Forex trading is not investing. Because there is no inherent value appreciation of one currency over the others. I.e. you cannot expect appreciation, dividends or interest earnings. Forex trading is speculating. This means you can earn money with it – but it’s highly risky. And most people lose money trading forex.
There are numerous financial instruments and methods out there for investing your money. The forex market offers a lot of opportunity to knowledgeable traders who put in the time and effort.
You want to be wary not to fall into a “get rich quick” mindset. Trading the forex market is NOT get rich quick. It takes time, patience, self-control, and controlling ones losses to attain and keep profitability.
“Best” is an entirely subjective word. I’m sure there are some people that tried forex and hated it. It really depends on you as a person and how you choose to approach it.
Forex trading is notoriously as difficult as being a professional horse race punter. Perhaps only 1% of people will do well.
Read the book on Soros and Hedge Fund Market Wizards. These guys are genuine geniuses that are bred for the game. All those traders working at big banks and driving down Wall St, London, Tokyo, HK, Sydney, etc in their McLaren Ferrari Lamborghini supercars…
I don’t know if their genius, but they made the 1%, and make it look sexy… But their mansions and penthouse playboy lifestyles are paid by the bottom 80% that just have no idea what they’re doing…
What I suggest is you think you have what it takes, take a sum of cash that you can afford to lose (demo accounts don’t expose you to the emotional roller coaster, and if you don’t have money you can lose then don’t bother), and find a methodology to take very very very few positions.
In my opinion you will eventually either be able to read the market or not. Soon one of two things will happen.
You will realise you are the 99% that is just gambling on black and red and you lose your money, or you are the 1% in which case we’ll probably never see you on this ForexWOT again… Lol a few people will tell you never to try, but I think that’s an awfully pessimistic way to live life…
Put it this way, the downside is you lose a bit of cash you will soon earn back. The upside is you find you are the 1% and will go on to make huge wealth and not be some shit kicker like everyone else for the rest of your life.
Forex trading is not investing. Investing works to increase your wealth because it is possible to predict that in the long run, a diversified portfolio of stocks and bonds will gain value. With the forex market, the long run is not your friend.
In forex… As long as you have a proper RISK and MONEY MANAGEMENT, you’ll do fine.”
That is like saying as long as you tie your parachute correctly there is no way you can get killed sky diving. Trading is unlike a lot of other activities-you are always working in an environment of uncertainty. You need to do certain things to keep the probabilities of winning on your side.