Is trading a safe way to make a profit?

Often many novice traders or people who have not even traded ask themselves if trading is a safe way to make a profit, whether it is short, medium or long term. Many believe that this work is really risky and prefer other types of safer investments, such as buying or selling real estate for example, However, I have my own opinion on this, although many things necessary for trading to be a safe means of investment come into context, for this reason and for those who have asked me if one can earn very well in trading and investments in the financial markets, I will detail what I think.

Without further ado I will begin

This is a quite interesting question, answering it would clear up many doubts, but we are leaving aside something very important that every investor must have and as it says in the title of this publication, that other really crucial aspect, this is Psychology, it might not make much sense, but the reality is that in my opinion it is something very important, since in it comes the handling of our emotions when investing and believe me if we do not have control of these, we will surely lose.

Trading or investments in the stock market and financial markets, have always been risky investments, however, thinking about it, what investment does not have risk, of course some are more risky than others, but in my opinion everything has risk and we can only reduce it if we know well what we are going to invest, that is, we must educate ourselves correctly on the subject, learn every detail and aspect of it, so that in this way we mitigate and greatly reduce the risk that is inherent in losing money.

By this I mean that all investment, including trading will be safe depending on ourselves and the time which we devote to study every detail about what it is, how it is done, because means etc. So, in my opinion, trading is safe if of course you take the time to learn and with this you can get great profits if we know what we are doing and if we have a correct management of our risk.

This is a very good question, although it is somewhat difficult to answer, this is because there are many types of investors and traders in the world, who specialize in only a few necessary aspects that help them to reduce risk and additional investment knowledge, however, I have my own list of the most important aspects that I think we should take into account to make our investments safer and from which we must learn, I will approach these aspects in a general way, so that everyone can be clear about the necessary tools.

• Focusing on learning Technical and Fundamental Analysis: I am aware that this encompasses many necessary aspects, but we must learn from this.
• What is leverage and how does it work: Important to manage our risk and not expose our trading accounts so much.
• How the broker by which we are going to invest works: I refer to minimum deposit, spread, commissions for withdrawal etc.
• How to correctly place our buy and sell orders: This aspect is to know all the types of orders that we can place in the market.

Basically this is what we need to learn and keep in mind to be able to invest in a more secure way and to diminish all the inherent risks that expose our money to a great extent.