The interest of Nigerians in Forex and Crypto Trading is skyrocketing, and many now do it to get residual income. Personally, I think trading Crypto and Forex is very lucrative and flexible; since you can start with a laptop or phone that’s connected to the internet. However, I suggest you learn the basic of trading and investing before jumping into it.
Though trading can be highly profitable, it’s not for everyone. You must understand the two types of trading and decide the one that best fit you.
Types of Trading
The two major type of trading is Active and Passive Trading.
This also called Day Trading, and it simply means turning trading to your day-to-day job. You simply get on your computer and try to make one or more profitable trades every single day.
Unlike Active Trading, Passive Trading is when you carefully study the market over time and buy only when it’s most profitable and favorable. Here you don’t trade every day.
You can go ahead with your normal day job and trade like 3 times in a month, when your analysis shows your trade will be profitable.
How to Choose the Right Type of Trading
Both types of trading are good, and I don’t recommend one over the order. Below are my tips for choosing the right type of trading.
- Job: People that are unemployed and experienced in trading can go for Active Trading. On the other side, people with a 9 to 5 Job should consider passive trading.
- Time: If you have less than two hours to dedicate to trading, then consider being a Passive Trader.
- Experience: Day trading can be very risky, so if you have little or no experience in trading, consider being a passive trader.
- Sources of Income: If you have multiple sources of income, it can reduce the effect of losses from trades and active trading might be a good deal.
In conclusion, trading is all about mindset and being able to tackle fear, greed and hope. Don’t assume you can make 1000% gain overnight, instead, first learn trading and gain experience over time.
Don’t forget to message me when you start making millions trading.
See you at the top.