Before getting started with a live account using your own funds open a demo or practice account (with Sarrafx). Use that account first of all to navigate around the site and monitor how it functions.

Get to know the platform as you aren't really ready to trade yet understand the functionality you can't do any harm. It is more than "kicking the tyres". Hopefully going forward this will be the engine that drives your profits.

FX margin trading and indeed all FX trading is driven by two major factors; Fundamental Analysis and Technical Analysis.

Forex trading technical analysis is the study of charts of past price movements to determine future price action. Please take a look at our Autochartist funtionality to learn more.

Fundamental Analysis is the study of the effect of global activity on the market. Data releases, political activity, natural disasters etc. all have an effect on the movements of currencies. An active study of various news providers like Bloomberg or Reuters will provide number of links to relevant news stories. Access to a FX economic calendar is also important. Click the link to view ours.

Once you feel comfortable it is time to consider a first trade in the demo account.

As you have gone along certain things will have become clear and they should form the basis of your first trade.

As you learn more about price action you will understand what moves markets. This is something that is impossible to teach or to put a time frame upon.

However once you feel comfortable and that doesn't necessarily mean having a run of successful trades it is time to open a live account.

Trading with your money is VERY different from a demo account.

Discipline is everything!

There are five rules which will help you to become successful in financial trading and currency exchange:

1) Only trade when you feel that its is right to take a position

2) be disciplined with your orders.

3) Make sure all the indicators in your strategy point to making a trade

4) Always stick to your profit taking levels

5) Understand why you lost money on any particular trade.

6) Accept when you are wrong. This article contains a very sensible idea.