Learn Currency Trading

Out of all financial markets in the world, the currency exchange trading or famously known as FOREX (fx) trading is the most lucrative the trading market could offer. It attracts transactions amounted to trillion of dollars in 2007 alone & rapidly increases over the years. It is worthwhile for the beginners to learn currency trading? Well, frankly said, it depends on the traders themselves.

Opportunity costs

The rule of opportunity cost states that one let go the opportunities of gaining something now for better opportunities in the future. In a layman term, it means that you let go off enjoying something now in order to enjoy much better in the future. How far is the truth in it?

Take for example the things that we do in our daily lives. We wake up every morning to prepare ourselves to work, that is, to go to the office, be it a home office or the “actual” office. That is our first experience in applying the rule of opportunity cost. We let go the opportunity to continue sleeping on the most best mattress that we ever had and force ourselves to go to the shower.

Next, instead of enjoying our time having the very first meal of the day on breakfast, we rush ourselves to the most hectic place on earth; our office. Instead of enjoying the opportunity to run through our favorite sport news update on our favorite newspaper one page after another, we have to run the wheels so that we are not late to the office to avoid to be seen as an employee with attitude problem by reporting late to work.

Even at the office, there are a lot of rule of opportunity cost applies. A simple and experienced by each and everyone of us, instead of doing that we love to do at work (whatever u define them), we have to attend meetings which tends to lead our imagination wild (yawn) by becoming the chameleon or the servant of the king or whatever character that you could think of during the meeting.

During lunch, we also have to let go the opportunity to enjoy the meal that we love to eat just because the boss ‘instructed’ us to explain more on the business plan over lunch. Phew! What a day.

Well, we have to take things a little bit easy friend. Life is like that. Be positive though. We let go off something that we wish we could just for a better things in the future.

We leave our lovely bed & prepare ourselves to office just to make sure that we could serve the food on the table. We have to show good example to our bosses by coming early or at least on time to office just to make sure that we are listed next on the promotion list. We have to tell more on the business plan to the boss over lunch just to make sure that the boss fully understand the plan that will definitely bring more revenue to the company and thus, assure our existence with the company. See, all negative perceptions can and should be viewed in positive perspectives. In a way, always being positive helps in balancing our lives, physically and emotionally.

How does this rule of opportunity cost apply in learning currency trading?

Simple. For the beginners, the forex market is like a tsunami. Big waves come, big wave go. The question is, will we stay put in the aftermath? Well, knowledge beats all. The forex market comes with a very attractive package. The bigger the capital, the super biggest is the profit. But bear in mind, there is always a catch. The bigger the capital, the super biggest is the profit, if, we trade well by following the guide and managed to control your emotions. If not, the bigger your capital, when the market go against your trading, without any proper and adequate knowledge of risk management, we will be the biggest loser (L).

So, the opportunity cost in learning currency trading is, we let go our greed or at least control it and not to trade big as a starter in order to help us understand how to trade forex effectively over the time.

Next, we let go the opportunity to follow the trading techniques of the so-called uncertified “forex trading expert”, by doing the study and the observation ourselves, so that we are not swindled into believing that trading forex is easy.

It can be noticed that applying the opportunity cost at all times have one thing in common. That is, by letting go the current opportunity in order to gain more in the future, we don’t lose a penny. It didn’t cost us much to learn (if we know how to look for best reference for a minimal pay) and we don’t lose our hard earned money by not following the so-called “proven fx trading system”.

Even if we opted for currency trading software in assisting us to trade in the future, we have to make sure that we have covered all the basic techniques and most importantly, we have fully understand how the trading software works. The currency trading software must be taken as a tool to help us in viewing the trend or patterns of the forex market but not to replace us completely in completing the trades. No compromise.

Well, if it is time for us to learn the fx trade, then learn it. Fx trade is rough but we can definitely soften the impact. There are a lot of currency trading systems that we could learn from. If we are going to be an fx trader, then be a successful trader. No day is a bad day for an fx trader. Always look things in a positive perspective. Learn currency trading as we go along with it. Opportunity will come to those who wait.

It has been proven that one can make a fortune in fx online trading, so be the one.
Forex trading is not that difficult if we learn to know the correct trading techniques. For example, there a lot of fx charts to start with. Give time in trying to find the most suitable technical forex charts as reference. Understand the concept, give them a try and evaluate the results to see if it is appropriate with the trading objective that we have laid out.

Currency trading software may or may not help us out in identifying the trade signals as some of them may have been proven successful in other financial markets, so the creator, in trying to make quick bucks, the software is sold at a skyrocket price, especially to the beginners in forex trading who has a minimal understanding in forex trading.

Another point worth to note is, use opportunity cost to identify forex brokers which could give the best offers in terms of forex betting spread and accessible online customers help. Obtain as much information on each broker and make the comparison. Some fx brokers are meant for traders with big capital and there a lot of forex brokers which could give better offers and excellent services.

All in all, learning currency trading with the application of opportunity cost is worth the time and efforts and less money. By all means, minimize the cost before we even start with trading forex.

Learn Currency Trading