The first step for becoming an FX trader is to open an account with a forex Broker. Brokers in these markets usually give the investors the opportunity to test their trading system and trading facilities through opening a demo account on their trading platform and start practicing buying and selling currencies.
The most important aspect of FX trading is to understand the FX platforms, as they are the direct connection to the financial and forex markets. They are the software you use to place your orders, watch the market prices and also place transactions.
As a trader, you would be sitting at the computer screen, looking for signals and interpreting whether to buy or sell. The main concept is to buy a product hoping to sell it on a higher price or vice versa, so that the difference is your profits, i.e. you need to buy low and sell high.Tools to get started
- Computer or Smartphone
- Reliable internet connection
- Trading software (platform) usually made available by the broker
- Trading capital
- Forex Broker