How can I invest in Forex?

Hello everyone I hope you're all well and healthy
I've been always curious about both of Forex and Bitcoin (cryptocurrency in general), and I've seen many success stories of investors changing their lives throughout these means I've mentioned.
To be honest, I'm interested to invest in Forex but I didn't find the time to study it yet. Therefore, I'm asking you guys how was your Forex expedition? Is it profitable as many people claim? If so, do you have any reliable resource that can help a beginner to start trading Forex? What is the best Forex or Bitcoins? Are there any remarks, notes, or things I should pay attention to before I invest?
Thanks in advance

 

I trade cryptocurrency using Robinhood. It's about the same as stock trading but better because it runs all day and night without stopping. You want to buy when it is low and know that it will go back up. Bitcoin has done very well this week its gone up about 2000$ per bitcoin. So, if you would have bought 1 bitcoin at 13k this week, you would have gained 2k by yesterday if you sold it.

 

You can start with a free trading station demo with Freidberg Direct. Having written that I must caution you that with all national currencies being in a state of flux due to the pandemic, that this is not the time to get into Forex trading.

 

Man this is interesting! What about cheap cryptocurrencies? Bitcoin is too expensive for me so are other currencies a good choice to invest in?

 

Yes the stock market isn't stable at all, what you gonna do I may invest small portions and test from there. Thank you for the trading station I appreciate it

 

forex market is a high risk market. you first must be expert

 

Im kinda familiar with forex but it highly risky. Wanted to know about cryptocurrencies? How does this work? Is it risky too like forex?

 

Not sure yes buddy, however, from what many people are telling me it's not that risky.

 

I trade in stock markets, in forex too, and I also teach people how to trade. Have been doing this for over 15 years now.

You will need a trading account with a broker.
Then you can place orders using their software.

But its not as easy as it sounds.
First problem with new comers is that you people are seeing the market from a very far distance, like a bird's eyeview, and you see everything beautiful from there.
Like when you are in an airplane, and you look down, everything looks so much sorted out, so much beautiful.
Reality hits you when you actually come on the ground, and start walking those dirty streets on foot.

Like @cdawson6887 gave you that example,
"IF" you would have sold yesterday, then you would have made a profit of 2000.
That "IF" is the biggest word in that sentence...
You will never know when to sell, and when to buy.

95% people face this problem,
Stock starts falling as soon as I buy,
and they start rising as soon as I sell...

After the time has gone, its very easy to see, I could have bought and sold at XYZ levels, and I would have made a profit of 2k.
But when you are actually "in" that time, then you will never know.

This is what will happen, always, and always:
Day 1: You will see price rising, you will buy.
Day 2: It will rise more, you will keep holding.
Day 3: It will rise again, you will keep holding.
Day 4: Then it will fall, and you will think,
I will sell if it rises again to day 3 levels.

It will fall again, and you will think,
I will sell if it rises to day 4 levels.
Remember, its at day 2 levels still, you are still in profit, but you will not sell!!!

You will wait for day 3/4 prices.
It will eventually fall below your buy price, and now you are in loss.
You will still not sell!

You will wait for it to go back to your buy price level, trying to breakeven.
Suppose it starts rising, you will again go in the same cycle.
Its going up now, let me wait and see till where it goes...

Or
You will sell at just near buy price, small loss or small profit.
Next day when it goes up again, you will curse yourself. I could have waited...
This is where you are paving the road for your next major loss.

For single equity stocks, you just have to study the balance sheets etc of that one company, compare it with some 2-3 others may be.
When trading in forex, you need to study the economy of the country as a whole.
That is even more difficult.

And the most difficult part of trading is not this psychology.
Its the tools on which trading is actually done.
The contracts of Futures and Options.
There is an expiry dates on these contracts, meaning the trade will become zero on a particular date.
On that date, if you are not in profit, your entire investment becomes zero.
Completely wiped off.
To protect your investment, you will make even bigger mistakes than mentioned above.

You can minimize your risks by studying charts, but that is not a guarantee.
This is like trying to predict future, a month ahead, 2 months ahead, or even more.
Nobody can do it accurately.

You cannot follow big bulls also.
Even they make mistakes.
Suppose they invested a couple millions in XYZ stock.
You found out, and you invested all you had in this same stock.
Bull made a mistake in his analysis. Stock went bust.
You are ruined completely...
All your investment is gone...
Bull only lost like 2% to 5% of their total capital, a small dent.
Those millions are not all the money they got. They got way more.

This does not happens with FOREX, but there the problem is contracts and their expiry dates.
You cannot hold the contract after its expiry,
and if you did not made a profit during that time,
your investment is gone again, completely...
Of course you can square off in between, cut your loss, but still a loss.
Not why you entered in forex trading, isn't it?

