Forex practice account programs have made Forex trading accessible for countless people across the globe. Forex trading today really isn’t the same as it was fifteen years ago. As the Internet has made all kinds of information free and easy to access; people are now educating themselves across a range of subjects and industries.
Of all the industries affected by the recent development of IT, Forex was perhaps the most transformed. Forex trading went from being the full time occupation of financial sector veterans in New York, to something that anyone can get involved in from their home computer. These days Forex traders come from all kinds of backgrounds and have all kinds of other careers.
Most Forex brokers will start the uninitiated off with a Forex practice account. When you open your account your broker will probably set you up with Metatrader 4. Metatrader is the world’s most popular and accessible trading application so it’s a great tool for beginners.
A Forex practice account means that you can make hypothetical trades as Forex developments are fed to your computer in real time via Metatrader. You won’t win or lose real money based on the trades you make, but a practice account gives you a chance to see how your trades would have gone had they been real. The idea is that you can experiment with unorthodox strategies or clarify ideas that might work, by practicing your trades in a risk free manner.
Another advanced feature of Metatrader is automated trading. Automated trading involves telling Metatrader when to buy or sell certain currencies based on what’s going on in the market. Automated trading allows you to place orders much more quickly than regular trading, and when it comes to Forex time is of the essence. Automated trading is considered riskier by some so it’s a good idea to spend some time with a practice account first.