If you are thinking about starting a career as a forex trader, you might be wondering if it is worth it? If you are getting paid a fixed salary to trade forex for a company, then you will have a consistent income stream which might be what you are looking for. If on the other hand you ae thinking about trading forex yourself, then it can be impossible to predict if it will be worth it in the long run as that would depend on how much time you dedicate to learning about the currency market and how good a forex trader you become.
Is trading forex a good idea?
Forex trading can be a good idea if you are the type of person who enjoys learning new skills and you have the time required to practice trading strategies on practice accounts before making a financial commitment. It can take years of demo trading until you find a forex strategy that works for you and produces good results on a consistent basis.
If you are prepared to be in forex for the long haul and do not expect to make a million over night, then becoming a forex trader full time is certainly a possibility. It just isn’t the easiest or most reliable profession that you can choose in my own opinion. You will have winning months and losing months, which is not ideal if you are short of cash and have bills to pay.
Is forex good for beginners?
There are many aspiring forex traders who are new to the currency markets and think it will be a walk in the park after making a few good trades and hearing stories from fake traders on Instagram making false claims about becoming rich from trading forex.
Do not get blinded by the lights as the forex market is not for the faint of heart. It can take many years to start seeing good results and even then, you can lose everything if some unexpected news hits or you make a mistake which all do from time to time.
Without sounding too negative, there are some positives to forex trading for beginners. There is an abundance of helpful research and educational content out there, including tutorial videos and trading guides that cover every forex topic that you could imagine. You will literally have an endless stream of resources that can teach you more about the forex market which you can then apply into your day trading activities.
Is trading forex difficult?
Yes, forex trading is very difficult. In fact, it is probably one of the most difficult professions that you can choose. There is profit to be made but only a small percentage of retail forex traders actually make money. Sadly, most traders fail and give up too quickly. I find this is because they usually have unrealistic expectations and make mistakes that could have easily been avoided if they spent time reading more about forex and practising on a demo account.
That being said, even the most seasoned expert forex trader can still make silly mistakes. Trading forex successfully requires immense discipline and controlled emotions along with a rock-solid trading plan and excellent money management. These are all key factors that can separate the winners from the losers in the forex market.
Can forex make a person rich?
To be honest, if you are asking this question then I don’t think forex is for you. This falls into the greed category and is an immediate red flag for anyone who is thinking if forex is worth it. If you are planning to trade forex because you want to buy a Lamborghini, then I would say you need to manage your expectations. Some forex traders barely get by, with the most successful usually having a large investment and many years in the game.
Yes, you can get rich trading forex, but that’s like saying you can also win the lottery, become a football player or a popular musician. Only a few make it and it takes years of dedication along with a slice of luck along the way.
Conclusion: should I trade forex?
This question may as well read “how long is a piece of string”? Everyone is different so I cannot answer that for you. However, if you have an interest in the financial markets and follow economic news closely, combined with a good eye for technical analysis and price action, you certainly have the ingredients required to make forex trading worth it. It is how you choose to put those ingredients together and the dedication you give that will make the difference in the long term.
If you are not a patient person and want to double your account overnight, I would probably say don’t waste your time to be brutally honest. At the very least, anyone who is new to forex and curious to see what it is all about, should start with a demo account to trade get a feel for it without taking any unnecessary risks. You can get a free forex demo account from most forex brokers that will come preloaded with virtual funds and a trading platform for you to practice buying and selling currencies.
Self-confessed Forex Geek spending my days researching and testing everything forex related. I have many years of experience in the forex industry having reviewed thousands of forex robots, brokers, strategies, courses and more. I share my knowledge with you for free to help you learn more about the crazy world of forex trading! Read more about me.