There are a number of reasons why forex can be an appealing market, even for inexperienced traders. The forex market gives you easy access to the global market, and traders only need a small deposit to participate. 

Below is a quick guide for newbies who want to start trading forex!

1) Understand how the forex market operates

Before you start trading forex, you should understand how the forex market operates first, as it’s slightly different from stocks or futures.

The forex market is open 24 hours a day in different parts of the world. And instead of trading on a central exchange, Forex is traded through a network of banks. This is referred to as an over-the-counter (OTC) market. One of the common ways for individual persons to start trading is via forex Contract for difference (CFD).

2) Open an account

You’ll need a forex account with a leveraged trading provider to start trading forex. Leveraged trading will allow you to kickstart your trading journey even with smaller capital.

You can open a Forex account with VC Plus within minutes. (No minimum deposit or fees to open account)

Open a forex account with VC Plus 

VC Plus is a trustworthy one-stop web-based platform, members of  FINTRAC

3) Try out virtual accounts

For beginner traders, you can use a virtual account to practice your trades in VC Plus. A virtual account will provide fake capital for you to practice your trade safety without actually using your real money. 

VC Plus provides virtual accounts for you to practice your trades!

4) Create a trading plan, choose a trading strategy

It’s important to have a trading plan before you trade, as it will be a guiding path for you when you trade. An example of a trading plan includes: what is your target price to take profit or stop loss point in this trade?

Choosing a trading strategy is also important, trading strategy is a systematic method for trading, it’s created based on certain rules and criteria. Examples of trading strategies are EMA 5 Crossover, Turtle Strategy, MACD and RSI, and many more. Referring to trading strategies will let you win more consistently in trading, as it will guide you when is the buy or sell timing, and you won’t feel lost of don’t know when to sell or buy when trading forex.

Trading strategies might sound difficult to understand at first, but there are platforms like VC Plus which have trading strategies that can automatically generate buy and sell signals for you in just 1 click, use it to your advantage and win more trades in forex!

Discover more about VC Plus

VC plus is a one-stop trading platform that has automated trading signals generated based on trading strategies.

5) It’s time to trade

Once you’re done preparing, it’s time to trade!
Click the green buy button to open a long position, or the red sell button to open a short position. (on VC Plus)

Monitor the profit/loss of your position in the ‘Portfolio’ tab on the left of VC Plus.

Once you decide it's time to close your position, simply place the trade in the opposite of the one you opened previously.

Final note

Remember that don’t feel down if you lost your first few trades, identify what went wrong with the trade instead and learn from the mistake! Always refer to trading strategies when you’re trading forex to help you win more trades!

VC Plus provides trading strategies that can auto-generate buy and sell signals!

Open a free forex account with VC Plus