Foreign exchange trading involves buying and selling different currencies. It works on the theory that is similar with share market. As we know that to make the profit, you have to buy at lower price and sell at higher price, or we can also sell at higher price first and buy at lower price. But its not as easy as it sounds. By studying certain market conditions, you can actually make profits in forex. All you have to do is to analyze the forex in a correct way and do the good trade.Why to go for Foreign exchange trading? There is an option to invest in stock market also but here are a few important advantages of currency trading over stock market.
24-hour TradingForex trading is done on 24-hours basis. This market is open throughout day and night as somewhere in the world, there must be this buy and sell trading is going on. Traders involved in forex trading strategy can always get that first hand information and can act accordingly. The currency rate is actually run through telecommunication all over the network of banks 24 hours a day from 00:00 GMT on Monday to 10:00 pm GMT on Friday. There are ECNs (Electronic Communication Networks) which bring together buyers and sellers.Greater Liquidity
There is a superior liquidity in the market as there are always buyers and sellers to purchase and sell foreign currencies. Forex trading market size is 50 times bigger than the New York Stock Exchange and liquidity of such large market ensures price stability. Forex trading stop orders could be carried out more simply. This makes Forex trading signal more liquid and permits Forex traders to take benefit of trading opportunities as they happen rather than waiting for the market to open the next day.
100:1 High Leverage in forex trading100 to 1 leverage is commonly available from online forex dealers, which substantially exceeds the common 2:1 margin offered by equity brokers. This gives them a huge leverage in their trading and presents the potential for extraordinary profits with relative small investments. Leverage can also go the opposite way and may lead to huge losses if you are not careful.
Forex trading transactions have no commissions. Forex Brokers can earn money by fixing their own speculation between what a currency could be bought at and what it could be sold at. In difference, Forex traders have to pay a commission fee or brokerage fee for every futures transaction they come in to the view. The forex market is so large that no one individual, bank, fund or government body can influence it for a long period of time. In forex trading strategy, you can trade between seven currencies but not everyone trade in all.
Thursday, June 3, 2010
Mini Forex Trading - Trading Forex With A Mini Account
In forex, for the retail investor, things are totally different than the banks and institutions who trade with each other 24 hours per day on a daily basis and in the millions with actual transactions occuring (usually 2-3 days later also known as the Spot Value).
Investment banks will take out a credit check on each other, a bit like when a person applies for a mortgage. Whilst currency trades are placed and completed real-time either by computerised system or telephone, the actual transfer of funds happens a couple of days later.
However, with the retail forex trader, usually, the trade is only placed in the brokers books and no real transfer of funds occurs, although the retail investor is in effect trading with the banks at almost the same quotes and with a very similar spread these days.
So who is the forex broker and what is their relevence in the answer to this forex topic? The retail investor places their trades through the environment of the margin broker. Trades are placed in real time and via a trader who receives the order from the investor, either buy (long), sell (short) or close position.
The broker not only allows retail investors to trade forex live with the banks, but also provides a system of leverage. This means that the broker only requires a deposit to represent the amount of currency a person wants to control, so long as the deposit is enough to cover any losses that might be incurred by the trade.
Take for example a margin leverage of 100:1 given to you by the broker. This means to control $100,000 of real currency (1 lot), you need to provide security to the broker of only $1000. Each 'pip' movement in price will cause your equity to increase or decrease by $10. For example if the currency pair you are trading is GBP/USD (also known as cable) and the price you are quoted is 1.8484, this means 1 UK pound sterling is equal to 1.8484 US dollars.
So, if you are controlling 100,000 units of currency (or you have placed a buy/sell forex trade of '1 lot')in the above case, each time the price changed by 1 pip – ie. 1.8484 changes to 1.8485 – you gain or lose $10 US. This is because 0.0001×100,000 = 10 and you have opted to control 100,000 units of currency.
The amazing thing though is that you as a retail trader have only used a security measure of $1000 deposited with the broker in your brokering account and the only cost for placing the trade is a small spread (no comission in many cases) of say 2-3 pips in which the broker makes his profit regardless of whether your trade is successful or not. And the chances of you losing that entire $1000 in the trade are extremely slim, especially if you use risk management and safeguard your capital from losses by setting a "stop loss" – a topic out of the scope of this article.
So what about mini-forex trading. It's a subject which many people seem to want to know about. What is a mini-forex trading account? What is mini forex trading? Mini Forex trading is quite simple to explain given the above information. In light of the information that is told to you above about retail forex trading in general, the use of a mini-account is exactly that!
Rather than trading 1 whole lot each time (ie controlling 100,000 units of currency using only 1000 units of security or deposit to trade for a profit of about $10 per pip depending on the forex currency pair you and trading) you can use a mini-account (sometimes this is entirely indistinguishable from a standard lots account) to trade a fraction of a lot. This could technically be as little as 0.1 lot (ie $1 profit per pip) or half a lot – $5 profit per pip etc.This is the authors understanding of mini-forex-trading.
In conclusion then, mini forex trading is explained away by understanding what a 'lot' is in forex. Once you understand that forex is traded in 'lots' and what '1 lot' means to the investment banker/forex trader in the bank and to the retail investor using margin leverage provided by a broker, you can understand that mini-forex trading is forex trading on a mini-scale. Instead of trading in lots or multiples of lots (more than one) the retail investor uses a smaller deposit with the broker and trades for less profit, but less risk as well and not needing so much profit to start out with, eg 0.1 lots or 0.5 lots. Some forex brokers these days will allow currency trading with a deposit of as little as $500 into a customers account
Investment banks will take out a credit check on each other, a bit like when a person applies for a mortgage. Whilst currency trades are placed and completed real-time either by computerised system or telephone, the actual transfer of funds happens a couple of days later.
