Learn Day Trading

Learn Day Trading 

As a novice forex trader, you must first pick the best brokerage partner. Ensure that everything about their service is favorable. This includes their pricing structure, currencies and other investment options and security practices. Assuming that you have met an excellent broker, the next thing is picking the right stocks. There are two common theories followed when selecting the right stocks. They include:

• Fundamental Analysis – In this analysis, you should read the company’s financial reports and statements. These include periodic profit and loss reports, balance sheets and cash flow statements. Once you do, you will easily tell if investing in one company’s stock over another one’s is more profitable.

• Technical analysis – Although this method is not as popular as the fundamental analysis, new traders can learn how it works. Technical analysts use technical indicators and charts to predict how stock prices might shift.

Traders who use fundamental analysis and technical analysis at the same time to select their best stock pairs are more likely to profit.

Daily trading strategies

After learning how to pick lucrative stocks, the next thing you will require is trading strategies. There are extremely many strategies used in forex trading today. Some common ones for beginners include the following.
• Pivot points• Trend trading• Range trading• Scalping• Breakout trading• Trading chart patternsIf you try and get familiar with the aforementioned strategies, you will be a successful trader, very soon. There are other powerful tips you should keep in mind if you want to do well in online stock trading. Here they are.

• Deposit a small amount first – Forex trading is much like betting. You could win or lose your trades. Hence, you should start small and aim to grow gradually. Reinvest your gains rather than depositing more money.

• Have an investment plan – Using a reputable broker is the first step. They know how to schedule your sales and purchases in order to grow your original investment.
• Research more aggressively every day – Read the latest news, financial reports on different companies and learning about trading strategies.

• Spread your risks –There are a few financial trading products you can choose as you progress to reduce your risk of failure. These include binary options, mutual funds, bonds and others.

Conclusion

Even if you are just a beginner, do not give in to the fear of losing money. You must persevere now to succeed in the future.

References
http://www.businessnewsdaily.com/4508-online-trading.htmlhttp://traderhq.com/technical-analysis-beginners-guide/http://trend0.blogspot.co.ke/2012/06/top-15-forex-trading-strategies.html