This happens because one of the main characteristics of the Forex market is the volatility. In fact, an exchange ratio is influenced every minute by unpredictable events (natural disasters, terrorist attacks, unexpected news, etc ...) or expected events, but with a different outcome from what expected by analysts. The publication of macroeconomic data, the statements of central bankers, the rating cut of a state are all market movers which needs a gradual learning of the Forex matter.
For this reason, the major online brokers offer demo accounts through which beginners traders can understand how the Forex market works, but also what are the most liquid currency pairs and the risks generated by the use of too aggressive levers.
A good rule for a novice trader is therefore to carefully choose a good broker evaluating the spread policies, the cross on which the operation is offered, the degree of leverage offered, graphics platforms, etc… So, in order to get all the information to choose the suitable broker for your needs, the best choice is to open a free of charge, for example this demo account.
After opening a demo account, the trader can use virtual currency and start immediately to trade in the Forex market. The first thing that the you will notice is the speed with which you can earn, but unfortunately also lose money. Usually, at the beginning, the novice trader tends to use very high levels and this creates easy enthusiasms if the first trades are positive, but often these trades result in devastating burns when you get to use real money.
A good tip can therefore be to use the demo account for all the time granted by the broker, trying to understand the market and its dynamics, but also adjusting the leverage to your risk profile. Only after one month of training on the demo account, the trader will be ready to pass from virtual to real money.
A good idea would also be to open demo accounts with different brokers at the same time in order to compare in real time who is the best suited to your needs. Doing the same trade on more demo account is a good way to compare speed of execution, spreads, news service, graphics, different brokers. After some time, the trader will understand the differences and will start to abandon those brokers who do not respond to his needs. At the end of the trial period of the demo account, the quality of the broker is certified and you can begin to work with it by paying real money.
For this reason, the major online brokers offer demo accounts through which beginners traders can understand how the Forex market works, but also what are the most liquid currency pairs and the risks generated by the use of too aggressive levers.
A good rule for a novice trader is therefore to carefully choose a good broker evaluating the spread policies, the cross on which the operation is offered, the degree of leverage offered, graphics platforms, etc… So, in order to get all the information to choose the suitable broker for your needs, the best choice is to open a free of charge, for example this demo account.
After opening a demo account, the trader can use virtual currency and start immediately to trade in the Forex market. The first thing that the you will notice is the speed with which you can earn, but unfortunately also lose money. Usually, at the beginning, the novice trader tends to use very high levels and this creates easy enthusiasms if the first trades are positive, but often these trades result in devastating burns when you get to use real money.
A good tip can therefore be to use the demo account for all the time granted by the broker, trying to understand the market and its dynamics, but also adjusting the leverage to your risk profile. Only after one month of training on the demo account, the trader will be ready to pass from virtual to real money.
A good idea would also be to open demo accounts with different brokers at the same time in order to compare in real time who is the best suited to your needs. Doing the same trade on more demo account is a good way to compare speed of execution, spreads, news service, graphics, different brokers. After some time, the trader will understand the differences and will start to abandon those brokers who do not respond to his needs. At the end of the trial period of the demo account, the quality of the broker is certified and you can begin to work with it by paying real money.
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