However, with the retail forex trader, usually, the trade is only placed in the brokers books and no real transfer of funds occurs, although the retail investor is in effect trading with the banks at almost the same quotes and with a very similar spread these days.
So who is the forex broker and what is their relevence in the answer to this forex topic? The retail investor places their trades through the environment of the margin broker. Trades are placed in real time and via a trader who receives the order from the investor, either buy (long), sell (short) or close position.
The broker not only allows retail investors to trade forex live with the banks, but also provides a system of leverage. This means that the broker only requires a deposit to represent the amount of currency a person wants to control, so long as the deposit is enough to cover any losses that might be incurred by the trade.
Take for example a margin leverage of 100:1 given to you by the broker. This means to control $100,000 of real currency (1 lot), you need to provide security to the broker of only $1000. Each 'pip' movement in price will cause your equity to increase or decrease by $10. For example if the currency pair you are trading is GBP/USD (also known as cable) and the price you are quoted is 1.8484, this means 1 UK pound sterling is equal to 1.8484 US dollars.
So, if you are controlling 100,000 units of currency (or you have placed a buy/sell forex trade of '1 lot')in the above case, each time the price changed by 1 pip – ie. 1.8484 changes to 1.8485 – you gain or lose $10 US. This is because 0.0001×100,000 = 10 and you have opted to control 100,000 units of currency.
The amazing thing though is that you as a retail trader have only used a security measure of $1000 deposited with the broker in your brokering account and the only cost for placing the trade is a small spread (no comission in many cases) of say 2-3 pips in which the broker makes his profit regardless of whether your trade is successful or not. And the chances of you losing that entire $1000 in the trade are extremely slim, especially if you use risk management and safeguard your capital from losses by setting a "stop loss" – a topic out of the scope of this article.
So what about mini-forex trading. It's a subject which many people seem to want to know about. What is a mini-forex trading account? What is mini forex trading? Mini Forex trading is quite simple to explain given the above information. In light of the information that is told to you above about retail forex trading in general, the use of a mini-account is exactly that!
Rather than trading 1 whole lot each time (ie controlling 100,000 units of currency using only 1000 units of security or deposit to trade for a profit of about $10 per pip depending on the forex currency pair you and trading) you can use a mini-account (sometimes this is entirely indistinguishable from a standard lots account) to trade a fraction of a lot. This could technically be as little as 0.1 lot (ie $1 profit per pip) or half a lot – $5 profit per pip etc.This is the authors understanding of mini-forex-trading.
In conclusion then, mini forex trading is explained away by understanding what a 'lot' is in forex. Once you understand that forex is traded in 'lots' and what '1 lot' means to the investment banker/forex trader in the bank and to the retail investor using margin leverage provided by a broker, you can understand that mini-forex trading is forex trading on a mini-scale. Instead of trading in lots or multiples of lots (more than one) the retail investor uses a smaller deposit with the broker and trades for less profit, but less risk as well and not needing so much profit to start out with, eg 0.1 lots or 0.5 lots. Some forex brokers these days will allow currency trading with a deposit of as little as $500 into a customers account
Easy Forex Trading - Everything You Need To Know
This strategy has recorded a success rate of only 5 to 10% in the past. This diminutive figure falls into one major fault: The inability of forex traders to have extensive knowledge in dealing with the trade efficiently. Since the forex market is an unpredictable business venture, such inconsistency and variability always ends up as a disadvantage. Everything can happen in a snap of a finger and one wrong move will mean a doom of your entire trade. That is the reason why it is of great magnitude that a trader has better grasp of all-embracing details and facts about the forex market. Strategy alone is not always the surest way to go, for oftentimes, the system or program itself can be one of the determining factors towards a successful endeavor.
The coming out of easy forex trading crash courses made all these perplexities understandable for those who are still baffled and mystified of what forex is all about. Trading forex predominantly entails learning the basics prior to moving up to a higher level of learning. This means to say that a trader should learn what forex trade is, how to start the trade and end it and other significant aspects of the forex exchange market. Remember not to rely too much on the basics in order to make way for further and additional hands-on understanding of the market itself.
What a trader needs to know:
• Easy forex trading calls for a trader to know all, if not some forex jargons. If you want to be successful in this competitive trade, you should speak the language everybody in the floor is speaking. Imagine going in a foreign country without a single knowledge of their native tongue. It’s definitely a suicide. Same rule applies in forex trading; a trader should learn terminologies like hedge, pips, and bids among others to communicate better understating and apposite strategies to employ in succeeding in this trade.
• Easy forex trading requires careful analysis of the forex market. By now, you very well understand that you’re into an ever changing market with the word consistency definitely out of the forex dictionary. So, as a rule of thumb, a trader should know major strategies of the trade: First, know when is the perfect time to enter the market and buy and know the idyllic timing to exit and hold your resources just in time the market comes to its lowest state. All these and more sum up the rules of the trade and that is, if you want to survive this variable phase all through out your trade.
• Easy forex trading requires the right kind of expert advisors and forex robots to be utilized in order to do well in the market. Although these programs and systems are only there to serve as backup, it is still of great weight that a trader has something to support him in the course of his trade and something that will provide forex trade signals in real time.
There is really no secret to success even in forex trade. You may encounter a lot of self help guides, but all of these advices boil down into one important thing: To be able to reap ones rewards in the forex market, one must learn how to aptly and effectively deal with the trade regardless of threats, behaviors and movements.
