Why should you choose to trade Forex?

Freedom to work from wherever you are: If you have a phone or a computer, and access to the internet, you have everything you need to earn money. This means you can earn money in bed, on the plane, at the beach, and I’ve even made money at the top of a mountain before a day of snowboarding!

Freedom to choose your schedule: You can choose to invest a lot of time in, and turn this into a full time career, or you can invest a few hours here and there to earn some extra money to cover your bills or grow your savings.

Freedom to earn passive income: With signals and robots, there are ways for you to trade without having to do your research. With some of these methods you get a lower return, so this is usually a good choice for later on when you have a larger account.

Forex is a multi trillion dollar per day market, meaning that there are unbelievable amounts of money moving around in the market every day. With the right strategy, you can take a percentage of this money without ever affecting the market in a significant way. For a good visual comparison, here is a simple bar graph comparing daily volume for four of the major exchanges:

As you can see, Forex is a huge market, and its unlikely that you will make enough of a splash in the market to effect your bottom line. What I mean by this is that you won’t be drawing any attention from individual brokers or big banks like you would in the stock market.

In the stock market, when you buy or sell large amounts of shares, brokers and banks can see that a position was opened, and move the price against you. Moving around $500,000 in a $5 trillion market is much less noticeable than moving around $500,000 in a 28 Billion dollar market. (You'll understand soon why I use the number $500,000)

Probably one of the best benefits of Forex is the option of leveraged trades.

Leverage can be either your best friend or your worst enemy as a Forex trader, because it can make you or break you very quickly. I started with $300, and because my broker (TradersWay) offers up to 1:1,000 leverage on Forex accounts, I was effectively working with $300,000 on my first day! (This is where that $500,000 figure came from)

This gives you the potential to earn (or lose) hundreds of dollars in seconds, whereas with stocks, you would have to have $300,000 in your account to earn the same profit. This is the danger of the Forex market, but is also what makes it so highly profitable.

You have to be very careful with leverage, because it can really come back to bite you if you don't know what you're doing!

By studying the charts for hours at a time, and making lots of smart trades, I was able to make $1,400 in my first week of live trading, and have made an average of over $1,000 per week ever since. By allowing my account to grow instead of immediately pulling my profits, I have been able to implement better risk management strategies to further minimize my losses without impacting my profits!

While I do use high leverage, I minimize my risk by using tight and trailing stop losses, and by analyzing the charts thoroughly before opening any positions. I also only buy 1 standard lot at a time, and try to only have 1 to 3 open positions at a time

Because of the overlap of the international markets, the Forex market is open 24 hours per day, 5 days out of the week. The market closes for me at 2 pm on Friday, and opens back up at 2 pm on Sunday, so I like to say I get weekends off!

I was particularly drawn to the potential to earn money at any hour of the day, because I was a night owl, and thought it would be perfect for me. I have since changed my sleeping schedule, and I now get up at 4:30 in the morning to start my trading, because I have found that I get more done that way, and then I am on a "normal schedule" so when it's time to hang with friends or family, I am not missing out on my prime trading time.

The beauty of Forex is that there are enough currency pairs that are volatile enough to earn you money at almost any time of the day, so you can schedule around your current life, without having to change things around too much. One thing to note is that I tend to avoid trading between 10 am and 4 pm Pacific time, because spreads are usually higher during that time, due to the US session.

I’m no millionaire (yet!), but I started with only $300, and have been able to consistently earn over $1,000 per week since I started trading Forex, and earned almost $35,000 in my first 6 months of trading. To achieve such a high return, I have had to put in a lot of work, and waited a long time before ever pulling out any profits, but the journey has been fun, and extremely rewarding!

With this introduction to the market, you will know everything you need to know to get started with your risk free demo account in Forex. Then I’ll show you how to build your confidence so you can take your skills to a live account and start earning real money!