I have been successful trading currencies over the years. Actually much more successful (lucky?) than trading stocks. The advantage to trading currencies is that you aren't really "buying" or "selling" anything. You are purely going long one currency and short another. In 2008 when all my stocks were getting creamed I had my best ever currency trading month in October. So one thing is, you can use the market to diversify. The stock market is crashing? Short Aussie dollars. It's a lot easier than trying to sell all your stocks during a market panic. Especially one that occurs when the North American markets are closed.
You can't have any Enrons in the Forex market. That being said, many people lose on the market because they treat it like the stock market. They "invest" ie buy and hold a currency (or sell and hold) on way too much margin then get a margin call if the currency moves 1% or 2% against them. 2% may not sound like much but if you are leveraging 50 to 1, that's 100% of your account.
If you are interested in trying out the forex market, I highly recommend a lot of research and practice on it first. If someone is giving away a system to follow, don't follow it, it is junk. If you want to trade on someone's system, make sure it's reputable and you have a chance to make money on it. It amazes me that people are willing to risk $10K on the forex market and lose it all, but aren't willing to spend $100 or $50 or whatever upfront money it takes along with some time and thought to actually make good money on a forex system. If you wish to purchase a good trading system, I recommend this one. They use the same broker I do and have years of experience perfecting their system.
There are also a lot of forex robots/auto-trade systems out there. Basically some computer whizzes meet with stats whizzes and they develop a system that will consistently make you money over longer periods of time - the law of large numbers just makes it like that. All of these systems are proprietary, because, well these guys probably put years of time and effort into it so they aren't going to give it away for free.The two forex program traders I like are:
The FAP Turbo Forex Robot
The Forex Morning Trade System
The man running Forex Morning Trade System says you only need to trade 10 minutes a day, but I dunno, I kind of like trading more than that in a day. That's another point though. You can't spend TOO MUCH time on forex trading. Overtrading can be your downfall as well.
Good luck on your Forex endeavors!
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