Tuesday, January 10, 2012

Start Trading Real Money

  • In  earlier post we went thru step by step procedure how to set up the trade station on your  desk top.. refer to last 3 posts for details.
To start trading real money log in to your real account and verify that there is real money in the  trading account..We recommend that you deposit between $100-$500  USD certified funds in your real trading account.
First thing to do before trading real money   is make sure you are well rested .This is a fast moving market and require your immediate attention at all times in order for you to be profitable                                     
  Since we are trading into 3 different time zones  (us, europe and asia), we recommend  having  3 clocks  installed in the  area from where you will be doing business..Each clock to be set to its respective time zone..                                                  These market interact with each other during the trade session and its always  good to know when decisions are made in the respective  time zones.
New traders need to be familiar with the term STOP LOSS.., Stop Loss is the amount of PIPs that a trader is willing to loose if the trade went negative..Stop Loss is normally set at 30 pips..This simply means if the market move against your open position you would loose 30 times your bet.                                                                                                                                                Take Profit is the anount of PIPs  gains in any given trade            Profit is normally set at 20 pips... This simply means if the market move in your favour you would have gained 20 times your bet
  The term trending is when a currency pair move  from a lower level to a higher level or from a higher level to a lower level over time ..                                                                      Time can be several hours  to  several days  to several weeks
Tops And Bottoms...Currency Pairs price charts  have  price points  over time.                You can think of these price points as prices you pay for goods and services at your local supermarket.                                                                                                                                    Certain time during the year prices will go up or down to a level then reverse course as a result of supply and demand....                                                                                                      This  same phenomenon happens when trading forex currency. This phenomenon  in currency trading is called TOPS and BOTTOMS ..                                                                                                                              Knowing when a currency pair is TOPPED out or BOTTOMED out and is ready to reverse  course makes all the difference in the world because if known traders can bet accordingly to produce  subatantial  gains.. Knowing how to read these price charts and bet accordingly is what trading forex is all about.                        

Coment: Next we will show  currency pair time chart  and  explain how to read  price charts. After we will place our first real money trade and continue teach you more advance trading  techniques

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