Personal Finance and Investment

I am generally recognized as a top expert in the stock market and particularly at teaching people how to develop into their neighbour’s millionaire round the corner. I didn’t start off as skilful and clued-up as I am now. When I began, I knew almost nothing. In my early twenties my experience was so poor that all I could do is to stand by watching a full-time stock broker stealing $90,000 from my 75 year old grandmother. I witnessed the nationwide stock brokerage defend the interests of that broker, while my grandma lost all she had.

The pain of this drama was so acute that it provoked me to pursue my Ph.D. in finance - not more than a 100 of students graduate in finance worldwide each year, as the subject is extremely difficult in terms of math. Frustration and anger I had at the huge rich power behind Wall Street spurred me to become a contemporary master of money. And that’s what you also need to do - wake up!!! Awaken to the belief that you can become a stock investor. Believe that you are in control of your destiny and that it’s in your power to stop delegating all the control to the Wall Street system, which couldn’t care less to provide for your financial future. Taking full responsibility for your investment, earnings and savings is the first step to your financial welfare.

Many years ago I learned from my friend, an expert in finance, that if I didn’t take complete responsibility for all my investment choices, then I would never make progress - I would merely interrupt the delicate feedback loop that gives all of us an opportunity to learn from our mistakes. Every time you accuse someone else of a financial mistake, you obliterate an opportunity to learn a lesson and benefit from the situation. The straightforward move you should make is to genuinely and firmly say to yourself: “I am the master of my life and I am in charge of everything - Wall Street is not in command of my mind”. This is the most crucial change you must make to your way of thinking.

Some of your acquaintances may think that you are big-headed. Never mind - just ignore them and laugh all the way to the bank! Don’t listen to everything people say - are these noisy little bugs in your life, who so quickly nay say your investment plans, paying off your bills or funding you to move ahead?! If not, then blow them off! They are just giving you a poor advice to make you fall into the same loser traps as they once did. In terms of investing become your own consultant and carefully build up relationships with people who indeed know how to do investing successfully. That is precisely what I have done. I began to look for people who really knew the market. With time I found them and I asked them many, many questions. That’s how my career of stock investor has begun.

Forex trading has great many advantages as compared to the various other methods of investment. Firstly, it is a 24 hour, 5 days a week market. Weekends are off. You start with the US market, then switch to the European and finish with the Asian. The best time for trading is during the periods of overlapping.

The US and European Forex markets overlap between 5 am and 9 am eastern time, while the European and Asian markets - between 11pm and 1am eastern time. Those periods are usually both the busiest and the best time to trade.

It’s worth noting that some accounts are subject to the risk factors. For example, with options and futures you can experience margin calls that can put you out of business. If you make a bad trade, not only do you lose funds in your account, but in addition you may have to pay in much more from your own pocket. This can be quite risky.

However, in Forex that’s not possible. Worst-case scenario is when you lose everything that is in your account. But to end up in a situation like that, one would have to do something quite weird. For example, like starting a big trade on a Fundamental day and letting things drift. If then the market takes a downward swing and you are not there… bad things may happen. Fortunately, an experienced trader would never do a thing like that.

To help you get started Forex also offers demo accounts, in which you can practice safe trading, while using realistic things like the right platform, charts, real-time news etc. At the same time, you are not using real money, and this process is often called paper trading.

In addition, in Forex you can get a mini account, which, as opposed to standard account requiring thousands of dollars, can be opened  with just as little as $300. With mini account, however, you will only be trading at one tenth of a trade. To put it another way, you will be controlling only 10,000 instead of 100,000 lots. But this also means you are only risking 1/10-th as well!

In summary, if you are drawn by idea of investing, but would like to avoid high risks, Forex trading is one of the first things you should closely consider.