The fundamentals

The fundamentals are important long term - but in the short term prices are determined by the greed and fear of the investors, it's what they all think as group that determines price.

Many traders think because human nature is constant, there is a scientific theory of market movement - but of course there isn't. If there was, we would all know the price in advance and there would be no market at all.

Forex is an odds game and your aim is to trade high odds set ups, when the patterns of forex price movement dictate you should and the best way to do this is to use a simple robust trend following forex trading system.

Forex charts show you the supply and demand situation (they simply assume that all fundamentals show up in price action) but they do so something more - they tell you how all the investors perceive them.

Forex charting and technical analysis is not a science, it's an art. You're in fact, playing a similar role to a good poker player. You are looking to bet big on high odds sets, fold ones that don't go right and pass by low odds set ups.

Just like the poker player, you won't win every hand - but if you play the odds, you can win more than you lose and make a lot of money.

Forex charting is easy to learn and if you make it part of your forex education, you can learn it in about 2 weeks and get a robust forex trading strategy together which, you can apply in around 30 minutes a day.

Forex Spreads What a Difference a Pipette Makes

It is one of those games where any money that you lose, someone else earns that exact amount so if your jut starting off you needs to learn and learn fast.

Therefore before you even sign up to an [account] you must know all the basics.
Have you heard of a pip? Pip Spread?

When I go started I didn't know what these meant at all.
Pips and spreads are pretty closely related but there are some small differences. For most currencies a pip is around 1/100.

Say a currency moves from 1.7123 to 1.7125 it has moved 2 Pip Spread Which to you means you may have earned around 20$. Depending on some other factors.

You may well know that all currency is traded in pairs and the[pip spread] is another term that needs to be understood before putting money down.

The lower the pip spread is in general the easy it is for you to profit. The pip spread may be explained as the cost of doing business. In the case above at 2 pips you sustain a paper loss of 2 pips as soon as you enter the trade. It must be noted that your trade must appreciate by the [pip spread] before you break even.

This is why it is important to find a broker that will allow you to trade at low pip spread. This is not the only factor in you forex success on the contrary it is only the absolute minimum knowledge before starting up however you have to start somewhere.

The next would be to find a reputable broker and get and account. They are usually free of charge and don't require you to pay for the service of learning from their guides etc. I am saying this because I would strongly advice you to learn before putting any money down.