Make Money Trading Online – Will it Be Swing Trading, Gold, Or Forex For You?
Simple investors try to make money trading online usually in one of three ways. The most hyped method is forex (or foreign currency) but in reality that is a losing proposition more than a winning one for average traders. The second most hyped method of making a big splash in the market is investing in gold. This too is more pyrite than bullion however because the devotion to the shiny metal is more of a world-wide religious zealotry than fundamental truth. The other recent really popular movement has been a phenomena called swing trades.
People Make Money Trading Many Ways – What Way Will Work for You?
While I believe all forms of investment are worth examining it is important for individuals to identify which method or methods might work best and focus on one market or style. Consider the above mentioned three investment styles: forex, gold, and swing. How might an investor decide which style will allow them the best chance to make money trading online?
Is Forex Your Cup of Tea?
An investor thinking that forex might be their forte would have to be familiar with long time forex Italian Trading cross rate relationships, macroeconomic principals, and be able to handle the pressure associated with highly leveraged margin positions.
Do You Have a Finger for Gold?
In the case of a gold trader the skills required to be successful might include a strong knowledge of seasonal supply and demand trends. It would also likely require paying close attention to the principal mining companies. Lastly it would require a good understanding of specific macroeconomic factors such as interest rates, inflation, and the core US dollar cross rates (EUR and GBP for example).
Can You Read the Pulse of the Market?
Someone wanting to make money trading online using a swing trade method would have to specialize in momentum trades. This type of investor focuses on highly liquid securities and worries much less about the macroeconomic and financial fundamentals and instead concentrates on the microeconomic forces moving a single specific security.