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Social Forex Trading

These days, virtually everyone is connected to social media in some way, so it’s not surprising that there is a new trend in trading called social trading. It’s become pretty popular, and it’s not hard to see why. People love to share, whether it’s photos of cats being cute, people being silly, or themselves giving advice. As traders, it’s the last one that we’re interested in.

You’d think that in Forex trading people would play their cards close to their chest, but no, human beings are social creatures who can’t resist the urge to share what they know, and now

they can do that with the rest of the world, so they do!

As a trader, you thrive on information (or at least, you should do) and social media has now given you access to an avalanche of information from other traders. You can look at the trading histories of hundreds of others, and just steal them—use them as templates, copy them into your trading platform, test them out, and see what happens. You’ll be able to trade consistently without having to stay connected to the markets, and as a beginner, social trading is a godsend. If you’ve got little or no understanding or experience of the markets, social trading is like a free (or very cheap) degree in economics!

Of course, every silver lining has a cloud (or so the pessimists say) and the danger of social trading is that following other people’s advice can sometimes lead you off the edge of a cliff. Forex trading demands that you be smart enough to mitigate your risks. Nobody likes a margin call. Maybe that’s why dedicated platforms for social trading have started to become popular.

With some of these spaces, you can get your own individualized social trading news feed, post a bio, and share your stats and portfolio with others. It’s a great way to quickly find what successful forex traders are doing and copy their investments or techniques.

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Then, of course, there’s the actual interaction. Connecting with other traders and sharing tips with them, benefiting from their hard-won knowledge, and avoiding the need to spend countless hours poring over charts and figures. It’s a great way to start earning without needing to pick up all the skills and experience that traders usually have before they trade for real.

Of course, if you’re using a dedicated social trading platform then there is going to be a cost element. Some charge a flat fee for each transaction, so yes, if you’re using the platform then you’re also using it for trading currencies, but you’re benefiting from charting tools and access to people with skills that you would never normally encounter. Earning while learning and connecting is the way to look at it.

Social trading is one of the best new ideas that the age of the Internet has thrown up, so go in with your eyes open, and don’t expect to come out with your pockets full. Half-full maybe, which is still pretty good for a beginner. You can’t put a price on being a member of a reliable trading community, and the price they do put on the service is very reasonable, considering how much time it can save you in getting your trading career off the ground, and how much it can help you make the kind of informed decisions that will reduce your losses and increase your successes.

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Great Psychological Tips for Forex Traders

Forex trading is as much a “head” game as it is a “numbers” game. Trading psychology is just as important as a solid grasp of trading practice because things like your temperament, fears, and confidence can turn rational decisions into emotional ones and maybe mess up your trades. So, let’s look at a little psychology and see how it can turn you into a better trader.

There’s probably nothing more important than the mental state you sit down to trade with every day. A bad night or a stressful morning can affect your mental balance, which is the most important tool in your trading kit, so don’t let emotional swings affect your ability to execute.

Stick to the plan

Your trading plan is something that you create from study, learning, and poring over charts. But even though you come to the game technically prepared, you can derail yourself by not being emotionally prepared. When you’re new (or maybe when you’re experienced but not feeling great about life that day) successes can feel wonderful, almost dizzying. They can lift you and make you feel invincible. But you’re not. Stick to the plan, don’t become overconfident. Don’t be the guy who loses his house on the roulette wheel after one lucky win. Stick to the cold, boring, statistically driven and rational plan. And when you do lose a trade, as you inevitably will, don’t take that as a sign that all is lost. It isn’t. It was only that trade that went sour, not your whole system, and not your whole life. There isn’t any need to change your setup yet. Trading psychology shows us that long-term growth requires a long-term commitment. Instant gratification is fleeting, however nice it might feel. Focus on the big picture and stick to the plan!

Take a widescreen view

Don’t focus on individual trades. It’s important to pull back and look at the overall picture. Look at your equity curve before you start getting into the details of single trades because you’re more interested in understanding whether the system is working.

Eliminate distraction

The internet gives us unlimited opportunities to be distracted and social media was designed to be addictive. It’s tempting to follow the gurus we find there, but doing so means we never see a plan through to the end. It’s best just to switch them off.

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Accept risk

Losing $10 does not feel exactly as bad as finding $50 feels good. It feels much worse. We hate to lose things,
and money especially. You might think you don’t mind losing money and you might say that you always place your stop, but when you place your stop far away from your entry price and don’t see the trade progressing as you thought it would, you move your stop up. And of course, the stop triggers just before the market moves in the direction you thought it would start with, which means you were right, to begin with, your analysis was correct, but fear of losing money made you change your approach. You must be truly comfortable with accepting the risk of losing to be truly successful.

Think like a winner

Confidence is the key to most things in life. Every time you take a trade, you need to seriously believe in yourself, be proud of your successes and treat every loss as a learning opportunity, an essential step on your journey to success.

