In the modern world, more and more people are mastering the profession of a trader, because it is profitable, prestigious, and interesting. Currency trading occupies a huge part of the market. This profession is especially popular among young people, as, according to statistics, the average age of a beginning trader varies from 18 to 25 years old. But if you are 40 or older, don’t worry, it’s never too late to become a trader! If you ask when the best time to start it is, we will answer: “Right now!” The sooner you start trading, the better results you will achieve in the long run. It is important to highlight that the minimum age for a trader, established by forex brokers, is 18 years old.

Nowadays, the forex market is extremely popular; it involves trading currency pairs. Accessibility is one of the reasons why many novice traders choose this market. The thing is that here, in order to trade currencies, it is not at all necessary to have a huge budget. Just imagine, only $1 will be enough to get started! Moreover, all you need to enter the market is the internet.

One more important thing you must know about the forex market is its volatility, this means that prices change quickly and significantly over a short period of time. But it is important to understand that in this case not only the chances of making money are high, but also the risks of investing more money. That is why when trading in the forex market it is essential to know what the most volatile currency is in order to make the right choice.

  By the way, in terms of trading volume, the forex market is considered the most active, and daily transactions can even reach $7 trillion.

How to Choose Currencies to Trade

            As we have already mentioned above, trading currency pairs is the basis of the forex market, and keep in mind that there are a wide variety of pairs available in this market, so you will have plenty to choose from. Nevertheless, there are pairs that will increase your chances of success, and those that are best avoided. Now we will explore how it works.

            Some of the most important pairs for trading are the ones that include the U.S. dollar, but everything is not so simple. Which currency pair to choose also depends on your trading experience. If you are a beginner, you’d better focus on EUR/USD, GBP/USD, and AUD/USD, as they are pretty volatile and not so difficult for the start. If you are an experienced trader, then there are more opportunities for you to experiment and test your intuition, so you can easily choose from more currency pairs, for instance USD/CHF, GBP/JPY, GBP/USD, EUR/JPY, NZD/USD. Moreover, you should not limit yourself to purely currency pairs, because metal trading is also available on forex. As a result such a pair as XAU/USD may become a great option for you.

It is highly important to understand that you can earn good money even if you choose only one pair. Furthermore, there are many successful traders who do it proficiently. Additionally, if you trade one currency pair, you pay all your attention only to the news connected with it, and, as a result, you are unlikely to miss some important details.  

Benefits and Drawbacks of the Forex Market

            Like everything in this world, the forex market has its own benefits and drawbacks, and only after carefully studying all the nuances can you understand whether it is a good option for you. So, let’s dive deeper into this aspect and dot the i’s.

First of all, a great benefit of this market in comparison to others is its convenient operation mode: the market works round-the-clock five days a week. This gives traders the opportunity to be aware of all the economic events in time and immediately respond to them.

Account commissions also play an important role when choosing the market, and here forex also wins, since there are no commissions on most accounts.

A huge variety of choice of currency pairs is one of the advantages of this market as well, because in this way traders can build a comprehensive strategy and handle their assets according to it.

In fact, there are not so many disadvantages of the forex market, but one of them is that scammers can easily deceive beginners due to the fact that the latter do not have enough experience in this area.

Competition is another weak point for an ordinary trader in this market, since there are a lot of players, and they very often have to compete with national corporations or commercial banks.

Be that as it may, the forex market offers opportunities for big earnings, but it is not enough just to click the mouse a couple of times. In order to succeed, you have to study information, analyze data, and even build your own strategy. But we assure you that all this is not difficult if you really have a desire to earn good money.