Today I'll be discussing how you can jump right into Forex without any risk.
You do this by signing up for a free demo account. There are many different brokers out there that you can choose from. One thing to look for is the MT4 platform.
MT4 platform is extremely easy to use. Some use this platform, while others have their own software (which is never quite as good).
Alpari US uses MT4 platform. Alpari is a very well-known trading company. I recommend them. You can install the MT4 from here:
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www.alpari-us.com/
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Fire up MT4.
File>Open An Account
Fill in all your personal information. You can select any dollar amount you want to for the demo account. Please be realistic. There will be no benefit from this demo account if you give yourself a billion dollars and just start gambling with it for fun.
I prefer selecting amounts from $100-$500, because I know that is a typical place when you are starting out.
Now that you have a demo account, let me explain your goals:
The goal of a demo account is to test strategies. These can be strategies you concocted or strategies from forums, friends, etc.
There is no risk involved since it is play money. If you blow up the account, simply open another one.
Demo accounts allow you to become familiar with how trading works. You can experiment with indicators and invent your own systems, then test them out for free.
It really does not get any better than this.
If you are trying to learn with a demo account, then make it as accurate as possible. Develop a system and STICK WITH IT, no matter what. Pretend that your account is real.
When you are testing a strategy, give it ample time to either pass or fail. Don't simply execute a trade or two and say the system does not work. Let it play out over time.
If your account blows up, then try to analyze what exactly went wrong.
Tweak it, and then try again.
You should take this seriously - especially if you plan on trading Forex with real money someday.
Forums are an excellent place to find strategies. Search for a place called, "Forex Factory".
While demo accounts offer a free test drive in Forex, they are not the same as trading live.
Trading live is a psychological battle that will test your nerves unlike anything you've ever done before. You'll be glued to your monitor, either watching with joy or watching with agony as your money bounces up and down.
Not everybody can handle this much pressure. Everybody can mess around with a demo account, but trading live is just not the same. Thus, keep in mind that demo accounts are great for strategy testing alone. They will not prepare you for the battle of nerves you will face with live trading!
Have fun with your demo account!
File>Open An Account
Fill in all your personal information. You can select any dollar amount you want to for the demo account. Please be realistic. There will be no benefit from this demo account if you give yourself a billion dollars and just start gambling with it for fun.
I prefer selecting amounts from $100-$500, because I know that is a typical place when you are starting out.
Now that you have a demo account, let me explain your goals:
The goal of a demo account is to test strategies. These can be strategies you concocted or strategies from forums, friends, etc.
There is no risk involved since it is play money. If you blow up the account, simply open another one.
Demo accounts allow you to become familiar with how trading works. You can experiment with indicators and invent your own systems, then test them out for free.
It really does not get any better than this.
If you are trying to learn with a demo account, then make it as accurate as possible. Develop a system and STICK WITH IT, no matter what. Pretend that your account is real.
When you are testing a strategy, give it ample time to either pass or fail. Don't simply execute a trade or two and say the system does not work. Let it play out over time.
If your account blows up, then try to analyze what exactly went wrong.
Tweak it, and then try again.
You should take this seriously - especially if you plan on trading Forex with real money someday.
Forums are an excellent place to find strategies. Search for a place called, "Forex Factory".
While demo accounts offer a free test drive in Forex, they are not the same as trading live.
Trading live is a psychological battle that will test your nerves unlike anything you've ever done before. You'll be glued to your monitor, either watching with joy or watching with agony as your money bounces up and down.
Not everybody can handle this much pressure. Everybody can mess around with a demo account, but trading live is just not the same. Thus, keep in mind that demo accounts are great for strategy testing alone. They will not prepare you for the battle of nerves you will face with live trading!
Have fun with your demo account!
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