“Timing is everything” is a phrase which is true in many areas of live and it is doubly true of Forex. After all, when you trade, even 10 seconds can mean the difference between a massive gain and a low one, or between a gain and a loss.
But today I want to discuss the question of timing in the macro sense. I don’t want to talk about seconds and minutes, but weeks and months. My question that I put before you is whether this is a good time to be trading Forex?
In my opinion the answer is a definite Yes!
There are a number of reasons for this:
1. The stock market (and the bonds and commodities markets) are still in an uproar. Yes, we’ve seen some recovery, but I venture a guess that the bad times aren’t through just yet and that we’re in for some surprises. It is just to hard to predict where the stock market will be going any time soon.
2. The opportunity is greater – The Forex market has seen fluctuations and turn-arounds which are usually few and far between. Due to the economy, Forex has become a wilder more shifty market. Of course, it isn’t as turbulent as the stock market, but the movements are still big.
This means that if you know what you’re doing, you can make tremendous gains these days. Of course, the risk is also greater, so you need to work with a good trading system to profit hugely.
3. Forex is the easiest way to trade. What I mean by that is that to really know a stock, you need to understand a company inside and out. If you look at the kind of reports these publicly traded companies publish, you know that it takes a lot of time, patience and financial knowledge to read and understand these reports. With Forex it’s easier. Much easier.
4. As the economic situation is worse for some countries than others, it is easy to invest in the currency of those more fortunate countries than to hand pick stocks of foreign companies or invest in their bonds.
5. It is easier to trade both ways in Forex than it is in stocks. You can easily Buy and Sell any currency and that is very important in a turbulent market.
Overall, I believe that this is a great time to trade Forex. Of course, you need to learn how to trade and do your homework about the market. If you do, I see no reason why you shouldn’t come out of this economic crisis a wealthier person.
