In fact, foreign exchange is very simple, that is, the process of repeatedly buying low and selling high or selling high and buying low. Don't make it complicated from the beginning. The difficulty is to grasp the time and rhythm when you need to repeat this process. What we need to learn is how to determine the best entry point and the best exit point, so as to minimize risks and maximize profits. There are two formal remittance and investment channels at home and abroad, one is to open an account in a bank, and the other is to open an account in a dealer supervised by FSA. Especially since the beginning of 20 12, many banks have resumed foreign exchange transactions, including China Bank, Industrial Bank, Bank of Communications, China Construction Bank and so on. Let's briefly compare the advantages and disadvantages. At present, the disadvantages of bank foreign exchange business are poor platform stability, high transaction cost, unprofessional service and unprofessional customer service. The advantage is that it can directly accept customers' funds and provide an investment channel for novices who can't tell the authenticity of the platform. The advantage of FSA-regulated traders is that the spread is low, usually 2 between Europe and the United States, and 3 between the pound and the United States. The platform is relatively stable. The disadvantage is that many profitable customers are always controlled invisibly or slipped away, causing certain losses. The compensation process is complicated and long, and most of them end in failure.
When it comes to margin, you can't help but mention leverage. What is the function of leverage? To put it simply, one is to fight big with small strokes, and the other is to lower the threshold. Many newcomers will ask, is the greater the leverage, or the smaller the leverage? Lever is a double-edged sword. If it is too big, it is difficult for inexperienced investors to control their positions, and overnight rate is also relatively high. If it is too small, you can't make full use of the funds and it is easy to explode. Here, according to the experience of Waihui Baozhai, I would like to give you some suggestions for reference: 1k-5k suggests a lever of 200 times, above 5k suggests a lever of 100, and below 1K suggests a lever of 400. When it comes to investment, we all know that the purpose of investment is to make better profits or better financial management, and to make our wealth more owned and independent in the future. When they first contact investors, they will ask how much the initial transaction is appropriate. Waihui Baozhai's advice is to invest with spare money. It is recommended to invest 3k to 5k, and the minimum investment should not be less than 1k, and there is basically no possibility of profit below1k. Speaking of which, someone will definitely be unconvinced and say that the profit has doubled. I believe it's mostly luck. Imagine, if the investment of 100 USD quadruples to 500 USD, I believe it will be difficult for him to control his capital above 1k in the future, and he will eventually lose money.
It is suggested that novices should make the following preparations before investing, so that they can take fewer detours and become rational investors faster.
1. Novices can study while reading, so that they can make faster progress, especially the basic knowledge of foreign exchange is very important, so they must master it well.
2. You don't need to have a basic knowledge of English, just need to know that the letters in the platform represent currency pairs, such as USD for USD, EUR for EUR, and EUR/USD for how much USD one euro can be exchanged.
3. Do more simulations in the early stage and be familiar with the operation process of the platform. You can read some introductory books, such as the lever of wealth, the treasure of wealth, Japanese candle drawing technology and other classic books. These are all books that investors must read.
4. Start the simulation operation and remember to judge the general trend of the market. There is no shortcut to foreign exchange, but there is a way, which is to follow the trend, flow slowly and accumulate wealth slowly.
5. Judging the general trend, it is recommended to look at the graphics for more than 4 hours. It is recommended to look at the 30/60-minute K-line for short-term admission, and do not exceed 10% position at a time. Foreign exchange investment and financial management, don't always think about speculation cancellation, and develop good habits when simulating. Stop loss should be set for each order, and the actual account should be strictly observed in the future to make better profits.
6. Keep a good attitude and make a normal profit. If you don't do well that day, control your emotions, talk to some like-minded friends, and trade at most 3 lots, regardless of profit or not.