In a world of plastic credit and debit cards, cash is still the king. Currencies don’t have to be cryptic. Here’s how to trade them.
The chances are you have money in your pocket. Even in a world of plastic credit and debit cards and contactless payments, cash is still the king. Sometimes, we have so much of it that we throw it away or put it away for safekeeping. Nobody likes pennies and nickels thrashing around in their pocket weighing them down.
But, what if you didn’t need to save them to make money? What if you could make money from currency? “The thought is nice but only bona fide traders can do that” isn’t a phrase which applies any longer.Currencies Don’t Have To Be Cryptic. Here’s How To Trade ThemClick To Tweet
Here are the reasons why.
You’re a novice with no knowledge of the industry or how it works. In the past, exclusivity is what stopped regular people from investing. Now, the cat is out of the bag thanks to the internet. Experts wanting to branch out and use their skills can do with a website, so they are only a click away. FX-List will put you in contact with some of the best investment opportunities on the market. With the right technology, there is no need to speak to a human being as AI-driven platforms analyze your wants and come up with suggestions. Benzinga has more.
One of the reasons trading currencies was exclusive was insider knowledge. The experts knew things in advance and could make moves based on the info. Not in an illegal sense, but in the way of being able to spot trends in the market. Think of the hedge fund managers and investors in the movie “The Big Short.” By realizing that trends end when they consolidate or trade in a range, you can make money relatively risk-free.
Technology has advanced to the point where you don’t need it in your hand any longer. With a crypto, you can mine it on a computer and sell it for a huge profit. Bitcoin might have dropped from its high of $20,000+ yet the sale price is still at $5,000 per share. And, it isn’t the only one which is accepted as the industry is growing. Litecoin is fast becoming the new Bitcoin with a share index of $36. They don’t all have the same pulling power of the first of its generation but it’s still a huge profit considering how much it costs to secure it. You need to be careful, of course, but the opportunities are very exciting.
“Forex hedging” is a trick traders use to eliminate risk. A word of warning: there is no way to guarantee a win. Losses are apart of the game, but you can limit your exposure. The way to do it is to take two positively correlated currencies and go in the opposite direction. The logic is that this should even out the coverage and prevent you from losing money. In short, it’s a free bet (to a degree). Some pairs include EUR/USD and GBP/USD.
See, you don’t have to save to make a fortune. Sometimes, it’s vital to speculate to accumulate.