Even though you can do your due diligence to make sure you’re trading correctly, it’s important to remember that market volatility can flip the script on your trades, which is why it’s always important to practice good risk management. Do not stress if trends are not moving the way you wanted. Keep in mind that high profits trades involving some risk.

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3 Proven Long-Term Forex Trading Strategies for Beginners

You’d be surprised how many people you know are earning money trading foreign exchange (forex) online. And the good news is – you can too. In this article, we will explore 3 tried and true forex trading strategies that can reward you with up to $15,000 per month – even if you’ve never traded before.

Long-term forex trading is not as hard as you may think. All it involves is identifying a trend (uptrend or downtrend) and following it for a duration of time. It’s an easy practice you can run with for years.

Some traders track the same trend for over 10 years, changing direction only when the profits get lower.

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When you apply long-term forex trading methods, you simply BUY on market expectations and SELL based on financial facts (the best example is George Soros’ greatest currency trades in history against the GBP).

Now that you’ve decided to commit to a stable long-term forex trading portfolio, let’s start with the basics:

What is Long-term Forex Trading?

Long-term forex trading (or any long-term trading for that matter) is a trading style first adopted by the banking industry. Today, ordinary people can detect a long-lasting trend and capitalize on this unique method of trading – all that’s needed is an internet connection.

The methodology is straightforward: You hold the position longer, raking in profits, and enduring small losses. Once the profits and the losses are almost equal – you close the position. Long-term trading is popular because it’s a touch-and-go approach that allows you to seize lucrative opportunities monthly, and even weekly.

Now, let’s go over the most popular (and lucrative) long-term forex trading strategies our PROs use themselves. Pick a plan, commit to it, and the cash gains will follow.

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Strategy #1: Ride the Trend

The best advice all professional long-term forex traders agree in is: Nothing is more important than detecting the trends.

You can’t foresee the future, right? So don’t waste your time trying to predict where the price will go next. Instead, focus on spotting the trends. Look for a new high or low (a price increase or decrease of at least 3 pips). Mark it – you just detected a new trend. This is exactly where you open a position.

Many investors fool themselves that they can predict a price change. They sit and wait for the currency pair price to move back up, or come back down, beyond the previous resistance point. But by then – it’s too late.
Be smarter than them: Understand the trend, learn to spot it, and make substantial money in the forex market.

Strategy #2: Don’t Wing It – Swing It

Are you a beginner forex trader? Then swing trading is the strategy for you.

What is swing trading?

This unique forex trading strategy combines day trading with trend trading. Day traders hold a position for a shorter period (one day, tops), whereas trend traders examine the long-term fundamental trends of a currency pair and hold the position longer (months)

Swing traders hold each position for at least two or three weeks, basing their trading decisions on the intra-week or intra-month performance of the exchange.
You must define a particular area of resistance and support and then watch carefully for the momentum to shift. It’s the best forex trading strategy for beginners because it doesn’t require the discipline trend-spotting involves.
Swing trading works so well because it takes advantage of short-term price spikes caused by emotional trading.

You ride the highs and lows while the price corrects itself, leaving you with nice, steady profits.

Strategy #3: Set and Forget

It’s exactly how it sounds. You set up the parameters (entry, stop losses, and profit targets) before you initiate a position, and leave all of the actions automated.
If you use fundamental analysis correctly, you can rest assured your forex trade will reach its target profit.

And there you have it. Practice and master these three foolproof methods for Long-term currency trading, and in a year, you’ll enjoy a steady cash flow, almost without raising a finger.

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The Complete Guide to Finding the Best Forex Broker for 2020

Don’t waste your time sifting through the endless list of available online forex brokers. Here are our top tips for making the perfect choice.

With close to FOUR TRILLION USD traded daily, forex is, hands-down, the largest financial market in the world. That being the case, your first step as a new foreign exchange trader must be

choosing a top-notch forex broker. Take it from us – not all forex brokers are created equal.

But before you start browsing through an endless list of websites, you must be focused on what to look for in a forex broker. Your decision should be informed and also be one you feel comfortable with.

We went ahead and saved you time.

These are the crucial questions to ask yourself when choosing which online forex broker to trade with:

Question #1: Is It Safe?

Before anything else, you want to make sure your funds are safe.
Your broker of choice must operate honestly, keeping your deposit protected and segregated. Fortunately, this aspect is fairly uncomplicated to figure out: A reputable forex broker is overseen by a major regulatory organization like NFA or CFTC in the U.S, FCA in the UK, CySec in Europe, etc. Look for their logos on the broker’s homepage and in the “About Us” section.

Question #2: Are They Charging Fees?

