How to Start Trading: A Beginner's Guide to Financial Markets

A Beginner's Guide to Navigating the World of Trading and Financial Planning

jonathan.itamamon
@jonathan.itamamon
3 min read · Apr 18
How to Start Trading: A Beginner's Guide to Financial Markets

Trading has become one of the most exciting ways to grow wealth online, but it can also be one of the most confusing if you’re just starting out. With so many terms, charts, and platforms, it’s easy to feel overwhelmed. But here’s the good news: anyone can learn to trade — and this guide will show you exactly how to begin.

What is Trading?

Trading simply means buying and selling assets to make a profit. These assets could be:

  • Forex (foreign exchange – currencies like USD, EUR, GBP)

  • Stocks (shares of companies like Apple, Amazon, etc.)

  • Cryptocurrencies (like Bitcoin, Ethereum, and Solana)

Traders look to buy low and sell high (or sell high and buy low) by analyzing the markets.

Step 1: Understand the Markets

Here’s a quick breakdown of the three major markets:

  • Forex – Trades currencies 24/5. Most liquid and active.

  • Stocks – You invest in real companies. Great for long-term wealth.

  • Crypto – A high-risk, high-reward market that runs 24/7.

Choose one to focus on as a beginner. Forex is often a good starting point because of its accessibility and educational resources.

Step 2: Learn the Basics (But Don’t Get Stuck There)

You don’t need to master every term before placing your first trade. But you should understand:

  • Pips and lots (in forex)

  • Candlestick charts

  • Support and resistance

  • Risk-to-reward ratio

  • Leverage and margin

We’ll break down all of these in future posts here on Tradespaz.com, so stay tuned.

Step 3: Choose a Reliable Broker

Pick a broker that is:

  • Regulated

  • Offers a demo account

  • Has low spreads and fast execution

  • Provides mobile and desktop trading platforms

Some beginner-friendly brokers include Exness, IC Markets, and Deriv.

Step 4: Practice with a Demo Account

Never start live trading with real money until you’ve practiced. A demo account lets you trade with virtual money in real market conditions. This builds confidence, sharpens your strategy, and reduces the risk of beginner mistakes.

Step 5: Create a Simple Trading Plan

Your trading plan should answer:

  • What time will you trade?

  • Which market or currency pair will you focus on?

  • How much are you risking per trade?

  • When will you take profit or cut your losses?

Start small. Consistency matters more than complexity.

Step 6: Go Live with Real Money (Start Small)

Once you’re confident with your demo results, fund your live account — but start with what you can afford to lose. Even $50–$100 is enough to get started with a micro or cent account.

Bonus Tips for New Traders

  • Avoid signals groups and copy trading early on — Learn to make decisions yourself.

  • Don’t chase profits — Protect your capital first.

  • Journal every trade — This helps you improve faster.

  • Keep your emotions in check — Fear and greed are your worst enemies.

Final Thoughts

Trading is a journey, not a race. With patience, education, and discipline, you can become a consistently profitable trader. Stick around Tradespaz.com — we’ll guide you every step of the way.

Ready to dive deeper?
Check out our next article: The Difference Between Forex, Stocks, and Crypto — Which Should You Trade?