The fintech revolution has enabled nearly anyone, anywhere to take part in online trading. In the past decade, more and more professional and novice traders have joined the revolution and began investing online. There are millions of traders around the world and the online trading community is increasingly growing. If you wish to get into the exciting world of online trading and investing, here are five things you should know:
1 – Choose the right platform
The most important thing to remember is that all trading involves risk, so you should take all necessary measures to reduce the risks you take. While trading itself has its risk factors, there are peripheral risks that can be easily avoided. Many platforms promise easy ways to make incredible profit, but as these things normally go, if something’s too good to be true – it usually is. To avoid falling into these traps and losing your money to empty promises, make sure the platform you choose is regulated by certified regulation authorities, and has the means to secure your finances and personal information by using encryption methods and working with well-known banks.
2 – Find your trading style
While the term “trading style” is quite broad, one of the key factors to consider is your desired level of involvement. Depending on the type of assets you trade, your style could range between scalping, which is opening and closing trades within minutes, through day-trading, all the way to long-term investing. Naturally, the shorter the lifespan of each trade, the more you need to spend in front of the screen – so make sure you pick a style that fits your availability.