With the financial markets becoming more accessible, investing in instruments like commodities and foreign currencies is a lot easier to do. You don’t need a large starting capital to start trading the instruments that you choose to engage. In fact, setting up a trading account and making that first trade takes no more than a few minutes.
Getting started with trading CFDs and foreign currency pairs, however, is the easy part. Becoming a professional trader is where the real challenge lies. So, what are the criteria for being a professional trader? Let’s find out, shall we?
Trading is a skill, which means it is something that can be mastered. Before you can trade like a professional, you need to master the necessary skills needed to succeed in the financial market. This means mastering fundamental analysis as well as technical analysis to help you analyze the market better.
Both of these skills are easier to master thanks to resource centers offering access to unlimited knowledge. There are also short courses and even dedicated degrees designed to help you become an expert in the analysis of the financial markets.
After mastering these essential skills, you can also work on crafting your own trading strategy. It will not take long before you have a clear plan whenever you open a position in the market. Consistency is the key here. That actually brings us to our next criteria.
In order to move up and become a professional, you need to be consistent in the market. This means making 10 or more trades every quarter. If you are a day-trader, this is not a high benchmark to surpass. You may even be used to making two or three trades a day, so 10 trades a quarter isn’t much at all.
Similar to the previous criteria, you can ease your way of meeting these requirements in order to turn pro. As you make more profitable trades and deal with more positions, amassing €500,000 becomes fairly easy. You can also work with investors to speed up your process of becoming a pro.
A Professional Position
That brings us to the third requirement, which is holding a position as a professional trader for at least one year. You can either work for a finance company or run your own private trading firm; a self-funded trading firm falls into this category too.
Fortunately, there are plenty of opportunities to work in the finance industry, especially with the industry growing as rapidly as it is today. Combined with the previous two criteria we covered in this article, you are ready to go pro and trade like a professional.
The rest is easy from this point. Top names like Intertrader lets you open a professional account once you have met the necessary requirements. Similar to creating your first trading account, the process of opening a professional account is very simple. That’s when you will know that you are a professional trader.