The Business of Trading Money

WHAT IS FOREX?
Foreign currency is simply money valued against one currency or another,
in most cases the U.S. dollar. Simply put, a forex trader is simultaneously
buying one currency and selling off another. Money, after all, is what makes
the world go ’round. There will always be demand and activity in this product.
How to successfully trade this market or any market requires proper
education of the vehicle in which you are trading and knowledge of the
basic fundamentals and technical analysis tools. One also has to be fairly
savvy in technology, as forex trading is virtually all done online through the
Internet. Conquering the forex market and mastering success in trading absolutely
requires identifying and learning how to avoid a multitude of pitfalls
more than it does identifying trading opportunities. In fact, most
professional traders will tell you that it is not any specific trading methodology
or trading system that makes successful trades; rather it is the discipline
and patience needed to master and to stick to their trading rules and
to remain controlled in their overall trading methods. In order to win at
trading, you must manage risks and understand that there will be lots of losing
trades. Remember that success takes time, but mostly it requires consistency
in how you seek, execute, and exit positions. If you want to
conquer the forex market and wish to learn which technical tools will serve
you best, then this is the right book for you.
My goal in this book is to present an easy yet comprehensible set of
trading techniques and reliable trading tactics that you can apply in everyoneday trading circumstances. These techniques should help you identify frequently
reoccurring trading opportunities. Yet to better enhance these techniques,
I will cover why it is important to develop and maintain a systematic
approach based on historical data that is back-tested either visually or by
the aid of a computer or trading software program. The signals and methods
can be applied for long and short positions. Forex has no restrictions
on selling short, so these trading methods will improve and increase your
trading opportunities because you can trade both long and short strategies.
Imagine a trading product that allows you 24-hour access so you can apply
techniques that will set your stop-loss levels, profit objectives, and various
order types (such as contingency orders and trailing stops) to maximize
your performance. This is what the forex market offers, including flexible
leverage and commission-free trading.