Many people think that a lot of money can be made by trading Forex. There are many people in the world who think that it is possible to make a lot of money from the forex marketplace. Very hard lesson at Forex Trading for Beginners.
If you know about forex trading then you can make money from here. Not that you can make millions of dollars from the Forex market.
If you want to make money from this marketplace, you need to have knowledge. Today we will discuss Forex Trading for Beginners key issues. How to make money from the forex marketplace.
- What is money management?
- What is a candlestick?
- Which time frame is better for you?
- What are support and resistance?
- What is the moving average?
- Which news has an effect on the forest market?
- What is the impulsive mode?
- What is the corrective mode?
- Fibonacci trading position.
- Why use stop loss and take profit in your trading?
Money management is an important issue for Forex traders. Forex trading should not be done if one does not have knowledge about money management. No one can make money in the forex market without following money management.
Money management is used by those who want to be a personal traders. We recommend one percent money management should be followed for newcomers. We also recommend a 1:400 lever for beginner traders.
There are two main types of candlestick in the forest market. One is a bullish candlestick and another is a bearish candlestick.
What is a bullish candlestick? Bullish candlestick is going to be up than last close candle and close to the higher in the past candle.
What is a bearish candle? A bearish candle is starting at the same point as the last closing candle and it is going slower than the last candle.
You can take your trading position through candlestick so it is very important to know how they can move.
There are many time frame charts in the forex market. 1-minute time frame, 15-minute time frame, 30-minute time frame, 1-hour time frame, 4-hour time frame, day time frame and weekly time frame.
If you are a beginner trader then you can follow a 4 hour or day trade time frame, not only for a beginner trader but also for a professional trader.
Support and Resistance
What is the support level in the forex market? This is a common question for every Forex trader. Nobody can ensure that this is the main support level in the forex market. But we can analyze some situations in the chart proposition.
When you see that the market is going to be down continuously and stay at a level point and creates a corrective mood than going up. At this point we call the support level.