I decided to share my personal experience, which may be useful to those who decided to try their hand at trading in the foreign exchange market.
Trading in financial markets excites many minds. Online forums are full of conflicting reviews. Someone argues that the exchange is an easy and affordable way to make money, others say that an ordinary broker always remains in the red. I managed to make good money, and in this article I will tell you how it was.
Usually, people simply do not know what to invest in other than bank deposits, because it seems to them that the exchange is very complicated, and brokers-intermediaries will be fooled by it. Therefore, to begin with, I would like to dispel a few myths about trading.
1. The stock exchange is dangerous. The money will be wasted
Mistrust in the stock market is primarily due to low financial literacy, which, of course, is also used by swindlers. Before investing money, you can try trading on a demo account provided by many brokers, including FinoCapital. In the modern world, investment is normal. The main thing is to choose a good and reliable broker.
2. Investing is difficult. Easier to open a deposit
Indeed, in order to invest correctly, you need to understand the subject. And in general, it is better to know than not to know. It should be understood, however, that brokers now provide many investment options. For example, the finocapital broker provides high-quality analytics, the company’s employees are always ready to answer all your questions and help even the most inexperienced traders to reach the desired level of income.
3. No broker needed
There is a flaw in such reasoning — if you need, for example, Gazprom shares, you will not go to Gazprom. What if you want to buy securities of a foreign company? However, in any case, the purchase of shares on the exchange by individuals is prohibited by law. Transactions can only be carried out by legal entities, which means that you cannot do without an intermediary. A broker is such an intermediary.
4. The broker is interested in the investor losing money
Indeed, the broker receives a percentage of the transaction, but the logic is different. The more an investor earns, the greater his turnover. The capital increases, transactions become larger, the broker makes a large profit. This is a mutually beneficial cooperation.
5. The stock exchange is for the rich
The threshold for entering this market used to be really quite high, but in recent years the situation has changed. Many brokerage companies try to make professional investors even those who have relatively small amounts. It makes sense to trade with a broker finocapital, starting from 250 $ / €, and trading can bring tangible results starting from larger investments. At the same time, those who invest a little get all the same tools as those who invest large sums — easy viewing of the portfolio, online analytics and quotes.
And so, we figured out the myths, let’s move on to the question of how to make money on the financial market?
I have been looking closely at the opportunity to start making money using my analytical skills for a long time. Looking through the numerous forums devoted to the topic of Forex, I still could not find a definite answer: is it really possible for everyone who wants to earn a significant amount in such a simple way. The opinions of Internet users were often polar opposite. In the end, I decided to try my hand at trading in order to close this topic for myself once and for all.I began my journey, not particularly burdened with a baggage of knowledge. Everything that I knew about trading on the financial exchange boiled down to three things: 1. in order to start earning, I need to register on a special website; 2. there must be start-up capital, which, in extreme cases, will not be a pity to drain.; 3. The success of trading depends on the ability to predict the dynamics of the growth and fall of trading instruments.
If you decide to try your hand at playing the foreign exchange market, the first step is to open an account with a reliable broker. I was lucky: I chose FinoCapital at random. The guys know their business very well and are guided not only by professionals, but also by those who are not experienced financiers like me. What I was definitely not ready for was the speed at which currency rates were changing. Often, decisions had to be made quickly and there was absolutely no time to search for information on third-party resources.
Over the weekend, I managed to make about a dozen successful trades, the profit from which was more than 100 €. I was already beginning to dream that I would never have to get up at 6.30 am and go to work again, but then they returned me to the ground. The broker always warns that the accuracy of forecasts is about 95%, so there is still a chance of going bankrupt. The success of the first deals turned my head and I relaxed too much. As a result, for the first time I miscalculated. I must say right away that since then unsuccessful trades have not disappeared, but the number of winning bets is growing.
Now I still combine trading with my main job, but quite often I have to ask the boss for leave, since there is not always enough time for both classes. I think that soon it will be necessary to decide on the choice of the main source of income. For those who want to repeat my experience of trading in the foreign exchange market, I will say that you need endurance and faith in yourself. It is possible to increase income by trading on the financial exchange!