orex Trading: How It Works, How It Generates Money
What is currency trading? How does it work? Is it really possible to earn as much as they say? These are the main questions that many beginners ask themselves when they begin to consider whether or not to invest in the forex market.
This guide aims to explain , in a simple way, how you can start trading forex without difficulty, without errors and without risk even if you start from scratch.
We will also talk about the best forex brokers , especially those that are also suitable for beginners like eToro. Today there are many safe and reliable forex brokers (note that there are scams too), but not all of these brokers are suitable for those who are starting to trade online for the first time.
eToro, on the other hand, is not only very easy to use even for a beginner, but it even offers the ability to automatically copy the trades of the best traders in the world .
You can register for free on eToro by clicking here .
Is it difficult to trade forex?
Before we begin, it is essential to dispel a dangerous limiting belief: currency trading is difficult .
This is not the case at all: there are many beginners who show that you can learn to trade the forex market . We’re not saying it’s a way to make easy money – in fact, it’s good to immediately deny any ideas of passive income or money that comes in a miraculous way.
What we mean is that currency trading is within the reach of all who undertake to study it . There are so many guides available today and those who want to learn can do so without problems.
You don’t even have to spend a fortune to buy a paid course , as one of the best forex courses is completely free. What course are we talking about? Of course ForexTB (by the way, one of the best forex brokers out there) which in the last year has had more than 100,000 downloads . Why did this happened?
It is a course that explains forex in a practical way , without wasting time in theory. Explain exactly how to make money, which is the most important thing. Also, the language is very simple and understandable even for those who are really beginners .
And then we remind you once again that it is completely free, which is not bad at all since many forex courses are paid and can also cost a lot of money.
You can download the course for free by clicking here .
By studying a good Forex course, you can quickly learn the fundamental concepts behind Forex . But this, sadly, is not enough: you must also apply them directly to correct and understand them thoroughly.
For this reason, the best forex brokers make a demo platform available to their members for free . Thanks to the demo it is possible to trade forex using virtual money, therefore without any risk.
By following this simple path, you can be confident when you start real money trading. Currency trading is not difficult for anyone who is committed!
Even from an economic point of view there are no great difficulties: it is usually possible to start with a sum between 100 and 250 euros. In some cases even with 10 euros.
Also read: Forex Charts
Best brokers for forex trading
The main tool for trading forex is the broker . The word broker in English means an intermediary: those who want to operate in forex must use the services of the broker that is responsible for keeping the trader’s money and carrying out operations in the currency market and then transfer the profits to the trader’s account.
There are many types of brokers of forex but the most suitable for those starting for the first time are based CFD (contracts for difference).
In general, it is advisable to use brokers that have these three characteristics:
- They are safe and reliable – Unfortunately there are no forex scams, only licensed and regulated brokers are really safe.
- No charge commercial rates : pay rates commercial means not win, especially if you work with a small capital. This is why choosing free forex brokers is essential.
- They are easy to use : especially for beginners, this is really very important.
We have selected some of the best forex brokers that respect these characteristics (and also offer valuable additional benefits).
Forex broker eToro
eToro is the best alternative for beginners who want to start forex trading . In addition to having a very simple platform to use, eToro is the only broker that offers the possibility of copying, completely automatically, what other traders do.
How does it work? eToro has created an innovative proprietary Copytrader system that allows you to easily find the traders who have earned the most in the past . You can view your benefit and risk levels to make an accurate and thoughtful decision. Once you’ve found the right traders, a simple click is enough to start replicating all your trades.
Using eToro has two advantages: on the one hand, you can start to get excellent results immediately with currency trading, on the other, you can learn in the best way, observing what the best traders in the world do.
Why are these professional traders (the famous Popular Investors) so helpful with forex beginners? Not only do they give permission to be copied but they even provide all kinds of advice and directions. Simple: eToro pays them according to the number of followers (people who copy them, in fact eToro is also a social network).
You can register for free on eToro by clicking here .
ForexTB forex broker
ForexTB is definitely one of the best forex trading brokers available to novice traders (and even the most experienced ones, really) today. Why are so many beginners using ForexTB?
On the one hand, it is a really easy and intuitive broker . In addition, it offers its members a truly exceptional telephone support service: a true expert who guides you with precise directions.
Anyone who wants to can also download the e-book that explains how to make money from forex for free. We’ve already talked about it: click here to download the free ebook .
The benefits of ForexTB are not over. All traders can apply to register with an excellent forex signal service . The history of this service shows that it is very reliable. In general, signal services with such accurate forecasts have a high cost, in the case of ForexTB everything is completely free. You can request the signals by clicking here .
ForexTB is a safe, reliable, completely free and commission-free broker. It also provides traders with a great, free, unlimited demo platform, perfect for those who want to quickly accumulate experience without taking risks.
You can join ForexTB for free by clicking here .
Forex Iq Option Broker
Iq Option is an extremely intuitive forex broker so much so that it is considered by many to be the ideal solution for those beginning to trade forex. Among the features most appreciated by traders is the ability to start with a starting capital of just 10 euros. The other runners require a sum between 100 and 250 euros.
Iq Option is perfect for beginners as well because it offers its members hundreds of video courses , completely free, that explain forex from the basics to the more complex aspects. Anyone who wants can also use the demo account, free and unlimited.
Click here to register for free at Iq Option .
Forex Trade.com broker
Trade.com is one of the most innovative forex brokers. It’s completely free and commission-free, very easy to use even for beginners. It gives forex traders the opportunity to trade with the excellent WebTrader platform or the classic Metatrader.