The coming out of easy forex trading crash courses made all these perplexities understandable for those who are still baffled and mystified of what forex is all about. Trading forex predominantly entails learning the basics prior to moving up to a higher level of learning. This means to say that a trader should learn what forex trade is, how to start the trade and end it and other significant aspects of the forex exchange market. Remember not to rely too much on the basics in order to make way for further and additional hands-on understanding of the market itself.
What a trader needs to know:
• Easy forex trading calls for a trader to know all, if not some forex jargons. If you want to be successful in this competitive trade, you should speak the language everybody in the floor is speaking. Imagine going in a foreign country without a single knowledge of their native tongue. It’s definitely a suicide. Same rule applies in forex trading; a trader should learn terminologies like hedge, pips, and bids among others to communicate better understating and apposite strategies to employ in succeeding in this trade.
• Easy forex trading requires careful analysis of the forex market. By now, you very well understand that you’re into an ever changing market with the word consistency definitely out of the forex dictionary. So, as a rule of thumb, a trader should know major strategies of the trade: First, know when is the perfect time to enter the market and buy and know the idyllic timing to exit and hold your resources just in time the market comes to its lowest state. All these and more sum up the rules of the trade and that is, if you want to survive this variable phase all through out your trade.
• Easy forex trading requires the right kind of expert advisors and forex robots to be utilized in order to do well in the market. Although these programs and systems are only there to serve as backup, it is still of great weight that a trader has something to support him in the course of his trade and something that will provide forex trade signals in real time.
There is really no secret to success even in forex trade. You may encounter a lot of self help guides, but all of these advices boil down into one important thing: To be able to reap ones rewards in the forex market, one must learn how to aptly and effectively deal with the trade regardless of threats, behaviors and movements.
Basic Tips on Forex Trading Training
Basic Tips on Forex Trading Training
Anyone who has decided to enter the Forex market should educate himself first. It is vitally important to know more than the basics of Forex trading to succeed. There are no guarantees of success, but knowing more than the basics will give you a fighting chance. There are different ways to learn Forex trading. You can join online services, enroll in a Forex trading school, become an apprentice of a Forex trader, or do it alone. However, doing it alone involves enormous risk, especially for beginners.
It is much better for novice traders to choose the safer ways of learning Forex trading. You will benefit from experienced instructors already trading Forex in real time. In this manner, you will become acquainted with real market conditions. This offers you an opportunity to see the actual processes and decisions which you might later adopt. It is your own strategy you need to develop.
There are six simple steps that novice traders can follow to achieve success in the Forex markets:
1. Right attitude. Successful traders take an attitude of doing what is necessary to achieve success. Success lies with the person who is trading Forex himself. It does not matter if you read Forex trading tip sheets or listen to a Forex trading guru. Your effort will be useless if you don't possess the right attitude for success.
You can conduct experiments on your own, or together with other novice traders. They are often called turtles. Learning Forex trading is avoiding the trap of believing that you can actually gain success by following someone else. Just get the right knowledge and develop a strategy of your own.
2. Right method. It should involve long-term trends. The trend of big currencies lasts for months or even for years. It is your responsibility to lock yourself into these trends to make huge profits. It has been suggested that you use breakout methods to catch long-term trends. This method is proven by leading trading systems. Good software is also recommended. Software allows the trader to test the trading method he has chosen and later, use it in real time.
You need to know proper charting and mapping. There is available software to aid you regarding market moves. Ability to read Forex market charts will allow you to calculate the best times for selling or buying.
3.Right discipline. Traders should discipline themselves by strictly following their developed methods even when losing periods strike. Following their method could teach new techniques on how to survive the Forex markets even when downfalls occur.
4. Right knowledge. Traders can quickly learn the breakout method; however, they must also overcome psychological pitfalls involved in Forex trading. Read motivational books that focus on this the psychology of trading.
5. Take the risks. The most common mistake made by new Forex traders is trying to eliminate risk. In the end, they may suffer greater losses because they are being blocked out in the Forex market. In this situation, the trader's direction is correct; however, the trade does not have enough room for downsides. In risks lie the rewards. There is a difference between rushing in and taking calculated risk. You must wait for the right opportunity.
6. Trading in isolation. The trader should learn this to keep focused. if you are too open to the views and opinions of others, you may be discouraged. That does not necessarily mean you ignore the opinions of other traders, because many traders have more knowledge and experience. However, don't rely heavily on anyone else's opinion if you are doing your own trading.
Forex market is the largest market in the world. It is operational twenty-four hours a day, five days a week. Its processes are been carried out in real time without boundaries. The trader's success depends on right decision making. Forex trading has no barriers and entry points. You need to have complete understanding before plunging into the business. Although some people suggest that learning Forex while trading is the best, it is always your decision to choose the best way to learn that will suit your needs.
Anyone who has decided to enter the Forex market should educate himself first. It is vitally important to know more than the basics of Forex trading to succeed. There are no guarantees of success, but knowing more than the basics will give you a fighting chance. There are different ways to learn Forex trading. You can join online services, enroll in a Forex trading school, become an apprentice of a Forex trader, or do it alone. However, doing it alone involves enormous risk, especially for beginners.
It is much better for novice traders to choose the safer ways of learning Forex trading. You will benefit from experienced instructors already trading Forex in real time. In this manner, you will become acquainted with real market conditions. This offers you an opportunity to see the actual processes and decisions which you might later adopt. It is your own strategy you need to develop.
