermore, this work is not for those, who are looking for stability. That is why, before quitting your main job and taking up trading, it is necessary:
- To have a very good understanding of technical and fundamental analyses;
- To learn to control your emotions;
- To educate yourself constantly;
- To have sufficient funds
The success stories of famous traders often inspire beginners, who, by quitting their main jobs, get involved in trading and for a short period of time lose all their money.
The advertisements of some brokers, who offer accelerated courses and 100% success, also contribute to the loss of money. It is impossible to study all the factors affecting the price formation, learn money management, cultivate such qualities, necessary for having a successful trading, as discipline, purposefulness, patience, etc., for a week or for a month.
Trading in financial markets can become the main source of income, but it will take a year or several years until you develop your own time-tested strategy. Moreover, the strategy should be developed and tested on a demo account just by yourself. The usage of someone else’s strategy, even if it is considered to be a successful one for its developer, usually ends up with nothing, because it does not take into account your psychology and capabilities. Besides the professional qualities of a trader, the right choice of a broker is also very important for achieving success in trading.
Check the regulation of the company and its reliability, the stability of the offered trading platform, the quality of order execution, trading conditions, the promptness of withdrawal of funds and the client support service.
Trading is difficult, but at the same time pleasant work, where success comes with experience and knowledge.