Oh god I know I’m going to get tons of spam responses here but here goes… Hopefully there are some honest people out there.
My dad keeps advising me to get into forex silver trading. The way he has described it makes it seem great; that there are high profit yields and low risks when using a forex platform. But it’s been extremely hard for me to find honest advice out there in the interweb, as most sites just seem to be biased and self promoting. I’m considering investing $500 dollars or so and would like to find a program that works, but it’s been really hard to get any good factual information.
My dad explained that forex works in things called "pips" where every penny of gain/loss in silver is worth around $5.00. So if silver increased ten cents today, you would have profited $50 or lost $50 if it was the other way around. My dad explained that programs will have an option to sell if silver gets below a certain point to mitigate your losses. If I was investing in $200 lets say, I could lose the money quick if I wasn’t watching it, but if a program was doing it for me… Well then it sounds like it would be too easy to profit.
My dad isn’t particularly rational and I think he doesn’t know how to sort through the junk of misinformation in the business world. For me, trying to find information on silver trading on the internet is much more difficult then trying to find factual information about a subject in college, as most people out there seem to be solely concerned into manipulating people into acting in a given behavior that benefits their pocket book.
Please give me some advice on how to get into forex silver trading as a young and broke student (supposing that one should get into it at all!).
Thanks,
Flavius, what do you think the point of this question is? Did you even read my post? I’m not about to spend $500 NOW. I’m trying to get more information from good sources before I invest, and I don’t expect to get all that information from yahoo answers anyways.
I don’t mean that high profit and low risk are something inherently related to any investment scheme. I meant that a computer program would be able to manage risks through math rather than human reasoning, like commands to "sell" when x object drops below Y dollar amount. It doesn’t seem like that difficult of a concept.
Now could anyone else, that can actually read, please advise me?
trade silver high risk. as you already know, if it goes 10 cents the other way, you will loss $50.
that’s counting standard lot in silver which 1 lot is 5000troy.
if you want lower risk, just trade gold. 1 lot gold is 100troy.
and if you want to start as small as $200 i will certainly not recommend you to jump into silver.
it’s very high risk (and high return)
but with $200, trade 0.01lot (1troy) of gold is quite safe. low risk with reasonable returns.
targeting 20% return each month is very rationale. even 50% monthly return is not impossible.
if you insist trading silver, i would recommend a minimum $500 to trade 0.01lot (50 troy) silver.
find a broker that allow micro lot.
watch the trade size very carefully. what i recommend is a safe trading that let you have consistent profit without affected by too much fear when the market is against you.
any size more than 0.01lot will give you extra fear and easily take all your money away.
(or make you rich very quickly)
in short, any size more than that would not be trading. it would become gambling.
so, it’s your choice. trading consistently or gambling.
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