Forex trading is an exciting business. There is so much hype surrounding it on the Internet, but how can an average person start trading with forex?
The first thing you should do is resolve the agent. This can be achieved by playing with several forex demo accounts by several brokers. Here you can find a list of currency brokers. After having decided the agent, the process becomes a standard bureaucratic process, similar to opening a bank account.
Here Are a Few Things That Are Typically Required
- Phone Number
- Account Currency Type
- A password for your trading account
- Date of Birth
- Country of Citizenship
- Social Security Number or Tax ID
- Employment Status
- Financial Questions:
- Annual Income
- Net Worth
- Trading Experience
- Trading Objectives
You could ask yourself, why do you want to know all this? The simple answer is compliance with the law.
Forex was a kind of western industry, as it was sold at retail some time ago, and because of this rules were established to "protect" account holders from various types of losses.
It is unlikely that you will find an intermediary opening an account for you, without requiring an answer to these questions. If you find one that does not ask many questions, you should suspect. If you never know about a particular broker, you can consult with him through the National Futures Association to find out his status.
During the last steps to opening your account, you will see a disclosure of risks. Take it seriously, Forex is a difficult business for beginners, he usually ate them for dinner, if they were not careful. On average, there are more losers than winners. The broker will remind you that the foreign exchange market can be a dangerous business, he must do it.
After you send all your information for processing, the agent will check it and ask you to send some supporting documents, such as the identifier issued by the government, and possibly a utility application to verify your name and address. This can slow down the process for a day or two, but there's nothing to worry about.
Once your information is verified, you can finance your account and start trading. One tip that I would like to give to all new operators is not to invest money in your account, which they can not afford to lose. This seems like an obvious piece of advice, but some people start to feel that they know more than they do and risk unnecessarily. Star t with a good amount of money and a small trade. Nothing in particular can really prepare you for the emotions that you feel when money is really at risk, so start slowly at first.
Forex is boring
Forex seems too exciting, but it must be boring, carved and dry. If you are experiencing great anxiety in the exchange, you should be careful. For you, it is usually too much to get rid of your winning trades or to become a destructive operator of your losing trades. Forex should feel simple decision making with cautious steps in case of failure.
Although this may seem boring to you, you will experience much more if you approach this market in this way.
Keep your mood
If it seems to you that you are making common Forex errors and you just feel frustrated, stop trading and look at the basics again. Trading in the Forex market is one of those industries in which you sometimes have to reevaluate your methods to make sure that you achieve your goals. Try not to feel too upset and keep your scientific focus. If you still have questions or need more help, do not hesitate to send me an e-mail to firstname.lastname@example.org.