4 steps to become a forex trader

Once you have decided to enter the forex market, you might ask how to get started in this exciting world? How to become a successful forex trader and not just a newcomer who does not stay long after their money evaporates in a short period of time? There are a number of steps that you will have to take in order to become a successful forex trader and be able to manage a profitable account for the long term. Each period requires some time and effort, but all of them are necessary if you are really serious and want to succeed in this market.

studying. The first step is to learn everything related to trading and the forex market as much as possible. You will need to start by studying fundamental and technical analysis and get used to the different trading methods and techniques. After knowing the basic facts, you can move on to the next step which is to test the trading strategy.
Choose the right trading strategy and start doing backtesting. Don't waste your time searching for the perfect system simply because it doesn't really exist. Try to find a trading system that you feel you can easily understand, then start testing it on historical market data. It is imperative that this system be able to generate winning trades for an extended period of time — you can aim to reach at least 200 trades before applying it to a real account.
After you have found a profitable system and done the backtest, the next step will be to test it on a demo account. Open an account with a forex broker after making sure that it can meet your specific needs. You can trade with virtual money for free for some time. Some advise that it is necessary to trade successfully for a period of 2 to 6 months before moving to work with real money. You may be wondering why you have to wait so long? The minimum period of progressive testing should not be less than two months, and it is recommended that it range from 4 to 6 months. Some may not be able to wait for this long period, but in all cases, the trading period, as mentioned above, should not be less than two months.
Move to a real account. Reaching this stage means that you are ready to fund your account with real money and start trading using the methods you tested on the demo account. You should follow the method of trading literally and make the same decisions that you were resorting to during the backtest and demo trading periods. Making different decisions just because you are trading with real money means that you have set foot on the first path of loss. Never worry about going back to square one and drawing action plans if things don't go well. And if at any point you discover that your strategy is no longer profitable, you must immediately return to demo trading so that you understand what is going on without emotional stress and do not leave before you gain your ability to make profits again — however long this may take.

As is clear from the previous explanation, these gradual steps are quite clear. This does not mean that it is easy, as each step requires a lot of effort and work. In theory, you can move from the stage of a person who is ignorant of any information about Forex to the stage of real trading successfully in no more than a year, but practical experience tells us that you will face many obstacles on the way to reach the stage of a successful trader. That is why you must be prepared to deal with potential setbacks and understand that it will take longer than you might first think to overcome them. Forex trading is a job and not just a hobby, so you should start your way knowing that you are doing serious business. Look at it as if you were going to college — except that learning forex is less expensive. What would be really expensive is trying to jump over the education and training stages to get to the real trading stage directly. Many before you made the same mistake, and their dreams quickly vanished, so be wise and do not join the convoys of losers.