It took several years after removing limitations of trading the currencies for retail investors for them to start taking a notice of this global market. That is unfortunate, because this market is very active and it is open continuously for five days each week. This makes it ideal for those who don’t want to trade as their primary job, but would still like to take an active part in it. Like any other market, there are financial and technical parameters that a trader should understand before starting transactions.
- Part-time traders should stick with major currency pairs that are appropriate for their time zone.
- Automated trading is ideal for part-timers, but any strategy needs to first be backtested and forward tested.
- Day-traders can make use of technical indicators, but part-time traders need to look at price action and daily and weekly charts.
“The fear of missing out builds upon the psychological concept of day traders. Traders often feel that they may miss a large market movement. Most often, this manifests as lost trading opportunities.”