Thanks to new technologies, practicing trading is now within the reach of anyone, from the living room at home and without the need to have obtained university degrees. Of course, we cannot just jump into trading because it carries risks, we need a series of tools:
- A computer, a tablet, or a smartphone
- Internet connection
- A broker
- A trading account
- A trading platform
As you can see, the first two tools are practically already installed in every house, they are part of everyday life. It is very likely that you already have an Internet connection and that you have a computer, landline or laptop, a tablet or a simple mobile phone.
The other three tools are interrelated: when you hire a broker, it provides you with the trading account and the trading platform. There are different types of accounts depending on your investor profile, and it is simply similar to a bank account.
The Broker
It is the intermediary that allows you to place your orders on the market. The first step in answering the question of what is trading and how to trade is to choose a reliable and regulated broker, such as Admiral Markets UK Ltd, which is authorized and regulated by the Financial Conduct Authority (FCA).
Trading platform
As for the trading platform, it is nothing other than the software that allows you to open and close positions, analyze the market with charts, use indicators for your strategies. The MetaTrader platform is the most popular and used by traders: free, robust, intuitive and easy to use.
To these tools we must add another, if possible, even more important: training in trading. It is not convenient to launch into the world of trading without being very clear about some basic concepts such as pip (percentage point), volatility or leverage. In order to understand these tools well and use them correctly to get the most out of them, it is best to take trading courses. At the end of the day, it is not about having a stroke of luck, trading is complex in nature and navigating the financial markets requires training, dedication and discipline.
Training
To achieve a good training in trading we do not need to spend large amounts of money. In fact, it can be free. But before getting into it, let’s see what types of courses exist to know in detail what trading is. We can talk about two main categories:
- Online courses
- Face-to-face courses
Online trading courses are distance courses. The speaker provides Power Point presentations, videos, manuals, trading simulators, and personalized consultations.
During these online courses, the beginning trader can go from beginner to advanced level at his own pace. This type of course can be free or paid.
Face-to-face trading courses are much more specific. It is recommended that the beginning trader have at least a basic understanding of trading before considering this type of training. The speaker, generally a successful trader, will teach you their trading strategies and risk management.
Generally, brokers offer free online and face-to-face courses whether you are a client or have not yet opened a trading account. Attending these courses also allows you to know a little about the broker and those who work in the firm before opening an account, in order to know if it is trustworthy and to avoid scams.
Criteria for choosing a good course:
⭕ Reputation of the stock market course. With an Internet search you can get an idea of whether the course is of quality.
⭕ Costs and duration of the stock market course. You will have to estimate, first, if it is paid or free and, second, if it requires a lot of time or if it is flexible and you can adjust it to your free time.
⭕ Finally, always check Terms and Conditions and if the course is offered by someone who is subject to regulation.
