Check you have the right qualities
Day trading isn’t for everyone. Many successful traders have high self-discipline and direction as well as a strong interest both in the foreign exchange market and the wider world events that can influence it. The FX market is infamous for its sensitive fluctuations, so it can take a steel will and confidence to make decisions and stick to them.
Get to understand FX in detail
This is where the hard work comes in. You will need to thoroughly understand the practical and theoretical basics of the Forex market, as well as keeping an eye on international news. You might start with our Forex basics and follow successful strategists online – plus, don’t forget our live account courses and resources.
Build up your investment capital
It’s possible to start effectively trading Forex with as little as $500, although in this market the big returns – as well as the big risks – come with sizeable capital investments. If you’re new to day trading (and even if you aren’t) you need to be willing to lose whatever investment you make on the foreign exchange market. It’s a good idea to speak with your financial advisor about your potential outlays at this stage to know what you can afford to risk.
Establish your Forex trading plan
Before you make any investments, you’ll need to consider your trading strategy. Which symbols do you intend on focusing on, what will the conditions you’ll be looking for and what are your entry and exit levels going to be? Start using a trading journal where you will be able to track your predictions and results over time.
Start with a demo account
Even while you’re gaining the capital to start trading forex, you can get started with a free demo account to familiarise yourself with making daily trades by starting with $100,000 in virtual cash. This gives you a risk-free way to test out your trading strategies and get familiar with the trading platform.
Create your live account
This is it. Open up your first real trade and start putting that hard-earned knowledge to use. Now that you have a live ForexCT account you’ll also have full access to all of our beginner courses, videos, eBook and regular reports, so be sure to make the most of these as you traverse your daily Forex activities and expand on your trading skills.