There are six simple steps that novice traders can follow to achieve success in the Forex markets:
1. Right attitude. Successful traders take an attitude of doing what is necessary to achieve success. Success lies with the person who is trading Forex himself. It does not matter if you read Forex trading tip sheets or listen to a Forex trading guru. Your effort will be useless if you don't possess the right attitude for success.
You can conduct experiments on your own, or together with other novice traders. They are often called turtles. Learning Forex trading is avoiding the trap of believing that you can actually gain success by following someone else. Just get the right knowledge and develop a strategy of your own.
2. Right method. It should involve long-term trends. The trend of big currencies lasts for months or even for years. It is your responsibility to lock yourself into these trends to make huge profits. It has been suggested that you use breakout methods to catch long-term trends. This method is proven by leading trading systems. Good software is also recommended. Software allows the trader to test the trading method he has chosen and later, use it in real time.
You need to know proper charting and mapping. There is available software to aid you regarding market moves. Ability to read Forex market charts will allow you to calculate the best times for selling or buying.
3.Right discipline. Traders should discipline themselves by strictly following their developed methods even when losing periods strike. Following their method could teach new techniques on how to survive the Forex markets even when downfalls occur.
4. Right knowledge. Traders can quickly learn the breakout method; however, they must also overcome psychological pitfalls involved in Forex trading. Read motivational books that focus on this the psychology of trading.
5. Take the risks. The most common mistake made by new Forex traders is trying to eliminate risk. In the end, they may suffer greater losses because they are being blocked out in the Forex market. In this situation, the trader's direction is correct; however, the trade does not have enough room for downsides. In risks lie the rewards. There is a difference between rushing in and taking calculated risk. You must wait for the right opportunity.
6. Trading in isolation. The trader should learn this to keep focused. if you are too open to the views and opinions of others, you may be discouraged. That does not necessarily mean you ignore the opinions of other traders, because many traders have more knowledge and experience. However, don't rely heavily on anyone else's opinion if you are doing your own trading.
Forex market is the largest market in the world. It is operational twenty-four hours a day, five days a week. Its processes are been carried out in real time without boundaries. The trader's success depends on right decision making. Forex trading has no barriers and entry points. You need to have complete understanding before plunging into the business. Although some people suggest that learning Forex while trading is the best, it is always your decision to choose the best way to learn that will suit your needs.
Top Tips For A Successful Forex Trading System
If you're new to forex, you're going to need forex charts. As you develop your forex trading system, use the demo accounts that many trade brokers provide. They'll generally provide free forex charts as part of their demo forex trading system.
Forex training is available via online courses, advanced trading workshops and one on one mentoring. Forex training is a process which requires a continuous effort to apply the knowledge that can be gathered from reading Forex trading books, into practice.
The best place to get some really cool advise on Forex is from someone who is already involved in Forex trading. Investing in a high-quality Forex training material with a proven system that is profitable is a good step to becoming a successful trader in the market.
One other place to check is on the internet. You can just type in forex, trading, day trading or terms like this to find out about forex trading.
There are some good forex trading software systems that you can purchase online that will help you generate a very good income.
Always be aware for combinations of price patterns as well as obvious price patterns when looking for clues. The most successful Forex traders only think one way, in one direction. If the trend is up then buy the dips and if the trend is down then sell the rallies. Forex trading does not need to be any more complicated than that.
Make sure you get the best Forex trading system education that you can. Avoid free Forex trading system courses and find one that you can budget for. Also be sure to expand your Forex trading education throughout your Forex trading career.
There is also several types of forex software programs that you can purchase for less than one hundred dollars. This software has been found to be very good.
Forex training is available via online courses, advanced trading workshops and one on one mentoring. Forex training is a process which requires a continuous effort to apply the knowledge that can be gathered from reading Forex trading books, into practice.
The best place to get some really cool advise on Forex is from someone who is already involved in Forex trading. Investing in a high-quality Forex training material with a proven system that is profitable is a good step to becoming a successful trader in the market.
One other place to check is on the internet. You can just type in forex, trading, day trading or terms like this to find out about forex trading.
There are some good forex trading software systems that you can purchase online that will help you generate a very good income.
Always be aware for combinations of price patterns as well as obvious price patterns when looking for clues. The most successful Forex traders only think one way, in one direction. If the trend is up then buy the dips and if the trend is down then sell the rallies. Forex trading does not need to be any more complicated than that.
Make sure you get the best Forex trading system education that you can. Avoid free Forex trading system courses and find one that you can budget for. Also be sure to expand your Forex trading education throughout your Forex trading career.
There is also several types of forex software programs that you can purchase for less than one hundred dollars. This software has been found to be very good.
Choosing a Forex Broker That Wont Rip You Off
At the best of times Forex currency trading can be a risky business with a huge potential for profit or loss. As a fulltime trader i have seen the best and the worst that the forex market has to offer, the dizzying highs of large wins, and the gut wrenching lows of people going bust.
You might be a forex trader yourself, or maybe you are just curious about how forex markets work, whomever you are, you need to learn how to seperate the legit forex brokers from the scam merchants. The internet has a great deal of genuine forex dealers offering quality services, it is also unfortunately infected with just as many thieves dressed up as companies who will gladly take your money and then dissapear. This fear of being taken advantage of puts a lot of people off the idea of trading forex, this shouldn't be the case.
