Tips and Easy Ways to Make Money Trading Forex

Tips and Easy Ways to Make Money Trading Forex

Tips and Easy Ways to Make Money Trading Forex

 

Until now, not a few people are looking for ways to earn extra money and income in the midst of uncertain situations and conditions. The solution that might be taken to fulfill this is investment.
However, not all investments are profitable today. Current deposits have low interest rates, while stock prices have even plummeted. Hoping to get additional income from these two investment instruments doesn’t seem right.

For now and in the future, one way that can be done to still be able to make money is through forex trading because profit opportunities can be obtained from two directions.

Why Trade Forex?

Although forex trading seems easy to do, not a few people think that forex trading is difficult because it requires sophisticated gadgets. In fact, some beginners think that great traders are those who have a capable computer or laptop plus many monitor screens that display charts and prices.

Coupled with the assumption that if you want to enter the world of forex trading, you must master mathematics and statistics, must understand economics and politics and must be able to read charts and use a number of complex and many indicators.

In essence, forex trading is difficult and complicated. However, all these assumptions are not necessarily true. In fact, if you think like that, it’s not trading that is difficult, but you yourself who make it difficult to do and live.

Tips for Starting Forex Trading

For those of you who want to learn this forex business and want to know how to do forex trading transactions, here are some tips and information on how to trade forex for beginners.

1. Choose an Official, Legal and Trusted Forex Broker

The first and easiest way to do before starting your first transaction is to choose and determine the forex broker that suits your needs. As we all know, there are many local and foreign forex brokers operating in Indonesia today and they are easy to find.

Starting from fake ones, which do not have a clear office and legality, to brokers who are officially regulated by the Indonesian government. Well, this is where you need to be vigilant. Usually the ones who promote the most on the internet are brokers whose credibility is unclear in the eyes of the Indonesian government.

To minimize mistakes in choosing a forex broker, you can find information about forex brokers that have clear regulations and legalities through the official website of the Commodity Futures Trading Regulatory Agency (CoFTRA). In addition, the forex broker you choose must be a member of the exchanges, namely the Indonesia Futures Exchange (JFX) and the Indonesian Commodity and Derivatives Exchange (ICDX).

2. Choose the Account Type as Needed

Every forex broker in Indonesia certainly has a certain type of account that is offered to each prospective customer. Each of these accounts has its own advantages.

Therefore, it would be better if you choose a trading account based on your needs and trading style in forex trading. In addition, this account is perfect for those of you who have a day trader type trading style. This means it is very suitable for those of you who prefer day trading (end each trading position in one day).

However, if you are a scalping trader or who trade in a fairly short time (1-5 minutes), then the Optima account will be more suitable for you because it has the advantage of low spreads. Thus you will be faster for BEP, and profit of course.

3. Understanding Capital and Risk Management

When you decide to make forex trading transactions, you must be careful in managing and managing finances and risks per transaction. As we know, risk is something that is inherent and always exists in every business. Thus, this risk cannot be avoided let alone ignored.

Instead, this risk is suppressed and minimized as best as possible through capital and risk management. Therefore, it is important for you to understand and apply good risk and capital management in this forex business.

Regarding capital and risk management, you can start from how you set the risk limit that you are ready to bear every time you make a transaction. The goal is clear, namely to regulate the resilience of your funds so as not to experience large losses exceeding the risk limit that you have set.

For example, you have a resilience of funds above 50 million Rupiah. Then, you set the risk for each transaction in the range of 5 million per transaction. With this kind of capital and risk management, you will have the ability to make 10 transactions to get a profit opportunity from forex trading.

4. Have a Trading Plan

When you decide to make forex trading transactions, then make sure you have a good trading plan. Starting from how to make trading decisions,

acceptable risk, to the capital arrangement used. All these things should be well recorded in your trading plan.

How? Not too complicated, right?

So, are you ready to start trading forex today?

The most important step in preparing and ensuring that you will be involved in the forex market for a long period of time is to build a forex trading strategy and plan, and make sure that you actually execute it. Don’t forget to always deepen your understanding of learning forex so that it is easier for you to understand everything related to forex trading.

When you believe you have studied and researched enough, understand the risk level, have tested through a demo account and have consistently managed to reap profits for (for example) three months in a row, then that’s when you’re ready to build a strategy. and trading plans.

Whatever your trading style, the most important thing for you is that the forex strategy you use can consistently generate profits, meaning that the profits you earn consistently outweigh the losses suffered.

Forex is growing in popularity and more and more people want to become successful forex traders, but few people are willing to take it seriously through a demo account. In fact, to become a successful trader, you need to practice to be able to generate consistent profits.

The means to practice consistently making profits is a demo account. Because, you can apply everything you learn, execute the strategies and trading plans that you have prepared.

It is very important to actually implement your trading strategy and plan even if it is only on a demo account, because it will form habits and in turn will shape your character as a disciplined trader.

If you have been able to make profitable trades on a demo account for at least a month (with the right trading plan of course), you should not delay too long to start trading with a real account immediately.

 

About Johan Umar

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