Many people dream about becoming rich from trading currency online, and the whole hearted truth is that it can be done. You might have heard about the huge failure rate that new comers have in the currency market and that unfortunately is a realistic statistic as well. For the purpose of this article we are going to assume that you are already an established forex trader or at least having enough success that you can think about doing it full time.
One of the things that you need to look at is your trading plan, if you are already accumulating more wins than you are losses then great. What you need to consider in your plan when currency trading as a full time income is the drawings you are going to take to live off. Like any business you are going to need reserves in your trading account and you are going to want to reinvest or raise the stakes as the case maybe. In any case you are not going to be taking out all your profit every day.
A good suggestion is to take out 80% of your winnings every week on the same day so that it becomes routine. Keep yourself a base line for the minimum; an idea would be to say the minimum is $500 a week. In this case you are not using your living costs to place trades with and you always have a wage even if you lose that week. The reason you want to keep 20% of the winnings in the account is for this very reason, when you have a $1000 losing week you can still pay yourself $500 because of all the accumulated 20% you have built up.
The weeks when you make $5000 then you have yourself a nice wage and you still build yourself an account to work with in the future. If you are at the stage of turning to currency trading as a full time income then I am sure you are aware of risk management and money management; never lose sight of these two ideals as it could be the difference between success and failure.
Some of you may have investigated the aspect of leverage or already be using such a method to generate higher profits. Experience has shown us all one thing over the years of the bad economy and that is "do not risk money that you cannot afford to lose. I strongly recommend avoiding leverage unless you either have a 100% success rate or you have expendable assets that can cover your losses.
There are all sorts of different tax implications when currency trading as a full time income they vary from country to country so it is fairly pointless me writing about any particular country, but it is something worth looking into as straying outside the law could cost you dearly.
Adam has been Trading Forex for 5 years. He has tried and tested many automated software tools, trading systems and so called copy a trader systems. Although Adam now trades for a living on a daily basis it has taken a trial and error rollercoaster to get there. Adam owes his success to the World Forex Club for their live rooms, training and above all patience in helping him reach his goals.
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