At SAFX we have been trading forex for over 10 years now and there is probably no one more experiences in this field in South Africa. We have learned the hard way, through trial and error, and we have come up with some of the best forex trading software and systems available in the world today. We teach traders to trade for themselves and we have been doing so for the last 5 years. We are not your flashy over-the-top forex training company, we teach you what works and let our software speak for itself.
Steps to learning forex trading :
- Open a Demo Account with a FSB Regulated Broker
- Learn how to use your trading platform properly.
- Learn how to buy and sell forex.
- Learn how to use a Stop Loss and Take Profit
- Learn money management.
- Get trading software.
- Trade and withdraw profits regularly.
Open a Demo Account with a South African Forex Broker
This seems easy enough and it is. There is one catch, make sure the broker is registered with the Financial Services Board of South Africa (FSB). A demo account is 100% free, make sure that you are not charged for opening a demo trading account. A demo account is a dummy account, this allows you to trade with all the same tools and pricing but with dummy money. It is very important to start making profit on a demo account before you attempt to trade on a real account with real money.
Learn how to use your trading platform properly.
At SAFX we stick to the MT4 platform as we know it inside-out. A trading platform is the application that you use to buy and sell forex over the internet. It is extremely important that you understand the functions of your platform prior to trading live. At SAFX we provide 1-on-1 training on the MT4 platform and our proprietary software. If you do not have the money to purchase our product or if you do not qualify for our financing there are tons of resources online. These are sometimes scattered and confusing but you should be able to get the basics by looking around.
Learn how to buy and sell forex.
This is simply a function of the trading platform. It is very important that you can do this quickly and correctly and it needs you to practice a lot. It might seem very simple but remember that at some point you will be faced with a high pressure situation that would require speed and accuracy. The only way to make sure you are ready for this is to buy and sell as many times as possible till you can almost do it in your sleep.
Learn how to set a Stop Loss and Take Profit
A stop loss or SL allows you to limit the loss you are willing to take on a single trade. A take profit or TP is the profit target. Both these levels can be and should be set for every trade. When a trade reaches either of these levels it closes automatically in either a profit or loss. As in the previous section, it is very important to set these levels quickly and accurately and therefore takes a lot of practice before you get them absolutely perfect.
Learn Money Management
Money management is probably THE most important aspect of trading. Money management is where you determine the amount that is risked on every trade. If you use proper money management you will be successful, if you do not use proper money management you will fail, it is as simple as that. Money management is the combination of Stoploss, Take Profit and Lot Size. This is a very in-depth topic which we cover fully in our training programme. You are welcome to google more on money management to see its importance in trading forex.
Get Trading Software
There is a lot of trading software out there. They all promise riches and they all promise success. 99.9% of the trading software out there is useless and will lose you all your money. If you do not believe us you are welcome to try them but I guarantee you will lose all your money within 2 weeks. SAFX is the ONLY South African provider of tested and proven forex trading software, it is as simple as that , buy software elsewhere and lose all your money. Enough said.
Once you have learned how to properly use your trading software on your demo account it is time to step up and open and fund a live account. Always start with a small amount that you are prepared to lose. Trade for one month and withdraw the entire amount. This sounds like a strange thing to do but it works. Now redeposit the original amount into your account and do the same process over and over and over.