Investing money online is a complicated business – if it were easy, everyone would be doing it, and retiring from their stressful day jobs to make millions from the comfort of their own homes. Still, there are many ways in which you can invest online. Forex trading, of course, is one of them, but it's not the only way to invest money online. In fact, for most people, Forex trading requires a lot of technical knowledge and skill, which many people don't have (at least not initially). If you're tired of losing money in the Forex market or are looking for an alternate way to make money online, check out the options below, and consider trying some out to see if they're right for you.
- Investing in the stock market – If you're not looking for a quick profit, but are willing to wait things out over the long term, investing in stocks may be a good option for you. While there are ways to identify stocks whose value may increase quickly, many people who invest in stocks prefer a long-term investment strategy. Buying stocks online is easy and relatively affordable, with many brokerages allowing for some free trades or charging only a few dollars per investment.
- Pair options trading – If you're interested in the stock market but don't want to wait for a long-term investment to mature, you can consider pair option trading, which is a relatively new way to make money online, and quite an exciting one. With this type of trading, brokers such as StockPair allow traders to predict which of two stocks will perform better in a given period of time. If the trader predicts correctly, he earns the stated payout in a matter of minutes or hours.
- Binary options trading – Like pair options trading, this form of trading lets traders make predictions about how certain markets will fluctuate within a defined time period (usually a few minutes to a few hours in length). Traders can choose from stocks, currencies, indices or commodities and make decisions based on their knowledge of the markets. Binary options trading requires a much lower minimum deposit than Forex trading making it ideal for traders who are afraid of risking too much money at the outset.
- CFD trading – The most similar to Forex trading, CFDs (or contracts for difference) are derivatives products that allow traders to profit on live market price movements without having to own the traded instrument. CFDs, like Forex, require traders to have a keen knowledge of the market, and, to truly succeed, will likely require some understanding of technical indicators.
Have you tried any of these methods? How did it go?