forex trading for beginners

Forex trading, or foreign exchange trading, involves buying and selling currency pairs to profit from price fluctuations. It operates 24/5 in a decentralized global market, where traders speculate on currency values based on economic factors, geopolitical events, and market trends. Beginners should start by understanding key concepts like pips, leverage, and lot sizes. Common strategies include trend following, scalping, and breakout trading. Risk management, including stop-loss orders and position sizing, is essential to avoid large losses. Using demo accounts and educational resources can help new traders gain experience before investing real money.