The following is a guest post by Ben Barlow. Enjoy!
Whether you’re a novice trader or someone with a rich history of trading, it still remains a very difficult way to make money. Markets are difficult to predict and move quickly, meaning that you need to act fast when executing trades, spotting patterns before anyone else. As such, you need all the help you can get. Luckily, a number of tools are available. Here, we take a look at the top resources for aspiring traders.
- News Sites – Get to Know the Market
It may sound a little boring, but the best way to improve your trades is to read, read, read. Markets fluctuate based on world events so, by logic, the more you know about world events the easier it will be to make informed trades.
Start by continually reading reputable sites such as the BBC, which is widely used for technical analysis. When you have a good grip on the geo-political situation, expand your reading further to include more complex financial sites, such as the Financial Times. Here, going online is far better than buying a broadsheet, as the information is more up to date.
- Trading Calculators – Know the Rate Information
When you’re calculating your trades, it’s important to know exactly what’s at stake.
All you have to do is input your appropriate currency, account currency, leverage and position size. Once you’ve hit enter, you’ll have all the information you need to trade with. A good calculator should even be able to factor in the fees.
Calculators can be used to work out how much margin is needed to open a position, or you can use a profit calculator to see how much you stand to make from a trade. It’s simple and only takes a few clicks – there’s no need for pen and paper ever again.
In the 21st century, there’s absolutely no reason why you shouldn’t be monitoring your trades on the move. The markets move so quickly and with every second you’re away from the screen, you’re risking your profits.
To ensure you have all bases covered – even if you have stop-losses – ensure that you download as many trading apps as possible. Thanks to free public Wi-Fi and fast 4G networks, you should have no problems accessing them.
To conclude, tools are essential when you’re trading and they can prove a great help. Let us know about any of your favourites.
