Top 5 Tips To Make Money Forex Trading

So you want to make money online and you are debating whether or not to pursue with Forex Trading? Forex stands for Foreign Exchange and can be used to make money through the buying and selling of different currencies.

Unlike other money making solutions that I have been looking into, Forex does contain a high risk and needs to be used with caution, however it can make money if you are careful and do you research first. I am not going to go into a load of detail as to what Forex is as there are more long-winded guides elsewhere on the internet (some of which you will find below) and most Forex brokers give beginners an ebook for free called Currency Trading for Dummies.

I do feel I should mention that whilst the charts, graphs and terms that are used in Forex Trading may make it sound complex and difficult to the average person like you and me, however if you just get in there and follow my top 5 tips below, then you will be able to get your head around all of this really quickly and you will most likely find that you will enjoy it. I must confess I am not normally much of a gamber myself but there is something incredibly exciting about seeing your investments rising.

So enough of all that, what do you really need to know if you want to start making money online using Forex?

1. You should do your research first. Read all the information and tips you can get your hands on. A lot of this can be found free on the internet, or go to your local library and see if they stock any Forex Trading books. Most Forex Trading Brokers even offer tutorials on their websites again free of charge, for example FXCM offers free video education.
2. Find a broker you can trust and a platform you can use. Brokers are complex and difficult to get your head around if you are a novice. You don't want a Broker who makes money when you loose, you need a broker who makes money when you win, otherwise you could find your cash vanishing in front of your eyes, (so you are looking for an ECN Broker). I recommend reading up on Brokers and use comparison sites and reviews to aid you in your choice. Also make sure the trading platform that your broker provides is user friendly and that you can understand sufficiently. For a comparison site, I recommend the Forex Learning Site as they make it easy to understand and allow you to select the main criteria you are seeking from your Forex broker. 
3. Start with a demo account. Most good brokers will allow novices a practice run with a demo account, these are usually completely free and will enable you to get used to their platform and try out strategies and get used to Forex Trading. I recommend using a demo account for a few months before going live and try to see the fake demo money as your real hard earned cash so that you can appreciate the highs and lows as you would if you were really trading on the Forex market.
4. Use Micro accounts. Whilst you have the potential to make a lot more money with standard Forex accounts, you have to invest large sums of money, which means there is also a lot more to loose. I recommend that you use a Micro account, where you can buy smaller lots and can deposit smaller amounts of cash. This reduces the risk when you are starting off, once you are a seasoned Forex trader then you can look into opening a standard account.
5. Remeber that Forex Trading is not risk free. You will need to invest money before making money with Forex Trading. So be sensible, trade responsibly, do your research and practice, practice, practice!

I really hope that this advice gets to some of the 'normal' people out there as Forex Trading is not something we would even consider, but once you get passed all the lingo and charts, it is fun and it is a lot more simpler than you would initially think. Obviously some strategies are more complex, but there are some money making strategies which are reasonably easy.

I highly recommend the Broker that I have chosen, purely for its wealth of support for the novice trader. I am not getting anything from my recommendation so you can trust it. Whilst I have not yet traded live with them, I have used their training tools and I am still practicing on their demo account. As I said you should really practice for a few months before trading live on the Forex market, yet to bring it you guys sooner I felt I should offer these tips, if I do well on the demo account I do intend to set up a Micro account and deposit the minimum initially. The trading broker I use at the moment after trying out a fair few, is FXCM they offer a standard account which you can access on that link with a free demo account, or they offer the FXCM Micro version on this link also with a free demo account.

I hope you find all of this information useful, yet I do feel it is very limited in its information so I have enclosed some links below to better inform you of Forex Trading.

How To Make Money with Forex Trading
What is Forex and how to make money with it?
How To Make Money Forex Trading