Now there are a few key differences between stock markets and forex markets that you are going to have to learn:
1. Forex has no centralised exchange house.
2. Forex trading is 24/7.
3. Forex is a largely unregulated market.
Looking at that list, it kind of seems that the forex market is akin to a wild west town full of outlaws and gunslingers. In this market there is noone to complain to, noone who will hold your hand. So how can you find the genuine dealers amid all the garbage? Do not trust any broker whose reputation cannot be confirmed, and whose company is not tied to the forex market.
The attraction of the forex market can be overwhelming. The scent of huge profits often overpower the common sense of the average person. They enter eagerly, just waiting to invest their life savings.Lying in wait are the scammers with huge promises, they capture the new investors money, and suddenly dissapear.
The good news is, is that many genuine forex brokers do actually exist. Easy-Forex, Oanda, and many more have proven track records that justify their positions in the market. Usually if a company is small, has no affiliation to forex or a financial institution, then stay away. Also a word on looking for reviews about brokers online. You can find honest reviews on forex brokers online, however there seems to be a habit of late of competing forex companies, and/or traders engaging in negative marketing of each other. Dig deeper and you will usually find an honest answer.
You might be a forex trader yourself, or maybe you are just curious about how forex markets work, whomever you are, you need to learn how to seperate the legit forex brokers from the scam merchants. The internet has a great deal of genuine forex dealers offering quality services, it is also unfortunately infected with just as many thieves dressed up as companies who will gladly take your money and then dissapear. This fear of being taken advantage of puts a lot of people off the idea of trading forex, this shouldn't be the case.
Now there are a few key differences between stock markets and forex markets that you are going to have to learn:
1. Forex has no centralised exchange house.
2. Forex trading is 24/7.
3. Forex is a largely unregulated market.
Looking at that list, it kind of seems that the forex market is akin to a wild west town full of outlaws and gunslingers. In this market there is noone to complain to, noone who will hold your hand. So how can you find the genuine dealers amid all the garbage? Do not trust any broker whose reputation cannot be confirmed, and whose company is not tied to the forex market.
The attraction of the forex market can be overwhelming. The scent of huge profits often overpower the common sense of the average person. They enter eagerly, just waiting to invest their life savings.Lying in wait are the scammers with huge promises, they capture the new investors money, and suddenly dissapear.
The good news is, is that many genuine forex brokers do actually exist. Easy-Forex, Oanda, and many more have proven track records that justify their positions in the market. Usually if a company is small, has no affiliation to forex or a financial institution, then stay away. Also a word on looking for reviews about brokers online. You can find honest reviews on forex brokers online, however there seems to be a habit of late of competing forex companies, and/or traders engaging in negative marketing of each other. Dig deeper and you will usually find an honest answer.
Forex Hates Procrastinators
Forex Hates Procrastinators
What have you put off today? Something important you had to do that you ended up not doing? Well i am sorry to say this but Forex doesn't like you very much, it won't actually come out and say this, but it will definatley show you by eating all your money.
Why do lazy people flounder in the forex market?
1. They put off getting a broker too long and then often make a bad choice.
2. They don't do any research or engage in education and therefore end up gambling.
3. They clutter up informative blogs and forums with their incessant whines about how forex is a scam and can anyone lend them $20 because they are good for it.
4. They are often emotional about trades and will either get too excited after a good trade or try to take revenge on the market after a bad loss.
Does this look like a successful traders mindset to you? Of course it isn't. Are you guilty of any of these things? If you are get it sorted ASAP, not or my sake, but for your own. It isn't my money you are gambling away. "But i thought forex is investing not gambling?" Thank you! I don't gamble in forex, i invest, many other traders i know invest as well. Whats the difference? Education my friend, education. We know what we are doing, and make educated decisions about where we want our money, a forex gambler wakes up in the morning and just decides then and there where he is going to flush away some more money. They don't research, they don't even know what a chart looks like, they just go with uneducated gut feelings.
But let's stop talking about forex gamblers before i have a stroke, what about successful traders?
1. They research brokers and then choose one and stick to it until the broker gives them reason not to.
2. They are always learning. What is a better indicator to use? What have i done wrong in the last week? This is the kind of thing that sharpens their trading sword so sharp it could cut space and time.
3. They don't post often, they might not ever post on a forum or blog. To them forex is about learning and they would rather listen then speak. Humble eh?
4. They keep their cool. They know that a win can turn into a loss and the other way around within the next 5 minutes. They have the experience and they have already set up their trades to accomodate for a turn in fortune. They are in control. Well mostly
What have you put off today? Something important you had to do that you ended up not doing? Well i am sorry to say this but Forex doesn't like you very much, it won't actually come out and say this, but it will definatley show you by eating all your money.
Why do lazy people flounder in the forex market?
1. They put off getting a broker too long and then often make a bad choice.
2. They don't do any research or engage in education and therefore end up gambling.
3. They clutter up informative blogs and forums with their incessant whines about how forex is a scam and can anyone lend them $20 because they are good for it.
4. They are often emotional about trades and will either get too excited after a good trade or try to take revenge on the market after a bad loss.
Does this look like a successful traders mindset to you? Of course it isn't. Are you guilty of any of these things? If you are get it sorted ASAP, not or my sake, but for your own. It isn't my money you are gambling away. "But i thought forex is investing not gambling?" Thank you! I don't gamble in forex, i invest, many other traders i know invest as well. Whats the difference? Education my friend, education. We know what we are doing, and make educated decisions about where we want our money, a forex gambler wakes up in the morning and just decides then and there where he is going to flush away some more money. They don't research, they don't even know what a chart looks like, they just go with uneducated gut feelings.
But let's stop talking about forex gamblers before i have a stroke, what about successful traders?