Trading costs can really dig into your chance for profitability.
But! Forex brokers usually build their commission into the ‘spread’ (the difference between the ask and the bid prices of a currency pair). You’ll be surprised to know that going for a broker with the lowest spreads is not necessarily the best strategy. The reason is simple – the average spread doesn’t necessarily apply to the type of orders you chose.

A respected forex broker usually provides a number of trading accounts with different spread, commission fees, and leverage sizes. Make sure the spreads and fees are not much higher than the market average and choose the one that fits your budget.
Check out the broker’s specific account funding withdrawal policies and whether a fee is charged for either service.

Question #3: Is the Forex Platform User-Friendly?

Our golden tip: Open a demo account (it’s free) and get acquainted with the broker’s trading platform. Ensure that the interface is intuitive, customizable, and offers a variety of analytical tools, and opening a position is easy and clear. It’s also essential to track the slippage and disconnections situation.
Also, you want to have deposit funds and withdraw earnings conveniently, through a speedy and smooth process.

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Question #4: What Do Other People Say?

Yes, reading online forex broker reviews and professional forums must be a part of your background research. It’s important to read reviews from multiple sources and exercise good judgment.
Make sure the reviews come from a credible source and filter out reviews that are clearly fake (both positive and negative) or blame the broker for losing money (everyone loses money from time to time).

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Question #5: Will Your Forex Broker Have Your Back?

Your broker should be available to you when problems arise and to actually solve them. The best way to put it to the test is to run a pilot:

  1. Open a free demo account with a few potential brokers
  2. Start sending them emails and chat messages and see how quickly they respond
  3. Make sure they can solve various problems (technical issues, withdrawal requests, operational guidance, etc.)

It’s vital to trade with a broker that’s available and helpful both during the account opening process and ongoing support.

Go Ahead and Find the Perfect Forex Broker for You

You are now ready to get out there and find the best forex broker to trade with.
At the end of the day, your broker of choice should be greater than the sum of its parts: Confidence is key here, as well as the right balance between competitive pricing and quality service.

With just a little bit of homework, you’re on the fast track to finding the right match and increasing your money-making chances.

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The Secret to Big Online Profits? Trade with the Best Forex Software for 2020 and Start Earning

As of 2020, the Forex Scam Investigator (i.e., our team of 28 financial trading experts) has reviewed over 20 online foreign exchange trading software (both desktop and apps). This is your ultimate guide on picking a forex trading platform you can actually earn profit with.

Almost 7 of the 20 forex trading software we’ve reviewed are either being audited or permanently terminated thanks to our research. We pledge not to stop until those scammy forex software

developers are sanctioned and put to justice.

However, the good news is that there are four legitimate forex platforms you can earn substantial profits with on a monthly basis. And for your convenience, we’ve reviewed them.

All the forex software providers listed below are licensed and regulated. Moreover, the trading method in each of them is foolproof – so no financial experience is needed in order to cash-in trading earnings.

IMPORTANT TIP: It is still necessary to make sure the regulated forex software you selected is licensed in your country.

So first things first, How to Choose the Best Forex Trading Software:
To get the most out of forex trading, and secure profits regularly, you must master the interface you’re using and trust the technology (trading conditions, robots, auto trading algorithms, charting packages, and signal services).

Before you start trading foreign exchange – get answers to these five questions:

  1. Is the forex software licensed and regulated?
  2. Is the forex software platform user friendly?
  3. What are the spreads on the financial assets you’re trading? The lower the spread – the more profitable your trade is?
  4. Are there any complaints online about this software (don’t worry, we took care of this for you)?
  5. Who is the technology house behind the forex software? Do they seem reliable?

Now that we’ve established this checklist, let’s go over the leading legit (and profit-generating) forex software for 2020:

The Best Forex Trading Software for 2020
Our forex investigators are nitpickers. So we’ve divided the four best trading software into categories. Let’s start with the best of the best:

1. Best overall: MetaTrader

The MetaTrader4 (MT4) and MetaTrader5 (MT5) are, hands-down, the world’s most popular forex trading platforms. Millions of people trust MetaTrader and enjoy its user-friendly interface and direct access to a variety of assets, indicators, expert advisors, and signals.

With both web-based and mobile versions, the MetaTrader series was developed by Cyprus-based Metaquotes Inc. It was developed as a turnkey solution, enabling online brokers to seamlessly adapt the software to their own brands. In fact, there is virtually no major retail forex broker that does not offer this software to its traders.

2. Best for day Traders: ActTrader

ActTrader is a JAVA based forex trading platform developed by ActForex. This means that traders can easily log in from any internet-connected computer that runs with JAVA.
Apart from being the preferred choice for day traders, ActTrader also caters to banks, hedge funds, and introducing brokers. So you can rest assured that it’s a legit, safe, and profitable forex trading software.

