The best place for beginners to start is choosing one currency pair and learning to understand the dynamics. The ability or skill a new traders needs to learn is awarness of price movement patterns.

This is not about memorizing classic chart trends, but more to do with what is called seeing the “SetUp” of a trade. A good rule to think about is the rule-of -3 . In simple terms it means that you want to confirm 3 price movement patterns between the currency.

The logic is simple – triangulation.

The most popular  currencies include:

• Japaness Yen – JPY
• British pound – GBP
• US dollar – USD
• Euro Dollar

Of the best places to start is simply getting a brokerage account in downloading free trading software and practicing with a free demo account. This will allow you to be comfortable with the mechanics of trading.

The real secret is mastering the art of your emotions – taking actions based on sound strategy.  Too often newbie forex beginners can control there lust for a chance for a big payout!

The theme of this site is to mock the marketing of fx to unsophisticated newbies as a simple buy and sell automatic cash machine, that can be done automatically with fx robots

The mantra of  investment  scam artists of “Buy low sell high” is beyond nauseating! It also continues in the “set up an account for free and start trading! They even give free software!”

The most common question we get when a first timer places a trade is “How much should I Invest…”

In other words how to entry a trade is a lot harder then it first appears. You also need to know how to place a stop loss and have an exit strategy if an unexpected news comes in.

These other elements of “How To Entry a Trade” are the real forex skills that only you can learn through experience and guidance from a mentor. These  skills have a name and its called  “Risk Management”

So many people fail at trading Forex because they fail to learn this simple lesson.

The next problem we see in newbie accounts is the selection of the wrong the currency pair.

The 4 most popular currencies are :

• US dollar
• Euro Dollar
• Japanese Yen
• British Pound

But we only recommend that new fx traders start with one of these 2  curency Pairs:

• USD – EUR
• USD – JPY

Beginner Tip: FX currency symbols are 3 letters, the first 2 letters identify the country and the 3rd letter identifies the the  country’s currency name!

Start off by opening up a free demo account downloading your broker’s default soft trading software. There simply is not much difference with free software provide simple data streams and charts! However, there an infinite  number of  ways to execute successful  trades, month after month!

It sounds so easy buy and sell. With such a large movement of money moving around the globe 24 hours a day seven days a week it is little wonder that the Forex market opportunities are unlike in any unlike any other.

Why do so many people fail at trading Forex then?

It is the million dollar question!

So many marketers promote the high risk-high return for an unrealistic impression that taking forex profits is like shooting fish in a barrel.

The average retail investor enters a market with understanding some basic investment and financial wisdom will be easy victims for professional Touche traders.

The best place for beginners to start is choosing one currency pair and learning to understand the dynamics.  Successful FX traders do not rely on robots, and other get rich quick  gimmicks. Rather they use sound principles of wealth building:

• Defined trading strategy
• Risk Management System
• Blended technical and fundamental strategies

Remember learning forex takes patience, first learn how to crawl before getting into those high leverage high risk trades!

The mechanics of learn how to place a forex trade is extremely easy and therefore it is very easy to make a mistake. For example, you select the BUY command when you really wanted to set the SELL action.

The irony is that it is so easy to place a currency trade, that your chances of making a mistake increase.

Regardless, when you set up your trading  account, all you need to do is take action on  3 simple steps:

1. Currency Pair – Price to enter
2. Lot Size – How much you want ($) to trade
3. Exit Point

You have hear it thousand times, “Buy low, sell high!”, and with Forex trading you can even make money when the market starts to head down – “Sell High, Buy Low!”.

Well that one can sound confusing, but let me explain.

You start by selling a currency pair  position, in this case a currency that you below is dropping in value to its pair. For example, you believe the USD is going to lose  value to the GBP (British Pound). In this case, you can start by selling the USD to other traders who believe the opposite.  What you do is agree to sell some else the high USD. If you are right, later in the day you exit our position and buy the low USD to other guy and you pocket the difference!

As a beginner you can start with a min-account in live account or you can start trading a regular demo account.

In the regular account you can make a $5,000 dollar deposit and  start trading with  $1,000 dollars . With a 10:1 margin, this means that you are actually trading with $100, 000 – bingo you’re playing with the big money players trading international currency.

Anything is possible, in forex trading… things move so fast you are up 100% then you’re borrowing money from your in-laws. Just be aware that currency trading is a 2-way street. In other words, it is a zero-sum game, at the end of the day there is a loser and a winner.

As a newbie it is critical and important that you master to be consistent, persistent and intentional on making many “Low Risk Low Return” positions before you try to max your ROI with a 100:1 margin.  Start small, with a low margin 10:1 and learn to slice small profits. Experience is the only way to learn, but you can do so with a live trading room or with a mentor.