Could I make good money by trading Forex, starting with $500?
Question:
So I am curious whether I can make some money with Forex trading, by starting with relatively few amount of money.
As far as I see the trends are small and for a 3 days period from Dec-15 to Dec-18 was the GBP/USD with +0.4% trend of the GBP.
Well...I am not into this business so I have no idea what kind of money you need to start.but seeing the change rate above this means that if I buy GPB with 500USD and resell it 3 days later in the best possible case I will end up with 0.4 percents more? That of course will be funny money...
So what you will advise me to do?
Answer:
You could, but most don't. Leave the things you "are not into" until you've studied, and practiced, it enough to be comfortable. Besides, a GOOD brokerage won't want to open an account for you to do that unless you either had more or talked as if you knew more. Is it possible? Yes. Is it probable? Definitely no. You are merely fresh fish to the sharks. Sorry. Study it a bit more.
If interested pls email me at leongelmo@hotmail.com
You'll probably do better playing roulette. The Forex market is for pros. Don't let the TV infomercials convince you otherwise. If it was so easy the world would be full of billionaires. If it sounds too goo to be true, it usually is. They're still pushing real estate investing despite that market collapsing. Most people lose with commodities, currency and especially stocks. The dollar is tanking though as the currency has been over manipulated by the Fed and we're losing the clout of being the world's reserve currency. A lot of the oil countries (OPEC) are moving to the Euro and out of doing business with the dollar. The Chinese are gaining strength but their currency is really govt manipulated. FOREX is basically at the mercy of the world's central banks. The pros play huge sums of money (usually leveraged) and play for fractions. If you have the stomach for it, take a look at gold stocks for some serious action in the next couple of years. But NEVER on margin. Take lots of Tums though because the markets are going to be really crazy the net couple of years. Do your homework - you may enjoy what you find.
No.
2 ratios you have to keep in mind. Your win/loss ration[number of times], win/loss ratio [$$ terms]. Assuming you win 1 time for every two trades, which is a very good ratio, and $60/$20 win/loss ratio that means for every time you win $60 you lose $20 the next trade...get an excel spreadsheet and work out the various scenario. You will get a rough idea the difficulty involve in making money in trading. For more info go to http://www.geocities.com/lcming/forexboo...
If you are adept and follow basic principles strongly.
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