Forex Trading is NOT Just for the Pros


Visitors: 158

I had a discussion recently with one of my newsletter subscribers. He brought up the topic of forex and made the inquiry “isn't that mainly a professional market?", which is something I've heard a great many times.

Certainly forex used to be pretty much exclusively the domain of the pros. It was very difficult for the individual trader to play that market. Starting in the late 1990s, though, that began to change. Individual trading accounts become more readily available. Since then there has been an explosion in forex brokers

The great thing about that development is its impact on part-time traders. Forex is a fantastic part-time trading market. It operates 24-hours, so one can trade at any time of day or night. That literally means you can “day trade” at any time of day, if such is your interest. You aren’t redistricted to standard daytime market hours, which don’t work for many people.

There are low account minimum sizes available in so-called retail forex trading, and even a no minimum account in at least one case. There are also low (or no) minimum transaction sizes available. Plus, there are mostly no commissions (or at least only very small ones) for forex trading.

I actually consider forex trading to be much easier to manage for the part-time trader than the stock market. Think about how many stocks there are available to trade. It's a huge amount. In forex there are fewer legitimate tradable “instruments", though they provide at least as much opportunity for trading part-time.

Furthermore, forex trading can be a lot less demanding in terms of the analysis required to make trading decisions. Part-time trading, after all, is about managing the trade decision-making process as quickly and efficiently as possible. That's something more easily done in forex than in some other markets, like stocks.

So don’t let anyone tell you that forex trading is only for the pros. If you have an interest in trading the comparative rates of exchange between the world’s currencies, there are plenty of opportunities for you to do that. You don’t need to have millions in your account.

John Forman is author of The Essentials of Trading (Wiley - April 2006), and a near 20 year veteran of trading and analyzing the markets. For more information on forex trading, check out John's free forex guide which will answer your questions about the currency market.


Article Source:

Rate this Article: 
Mini Forex Trading Learn the Tricks and Skills Needed to Succeed on Forex ..
Rated 4 / 5
based on 5 votes

Related Articles:

Forex Trading The Pros and Cons

by: Miodrag Trajkovic (June 25, 2008) 
(Finance/Currency Trading)

Price Action - The Forex Trading Technique That the Pros Use

by: John Templeton (November 04, 2008) 
(Finance/Currency Trading)

Currency Trading Pros And Cons - What Every Forex Investor Should Know

by: Mike Herman (November 27, 2006) 

Start Trading Like the Pros With Forex Trader Software

by: Max Branner (September 17, 2008) 
(Finance/Currency Trading)

Forex Trading System - The Pros and Cons of Technical Analysis

by: Elaine Berry (December 20, 2007) 
(Finance/Currency Trading)

Forex Trading Machine - A 5 Point Test To Prove Every Forex Trading Technique ..

by: Peter Lim (March 15, 2007) 

Forex Short Term Trading Strategies - Forex Day Trading Restrict Risk Build Big .

by: Samuel Leslie Berkovits (June 19, 2008) 
(Finance/Currency Trading)

The Forex Autopilot Trading System Review Is This Forex Currency Trading ..

by: William Barnes (July 06, 2008) 
(Finance/Currency Trading)

Automated Forex Trading Systems Scam - Does an Automatic Forex Trading System ..

by: William Barnes (September 06, 2008) 
(Finance/Currency Trading)

Mini Forex Trading Learn the Tricks and Skills Needed to Succeed on Forex ..

by: Mikel Freije (September 24, 2008) 
(Investing/Day Trading)