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!
Spicy shrimp with cauliflower mash and garlic kale
Spicy shrimp with cauliflower mash and garlic kale
Spicy, tender-sweet shrimp and smoky garlic kale over a pile of rustic creamy cauliflower mash. I really don’t think anything could make me happier right now.
While we’re eating shrimp and cauliflower mash and feeling the good feelings and such, I have a few things I’ve been wanting to tell you ranging from really superficial to semi-serious.
Spicy shrimp with cauliflower mash and garlic kale recipe
Spicy Shrimp with Cauliflower Mash and Garlic Kale – tender-sweet shrimp and smoky garlic kale over creamy cauliflower mash. DELICIOUS weeknight dinner!
INGREDIENTS
For the cauliflower mash
- 1 tablespoon olive oil
- 1 head cauliflower, cut into small florets (about 6 cups)
- 3 cloves garlic, minced
- 1 cup milk
- 3 cups vegetable or chicken broth
- 1 14-ounce can white beans, rinsed and drained
- 1/2 cup cornmeal
- 1/2 cup shredded cheese, like sharp cheddar or havarti
- 1 teaspoon salt
For the kale
- 1 tablespoon bacon fat
- 1 package kalettes, if you can find them! OR 3 cups chopped kale
- 3 cloves garlic, minced
- for the shrimp
- 1 tablespoon olive oil
- 1 lb. shrimp (enough for 4 people)
- a few good shakes of garlic salt, chili powder, cayenne, and/or black pepper
INSTRUCTIONS
- For the cauliflower: Heat the olive oil in a large soup pot. Add the cauliflower and garlic. Saute for a minute or two, until the garlic is really fragrant. Add the milk and 2 cups broth. Simmer for 10 minutes or until soft. Add the while beans and mash roughly with the back of a large wooden spoon – I loved the rustic, chunky texture of this. Stir in the cornmeal and things will start to thicken a bit. Adjust the consistency by adding in the last cup of broth as needed. Stir in the salt and cheese and season to taste.
- For the kale: Heat the bacon fat in a nonstick skillet over medium low heat. Add the greens and garlic and saute until softened. For the kalettes, I added a little water at the end to sort of steam them to finish them off. Remove kale and wipe out pan with a paper towel.
- For the shrimp: In the same skillet, add the oil over medium heat. Pat the shrimp dry. Add to the pan and sprinkle with seasonings to taste. Cook for just a few minutes and then add a quick splash of water or broth to the pan (about 2 tablespoons) to pull the browned bits and spices into something of a saucy-coating for the shrimp. It’s delicious.
- Serve the shrimp and kale over a big pile of cauliflower mash! SO yummy.
