Forex Trading Contest: The perfect way to test your trading skills

They say practice makes perfect in every new skill we acquire and forex trading is no exception to the rules. So why not make practice fun? Entering a forex contest is the perfect way not only to practice and develop your skills but also to test your technique, get a real sense of the markets and build up your reputation amongst fellow traders and brokers. 

And if you can tap into your talent and bring it to the surface, you'll be taking home a winning prize! Some brokers give cash prizes, others give credit in a live account; you could even win a grand holiday somewhere exotic. Continue...

Why enter a forex contest?

There are many valid reasons for entering a forex contest. Nowadays there are quite a few that are run by different brokers and services each year. The best thing about a forex contest is that if you win, you can take down a big pot from just a small entry fee.

Pit your skills against the best

Forex contests are a great way to test your skills against other traders. By seeing how other traders perform you can get a better idea of your own trading skill and what you may need to work on. Even better, you can see which traders are doing well and attempt to analyse their strategies.

Contests are also the perfect place to try out your own strategies and see how they perform without risking too much capital.

Build up your reputation

Another benefit of entering a contest is that it gives you the chance to be recognised by other traders. Doing so could enable you to gain followers, make friends and forge partnerships.

Who knows? If you do well enough you could even attract seed finance from a hedge fund or institution. It’s definitely happened in the past since forex contests can be a great showcase of new talent.

Level playing field

The great thing about a trading contest is that it levels the playing field for all contestants involved. In the real world, the trader with the most capital is often the one who is able to make the most profit but that’s not true in a contest.

Each trader starts off equal and is judged on skill alone. It’s a much more meritocratic process and means anyone can come through and be noticed. Perfect for the undiscovered star!

Have fun

Forex contests can be serious for many traders but at the end of the day they are also a lot of fun. There’s less pressure when you’re playing in a competition and competing is not just about winning but taking part and getting to know the community.

If you happen to do well, you could easily use that success to your advantage too. A good contest score can go on your resume and is a great calling card to send out to potential employers or investors.

Hot in the market right now are Forex Time (FXTM)'stwo forex contests, Trail Blazer and Blaze of Glory, the former of which has a low entry fee and is ideal for rookie traders and the latter of which is perfect for experienced traders looking for a challenge. The prize pools are generous and the competition themes are fun and engaging so it's definitely worth checking them out!