How To Become A Forex Trader
A foreign exchange, or forex trader buys and sells currencies on the world market either for him or herself, or on behalf of a client or company. Technically, anyone can be a forex trader as you need as little as £100 to open an account and begin trading. There are numerous websites that offer customizable platforms to help you analyze world markets and speculate on the future direction of currencies.
Successful forex traders need to have a good business sense, excellent money management skills, patience and the ability to take risks - while it is certainly possible to make millions in a day, it is possible to lose millions in a day as well.
No formal qualifications are required.
There are many short and part-time courses that introduce the essential skills and tools required to trade on the foreign exchange market.
To be employed as a full-time forex trader you would normally have a bachelors degree or higher qualification in a relevant subject such as accountancy, business, economics, finance, management or maths.
Some companies, as well as the London Stock exchange, run short internship programmes for final year students with the opportunity to fast-track to year-long graduate programmes where you will be given the opportunity to sample the different areas of the stock market, including forex trading.
Average Working Hours Per Week = Part-time to 50 hours a week
Common Working Pattern
Time Taken To Qualify
No fixed time - graduate programmes are 1 year.
What Next/Career Development
If you wish to give advice to retail clients you will need to pass an appropriate qualification such as the CISI Level 4 Investment Advice Diploma. Forex traders could also progress to post-graduate qualifications, such as the Chartered Financial Analyst (CFA) qualification.
Facts And Figures
An estimated $4.0 trillion is traded in the foreign exchange market every day.
The US and UK markets account for nearly 50% of the daily turnover.
The US Dollar is involved in nearly 80% of all forex transactions.
(Source: Department for Business, Innovation & Skills)