How To Learn Forex Trading For Free: It Really Is Possible!

Forex trading is attracting a lot of curiosity among people who are interested in topping up their income or even becoming a full-time trader. Learning forex trading is also a rewarding experience in itself, as mastering a new skill can bring a sense of accomplishment and satisfaction. 

You’ll also broaden your understanding of the wider geopolitical issues and economic challenges that are facing the world today as you get to grips with the fundamentals of forex. Traders also need to develop a resilient mindset and learn how to manage their emotions effectively in order to make good decisions. 

All of this knowledge and skills will not only set you on the right track to becoming a profitable trader, but will also enhance your personal and professional life as you develop new insights into the financial world and your own psychology.

Once you have acquired a working knowledge of the trading process and put together a strategy, you will be able to explore options such as gaining access to a fully funded account with a prop firm. This allows you to use premium trading platforms to make trades with high leverage at no personal financial risk.

Learning forex trading takes time and patience, and you will need to enjoy at least some aspects of the process for its own sake, rather than because you are looking for a shortcut to make big bucks. The forex markets can be complex, and it takes dedication and hard work to become a successful trader. 

However, so long as you are prepared to invest the time, you don’t need to spend a lot (or even any) money in order to get started on your learning journey. Here a look at how to learn forex trading for free. 

Start with a free online course

A search engine query will turn up literally thousands of free online courses designed to help beginners get started with forex trading. Not all of these courses are created equal, so do some digging and check out trusted review sites and bloggers for recommendations on the best quality ones.  

Steer clear of courses that promise unrealistic ‘get rich quick’ returns. Forex trading has a relatively long learning curve with no short cuts. Such courses are making false promises and the only way to make consistent profits is by taking a controlled approach to strategy building, combined with attention to detail and strong risk management. 

Some courses may be accurate and comprehensive, but just not suited to your learning style. You can test out different options, such as courses with a lot of video content, animated infographics, in-depth articles, quizzes, real-time demonstrations, progress-tracking, and so on. 

However, the course should cover the basics of forex trading, including the main categories of currency pairs; the meaning of key terminology such as leverage and margin; basic chart analysis techniques such as candlestick patterns and support and resistance levels; how to put together a trading strategy; and how to manage risk. 

Some courses may require you to pay a fee or subscription once you reach a certain level, or wish to progress to the more advanced level of learning, so decide if you are prepared to do this. 

Try a free forex trading trial account

Once you have completed a basic training course and put together a trading strategy, the next step is to test it out in real-time market conditions. This is really important, because you will find that there is a sharp step up from learning the theory to putting it into practice. A free trial offers you a stepping stone between being a learner and making real-time trades.

Many prop firms such as FTUK offer a 14-day free trial, which provides a valuable opportunity to work with a live trading platform in simulated market conditions. You will gain experience of making quick and emotionally controlled decisions without the pressure of actually losing real money.

You can test out different strategies and see how all the theory you have learned works in practice. It’s also a valuable opportunity to familiarise yourself with the interface of the trading platform, so that you are not panicking or frustrated as you try to figure it out while attempting to make real-time trades on the live forex markets. 

If you perform well, operate within the rules of the prop firm, and hit profit targets, you can then consider progressing on the evaluation program. This involves another 14-day trial, for which you’ll usually need to pay a fee. During the trial, you’ll take one or two tests to allow the prop firm to assess your competence as a trader.

If you pass the test, some prop firms such as FTUK will refund your fee, and provide you with access to a fully funded account (meaning that you don’t need to invest your own capital, and any losses you make will be covered by the prop firm) with a scaling profit plan. 

If you prove that you can manage risk sensibly and make consistent profits, you will gradually be able to increase your account size and profit share up to 90 per cent. 

The best way to get the most out of your free trial is to treat it like a real account, establish a trading routine, and keep a detailed journal of all the trades that you make, including your justification for making them, and why you chose the market entry and exit points that you did. 

At the end of the 14 days, review your journal entries, and look for patterns in your least and most successful trades. This can help you to identify the strengths and weaknesses in your trading plan, and refine your strategies and focus on the tactics that are most effective for you. 

Engage with forex trading communities 

You can learn a lot about forex trading by engaging with forums and online communities. This will usually cost you nothing, and you will be able to share ideas, get updates on the latest economic data and geopolitical events that are influencing the forex markets, and debate the pros and cons of various strategies.

You may even be able to find a mentor, such as an experienced trader who shares their strategies and insights with you, or provides feedback on your own strategies and ideas. However, be wary of ‘herd mentality’, which can lead you to follow the crowd without making independent judgements about your reasons for doing so.   

Advice and moral support can be useful, but learn how to use it wisely rather than letting it feed into emotions such as feelings of competitiveness, inadequacy, pride, jealousy and so on. As we have already discussed, learning how to trade forex properly takes time and effort, and ultimately you will need to rely on your own judgement and emotional intelligence. 

Invest in trading psychology

Another important aspect of forex trading that you will need to master is the right mindset. This means being aware of the psychology of trading and how to manage risk well. New traders may treat this as an afterthought or something they will get around to as they gain more experience, but it’s important to consider it from the get-go.

Trading can bring out strong emotions, such as fear of losing and greed for bigger profits. This can subconsciously cloud your judgement and lead to biased trading decisions. Learn how to be aware of your emotions as you trade, and take time out if you begin to panic, feel angry, or sense that you are becoming overconfident or fearful. 

It’s yours for the taking

So, there you have it: it is certainly possible to learn forex trading for free. However, what you will need to invest is your time, effort and mental resilience. 

Be very suspicious of any online learning materials that promise you will be making thousands of dollars a month within a short period of time—this is unlikely to happen unless you already have a background in a similar financial field. However, there are hundreds of genuine courses and high-quality materials available for free, so take advantage of these. 

Have a clear-eyed and realistic approach about what you can achieve, and what you want to get out of your forex trading experience. It’s possible to combine forex trading with a full time job and other commitments, because the forex markets operate almost 24/7 and you will always find windows to trade in.

Note that the biggest New York and London markets are most active between 8 and 9am in the morning and 5 and 6pm in the afternoon. Therefore, you will need to be disciplined and prepared to stick to a regular schedule. 

However, maintain a good work-life balance and guard against burnout, so you will always be in the best physical, emotional and mental state to make good trading decisions. The opportunity to make good profits in the long term is yours for the taking, and you don’t need to risk any of your own money along the way.