Forex Libra Code Review
And, of course, always keep learning because things change all the time. 1 - Most people treat Forex as a get rich quick scheme. This means they are not willing to invest time, energy nor money to be good or to improve their trading skills. They believe that with a few bucks, they open an account and by using a high leverage, they are going to make a fortune in no time. They couldn't be more wrong. The leverage is a good thing for a trader when used with caution. But these people use it at a very high limit and this will end with their millionaire dream really quick. 2 - Most people expect to have great returns in a short period of time. If you treat Forex like a business, you know this isn't the way things work. There are many factors that contribute to people think this way.
One of them is again the high leverage traders use. You shouldn't use a high leverage because you face the high risk of losing your entire account in a couple of trades. Be wise and trade smaller lots. When people think about having great returns in a short period of time they are thinking about day trading. Well, I'm not going to say that day trading isn't possible; but I'll say that only the more experienced traders make profits from it. This is because, and this is another thing that is always focused when people talk about forex trading, there are no commission costs like in other financial markets. This is not absolutely true. It's true there aren't any commissions charged but you are charged with the spread. The spread is the difference between the bid and the ask and depends on the currency pair you are trading. If you want to day trade, you'll have to trade several times a day, which means that you will pay the spread several times a day.
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