News Americas, NY, NY, Weds. Nov. 18, 2020: Today, you can make money from home, or even via your smartphone. The pandemic has spurred technological development and adoption of mobile technologies. An efficient app may connect you to the largest financial market in the world, where trillions of dollars circulate daily. This market is known as forex, and it is easily accessible via systems like MetaTrader 4.
So, how exactly does this work? Whether you trade in the Caribbean, Latin America or anywhere else, the fundamentals are the same. To understand them, you need to know how the global currency exchange functions.
Analysis of Foreign Exchange
It is hard to find an adult who has never exchanged currencies. This process is an organic part of tourism and international trade. However, exchanging cash is only one dimension. The extensive market we refer to is now virtual. It is always a click or a tap away.
You probably know that all currencies increase or decrease in value all the time. Oil prices or international conflicts have a powerful effect on the rates. When the central bank of a nation increases its interest rate, more foreign capital flows into the country, as investors have more attractive conditions. As a result, the national currency strengthens.
The array of such factors, classified as fundamentals, is broad. Traders may base their decisions on news in the media, and updates from their trading apps like FXTM MetaTrader 4. In its fifth edition, the most important announcements are condensed in a handy economic calendar.
Other traders rely on technical indicators to see patterns telling them where the price will go. They use different price charts with adjustable time frames to look at historical data and make conclusions about the likely future. This school of thought is known as technical analysis.
Via an app, you may access indicators like volume and moving averages, change time frames, and make effective decisions based on technical data. Hence, smartphone apps facilitate both types of analysis. But how is money made?
An app is a system through which you access the market to execute trades. A trader uses its analytical features to make decisions. They may open, manage, and close long positions to buy and short positions to sell. Moreover, you may delegate decisions to a strategy manager — an experienced trader who invests a portion of your funds for a fee.
Money Making Apps Today
One of the most popular systems is the MetaTrader 4 app. It is a mobile version of a desktop terminal that has been a top choice for over a decade. The app has everything a currency expert needs, and it allows the transition to more diversified portfolios when the time comes.
To use the app, you need a registered account with a broker. Be very careful in your search — choose companies with official licences and registration from international entities like the FCA or the CySEC. In South Africa, the FSCA regulates the industry. Renowned Brokers like FXTM comply with all industry standards, including protection of traders’ deposits and their rights in the event of corporate insolvency.
Practice for Free
You cannot install an app and start trading away immediately. Every rookie goes through a training phase; it is accessed with a demo account. The latter unlocks the software in its simulated mode.
You can use a mobile app to turn theory into practice or begin with a desktop terminal. Beginners may find the full-size system more convenient, as the screen is bigger. Afterwards, when routine actions become automatic, you may easily manage with a smartphone.
Is It a Source Of Guaranteed Profit?
Forex scammers may advertise their systems as a path to spectacular gains. In reality, everything relies on your skillset and the market that is beyond your control. All you can do is predict where it goes, which requires strong analytical abilities. No trustworthy broker will promise quick and jaw-dropping results.
On the contrary, they stress the importance of education. Clients are provided with opportunities to learn through webinars, tutorials, articles, etc.
As we have mentioned, profits are not guaranteed. Everything depends on you. Hence, make sure your skills are strong enough before you venture out into the live market. Experts may also trade through desktop platforms, but their result boils down to their own abilities.
An app like MT4 or FXTM Trader has similar features, but in a more compact mode, so you can work on the go. This is especially handy for day traders, who need to monitor the market throughout the day. To conclude, if you are willing to learn, the world is your oyster. Take charge of your financial future through a powerful FX app!