Starting a trading business can be a very lucrative endeavor, provided you have two things. Firstly, the right skill set, secondly, the right equipment. In this article, we will briefly explore exactly what you need to start a successful home based trading business.
Let’s face it, you wouldn’t attempt to become a doctor without the proper training, and the same can be said of trading. It is important that regardless of the type of trading you will be doing (i.e. forex, crypto, options or stocks) that you educate yourself to a level where you can not only read a chart, but also faultlessly execute and manage a trade without issues.
This can be a huge learning curve. It is often said that the most difficult part of learning to trade profitably, is getting the right mindset to deal with losses, which are an inevitable part of the business.
Luckily, there are many sites where you can gain free education on different trading styles and strategies. For example, Udemy has a great selection of courses on technical and fundamental analysis, which is the basis of most types of trading.
We suggest spending at least 6-12 months on this stage. Why you ask? Well, when money is at risk, you need to be fully prepared and confident in your abilities. We would also consider using a demo account when you first begin trading, this will allow you to execute your trades without risking any real money while you learn.
So, you have your strategy set up, and you’ve been consistent on demo for a number of weeks / months. Excellent!
Now you are probably wondering what you need in the way of a trading set up.
Well, the first thing you’re going to need is a good desktop PC. This doesn’t necessarily need to be a very expensive machine, due to the fact that most charting software is now cloud based, however, it does need to have the function to allow for multiple screens (for later in your trading career), and be reliable, as it would be awful to lose power mid trade, for example, with no way of stopping the loss!
We highly recommend Lenovo trading computers as they are not only great value for money, but also have a great reputation and warranty.
There isn’t really any huge requirement for memory, but you do want a decent processor to allow your charts to sync in real time.
Where possible, you also want to connect to the internet via ethernet rather than Wi-Fi as this will again speed up your connection on the charts.
Once you have your PC set up, you are going to need some software. Trading View is the choice of many retail traders as it is relatively inexpensive in comparison to other tools and then your broker should also provide you with an execution platform such as MT4.
Once you have all these things in place you are ready to begin your career as a trader!