Having to trade anything involves exchange or items in different forms based on their value relative to one another. One can trade many thing to those who in need of what you might be willing to trade. As an example, you may trade currencies as well where USD can be sold or bought again the British pound or Euro. There are platforms which offer software services where you can analyse and trade currencies and participate in the global market. The basic concept regarding the trading of currencies is simply to buy currencies while they’re cheap and sell them when they’re expensive. This is when you have a pair of currencies and you choose to either sell or based based on multiple factors.
Normally there are fundamental traders and technical who trade the same currencies based in the same history chats, the only major difference is their style of trading in terms of time of entry and exit. Some may do what is known as scalping which is based on very shorter period of time. There’s a perception that Forex - foreign exchange traders have or make a lot of money and are therefore rich or millionaires. Truth is, there is a lot of money in forex trading to be made and at the same time to be lost reason being not everyone will win at the same time nor lose at the same time.
Remember that as others are buying, others are selling and it then becomes a fight between buyers and sellers and whoever wins will be based on how many has made more of the same trade and the profit to be gained will be based on by how much you’ve invested with and this is normally determined by your lot size which is like the rate at which you can win or lose your invested money. Trading currencies as a student can be very much tricky and not advisable in a sense that you can easily neglect your studies and focus on making more money through trading currencies. Trading Forex is difficult to understand but very much easy to trade as you sell or buy. And again most, similarly, it’s easy to make money and again very much easy to also lose.
What makes forex trading a bit more difficult is the fact that there are emotions attached to trading currencies of which is not easy to explain to someone who has the desire to trade but still trading on a demo account because there are not emotions attached which makes huge difference in that sense. Not everyone will make sustainable millions in Forex trading. We all of us in the industry try to make money and millions of money but over time you then realise that it is actually not sustainable money as it requires more time and possibly more money to cover up any potential losses as a result of low balance.
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