1. They research brokers and then choose one and stick to it until the broker gives them reason not to.
2. They are always learning. What is a better indicator to use? What have i done wrong in the last week? This is the kind of thing that sharpens their trading sword so sharp it could cut space and time.
3. They don't post often, they might not ever post on a forum or blog. To them forex is about learning and they would rather listen then speak. Humble eh?
4. They keep their cool. They know that a win can turn into a loss and the other way around within the next 5 minutes. They have the experience and they have already set up their trades to accomodate for a turn in fortune. They are in control. Well mostly
Winning Forex the 100k Challenge
It wasn't easy but we did it, $1k to $100k on both demo and live accounts. Let's take a moment to celebrate and then get down to business. There, was that long enough? Ok.
Why did some people make it and other give up or just painfully failed? I have narrowed it down to several reasons. Hopefully you will be able to take these lessons away from this article and impliment them into your own trading.
1. Trading more then 1% a trade.
Seems a little weird that the people who eventually made the $100k only risked a max of 1% of their capital in any given trade? Well thats what everyone who made it did. Trading this amount of capital keeps you in the game if you eventually run into a losing streak on the market. This is a vital piece of information to remember. Even though your profits will be lower then a person who risks, say, 10% a trade, your long term ability to stay in the game is far greater then the 10% trader.
2. Trading more then 3 major currency pairs at a time.
There is no way getting around it, Forex can sometimes be a risky and volitile market. Information saturates the internet about every major currency pair. Keeping track of more then 3 currency pairs will often leave the trader in paralysis of analysis. Personally i only trade 2 majors and keep up to date on those. Being a master of 2 currency pairs is far better then being a jack of all pairs and a master of none.
3. Being lazy and not constantly learning.
People change, and markets based on people change with them. Forex changes all the time, what is a favoured currency, what isn't favoured can change week to week. My point here is not to only trade the news, my point is that the people who succceeded in making the $100k were always shaprpening their skills. This market can make you filthy rich so why wouldnt you spend the time learning all you can about it? I can never understand new traders who read a few books on Forex and think that their learning is finished. If you want to make money off Forex remember this, the cost of trading forex is Capital and Learning.
4. Only focusing on one time frame.
Last but not least here is something we probably all did as new traders. But the sooner you kick this habit the better off you will be. Let me give you an example. If a daily chart is showing an upward trend reversal, but on a 1 minute chart it is showing a strong start to an upward trend, if you are only focusing on the 1 minute chart you are going to lose a lot of chedder. My point here is simple, keep an eye on the overall picture at all times. Use 2 -3 different time period charts for a big picture and then use 1 to make your trading decision.
Why did some people make it and other give up or just painfully failed? I have narrowed it down to several reasons. Hopefully you will be able to take these lessons away from this article and impliment them into your own trading.
1. Trading more then 1% a trade.
Seems a little weird that the people who eventually made the $100k only risked a max of 1% of their capital in any given trade? Well thats what everyone who made it did. Trading this amount of capital keeps you in the game if you eventually run into a losing streak on the market. This is a vital piece of information to remember. Even though your profits will be lower then a person who risks, say, 10% a trade, your long term ability to stay in the game is far greater then the 10% trader.
2. Trading more then 3 major currency pairs at a time.
There is no way getting around it, Forex can sometimes be a risky and volitile market. Information saturates the internet about every major currency pair. Keeping track of more then 3 currency pairs will often leave the trader in paralysis of analysis. Personally i only trade 2 majors and keep up to date on those. Being a master of 2 currency pairs is far better then being a jack of all pairs and a master of none.
3. Being lazy and not constantly learning.
People change, and markets based on people change with them. Forex changes all the time, what is a favoured currency, what isn't favoured can change week to week. My point here is not to only trade the news, my point is that the people who succceeded in making the $100k were always shaprpening their skills. This market can make you filthy rich so why wouldnt you spend the time learning all you can about it? I can never understand new traders who read a few books on Forex and think that their learning is finished. If you want to make money off Forex remember this, the cost of trading forex is Capital and Learning.
4. Only focusing on one time frame.
Last but not least here is something we probably all did as new traders. But the sooner you kick this habit the better off you will be. Let me give you an example. If a daily chart is showing an upward trend reversal, but on a 1 minute chart it is showing a strong start to an upward trend, if you are only focusing on the 1 minute chart you are going to lose a lot of chedder. My point here is simple, keep an eye on the overall picture at all times. Use 2 -3 different time period charts for a big picture and then use 1 to make your trading decision.
Discover The Best Forex Trading Robots
6 Reasons To Trade Forex Now - Discover The Best Forex Trading Robots.
Well for those of you who don’t know what FOREX is , it stands for Foreign Currency Exchange Market . Basically it’s buying and selling currencies and making a profit on the rise or fall of one currency against another . It’s a 24 hour five day a week market , and generates $3.8 trillion a day in trades.
Ok lets get down to the six reasons why you should be trading FOREX now instead of leaving your money in a bank earning cents on the dollar .
Reason 1: Demo Account Paper Trade
A demo account or paper trading as it's also known allows you and your robot to practise without risking any money . This way you gain experience and a feel for trading , its also a great way to see how your robot performs. Yes you get a preview of the profits you can make ,what other business offers this ?
Reason 2: Profit Potential
After you have done the paper trade and learnt more about the market , you will see why people are making so much money on the Forex market. You can start with a small investment and in some cases watch it double every month. With a solid plan before you start trading your earning power will be limitless.
