Hello people, in this post, I am going to share how a beginner trader should start trading in currency market.

There is a term called 'Scalping'. For those who don't know what scalping is, I'll describe that. Scalping a basically opening and closing a trade for a very short duration of time, usually within few minutes for a profit of 1-2 pips per trade. It might sound very unprofitable but think once again, if you can make a profit of 1 pip in one minute, then how much profit you gonna make in one hour full of trading!!! Yeah, its 60 pips.

Now lets take an example, suppose you have 30$ in your trading account, and you opened a trade of 0.02 lot. Then for every 1 pip profit, you'll make 20 cents. Now suppose, you are very lazy as I am and cannot trade for one continuous hour. So you traded for 15 minutes, hence you have made 15*0.20 = 3$ in just 15 minutes.

As Forex market is open 24 hours, so if in one day, you had one hour trading experience, then your profit in one day would be 3*4 = 12$. Isn't that's amazing for only one hour working in a single day!!!

Now, as you make profits, your equity increases and so, you can trade for bigger lots and hence more profit.

I would suggest you to go for scalping until you reach 100$ mark. After reaching 100$ of equity, you would be having much experience that you can go for bigger lots trading and for longer duration, which will lead to much more profit in a single trade.

But, there's always a risk of loosing your equity, when trading for longer duration. So, before going for a trade, you must be able to identify the expected market movements, and then trade accordingly. This can be done through various market indicators.

More information on market indicators will be posted soon.