If you really want to make profits in trading, then,
1. Identify the stock which is coming in demand. (various ways of doing this)
2. Buy small quantities of it everytime there is a small pull back.
3. Keep your greed and fears aside, and come out of the trade when certain patterns are formed on charts or certain conditions are met.

Sometimes, even after those patterns/conditions, stocks will still rise after a few days.
Do not bother.
Do not curse yourself for not holding longer.
Stick with this rule, you will sell when certain conditions are met, does not matter what happens to the stock after that.
This one single rule will save you from a major major major loss in future.

Same rules will apply in forex trading also.
People will tell you to go with candle stick charts and the like.
They are good, but use PNF or Renko charts instead.
They are even better.
PNF is Point And Figure charts.
Renko is... well Renko only! LOL
Candle sticks will give you better understanding of market sentiment, PNF will not, but PNF are far more easier to understand and follow.
Their best part is, both Renko & PNF cut the noise and show you clear trends.

Here is Renko chart for richest company in my country,
https://bullkhan.com/nse/stock/reliance/renko
Buy when a white block is formed, sell when a red block is formed, then wait for next white block to be formed to buy again.

These are regular charts for same stock:
https://bullkhan.com/nse/stock/reliance/
First is line chart, see the noise, you will get stuck for long time before you can decide to sell.
Followed by candle sticks on same image, those blue and red bar like things. Somewhat clear, but not as clear as Renko.
Then at the bottom are 7 major indicators. You don't need those now.


You will find renko more easier than PNF. I like PNF better though.
Here are PNF of same company:
https://bullkhan.com/nse/stock/reliance/pnf
Buy on "X", and sell on "O"

Renko will also work ok with Forex, but you will need to use a smaller percentage (box size).

Here is renko forex for USDINR
https://bullkhan.com/forex/stock/usdinr/renko
Enter values "0.2,0.2,3" in the box where it says renko and PNF charts, and click "RENKO" link.
With default "2,2,3" values, you will not see anything useful there in forex.
First value is the one which is controlling renko charts, other two are for PNF.

If you use currencies USD and EUR (USDEUR), then you will need an even smaller box size.

 

you have to find company which can help you to earn ,be careful also we have fake companies . so check all ways.good luck

 

Holy crap! And I though Forex was easy, now I'm both informed and bewildered I really need to think about it what software should I use, how to study the market, how to predict and like you've said "keep your greed aside" thank goodness I'm not greedy lol I will do the get-rich-slow method with small to medium profits.
Thank you so much just by your comment I've learned a great deal, nice to learn from experts indeed. Stay safe

 

Now this is a challenge! Will do thank you.
Stay safe

 

ALL investing has risk, sometimes small, sometimes large.

Regardless of the investment vehicle, the only way to profit is to buy low and sell high.

In practice that works out to buying when the risk is MINIMAL and selling when the risk is HIGH. Risk tends to be low when NO ONE ELSE WANTS THAT INVESTMENT VEHICLE, while the risk tends to be very high WHEN EVERYONE IS JUMPING ON THE BANDWAGON.

Since risk can often change instantly (a lightning bolt destroyed your investment), it is not always possible to make a profit from every investment. However, over the long run avoiding unnessary risk will always be profitable.

 

Try to look around at mql5 website, and you will find much of resource for forex and crypto trading.

 

@Ayoub benali01
I did not mean to scare you. Its not that scary. Its just that people do lots of small mistakes which pile up into large losses .
Learn a lot before going in this field of work.
And more importantly, stay disciplined, no matter what others say.

 

The problem with that is that I like taking risks! Sometimes you just need to risk it for a biscuit.
However, I am not reckless these are serious things that can either help me or break me. So I really appreciate it thank you for your insight.

Hoh thank you! I'm gonna check them now. Stay safe

You made me more aware, I can't wait to start investing I believe in myself and in my capability of learning.
Jeet just one question please since you're more informed than me; I'm being bombarded with "brokers" I think this is what people call them. They basically manage your investing instead of you, do you recommend them? Are they worth it? Or should I avoid them and learn the entire trading from scratch (which is more appealing to me tbh.)

 

Unless you have direct access to a trading platform, you will need a broker. Just remember that the brokers eventually get EVERY investment penny - They get paid whether you lose or whether you win.

 

Wow I didn't know that they get paid even if you lose, that interesting thank you!

 

Hi Ayoub,

I have personally started using this Forex Trading AI Bot that is generating passive income for me from day 1, i invested $700USD so far and it has generated $83 in 7 days all on autopilot, hands off.. one good thing about this is that, as you make profit it keeps adding to your balance, which is called compounding and you continue to make more profit.. please feel free to message me for more details..

 

Sure, it MAY work for SEVEN DAYS, but will it work for SEVEN YEARS? Come back in seven years and show us PROOF of your MILLIONS, then we MIGHT believe you.