Reason 3: FOREX Your Flexible Friend
Working and just putting you money into a bank account will see small increases in your investment. However Forex trading can explode your earning potential. Trade at a time and place that suits you and no stock or physical goods to worry about. You can buy and sell within minutes making an instant profit in an up or downward trend.
Click Here Discover The Best Forex Trading Robots
Reason 4: Fluctuating Prices
Forex is known as a liquid market as it's a cash only market. Well imagine the market as giant waves rising and falling and you can make money on the falling or rising wave . Of course there is a risk of you making losses as well as gains so keep this in mind when surfing on the Forex waves.
Reason 5: Now The Little guy Can Get A Piece Of The Pie
With the vast improvements in Forex Trading Robots and the cost of entering the market being very reasonable , you don't have to be Bill Gates to start trading. For a small investment you can have your own robot trading for you twenty four hours a day.So where ever you are in the world with access to the internet you can watch your profits grow.
Reason 6: Leverage
Leverage is borrowing to invest more in a trade than you have in your account . For example to trade $100,000 of currency, with a margin of 1%, an investor will only have to deposit $1,000 into their margin account. The leverage provided on a trade like this is 100:1. So 1% profit in a three hour trade would produce a profit of $1000.
Well as you can see forex is an amazing opportunity to make money , and you can get in at the ground floor. What you need to know now is what is the easiest and most profitable way to enter the market . Well there are some great Forex trading robots like Fap Turbo , Forex Megadroid , Forex Ambush . After a few easy steps these robots will do all the trading for you twenty four hours a day .
Well for those of you who don’t know what FOREX is , it stands for Foreign Currency Exchange Market . Basically it’s buying and selling currencies and making a profit on the rise or fall of one currency against another . It’s a 24 hour five day a week market , and generates $3.8 trillion a day in trades.
Ok lets get down to the six reasons why you should be trading FOREX now instead of leaving your money in a bank earning cents on the dollar .
Reason 1: Demo Account Paper Trade
A demo account or paper trading as it's also known allows you and your robot to practise without risking any money . This way you gain experience and a feel for trading , its also a great way to see how your robot performs. Yes you get a preview of the profits you can make ,what other business offers this ?
Reason 2: Profit Potential
After you have done the paper trade and learnt more about the market , you will see why people are making so much money on the Forex market. You can start with a small investment and in some cases watch it double every month. With a solid plan before you start trading your earning power will be limitless.
Reason 3: FOREX Your Flexible Friend
Working and just putting you money into a bank account will see small increases in your investment. However Forex trading can explode your earning potential. Trade at a time and place that suits you and no stock or physical goods to worry about. You can buy and sell within minutes making an instant profit in an up or downward trend.
Click Here Discover The Best Forex Trading Robots
Reason 4: Fluctuating Prices
Forex is known as a liquid market as it's a cash only market. Well imagine the market as giant waves rising and falling and you can make money on the falling or rising wave . Of course there is a risk of you making losses as well as gains so keep this in mind when surfing on the Forex waves.
Reason 5: Now The Little guy Can Get A Piece Of The Pie
With the vast improvements in Forex Trading Robots and the cost of entering the market being very reasonable , you don't have to be Bill Gates to start trading. For a small investment you can have your own robot trading for you twenty four hours a day.So where ever you are in the world with access to the internet you can watch your profits grow.
Reason 6: Leverage
Leverage is borrowing to invest more in a trade than you have in your account . For example to trade $100,000 of currency, with a margin of 1%, an investor will only have to deposit $1,000 into their margin account. The leverage provided on a trade like this is 100:1. So 1% profit in a three hour trade would produce a profit of $1000.
Well as you can see forex is an amazing opportunity to make money , and you can get in at the ground floor. What you need to know now is what is the easiest and most profitable way to enter the market . Well there are some great Forex trading robots like Fap Turbo , Forex Megadroid , Forex Ambush . After a few easy steps these robots will do all the trading for you twenty four hours a day .
Understanding Forex Statistics
Once you become somewhat familiar with how the forex market works, and you understand to a point what is involved in trading on the Foreign Exchange Market, you would want to start to gauge market trends in order to profit from your business ventures on the open market.
The name of the game is statistics, and the first rule is that you must be aware there is no such thing as a sure thing on the forex market. While you can never be 100% sure at any given time of the next move that will be made on the market as a whole, being able to read statistics and interpret them will place you ahead of the pack in regards to "guessing" what will happen next.
Forex trading is a lot like gambling. If you can keep track of the cards that have already been played, you are more informed, statistically, regarding what is likely to be dealt next, meaning you can place a bet with greater insight than someone who has no clue what has already been played. With the forex market, if you have information as to what has already occurred over the past few days, months, or even years, you are again placed in a better position to more logically conclude what will happen next. You simply learn the pattern and follow it to the end, reaping the financial rewards.
Charts And Chartists
Wait, did you think you were going to have to research and map out the market's past all by yourself? Of course not! There are people who get paid to do that sort of work. They monitor the market hourly, daily, weekly, monthly, and yearly so that they can provide big-time traders with the same knowledge mentioned before. The more a trading company knows about the market, the more money they can make.
The best part of this is that you have access to the same information as these VIP clients. Chartists, who are essentially market analysts that publish their findings in easy to read charts, produce what is referred to as a candlestick charts. These charts are basically a combination of a line graph and a bar graph that show the trend of various stocks, indexes, or other interests over a specified period of time. Therefore, you can easily determine if the currency is on an uptrend or if it is taking a downturn, when the last major change occurred, and how long it is predicted that the currency pair will continue on the current path.
