67% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money.
Can you become a millionaire through forex trading?
Who wants to be a millionaire by trading forex? Chasing money is as old as time and exchanging fiat currencies has always played a crucial role in money-grubbing.
Before you start making money by trading forex, though, you should learn more about forex trading. Simply sign up for our online course that can help you become a pro in forex trading!
The Lucrative History of Forex Trading
Forex trading is one of the most popular financial markets all over the globe. Interestingly enough, foreign exchange practices date back to ancient Babylonia where people started exchanging goods and developed the barter system.
Centuries later, the first gold coins were produced, which introduced some stability and durability in the foreign exchange market. It was in the 19th century when the gold standard was accepted, which backed the global forex industry.
After WWII, however, the forex market was transformed by the Bretton Wood System that pegged foreign currencies to the US dollar, followed by other major events such as the Plaza Accord and the establishment of the euro.
With the introduction of online trading, the world of forex trading evolved to a point of no return. Now the forex market is the largest in the world (with a daily volume of over 5.1 trillion, according to recent data).
That said, the forex market is marked by constant changes, volatility, and uncertainties. It’s exactly the changing nature of forex trading that attracts more and more people and allows them to become millionaires!
How You Can Become a Millionaire by Trading Forex
Though we all know that money’s not everything, many want to have expensive cars, luxurious houses, celeb friends, and exotic gateways. The truth, however, is that to be a millionaire, one must have the right mindset.
You must have a vision and realistic goals, so leave get-rich-quick schemes for the big screen. You can become rich in forex trading by investing a lot of time and resources. To succeed, you have to be ahead of the curve: you should always follow news announcements and learn from the experts in the field. Forex is changing all the time, so do not hesitate to attend webinars and invest in trading education.
After that, any forex trader has to establish their own forex trading style and profitable strategies. Beginner traders shouldn’t be afraid of exploring the complexities of the market and find a strategy that is suitable for their levels of knowledge and personal goals.
For both beginners and experts, forex trading has a huge potential in making money. You can increase your wealth, but your success also depends on how much you are willing to invest and lose. Experts say that if you start with just $1,000 and secure 10% of your capital every month, you can become a millionaire in less than 10 years. Here are five smart ways to invest $1,000.
Most of all, good traders are those who are consistent and patient. Having a forex trading journal is a beneficial technique to help you keep track of your moves, past trends, and emotions.
We should note that extreme emotions can have a negative impact on forex trading, so self-control is a vital quality to help you make money in forex trading.
How You Can Lose Everything by Trading Forex
Though forex trading offers a wide range of opportunities, trading forex comes with different financial risks. As stated earlier, you also have to gain significant amounts of knowledge and expertise in the field. Engage in forex trading courses or even demo accounts to prevent you from developing bad trading habits.
You don’t have to be a rocket scientist to succeed, though. Patience and a profitable strategy can be enough to help you make money. Persistence, discipline, and consistency are also crucial!
Do not forget that forex trading is not gambling, so never trade out of greed. In fact, forex trading should never become gambling. While gambling relies on pure luck, forex trading requires the implementation of adequate strategies and in-depth analysis.
Without a consistent strategy, forex trading can result in huge losses. Thus, forex traders should learn how to keep their losses small. Having stop-loss orders, for instance, is crucial to help you tame the changing market and become a millionaire. Here we should note that according to figures, more than 90% of forex traders lose large amounts and quit.
After all, forex traders should be realistic. Don’t expect to make millions by opening an account with a few pennies. You should be able to afford to lose, especially when taking your first steps in forex trading. As doubling your money overnight is rare, you’ll need a source of income and enough free time to learn how to trade before becoming a full-time forex trader.
In the end, forex trading is not an easy road to riches. There are many risks, unexpected changes, platform malfunctions, and scams that can play a trick on you. Always use a reputable forex broker because falling victim to a scam can cost you a fortune. The notorious Secure Investment, for instance, gathered funds and disappeared with more than $1 billion in 2014, leaving many traders broke and devastated.
Making Millions by Trading Forex Is Possible: Forex Trading Success Stories
Forex trading is increasing in popularity all over the globe. While it requires a lot of patience and goal-oriented thinking, it’s possible to make money by trading forex. Don’t you believe us? Ask some of the biggest and wealthiest forex traders then!
- George Soros is one of the legends in forex trading. Note that Soros started as a clerk who through hard work founded his own company. His new worth is $8.3 billion, as of April 2020.
- Stanley Druckenmiller is another trader whose aggressive and consistent tactics prove to be highly successful and lucrative.
- Bruce Kovner is a 75-year old trader who began forex trading at the age of 32. Kovner developed profitable trading strategies that helped him become a billionaire, with a net worth of $5.3 billion.
- Bill Lipschutz is another legend in the field of forex trading. Interestingly, he earned a fortune in the initial stages but made a bad decision and lost it all. Yet, he didn’t give up; in 1985, he earned $300 million in a single year.
- Another famous figure is Paul Rotter, the Flipper. He is a real scalping jackal, a trader who made $65-78 million each year for a whole decade. Note that scalping is a risky technique that requires a lot of expertise, time, and resources.
We should mention that all successful forex traders have one thing in common: a vision. Many are philanthropists who do not accumulate money solely out of greed but are there to inspire people. Here are some inspirational trading quotes to help you become an expert in trading forex.
But even if you don’t make millions, don’t worry! Forex trading can help you lead a nomad lifestyle, which is highly valued today. You can travel and trade from anywhere in the world, you can expand your knowledge and create valuable contacts, you can become a full-time trader able to make a living by trading forex.
Tip: Practice forex trading on a DEMO ACCOUNT until you find your own strategy that you know deep inside and out. in other words, find a way that works for you!!!
- Forex trading is the largest market in the world. Traders today can trade part- or full-time in order to make a living.
- The origins of foreign exchange can be traced back to the ancient world. It was in Babylonia where people developed the barter system and started exchanging goods.
- While the introduction of the first gold coins shaped the foreign exchange industry, the forex market transformed completely in the 20th century.
- Even though forex trading is many things, it’s not a get-rich-quick scheme. Consistency, profitable strategies, and emotional self-control are essential to help forex traders make a fortune.
- Forex traders should be prepared to lose as the market is constantly changing. Traders should never trade out of greed; after all, trading is not gambling.
- While people can trade forex online from anywhere, becoming a millionaire requires a certain mindset. Exploring the secrets of forex trading psychology becomes fundamental!
- Various traders have become millionaires by trading forex, including George Soros, Bruce Kovner, Bill Lipschutz, and Paul Rotter.
In the end, the forex market is full of uncertainties and changes, so trading forex requires a lot of knowledge, experience, and patience. You can become a millionaire over a few years… but you can also lose everything in a split second. What do you choose?
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