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!
S’mores Whoopie Pies
THIS POST WAS SPONSORED BY STARBUCKS AS PART OF AN INFLUENCER ACTIVATION FOR INFLUENCE CENTRAL. I RECEIVED COMPENSATION AND COMPLIMENTARY PRODUCTS TO FACILITATE MY REVIEW.
S’mores Whoopie Pies are basically a rich chocolate ganache and smooth marshmallow buttercream sandwiched between two graham cracker cake cookies. When you eat one you will toss your skinny jeans out the window and embrace your “fat pants” because you will realize that eating something so decadent is worth whatever price. And who really looks good in skinny jeans anyway?
A s'mores whoopie pie, graham cracker cake cookies, chocolate ganache, and marshmallow buttercream
Ingredients
- 2 cups graham cracker crumbs (approx 9-11 crackers, crushed)
- 1 cup + 2 Tbs all purpose flour
- 1 1/2 tsp baking powder
- 1/2 cup whole milk
- 2 tsp vanilla extract
- 1 tsp baking soda
- 1 tsp vinegar
- 1/2 cup butter, room temp
- 1 cup brown sugar
- 2 eggs
Marshmallow Buttercream
- 3 cups powdered sugar
- 1/2 cup butter
- 1 cup marshmallow fluff
- 1/4 cup milk
- 1 tsp vanilla
- Chocolate Ganache
- 1/4 cup heavy whipping cream
- 1- 14 ounce bag milk chocolate chips
- pinch of salt
Instructions
Whoopie Pie Shells
- Preheat oven to 375 degrees
- Line a baking sheet with parchment paper . This will help thee cookies not to stick to the pan.
- In a medium sized bowl, combine graham cracker crumbs, flour, and baking powder, set aside
- In a separate bowl, combine milk, vanilla, baking soda, and vinegar, set aside
- In a stand mixer, combine 1/2 cup butter and brown sugar using the paddle attachment and cream together for 2 minutes.
- After creaming the sugar and butter together for 2 minutes, add the eggs in one at a time.
- Beat for 1 minute.
- Slowly add in milk mixture and flour mixture, and mix until just combined.
- Scoop mixture into a gallon sized ziptop bag, and cut the tip.
- Pipe 2 inch circles of batter, it will spread, so make sure to give them space. (9 to a pan is the most I would do, you should get 24-26 total)
- Bake 8-10 minutes, let sit on pan for 1-2 minutes, then move to a cooling rack.
Marshmallow Buttercream
- While the whoopie pie shells cool, mix together all of the marshmallow buttercream ingredients in a large bowl, using a hand mixer, and pop in the fridge for a few minutes to allow to set up a bit.
Ganache
- In a microwave safe bowl, heat 1/4 cup heavy whipping cream for 45 seconds to 1 minute
- Pour the chocolate chips into the whipping cream, and stir until melted and shiny!
- Add salt.
Assembly
- Take a "cookie" and scoop 1 Tablespoon of chocolate ganache on top, and spread, then add 1 Tablespoon of the marshmallow buttercream, and top with another "cookie".
- Store in an airtight container for up to a week!
Notes
Recipe adapted from Cookies and Cups
To keep, place on parchment paper and refrigerate. Bake on a metal baking sheet, and don't forget to let cool on sheet to get best results.
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