Forex Trading Tutorial – Do You Really Need One?
The forex market has been increasing in size at an astounding rate ever since technology and the internet allowed the everyday person access to trade. Gone are the days of larger financial institutions and big corporations using the forex market to hedge their overseas income exposure because now the forex market is a legitimate arena for the private forex trader to make money.
With this explosion of new clients both the online forex brokers and every conceivable forex learning product have been relentlessly marketing to the novice forex trader in an ongoing battle to increase their own market share and client database.
As with most industries that experience rapid growth, the demand for information and experience can lead to opportunities for individuals and companies to make a quick profit by marketing the next ‘revolutionary idea’ or the ‘easiest way to make money’ and this does not apply more closely than with the forex market and potential forex customers.
If you are looking to trade forex you need to be honest and ask yourself if you are someone who has no experience or knowledge of forex whatsoever or whether you are a currently trader who is not currently making a profit, or somewhere in between. Forex trading coaching addresses this issue but you must be sensible and choose the forex trading tutorial that caters for your experience and knowledge level the closest or else you will not get the best coaching being offered.
You may be a complete beginner and never even seen a forex price quote or indeed a pricing chart before or you may be trading now but are having little or no success. Either way most coaching materials will give you an overview of the forex market and the mechanics of how trades are placed and profits or losses occur.
What forex tutorials don’t invest enough time into is the effect that your emotions will have on your trading decisions.
This is one of the largest problems that a new trader will have. For example many new traders get a feeling that the whole forex market is working against them and no matter where they place their stop losses the market will take them out before bouncing back in the direction of the original trade direction.
Also if a new trader hits 6 or 7 trades in a row they will let their guard down, they think they are on winning streak and over estimate their abilities and so start to make bigger trades more often which leads to trouble because when the losing trade hits it makes a big dent in the beginners trading account and rightly so they start to question their basic trading strategy.
The key component of a good currency trading tutorial is the description and explanation of technical and fundamental analysis that is essential for all profitable forex traders to learn thoroughly. The level of detail that the coaching goes into will vary from coaching provider to coaching provider.
It could be just a basic overview of what fundamental and technical analysis is and how you go about performing them, with a brief description of each of the major indicators and an overview of forex price chart movement all the way up to a very detailed description of various intricate price movement indicators combined with technical indicators in each major area of charting, volume indicators, momentum indicators and moving average indicators each of which could take up an entire coaching course by themselves.
As well as all of that information you should really have material on fundamental analysis techniques also which involves creating a global financial calendar and importantly being able to digest the information on each major financial announcement or figures release and know how that will affect the forex market so you can take advantage. Again there is a huge amount of information on the subject and you need to select your coaching course very carefully.
You should now be beginning to understand the picture that there is a great deal) of work involved in just learning the basics of forex trading and that is even before you have moved on to finding the best online broker who has the tightest spreads and the lowest costs and will always fill your order at the stated price etc.
Overall it takes a great deal of time and effort and unfortunately expense to learn the basics of forex trading the old way.
The new way of forex trading, especially if you are a beginner is to check out the best available forex robots and purchase one.
What this forex robot will do is actually trade your live account for you and you can set it up to just help you with your own trading, almost like a safety net or you can set it to full autopilot where you just switch on your computer and let it trade for you.
The best robots have more information programmed into them than you can ever learn, they have adaptive algorithms to react with market conditions and there are a few that will win more than 90% of trades. These types of robots are available now and normally cost between $100 -$200.
Most new traders today choose to use a robot so they can learn from its trading decisions whilst its making them money, a far different situation from the poor old beginners of past years.