This is my guide on how to trade foreign currency. With over three trillion dollars a day in trades, this is the largest market on this planet. This is an exciting place to get into, to make a second income because you're not competing against other trades, you work along side them to beat the market.
The first piece of advice I will give you is where the good traders get all the great information: The news! Television news has all the important news you're going to need to avoid an erratic day on the market. You need to understand that any news that will have an affect on the economy will have an affect on currency. It is up to you to learn how severely something will affect the economy. For example, acts of terrorism sometimes have an impact, other times don't. At first, stick with the economic news, like GDP growth and unemployment rates.
The next piece of advice is to help get you looking at trades differently. Buying price should be the last thing you look at. It doesn't matter if a currency will cost you 10 cents of 10 dollars. It's irrelevant to your profit margin. The only thing that counts is what you can sell it for. The cheaper, isn't necessarily the better. You need to start studying and learning how to determine where a currency will go in the future, so you can make a more profitable decision on what you should buy.
Lastly, you should be implementing daily routines that are extremely simple. This is how you be successful; simple routines applied daily. Having clean and healthy teeth isn't this revolutionary thing, you just brush and floss your teeth as a routine. Simple, easy and a routine. Try the same for trading. Have a routine of checking out specific currencies, what criteria needs to be met to buy, and follow through.
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.