Forex traders deal to make money. We're often asked exactly how much you can make. Here is our considered answer.
Many forex traders make good profits, but the results vary:
The amount of money you make in the forex market depends on your skills, dedication and attention to detail. To be a successful trader, you need to do the following:
Consider the following situation:
This may not be representative of your own trading performance. You may make more or less, depending on your skills and the market conditions. Don't forget that by increasing your capital and leverage, you can increase your profits (while increasing your risk at the same time).
Experienced traders often make consistent profits. However, there are some situations where most traders make money. When you're starting out, look for these opportunities; talk to other traders and identify obvious market trends. Your first profit is likely to come from this type of deal.
Earning potential and actual earnings are not the same thing. As a forex trader, your earnings potential is unlimited, but how much you make depends on your ability. One key skill is knowing how to manage your risk:
On the last point, keep in mind that experts have good track records, but they aren't always right. If they were, they would be so rich that they wouldn't be giving recommendations. Pay attention to experts, but verify what they are saying before you make a trading decision.
Traders often share their strategies, and you can learn from these if they are successful. However, their strategies may not work for you. When you're trading, there are a number of psychological factors that come into play, and these can affect your trading performance. It's important that you develop a strategy that makes you feel comfortable, otherwise you're likely to make mistakes.
When you start out, it can take a while before you start making a profit. Don't get discouraged and quit! If you do, you'll lose the benefit of everything you have learned. Keep in mind the advantages of being a forex trader:
To discover your earnings potential, open a CapproFX account and start trading today!