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How to Get Forex Mentoring

By Charles Hopkins Published 10/14/2006 | Finance

How to Get Forex Mentoring

The Forex market is one of the largest financial markets in the world, with an average daily turnover of over 9.1 trillion USD, making it 30 times larger than the combined volume of all equity markets in the US.  The Forex market deals with paired transactions where there is the simultaneous buying of one currency and selling of another. The currency majors account for more than 85% of daily transactions. These majors comprise of the US Dollar, the Japanese Yen, European Union Euro, British Pound, Swiss Franc, Canadian Dollar, and Australian Dollar.

Forex traders face this ever so dynamic world of changes, dips and rises, up and downs, making up the currency market. Trading is a 24-hour business, with markets opening first in Sydney, and progressing throughout the other big financial capitals like Tokyo, London, and New York, as the business day starts in these places.

The Forex market has been open to public transaction since 1997, and thus, many have found themselves tempted to jump into the churning waters of Forex trading. The lure of incredible profit and gain is more than many can resist, and thus, quite a large number of those taking this path end up with losses and empty pockets.

Seasoned Forex traders have realized that this headfirst diving into Forex markets by non-professionals was a prime opportunity to share their knowledge on the subject. Consequently, Forex mentoring has arisen as a growing sector.

Forex mentoring can be found at the click of a mouse on the Internet. Many specialized websites offer training programs for the Forex-uninitiated. They usually require that the person interested in furthering his knowledge register with them, to benefit from their training programs as well as inside knowledge and tips on the market. Most require a money deposit into a trading account, to steer them through the real world of the Forex market. Others may also offer free demo accounts where the trainee can learn his way through a simulated account.

Forex simulator software programs have emerged from this kind of online training. Forex Simulator V4 is the latest simulation software to come out of the creation of ForexInterbank. It provides interactive lessons, as well as a very realistic world of market trading where one can  immediately find if a transaction was good or bad, without having to wait for the delays actually present on the real Forex market. It also provides chart tools and price data management to steer the person using it through the maze of technicalities in the actual Forex. The simulator ensures that the trader knows all the rules of the game before he actually steps onto the Forex trading platform.

Other types of training are also available as training packages, which have to be bought, and which can be visioned at home. The pack usually consists of CDs or DVDs which provide pivot calculation systems, interactive video explaining core system strategy, and answered trading questions. Buying one of these packs also gives the buyer a member login for specially set-up member forums and training areas, where he can access hours of training videos, as well as receive daily live feeds of information, and access to specially devised charts and graphs.

Some companies, sometimes comprising of Forex trading consultants, also provide seminars and workshops all over the US and also internationally. These seminars are most of the time interactive sessions where the attendee can trade side by side with the Forex traders, using his laptop and an Internet connection. Informational seminars, for example on topics like Getting started in the Forex, are usually free. The workshops also give tips on Forex trading, as well as explain how to use leverage and resources available for successful Forex training. A trading mentor is also usually available for question and answer sessions during those seminars. Typical information at mentoring workshops includes spotting a trade, where to get in, where to get out, where to place proper stops, and how to capture profit.

Other training programs can set up a training novice to work side by side with a seasoned trader. These workshops can typically look like a 3 day, on the job training where the trainee has a one-on-one rapport with a Forex trader, while the trader is actually doing his job. These comprise actual market inventory and on the spot trading that demonstrates how to work in the live Forex environment. This kind of mentoring can be a wealth of tips and information, as the trainee gets first-hand experience of the market, without having to risk his own hide in the bargains. He can also see the trading platform, and the mentor is there to answer any question he may have as a situation arises.

Forex mentoring can also be available on inside-training programs of financial institutions which deal in the market. Many banks for example have mentoring programs where trainee traders are paired with an established trader to learn the hands-on side of the job. Mentoring may also be found, albeit in a limited form, at universities which teach economic modules pertaining to the Forex markets.