How much can I earn by trading in the Forex market?
How profitable is it to trade in the Forex market? And, in general, is it worth diving into Forex?
Last but not least, daily price fluctuations typically amount to 100 - 200 basis points (for most currencies, the fourth decimal place in an exchange rate). One basis point is equal to approximately 10 dollars for major currency pairs.
In effect, according to John Murphy’s Technical Analysis of the Futures Market, successful traders manage to take advantage of approximately one-third of all price actions.
However, you should not be lured away by potentially high gains: peculiarities of any market – be that commodities, currencies, or stocks – need to be examined closely and analyzed continuously. It is also critical to keep a close eye on other sectors of financial markets and learn everything you can. This is not gambling – in the Forex market you can earn money using your wits and experience.
Lucky Forex trading!
Trading financial instruments involves substantial risk of loss to your capital. The high degree of leverage available in the Forex market can work against you as well as for you. Before starting Forex trading, it is critical that you carefully consider your investment objectives, level of experience, and risk appetite. The possibility exists that you can sustain a substantial loss of some or all of your investments due to unfavourable fluctuations in currency exchange rates. You should abstain from Forex trading unless you are an experienced market participant or you fully understand the basics of currency markets, inherent risks, mechanisms of transaction execution and order placement. You are strongly recommended not to invest money that you cannot afford to lose. Before signing up for a Forex account, you must read and accept the terms and conditions of Forex trading, agreements, and tariffs. In order to reduce the risk of potential losses, you can (but are not obliged to) use pending stop-loss orders and, at each transaction invest not more than 5% of your Forex account. BCS-Cyprus shall not be held liable for incorrect interpretation of information posted on this website, as well as for possible mistakes, typos, and incorrect information.