Key benefits of ActTrader:

  • Placing an order is simple and the response time is super quick
  • The interface is customizable for your individual needs
  • A variety of graphs and charts help you with your trading decisions
  • You can easily keep track of all your activities

When you’re day trading – being time efficient is key. Thanks to ActTrader, you can trade as fast as the markets move, giving you plenty of time to make informed trading decisions.

3. Best for auto trading: Fortex 6

The Fortex 6 forex software is an ECN platform. An ECN (Electronic Communication Network) trading platform is a computerized system that matches BUY and SELL market orders automatically. Fortex 6 connects traders to brokerages, empowering them to trade directly without going through a middleman.

The Fortex 6 is powered by the Algo X engine, advanced real-time market data, and low-latency DMA liquidity. This combination is what attracts traders who seek an edge in algorithmic auto trading.

But even if you choose to trade manually, Fortex 6 offers sophisticated order types like market, limit, fill-or-kill, immediate-or-cancel, all-or-none, stop loss, take profit, threshold, trailing stops, conditional, and volume-weighted average pricing (VWAP) – all in a single interface.

Best for Beginners: cTrader

If you’re taking your first steps in the global financial markets, cTrader is the perfect introductory tool for you. One of the reasons is that It is probably the only platform that offers manual, copy, and auto trading, as well as provides you with your trading performance analytics – all in one platform.
Another reason you should start trading with this forex software is that it is 100% transparent, protecting you from brokers’ manipulations. cTrader boasts in a global community of traders who can assist you and guide you on the company’s online forums.

The Shaming Corner – A List of the Scammy Forex Software

Thanks to our team of Forex Scam Investigators – these trading software providers will never swindle another unfortunate victim ever again:

Currenex – A platform that should be terminated simply because It has a price maker feature that can accept or reject trades. This feature is called ‘Last Look,’ and it has the ability to falsify prices and distort liquidity. That’s highly unethical in our book. We are very surprised the regulatory entities have allowed this feature to operate and are working relentlessly to amend this error.

TradingView – Not entirely a scammy forex software, but rather a stingy one. This platform forces you to pay a premium fee for basic stuff, like, for example, accessing a screen with multiple charts. Another downfall is that you cannot trust the drawings you made on your chart is actually saved. We found that if you close your browser too fast, you might lose all your recent analysis work. That’s a real setback that can cost you money.

The list goes on. But for now, go ahead, select a regulated forex broker and start trading the financial markets in a legitimate, 100% secure way.

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ECN Forex Trading Tips, Some Do’s and Don’ts

The best way to describe an ECN broker is to say what they are not, and what they are not is a market maker. Market makers also referred to as dealing desks “mirror” the actual market and provide the other side for their clients’ trades, but this poses an ethical problem because the broker frequently profits from the losses of their clients. With an ECN broker, there are no such problems. They offer better trading conditions, with better spreads and execution.

Not so long back, forex trading accounts had wide spreads. Most currency pairs had spreads that might be up to 10 times bigger than the ones we see now. For example, just eight years ago, EUR/USD had a spread of three pips, quotes were usually four digits only, and brokers were market-makers. But ECN has changed all that.

So how do you make the most of these no-dealing desk brokers, who bridge the gap between retail traders and liquidity providers? The first thing to realize is that you’re already winning when you use an ECN broker. Because they link retail traders and liquidity providers, they will charge you a fee, of course, usually adding their percentage to spreads, or taking commissions on each traded position, but this setup is to your advantage because the platform automatically routes your order broker’s liquidity providers for a smooth and seamless process.
An ECN account gives you the best possible market conditions because the ECN broker puts your interests as a trader first, because if you’re an active trader then you will bring in commissions and earn them their representation fee. The ECN broker wants you to succeed so that they can.
Take advantage of trading conditions by using an ECN broker. It’s normal for them to offer better execution and tight spreads and those fast executions on trades mean you’ll experience less fallout from slippage.

Reputation
With the popularity of ECN trading having grown there are plenty of less-than-honest operators out there, so be sure to choose only established forex currency trading brokers who can demonstrate that they are ethical. Can you verify their business dealings? Do they have a genuine office and a string of happy customers? How many years have they been in business, or did they just appear last week? It’s well worth looking at unbiased review websites to find out what people are saying about them, and avoid any broker who you can see has ripped people off before.

Oversight
Another thing to keep in mind is regulation. Any broker worth their salt needs to be visibly and tangibly working under the rules and regulations of the industry. Are they registered with the financial conduct authority that’s responsible for their territory? Don’t take their word for it, check with the authority to see
if they are registered.

Rollover Rates
These charges affect traders who move their positions to the next trading day. Scalpers and day traders needn’t worry about them, but swing traders and long-term traders will need to take them into account. It’s only a small figure, but it’s one that can quickly build if you take your eye off it for too long. So be aware of the minimum margin requirements for over-night positions. 0.5% you can live with, 2.0% you probably can’t.