Trade.com is perfect for those new to currency trading . On the one hand, it offers exceptional support, true forex experts who call and guide you step by step.
In addition, it is possible to access an educational area really rich in videos that explain forex trading in a very clear and simple way: you can enter the educational area for free by clicking here .
Trade.com also offers an unlimited and unrestricted free demo account, perfect for those who want to learn to trade (seriously) the forex market and want to experiment without taking any risk.
You can register for free on Trade.com by clicking here .
Opinions on Forex trading
We immediately post reviews of some of the best brokers to invest in forex for a reason : Unfortunately, there are people who think that currency trading is a scam.
On the other hand, these reliable and safe brokers prove that forex is not at all a scam and that it can actually generate profits, even for beginners.
Warning: thinking about scams is not a bad idea . If the view that forex trading is a scam is false, then reality teaches us that there are actually thousands of scam brokers who make you lose money.
The only way to invest in forex safely is to use only brokers authorized and regulated : these brokers are supervised by the authorities of financial control (CONSOB for Italy) and, therefore, could not defraud their customers if they wanted.
But the (wrong) opinions about currency trading don’t end there. There are people who think that forex trading is a kind of game, a way to make easy money without doing anything or, in other words, to earn good passive income.
Unfortunately, passive income does not exist – with currency trading you can generate even high profits, and you don’t even need a lot of capital to get started.
However, this is not a game and, above all, there is nothing passive in forex : the trader must make predictions about the trend of currency pairs and must execute the corresponding market operations.
It is true, making predictions is not difficult, you can trust the trading indicators , maybe you can receive forex signals or you can use eToro to copy the best ones but you should always do something, you cannot receive money without doing anything (or with trading currencies or any other system).
The idea that currency trading is a way to make easy money, in the end, was spread by scammers who in this way manage to catch the most naive to scam them. Safe brokers, on the other hand, go so far as to post insistent risk warnings on their sites …
We talked almost immediately about another absolutely wrong opinion about the currency market: the fact that currency trading is difficult. It is not. Of course you have to study, you have to commit, but with good guidance and a little effort you can easily achieve extraordinary results.
Also read: Securities deposit stamp tax
Forex trading demonstration
All the brokers we have selected are not only safe and reliable, free and easy to use, but they also offer unlimited free demos .
Why have we focused so much on a function like this? The demo is very important, especially for those who are starting to trade forex for the first time.
Thanks to the demo, it is possible to trade the currency market using virtual money . In this way, profits and losses are always and only virtual and you can experiment without risking anything.
For those who do not even know what forex is and perhaps have just started studying, it really is an advantage to trade without worrying about possible losses, for example applying everything you study in real time.
Many novice traders manage to radically improve their skills thanks to the intense experience provided by a good online trading demonstration.
Can you learn everything about forex trading from the demo? Unfortunately not. The demo problem is identical to its advantage: you risk nothing.
Currency trading is not just a matter of technique : the best traders are not the ones who know the best currency strategies, they are the ones who can control their emotions.
Fear and greed can play tricks when you trade seriously and only by learning to master them can you achieve the best results . The problem is that with demos there are no emotions since the money involved is not real.
The best way to learn forex trading is to start with a good free demo and trade with real money, perhaps with a small initial deposit (there are people who start with only 10 euros).
Also read: Online trading demo.
Forex trading book
Currency trading is not a game , this should be clear by now. Trading the forex market means investing (little) money to make a profit when Forex quotes change.
Conceptually it is not difficult but how do you learn all the tricks and secrets to get the most out of forex ?
Many avoid the problem entirely by using eToro and directly copying the best traders in the world. But who wants to learn to trade forex? What should I study?
There are several forex books, but most of them are expensive and difficult to study.
The best solution is to get the ForexTB e-book, which we have already told you about: you can download it for free by clicking here .
The ForexTB book is not only free, it is also very easy to read, even for a beginner.
Forex trading calls
There has been a lot of talk lately about the unwanted phone calls made by some forex brokers.
Like all unsolicited marketing calls, they are extremely annoying. In this case we advise not only not to answer but also to block the number they come from .
If a broker needs to make unwanted phone calls to promote himself, he is not a good broker and it is best to stay away from him. Very often, these brokers are the ones who scam customers – all the more reason we should stay away from them!
But we must avoid doing a lot of weed : not all calls made by runners are bad! What are the exceptions? Obviously the phone calls made by the support service of the brokers to which you subscribe.
These phone calls are not only harmless, but also valuable: they usually allow you to start forex trading with the direct help of a true expert. Those who follow these tips can get started without making otherwise costly mistakes.
Currency trading is a speculative activity that can generate great profits, but requires commitment, time and study . It is absolutely essential to trade using only safe and reliable brokers and only licensed and regulated brokers can provide the required level of security (they are controlled by supervisory authorities).
The currency trading is not a way to make easy money and is not a scam: Beginners should consider what is the forex market, how it works and how to win to avoid falling into the traps of scammers. What is Forex?
The Forex market is the largest liquid market in the world, where currency pairs are traded. Is Forex a Scam?
Center of that, Forex is a regulated market where millions of traders trade every day. How to trade forex?
The best option is offered by trading platforms through which it is possible to invest in CFDs without commissions. What are the best brokers to trade Forex?
In Italy, the most famous broker is eToro, excellent for investing in Forex. Even ForexTB enjoys an excellent reputation.