Lesson 8 – Free Forex Practice

Forex trading has become appealing to more and more people nowadays. When people talk about it or it is advertised on the Internet and in brochures, it looks easy and fun. Don’t let yourself tricked, though, it is more difficult than it looks like. Concepts of Forex trading are not complicated and can be easily learn. What is more difficult is controlling oneself and avoiding falling into some common traps.

The good news is that you can experience how Forex trading looks and feels like for free before committing to a broker. Forex brokers (not all, but most of them) offer free Forex practice through the means of a free practice account. By starting with a free practice account, you can get a pretty good idea of what to expect on the real Forex market and how things work.

It is not a difficult thing to make money out of Forex trading, but for that you need to follow some common sense rules in trading. Practice is the first step to do. It will offer you a good perspective of what forex trading means. Technically, you need to buy low and then sell high. Following this simple way is not as easy as it sounds, as there are many distractions on the market that can take your mind off the straight road and cause you great losses.

Take as much advantage as you can from the free Forex practicing to learn the most  of the Forex trading. Always find the reason behind the trades that you make and keep a trading log. Keep track of the things you do right and the things you do wrong. Actually this is what makes Forex trading difficult. Brokers lure traders into the Forex market with the promise of easy money. What most people aren’t aware of is that it is also extremely easy to loose money.

Keep these basic things in mind and take advantage of the free practicing to learn as much as you can about Forex trading. Don’t throw yourself into the real market until you are certain of what you can do and that you are able to generate a consistent profit. If you don’t make profit with your practice account, then you won’t make it either in the real, live market.

Why Practice Forex?

Forex practice is a very good start for traders out of various reasons. Before committing money to the live account and get on with the live trading, you need to be sure you can handle the Forex trading platform . Not being familiar with the buttons and terms of the platform can easily get you into trouble. Traders who just started on the market usually don’t have a clear picture of how this market and platform works. Adding to that, there are many small variables which can interfere with your trading along the way and which you learn to handle only through experience.

Getting started

Getting started with your Forex practice account means that you need to find a broker and get the demo account from that broker. All brokers should offer demo accounts, so those who don’t are to be clearly avoided.

Don’t choose the broker randomly or jump at the first Google result. Do some researching in advance and base your decision on things you can verify.

Once the account is opened, you can start trading. Don’t be shy with your practice account. It is the only place where you don’t need to worry about making mistakes, as it won’t cost you any money and this is the best way to learn and gain practice for the live trading. Just jump in on this practice account. Meanwhile, you can study some more about trading on the Forex market and get familiar with the terms and concepts. Test everything you can on the platform, so you won’t have any surprises when getting to the real thing. Forex trading is not just about technicalities, but also about strategy and inspiration, so take advantage of the practice account and discover ideas which can bring you profit in the future. There are numerous trading tools which are offered by the Forex platforms and which help with getting the job done.