Okay. Let’s talk about Online Forex Trading.
You might have heard about it before. Or this could be the first time you are coming across the term. Either way, today I have a very brief message for you:
You cannot afford to ignore forex trading if you really want to change your financial status! I have seen it move me from grass to grace in less than 3 years.
Like you, I started nowhere. But I was determined to learn and invest. Can you say the same of yourself?
Here is the thing. It doesn’t matter who you are or what you do.
You could be a student of economics and wondering why you got into it in the first place. Maybe you are in between jobs. Or you have a daytime job but you are desperately looking for supplemental income.
You are probably a small-time forex trader already. Maybe you run a multinational company….
It really doesn’t matter who you are. Forex trading is for every one of us. And the sooner you understand how to play the ‘game’, the better you’ll become.
Like every game, forex trade should be fun. You should play it to win. And just like games have rules, so does forex trading. Breaking any of the cardinal forex rules will break you.
This blog is dedicated to helping you master the game and its rules.
How I Began Trading Online Forex
I had a very tumultuous start with forex trading. I broke a fundamental rule, and paid for it dearly.
I am not the most brilliant forex trader in Kenya. I do not hold any academic qualifications in finance. I studied Journalism in a university with an awkward name to mention. I graduated with a second-class lower degree. and broke all my relatives’ hopes and dreams of seeing me on TV channels in Kenya reading the 9 o’clock news.
After graduation, I applied to different companies for a job as a journalist.
4 years down the line, I am still to hear from any of them.
Sometimes I console myself that my application letter got lost in the post office.
Or the secretary at the reception accidentally shredded it with some other garbage. She could accidentally do that, right?
Back then, I didn’t have much to show, but a burning desire to achieve success and financial freedom. It was this desire to shine that first led me to online forex trading.
4 years ago, after failing to secure formal employment, I was sitting with a friend at a popular restaurant in Nairobi.
I was explaining to her how I might not be able to contribute to our Chama anymore. My financial obligations were growing steadily, and I didn’t have a stable source of income.
She flipped her laptop open, revealing a desktop cluttered with all kinds of charts.
“You could try this. It is awesome!”
Over the next few weeks, I continued being drawn to online forex trading. What finally sold me to the idea of trading forex was not all the good qualities of forex trading, but the fact that all I needed to get started was a computer and an internet connection.
Totally intrigued with this new venture called online forex trading, I continued bombarding my friend with all sorts of questions:
- Did she know of someone else who had made money trading forex?
- How much was she making per day trading forex?
- How long would I take before I mastered the game?
They were all genuine questions, but what really finally sold me was the George Soros story.
Among all the people Agnes told me about, one example firmly stuck into my mind. She told me how On September, 16, 1992, George Soros made $1 billion in a single day, and rendered the Bank of England broke!
I was finally sold. I didn’t expect to make a billion dollars in one day like George Soros had done, but I was ready to milk the forex market for all it had to offer.
I borrowed 55,000/= from our Chama and invested the whole amount into online forex trading.
Things Going Haywire
I will never forget my first trade.
It was on the USD/JPY. The currency pair had been on an uptrend the whole day and had just reached a new high when I decided to place my trade.
I still recall the optimism that preceded the trade. I would be able to pay the chama loan on my first day of trading forex!
Since the USD/JPY price had reached a new high, I was totally convinced that it could only go down next. I clicked “sell”. The price continued to go up. I still held on, believing that the price was still bound to go down again. In fact, I clicked on “sell” again, this time I made my lot size double the first one. If the prices started going down, I could make some tidy profit.
Minutes passed. The price continued to climb.
Hours passed. I still held on the hope that prices would come down-that I would not lose any money on my first trade.
My account had already registered losses the moment I clicked sell for the first time. I couldn’t bring myself to close the trade on a loss. I had to wait for the trade to register a slight profit.
Three days after opening my first trades, the forex broker closed all the positions for me. I had received the dreaded margin call. I had lost all my investment.
I had tried to invest in forex and failed miserably. I had lost all my money and I was in debt. If I was like so many people, it is at this point that I should have given up on pursuing trading forex. I was however convinced that I would make it, come rain or shine. Online forex trade was to be my ticket to the Promised Land.
How to be Successful in Online Forex Trade
Losing 55,000/= in a single week was one of the most devastating blows I have ever suffered. I had every right to give up and never want to hear anything about forex again.
I had the right to believe that forex trade was gambling. I was tempted to quit. The only thing that kept me holding on were two question that I kept asking myself:
- Did I know of people who were successful forex traders? The answer was a definite ‘yes’.
- Did I want to be successful in forex trade? Yes I did.
90% of beginner forex traders lose money in the industry. Most of them never go back to trading. This is a scary statistics, and you have all the right to stay away from online forex trading.
However, look at it the other way round. 10% of all beginner forex traders end up making a fortune with online forex trade.
To be successful in forex trade, you have to switch your mind. You have to think like a winner and act like one.
Of Trader A and B
Here is an example of two traders that I like to give. I’ll call them trader A and B.
Both traders have 100K that they would love to invest in the forex market. Trader A divides his money into two parts. He uses 30K to pay for training, and reserves 70K to use as his starting capital.
Trader B does not see the need for training. He invests 100K into his trading account. After 2 weeks, he has committed every mistake in the book and lost his whole investment.
Meanwhile, Trader A is enjoying a smooth ride. He started with training. Avoided all the common forex trading mistakes, and after one month, he’s recouped the money he spent on training and reinvested it! He is headed for Gold!
At this time, Trader B- the losing trader- has a few things he can do:
- He could work his way up again, earn 100K and invest it in his trading account, or
- Get another 100K and divide it into two. Spend 30K on training and 70K to invest.
Which Trader Would you Rather Be?
When I first started trading, I had all the characteristics of Trader B. I was stingy with my money. I didn’t want to pay for training. But I learned the hard way. Ignorance is expensive.
After my catastrophic loss, I dedicated the next 6 months to thorough learning. I spent time on forex forums. I read free articles on forex trade websites. I registered for expensive forex training lessons and I even flew to London for a weekend of training which cost me more than 500,000/.
I was ready to spend every coin in my savings account to learn this thing.
The more I learned about the FX Market, the more I came to realize the cardinal laws of forex that I had broken
- The trend is your friend
- You do not hold onto a losing position
- You should never invest money that you are not ready to lose
After three years of severe practice, lots of sweat and tears, I finally made it. Between June and August 2014, I made over 1,000,000/= trading forex.
That was my turning point.
About You and The Forex Markets
The Forex Market is one of the biggest markets in the world.
There are innumerable websites offering free forex trade tutorials, including a few that are run by fellow Kenyan traders.
I do not wish for the Kenya Forex Firm to be another website that regurgitates content from the web.
There is only one purpose behind this website. To teach you how to trade forex like a pro.
I have developed a foolproof trading system that every trader would die to get their hands on. My strategy has over 90% win rate in the forex market.
But to be honest. This training is not for everyone. In particular, it is not for the Type B traders.
It is for the guys who believe in the power and beauty of their dreams, and they are willing to do everything to live up to those dreams.