Investing in forex trading is like taking that first step out of your mother’s house. You never know what to expect out there.
There are profits to be made in forex trading as well as massive losses to be incurred.
According to statistics collected by Market Traders Institute, a renowned online financial training institute, only 10% of those who invest in forex trading make profits. The other 90% get their accounts wiped out in less than 6 months.
The main cause of failure in forex trading is letting emotions such as fear and greed interfere with your trading. The next big reasons why investors lose money in forex trading is lack of solid trading techniques and strategies.
In order to sharpen your forex trading techniques, you need to learn how to trade forex before you commit your hard-earned cash to trading. There are several ways that you can use to learn forex trading. In this article, I address what I believe to be among the best ways to learn forex trading in Kenya:
- Using forex EBooks
If you are interested in forex trading, getting an eBook on the subject should be the first step in learning. The reason why I recommend you start with eBooks is simple- You need to understand the theory behind forex trading before you start trading.
However, it is important to note that not all eBooks are equal. Some are low quality, spammy eBooks written by hungry forex affiliates who have never executed a single trade in their entire lifetime. Others are advanced eBook written by economists who have been in the forex market since it was established in 1973 and have lost sync with what a beginner eBooks should look like.
At KenyanPridespot, we constantly scrub the internet looking for the best ebooks on forex trading. We categorize the eBooks according to the knowledge level of a trader.
- Using YouTube Video Tutorials
There is nothing as informative as seeing what you have been reading in forex eBooks demonstrated visually.
Again, you have to be diligent on whose channel you get the videos from. Like with ebooks, many forex videos on YouTube are recorded by forex affiliates who put their interests to sign you up to brokers for a commission ahead of your need to learn forex.
Trustworthy and well-established forex brokers and traders post the most informative forex videos. Some of the YouTube Channels I recommend you follow include FXStreet, Jason Stapleton and MetaStock. A little research on YouTube will also sharpen your acumen on other forex Vbloggers that you should trust.
The best way to use YouTube to learn forex is by using the search bar to constrain your search to one topic at a time.
For instance, if you would like to know how to read candlesticks, searching for “forex trading strategies” will be so wide. Instead, restrain your search to phrases that are directly related to information that you are looking for.
If you don’t want to do the hard work or your broadband is not strong enough to let you watch online video tutorials, we have a large collection of forex DVDs that are beginner-friendly and are categorized according to topics. Contact Patrick on 0710251380 to get your copy of forex training DVDs delivered right next to your doorstep if you are within Nairobi.
- Simulating Trading on a Forex Demo Account
At this point, you should be aware of several trading strategies and techniques, and it is time to pilot-test them to see how practically useful is the information you have gleaned.
A lot of forex brokers offer free forex demo accounts that are loaded with virtual money that you can use to test-drive the trading strategies and techniques that you have learned on ebooks and video tutorials. I personally recommend that you open a demo account with XM Global Forex Traders.
A forex demo account offers the best chance of learning how to implement various trading strategies without actually putting your money at risk.
NB: Never upgrade to a live forex account unless you are already making profits on a demo account.
- Join Forex Forums and Groups on the Internet
When you start trading on a live account, you will need to keep tabs on what other forex trading experts are saying. The information shared on forex forums offers great trading insights.
Additionally, being active on a forex forum gives you the feeling of being in a community of like-minded investors. Trust me; you do not want to barricade yourself in the house the whole day trying to make profits on the market.
Some of the best forex forums on the internet include Daily Fx Forex Forum, BabyPips Forex Forum and the OANDA Forex Forum. Make sure you check out these forums during your coffee breaks. There is a lot of information from individual members on the forums.
At KenyanPridespot, we are also in the process of organizing monthly meetups for all forex traders in Nairobi. These meetups will both be fun and insightful. Keep checking our website for updates on the first great meetup.
- Hire a forex expert to train you
Up to this point, you might have noticed that all the various ways of learning forex I have recommended are free. They also involve you looking for the information personally. While these methods will greatly limit the money you have to spend learning forex, it also means that you might have to spend more time learning.
There is also the possibility that you are busy using your time trying to learn techniques that are no longer relevant in the forex market.
You might also prefer to have a mentor who will take your hand and guide you through forex training. If that is the case, you need to hire a forex expert to train you.
There are several individuals in Nairobi who offer premium forex training. The charges for these lessons usually range from as much as 20K to as low as 10K.
At KenyanPridespot, we have a forex training module for beginners that goes for only 8K. During the training, you will be introduced to forex trading, we will teach you technical analysis using various strategies, and show you how to manage risks in forex trading. If you are interested in learning, drop me a line on 0710251380.
P.S. Leave your comments below. Was this article helpful? What do you think is the best way to learn forex trading in Kenya?