Many people turn to forex trading in hopes of growing their account equity. This dream is made possible by the fact that with leverage and low deposit requirements, just about anyone with a disposable income can deposit funds and can start trading forex.
However, only a handful of people can make the cut. Building consistent income trading forex is something that takes years of practice and dedication. For traders who have made the cut, trading forex can become a bit monotonous.
Of course, the forex markets never sleep and there save for occasional bouts of quiet trading sessions, for the most part, there is always some news or event that will drive the markets.
If you are one of those successful forex traders and looking to make additional income by leveraging your trading skills, here are five ways to do it.
1. Forex Signals Service
As an independent trader, you can always take advantage of selling your skills. This can be done by offering a trading signals service. You don’t have to be tech-savvy in order to set up a website. Even using a free blogging platform and by using Paypal, you can easily set up a small website and charge fees for the trading signals or recommendations that you can offer.
For those who find this to be too tedious, you can always make use of existing platforms such as the MQL5 marketplace or sign up for ZuluTrade and begin selling your signals.
The advantage with this is that you don’t have to worry about marketing your services, especially if you have enough (live) trading history to back up your case. This alone will become your main unique selling point.
The downside of using such services is, of course, the commissions that will be deducted. However, if your trading is good enough, then that shouldn’t be a problem as you can easily expect your subscriber list to grow.
2. Teaching how to trade forex
For those who are averse to the idea of selling their forex signals, teaching or educating others can be a great way to do so. Using websites such as Udemy, or even Youtube, you can teach others how to trade.
Given the fact that beginner forex traders are always on the lookout for a good trading strategy, you can easily use the above platforms to showcase your skills. You can also combine social media such as Facebook, Twitter, and LinkedIn to build a thorough profile to establish yourself as an expert.
You should not limit yourself to just teaching trading strategies, but also explain how the markets work. While this will take a bit of time, you can spend just under 10-minutes a day to share your videos and links on social media and establish yourself as an authority on either a particular style of trading or explaining how the markets work.
3. Become a forex analyst
Traders who are good at their job can also look at working as a freelance forex analyst. Given the number of forex brokers that are now available, you can easily earn additional income as an analyst.
Of course, to be successful at this, you need to spend some time analyzing the markets and writing about it as well. Not many are skilled at writing, but with enough practice, you can hone this skill as well.
Given the fact that a trader already does their analysis of the markets they will be trading, becoming a forex analyst can be one of the easiest ways to make additional income from forex trading.
4. Becoming a PAMM fund manager
The PAMM model allows traders with the right skill sets to start their own small fund. Under this model, you will be managing the funds of other traders or clients. This puts you at an advantage as your trading equity grows and you will be able to manage your money and contract sizes accordingly.
To become one of the top PAMM fund managers, you need to keep at it on a steady and slow pace. It might take years before your PAMM account is attractive enough for others to place their funds with you.
The PAMM also allows you some flexibility in how you want to charge your clients. Typically, PAMM fund managers set a percentage of the profits as commissions. The downside to working as a PAMM fund manager is that you need to be cautious as you will be using your client’s funds.
Therefore, unless you are really good at trading and know how to manage risk, this is not recommended for all.
5. Write a book
Amazon Kindle is one of the best ways to get your book published in an electronic format. Although Kindle books are priced very less if you have an idea or a topic in mind you can always publish an e-book with ease.
There are already quite a few individuals who publish their trading books on forex. The advantage is that you don’t need the backing of a big publisher and the Amazon Kindle library gives you a ready market.
Sometimes the topics you choose could be very niche which means that you might be compelled to work on a more popular trading subject. Regardless, spending a few hours a day, it is not that difficult to draft a Kindle book. For just a few bucks, you can always have your content proof-read and tweaked to make it ready for publishing.
The above methods can help traders to earn some extra money. While it might not yield big results immediately, doing something related to what you do already can be a simple way to break the monotony of trading.
While there are many other methods to earn additional income trading forex, remember that no matter what option you choose, make sure that you do not end up compromising on your main source of income which is trading.