It's possible to trade profitably on the Forex, the nearly $2 trillion worldwide currency exchange market. But the odds are against you, even more so if you don't prepare and plan your trades. According to a 2014 Bloomberg report, several analyses of retail Forex trading, including one by the National Futures Association (NFA), the industry's regulatory body, concluded that more than two out of three Forex traders lose money.
This suggests that self-education and caution are recommended. Here are some approaches that may improve your odds of taking a profit.
Prepare Before You Begin Trading
Because the Forex market is highly leveraged -- as much as 50 to 1 -- it can have the same appeal as buying a lottery ticket: some small chance of making a killing. This, however, isn't trading; it's gambling, with the odds long against you.
A better way of entering the Forex market is to carefully prepare. Beginning with a practice account is helpful and risk-free. While you're trading in your practice account, read the most frequently recommended Forex trading books, among them
Currency Forecasting: A Guide to Fundamental and Technical Models of Exchange Rate Determination, by Michael R. Rosenberg is short, not too sweet and highly admired introduction to the Forex market.
Forex Strategies: Best Forex Strategies for High Profits and Reduced Risk, by Matthew Maybury is an excellent introduction to Forex trading.
The Little Book of Currency Trading: How to Make Big Profits in the World of Forex, by Kathy Lien is another concise introduction that has stood the test of time.
All three are available on Amazon. Rosenberg's book, unfortunately, is pricey, but it's widely available in public libraries. "Trading in the Zone: Master the Market with Confidence, Discipline and a Winning Attitude," by Mark Douglas is another good book that's available on Amazon, and, again, somewhat pricey, although the Kindle edition is not.
Use the information gained from your reading to plan your trades before plunging in. The more you change your plan, the more you end up in trouble and the less likely that elusive forex profit will end up in your pocket.
Diversify and Limit Your Risks
Two strategies that belong in every trader's arsenal are:
Diversification: Traders who execute many small traders, particularly in different markets where the correlation between markets is low, have a better chance of making a profit. Putting all your money in one big trade is always a bad idea.
Familiarize yourself with ways guaranteeing a profit on an already profitable order, such as a trailing stop, and of limiting losses using stop and limit orders. These strategies and more are covered in the recommended books. Novice traders often make the mistake of concentrating on how to win; it's even more important to understand how to limit your losses.
Be Patient
Forex traders, particularly beginners, are prone to getting nervous if a trade does not go their way immediately, or if the trade goes into a little profit they get itchy to pull the plug and walk away with a small profit that could have been a significant profit with little downside risk using appropriate risk reduction strategies.
In "On Any Given Sunday," Al Pacino reminds us that "football is a game of inches." That's a winning attitude in the Forex market as well. Remember that you are going to win some trades and lose others. Take satisfaction in the accumulation of a few more wins than losses. Over time, that could make you rich!
CHEESY SPAGHETTI BAKE
CHEESY SPAGHETTI BAKE
Who here loves Spaghetti?
I have loved Spaghetti since I was a little girl! In fact, it’s always been a family favorite and one that everyone in my family enjoyed. We grew up on this Spaghetti recipe, and have all introduced this to our own family’s, which means the entire crew (cousins and all) really love that recipe. Since being in Texas I have tried a few new Spaghetti recipes, some we haven’t loved and others we definitely enjoyed, and today’s recipe happens to be one of the latter. This Baked Spaghetti was very simple to make and was so delicious! It has a bit of a nip because it has Italian sausage, but if you don’t think your kids will like that, you can just use only hamburger meat. My kids thought it was a little spicy since they don’t eat a ton of sausage but they still ate it because it was so good and so cheesy!
If you are looking to venture out and try a new spaghetti recipe, I highly suggest giving this one a try. We make pasta one night a week, and for us, it’s nice to have several recipes to choose from. You better believe this one is being added to the pasta rotation ASAP!
Here is the simple recipe:
CHEESY SPAGHETTI BAKE
Serves: 6-8
INGREDIENTS
- 8 ounces uncooked spaghetti, broken up
- 1 large egg
- ½ cup milk
- 1 teaspoon garlic salt
- 1 teaspoon sugar
- 1 teaspoon oregano
- 1 teaspoon basil
- ½ pound ground beef
- ½ pound bulk Italian sausage
- 1 - 14 oz. jar meatless spaghetti sauce
- 1 can (8 ounces) tomato sauce
- 2 cups shredded mozzarella cheese
- Fresh basil (for garnish)
INSTRUCTIONS
- Preheat oven to 350°.
- Cook spaghetti according to package directions.
- While spaghetti is cooking beat egg, milk, salt,in a large bowl.
- Drain spaghetti and add to egg mixture and toss to coat.
- Pour into a greased 13x9-in. pan.
- In a large skillet, cook beef, sausage, sugar, oregano and basil over medium heat until meat is cooked. Drain and stir in spaghetti sauce and tomato sauce. Spoon over the spaghetti mixture.
- Bake for 15 minutes.
- Sprinkle with the cheese and fresh basil and cook an additional 15 minutes.
- Let set a few minutes before serving. ENJOY!
Recipe adapted from Taste of Home.
