Becoming a successful forex trader is possible; it however as with other works of life requires diligence, commitment, a little luck, and a whole lot of patience and astuteness.
With most forex brokers, you can open a demo account easily. Good news is its FREE in most cases. These “pseudo” accounts have almost the same capacity that “actual” accounts have.
If you are wondering “Is it entirely free? Why is it free?”
The answer is YES, it is entirely free. Most brokers would love for you to master the nitty-gritty of their trading platforms and enjoy trading without risk, that’s why you have free access to demo accounts for practice. They want you to fall in love with the art of trading, so much that you’ll want to trade with real money. With the demo accounts you will learn the intricacies of forex trading, be able to test your trading skills and processes with NO risk involved.
YOU ARE ADVISED TO DEMO TRADE UNTIL YOU DEVELOP A FIRM, PROFIT-MAKING SYSTEM BEFORE YOU VENTURE INTO PUTTING REAL MONEY ON THE LINE.
You sure don’t want to lose your money, do you?
Do NOT open a live trading account until you are CONSISTENTLY trading PROFITABLY on a demo account.
If you can’t practice until you’re profitable on a demo account, it is most likely you’ll not be profitable live when real money and emotions are involved.
It is advised that you demo trade for at least THREE to TWELVE months.
You certainly can avoid losing all your money for a year, can’t you? Well if you can’t, you better use the money for something else…maybe sow a seed.
Another advice you should heed is concentrate on ONE major currency pair.
For beginners, it gets way too complex if you have to keep tabs on more than one currency pair as a demo trader.
Concentrate on ONE of the majors because they are the most liquid and this means tighter spreads and less chance of slippage.
Another reason is, as a beginner, you need time to focus on improving your trading procedures and creating good habits.
You’ll also need to try different market environments and learn how to fine-tune your processes and approach as market behavior changes.
Finally, I’m going to need you to make a solemn promise; say after me
“I will demo trade until I develop a firm, profit-making system before I trade with real money.”
“I am a clever and patient forex trader”