The word trading means “negotiation”. The activity of the trader consists of speculating on the financial markets with the clearly identified objective of making short-term profits.
Trading on the markets consists of operating on different asset classes such as:
- Raw material
In other words, trading is an activity that allows you to obtain quick returns with significant consubstantial risks.
What is the difference between an investor and a trader?
- Investing is about investing money for the long term. and to keep its assets over a certain period to obtain dividends or hope for a gain on the sale of this asset, after several years.
- Trading consists of speculating on the short term. The trader expects small returns in various and varied positions by trying to capture entry and exit opportunities on the same day or over several days.
You can trade on derivatives using leverage provided you are very vigilant. Because who says leverage said expectations of gain multiplied as well as the possibility of abysmal losses, especially if the trader’s sentiment turned out to be going against the market.
Getting started on an online trading platform
Trading has become accessible to the general public with the rise of digitalization and has been reinforced by exogenous elements such as the pandemic, which has allowed a new public to take an interest in the markets, via the internet.
From now on, you can register in a few minutes on a digital trading platform and learn trading concepts in complete safety for free.
Nevertheless, one must beware of any hope of rapid enrichment by taking enormous risks on the stock markets, under penalty of seeing one’s assets melt away. In two shakes of a lamb’s tail.
Knowing how to operate on the commodities market or on the Forex requires fundamental bases to understand and identify a very particular market. Technical training is therefore essential to correctly analyze charts. Rigor is the keystone of the budding trader.
This requires the development of a trading plan based on several rules to follow (such as the money management) and to be respected “religiously” even before operating on the financial markets.
It is therefore recommended to practice upstream on an account demo which will allow you to bet virtual money under real market conditions.
This demo account will allow the neophyte Trader to practice following the online training he will have received and thus test different strategies. Virtual trading makes it possible to improve the “skills” of the investor and to develop a trading plan in an appropriate way.
Once this step is completed, the novice trader will be able to operate on a real account to generate gains according to the principles that he will have learned beforehand on the trading platform.
One thing is certain: trading involves the acceptance of losing money.
Choose the right trading platform
- Platform Security : the platform must have high-level security processes.
- Transaction fees : you have to compare the platforms to choose the one that best suits your investor profile.
- Access facility : is the site or application digitally responsive?
- Online formation : Serious platforms offer free training before embarking on trading
Avatrade, a platform recognized by the AMF and the ACPR
Founded in 2006, AvaTrade is one of the best online brokers for beginners who want to get started in online trading. In terms of features, this broker offers:
- Multiple trading platforms;
- Automated trading;
- Manual trading;
- Unique tools.
In addition, it offers a wide range of financial instruments like:
- The actions
- commodity trading
- CFD stock indices.
If you want to trade on your own, or copy the trades of the best traders, the Avatrade site offers you all the ranges of solutions to succeed in your trades according to your temperament.
Of course, you can on AvaTrade, open a demo account on the platform to practice trading and improve your skills before doing real trading on the market with your own money.
AvaTrade is a broker present in many countries including France (including DOM-TOM), Canada, Switzerland, Luxembourg, Belgium, Madagascar, Spain, the United Kingdom…