Trading in foreign markets and between foreign markets, be
it Chinese, Indian or European markets has become a reality for day traders
across the globe and even on the African continent. Here is some advice to get
you started in global trading.
Trading stock markets has already changed with the using of
Internet. You couldn't play yourself on the stock market; you need to have a
broker. By 2005, the market has moved towards online trading with the
development of Internet after 1998. Now you can go online, open an
international account with a bank and start trading international markets.
If you want to become a global trader, you have to choose
which is the best trading style is for you. Especially, your trading style
depends on your personality, the time you have to trade and your knowledge regarding
market. Most traders prefer the electronic trading, which is absolutely safe.
If, you want to buy a share quicker than other traders, you have to make a
higher offer. The electronic environment is a queuing system. If you buy the
share at the current market price, you simply go to the back of the line. All
orders are filled from the front. If you want to sell now, sell at the lower
price and jump the queue.
If you really understand the markets and how the four
environmental factors influence shares - economy, politics, business and
technology - then your gut instinct starts to kick in. It only does the better
your knowledge and skills. It's different than reacting on fear or greed. Gut
instinct is not emotion. It comes with experience.
A good trader must have complete discipline, work ethic,
commit to the trading strategy (not breaking its own rules) and the work
schedule. A good trader needs to understand that if anything happens in the
Asian markets, how would that ripple-effect South Africa, for example? We are
heading towards 24 hour forex news,
where we can get any types of trading news anytime. The Internet didn't give an
advantage, it just made possible for trading hours to become more complex.
Markets move in an irrational manner. It's not always buy
when a share price goes up. Sometimes shares prices fall with good news and go
up following bad news. If the market expected better news than the news that
came out, the share price falls, if the market expected worse news than the
news that came out, the share price rises.
As a trader, you must know what these things mean. You can
learn to trade. The better your knowledge, the more you can trade. You must
have full knowledge of the companies you're buying shares from. What do the
companies do? How different are they from the competitors? How did the share
prices performed in the last months?
You would perhaps wonder how effective is trading in global
markets as a wealth creation tool, as opposed to other means of investments
like retirement funds or property investment. The question is: Why should
anyone in the world be limited to invest only in their country? One should be
able to move money anywhere in the world as he pleases. If one country
collapses, you should be able to move you money and be competitive worldwide.
Every investor should visit Forex news to know the updated conditions of market
which is essential & helpful in trading. You should visit to-: www.asiannewsfeed.com for getting this service….
How to Know About Global Stock Markets