Welcome To Forex Trading | Day Trading.
Are you searching for a better Forex broker or are you new to Forex trading? You have come to the right place.
The foreign exchange market (Forex, FX, or currency market) is a global, worldwide financial market for trading currencies. Financial centers around the world function as anchors of trading between a wide range of different types of buyers and sellers around the clock, with the exception of weekends. The foreign exchange market determines the relative values of different currencies.
Average daily turnover in global foreign exchange markets is estimated at $3.98 trillion, a growth of approximately 20% over the $3.21 trillion daily volume as of April 2007. Some firms specializing on foreign exchange market had put the average daily turnover in excess of US$4 trillion. Get your piece of that money to day, be a day trader now.
How to start Forex day trading?
First of all is to find a good Forex broker. Forex broker is an intermediately between a trader (you) and a currency market. Forex trading isn’t possible with out a Forex brokerage. Finding the right Forex broker among hundreds of the online firms isn’t an easy task. That’s why we offers a full set of tools that allow finding, comparing and researching all the best online FX companies.
Practice Day Trading:
You can always open a free practice trading account with every Forex broker listed here.
Forex Brokers:
| Forex Broker | Rating | Min. Deposit | Min. Position Size | Payments | Max. Leverage | Visit Broker |
|---|---|---|---|---|---|---|
| Easy-Forex | 5/5 | $25 | 0.025 | Credit card, Bank transfers, MoneyBookers | 1:200 | Visit |
| eToro | 4.5/5 | $50 | 0.01 | Credit card, Neteller, PayPal, Transfer, MoneyBookers, WebMoney | 1:400 | Visit |
| Plus500 | 4/5 | $50 | 0.01 | Credit card, Bank transfers, MoneyBookers | 1:200 | Visit |
| UFX Bank | 3/5 | $100 | 0.05 | Credit card, Neteller, Transfer, MoneyBookers, WebMoney | 1:200 | Visit |
| - | - | - | - | - | - |
eToro
Welcome to the world’s largest investment network. As the leader in social trading, eToro provides a simple, transparent and enjoyable way to invest and trade in currencies, commodities and indices online. See who is trading what in real-time, follow the best performing traders and automatically copy what the best traders do. It’s the smarter way to trade. With more than 1.5 million users worldwide we make financial markets accessible to everyone. Perfect for new traders.
Easy Forex
In today’s world we are faced with many choices and choosing a Forex broker is no different. We’ve been in the retail Forex business longer than most and we understand that individual traders have different needs and wants. That’s why we continue to evolve to ensure you can trade in a safe, informed and supported environment. Whether you prefer to trade via the web, on your desktop, smart phone, iPhone or PDA we’ve got a platform to suit your needs. With your one trading account, you can trade on all our platforms.
Plus500
Trade on the FX market with up to 1:50 leverage. Allows you to start trading with as little as $50 to gain the effect of $1000 capital. Start trading immediately – opening an account only takes 5 minutes! Fund it by credit card or wire. Free trading platform – professional graphs, profit/loss limits, variety of currency pairs.
UFX Bank
You are only a few minutes away from opening your own account and beginning to trade Forex. It’s quick, simple, and takes about three minutes to complete. Start your FX trading experience on our easy-to-use Forex trading platform. Trade forex for free with no risk. Open a $10,000 forex demo account.
Day Trading
What is day trading?
Day trading is one way of performing foreign exchange trading. Usually day trading deals are opened and closed on the same day – you can make as many trades a day as you want. It is your decision.
It is possible for a day trading deal to last longer than one day. When this happens, the deal is automatically renewed at 22:00 GMT each night until the deal closes. Upon renewal you will be charged a fee for rolling the deal for an extra 24 hours. This fee will be collected once a day when the deal is renewed. The fee will be collected form your Free Balance in your trading account, and if there is no sufficient free balance then your credit card will be debited. If there is no credit card, the next time you have a free balance and execute a withdrawal from your account, the amount owed due to non-payments of the rolling fee will be deducted from the amount you have withdrawn.
Day trading is becoming more popular now that more people use the Internet. It is one of the Forex instruments (or products) offered by easy-forex.
Be sure to also read Leveraged Trading after this article.
A day trading deal with easy-forex involves four main steps:
- Decide to perform a Forex deal
- Decide the deal you want to make and build it in your online account
- Monitor the deal in your account
- Close the deal
Here is an example using the four steps in detail:
Step 1: You decide to perform a Forex deal.
You believe USD will rise in value because you have followed the market and you think a rise is most possible in the near future. You decide to buy USD before the rise and sell after the rise. This way you will make a profit if indeed USD rises.
Step 2: Decide the deal you want to make
You choose the currency pair to trade. You might choose to trade EUR/USD, which means you buy or sell USD against the EUR. Once the USD increases to the level you expect, you close the deal. You then get more EUR for the amount of USD you bought.
Here is an example, putting aside the spread issue: assuming the rate for EUR/USD is 1.2600. This would mean 1 EUR costs 1.2600 USD. It also means you receive 1.2600 USD if you sell 1 euro. If EUR strengthens (i.e. the rate increases), and goes to 1.2700, you will pay 1.2700 USD to buy one euro (USD is now worth less), so selling back the EUR at 1.2700 in exchange for USD again will get you 1.2700 USD at a profit of 0.0100 USD. In this example, assuming you purchased 10,000 EUR, you have made 100 USD profit. Buying 10,000 EUR only requires 100 USD security deposit if you are using a 1:100 leverage. So in this hypothetical case, by investing 100 USD you made 100 USD profit. However, if the EUR would have decreased to 1.2500, you would have lost your 100 USD security deposit.
In real life however, the market maker is charging a spread, which is the difference between the bid and ask price at any given moment. However, the idea is that the change in the exchange rate exceeds the value of the spread (typically 3-5 pips) which still enables a profit to the investor.
Next you decide the amount you want to trade. You do not have to buy the whole amount because you can use leveraged trading. The most common leverage is 1:100.
Then you choose how much you want to risk. This is your investment.
You can set the Stop-Loss rate next. This is the rate at which your deal will automatically close if it goes against what you expect. While your deal is still open, you can change this rate at any time. At easy-forex we require you to set a Stop-Loss rate to ensure you do not lose more than you are willing to do. Do not to risk more than you can accept to lose.
easy-forex offers a unique Freeze rate feature. A Freeze will fix a rate for a short time if you need a few seconds to think about your position. It gives you more time to accept or refuse the deal on offer.
When you have made these decisions, you then press the Accept button and your deal is open.
Step 3: Monitor your account
Logging into your online account at easy-forex, you can look at how your account is progressing 24 hours a day, seven days a week. This gives you the chance to open and close deals or to change your deal whenever you want.
Step 4: Close the deal
You can choose to close the deal when you decide. If you have set a Stop-Loss rate and the deal reaches that rate, it automatically closes. Some traders find Stop-Loss rates a good way to make sure they do not lose more than the limit they set. The deal can also close automatically if you set a Take Profit rate. You are not required to set a Take Profit rate but it does mean that you are freed from constantly monitoring your positions.
Source: Easy Forex