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!
Meatball Parmesan Bake
Meatball Parmesan Bake
This hearty meatball Parmesan bake combines homemade meatballs, marinara, and Italian cheeses in one skillet or pan. Perfect for subs, pasta, and more!
Ingredients
- 1/2 lb ground pork
- 1/2 lb ground beef
- 1/2 lb ground veal
- 6 cloves garlic minced
- 1 cup Italian breadcrumbs
- 1/2 cup milk
- 1/2 cup shredded Asiago cheese
- 1/2 cup shredded Parmesan cheese
- Handful of fresh parsley chopped
- 2 eggs
- salt and pepper to taste
- 1-2 jars of marinara sauce of your choice
- 1 - 1 1/2 cups shredded Italian blend cheese or shredded mozzarella
- Drizzle of olive oil
- 1/2 tsp Italian seasoning
- Fresh basil minced (for garnish)
- Fresh parsley minced (for garnish)
Instructions
- Preheat oven to 400 degrees F. Line an oven safe skillet with foil and set aside.
- In a small mixing bowl, mix breadcrumbs and milk. Set aside.
- Mix ground meats, garlic, breadcrumb mixture, Asiago and Parmesan cheese, parsley, eggs, salt and pepper, by hand until just combined, being careful not to over-mix.
- Use a small cookie scoop and form ping pong ball sized meatballs.
- Spray prepared foil-lined skillet with cooking spray and place formed meatballs on the foil.
- Bake for 20 minutes.
- Lower oven temperature to 375 degrees F.
- Place meatballs on a plate and remove foil from skillet.
- Pour about 1/2 cup marinara sauce in the bottom of the skillet and spread to cover.
- Place meatballs in skillet in a single layer.
- Pour remaining marinara sauce over the top of the meatballs, then sprinkle shredded Italian cheeses over the top, so all the meatballs are covered in cheese.
- Drizzle a little bit of olive oil over the top of the cheese, then sprinkle with Italian seasoning.
- Cover skillet with another piece of foil and bake for 20 minutes.
- Remove foil and bake, uncovered, for another 20 minutes.
- If desired, broil the dish for a minute or two after baking.
- Garnish with fresh basil and parsley if desired.
RECIPE NOTES
If you prefer not to use ground veal, substitute it with an equal amount of additional ground beef or pork.
Recipe adapted from Hugs and Cookies
