Nowadays, more and more people are participating and earning money by trading Foreign Exchange, which is because of the market’s accessibility of the market.
In the past, it wasn’t like that. If you wanted to become a trader, you would have to have big capital with which you would buy big amounts of one currency and keep it until the price has decreased and then sell it for the initial one.
These days, many things have changed, and you are required to access a Forex Broker, either online or via mobile. Then you will be able to take advantage of the features of the platform.
The purchase of a big amount of currency is now replaced by placing a bet, which is also called a trade. By doing so, you are guessing whether the value of a specific currency will go up or down when putting it against a different currency.
All you need to do is choose the two currencies and pair them. Then you just sit back and watch whether your bet regarding the fluctuation has been correct. If you’ve guessed right, you’ll make a profit – as simple as that.
Which currencies can I pair?
You will have the choice of signing up for a Forex Broker with any currency of your choice. You will have to set a home currency that you think is most convenient for you. Then you will have to transfer money to the account and decide on two currencies to pair up. Those could be whichever you want, not necessarily your set-home one.
The modern version of Forex has no limitations on the pairings you can make. Even if your account is in USD, you can choose GBP and EUR.
What is the profit I can achieve?
You can view the potential profit while you are making the pairing. It will be shown on the Forex Broker platform. You can notice a small fluctuation in this amount, depending on the platform you are using. We would advise you to create different accounts at multiple Brokers and see where you would receive the best number. In this way, you can maximize your profit. Another way is to keep an eye out for any promotions or special bonuses and take advantage of them.
How much time does it take for one trade?
It is important to know one more thing – you will be able to choose the period for which a specific trade will be active. You can take a long-term approach and keep a pair for a longer period. Those long-term trades could be executed at all of the featured Brokers. Another way of trading is to use a shorter period, which is also an available option. Our advice is to take advantage of a demo trading account beforehand in order to feel more prepared. By doing so, you will receive demo trading credits, which could then be used for testing different platforms and practicing with short- and long-term trades. When you feel ready for the real thing, you can start trading with real money and making a profit by switching the account.