I want to help you develop your own currency trading strategy because it is essential to have your own technique and routine to be good in this business. This information is to help you develop good characteristics to help include into your strategies.
You need to be very critical of yourself and figure out if you're one of those emotional people. I consider myself a very logical person, but I'm also emotional in some ways. You could be the type that gets “gut feelings" or you could be the type that “needs" to make a trade or you could be the type that gets frustrated. All these are emotional responses and you probably will end up experiencing at least one of these multiple times.
You need to declare that while you trade, you're going to remain emotionless. This means you're only going to act on numbers. Numbers don't lie, they're not biased, and you can't manipulate them to mean something different. Set rules before you make the trade, so you don't have to make decisions in the heat of the moment. You should know when you're going to sell if the currency starts to go down. You should know when you're going to sell for a profit. You can hang onto the currency forever, but there has to be a point when you're going to just let go.
Lastly, your daily routine is going to have to include getting the news. The news affects the direction of currency and you just can't ignore that fact. The Federal Reserve is the most important piece of news to follow. You've probably heard about the “Fed" changing interest rates. That's how the central bank controls the amount of money in the economy. When you change the supply of money, you change the price of it. The last thing you want to do is buy a currency and an hour later the central bank cuts interest rates, putting more money into the economy.
This should help you develop a currency trading strategy that will work for you. Remember to use these on a daily basis because you can't afford not to use them.
I hope this advice will help you learn foreign exchange market trading. I'm currently giving a 7 day free forex training course. Newbies and experienced are all welcome. If you're interested in participating, check out the Casual Forex Trader.