If your broker does not supply you with these charts, then you should easily be able to draw them yourself with the modern day charting software or trading platform that you get from your broker. These software platforms can draw most charts for you by entering a couple of parameters and viewing the result.
The name of the game is statistics, and the first rule is that you must be aware there is no such thing as a sure thing on the forex market. While you can never be 100% sure at any given time of the next move that will be made on the market as a whole, being able to read statistics and interpret them will place you ahead of the pack in regards to "guessing" what will happen next.
Forex trading is a lot like gambling. If you can keep track of the cards that have already been played, you are more informed, statistically, regarding what is likely to be dealt next, meaning you can place a bet with greater insight than someone who has no clue what has already been played. With the forex market, if you have information as to what has already occurred over the past few days, months, or even years, you are again placed in a better position to more logically conclude what will happen next. You simply learn the pattern and follow it to the end, reaping the financial rewards.
Charts And Chartists
Wait, did you think you were going to have to research and map out the market's past all by yourself? Of course not! There are people who get paid to do that sort of work. They monitor the market hourly, daily, weekly, monthly, and yearly so that they can provide big-time traders with the same knowledge mentioned before. The more a trading company knows about the market, the more money they can make.
The best part of this is that you have access to the same information as these VIP clients. Chartists, who are essentially market analysts that publish their findings in easy to read charts, produce what is referred to as a candlestick charts. These charts are basically a combination of a line graph and a bar graph that show the trend of various stocks, indexes, or other interests over a specified period of time. Therefore, you can easily determine if the currency is on an uptrend or if it is taking a downturn, when the last major change occurred, and how long it is predicted that the currency pair will continue on the current path.
If your broker does not supply you with these charts, then you should easily be able to draw them yourself with the modern day charting software or trading platform that you get from your broker. These software platforms can draw most charts for you by entering a couple of parameters and viewing the result.
Forex Trading Robots Give You The Edge
If you have just started trading in the FOREX market or your considering it , These four basic rules could save you a lot of money and keep that shirt on your back. Of course Fap Turbo ,Forex megadroid and a host of other forex trading robots are waiting in the wings but we will look at them later
The Five Basic Rules for FOREX Trading
Yes it is worrying starting your journey into FOREX trading .The rules and methods of trading can seem like a lot to deal with . Of course you will learn many things along the way , like which currency pairs perform the best and trends in the market.
There is however key rules and methods you should be aware of in order to keep loses to an absolute minimum and maximize profits. You will avoid many pitfalls as well as recognize opportunities that will boost your profits in the FOREX market.
These are the four rules/methods we will cover :
1) Don't Over Leverage Your Investment
2 ) Quit When Your Ahead Know When That Is
3 ) Do your Research Before Making Trades
4) Stop Loss Orders Protect Yourself From Large Losses
5) Consider Getting Trading Robot That Will Save You Time and Money
1-Don't Over Leverage Your Investment
It's so easy to get caught up in the buzz of FOREX trading , However Leverage is a two edge sword. Leveraging is basically trading more money than you have in your portfolio . For example If you have $2000 in you account some brokers will allow you to buy $50,000 of a currency .
Its better to get the know the market over time than take unnecessary risks. Don't get carried away as you need a steady well thought out approach to make a long term consistent income with FOREX trading .
2-There Is A Time to Quit - Know When It Is
When your riding high on a profitable trade ,many people don't want to sell in the hope there profits will just keep on rising . Well values can fall as well as rise so don't get greedy and lose your gains.
However you don't want to cash in to quick and miss those few extra gains. Some trades you make won't be successful. But over time and careful studding the market trends , you will get a feel for when to start and stop trading. Even Experienced traders have a few losses along the way , but over all they have far more wins that losses and you will too.
3-Doing Your Research Before Making Trades
Research is a word many people don't like , because it involves extra work with no apparent benefits . Well in the FOREX Trading market , having an idea of history and current trends can be the difference between winning and losing . Don't treat the FOREX market like a casino because you will lose far more than you win. Do your research.
4-Stop Loss Orders For Protection
Stop loss is part of a system that stops you from losing too much of your investment or profit , basically if the value of the currency falls to the value you set in the stop loss , Stop loss will sell and stop you from losing any more profit .
Stop loss should be st up before you start to trade ,and you need to decide the value that the stop loss activates. The successful traders use this safety method all of the time .
5-Consider Getting Trading Robot That Will Save You Time and Money
Well after reading the four rules above you must be wondering if there is an easier way .
Well yes there is , FOREX automated robot software , not only trades on average better than humans it can also trade night and day with no interaction from you. Real live account studies have shown one particular Robot Doubling Profits every month .
The Five Basic Rules for FOREX Trading
Yes it is worrying starting your journey into FOREX trading .The rules and methods of trading can seem like a lot to deal with . Of course you will learn many things along the way , like which currency pairs perform the best and trends in the market.
There is however key rules and methods you should be aware of in order to keep loses to an absolute minimum and maximize profits. You will avoid many pitfalls as well as recognize opportunities that will boost your profits in the FOREX market.
These are the four rules/methods we will cover :
1) Don't Over Leverage Your Investment
2 ) Quit When Your Ahead Know When That Is
3 ) Do your Research Before Making Trades
4) Stop Loss Orders Protect Yourself From Large Losses
5) Consider Getting Trading Robot That Will Save You Time and Money
1-Don't Over Leverage Your Investment
It's so easy to get caught up in the buzz of FOREX trading , However Leverage is a two edge sword. Leveraging is basically trading more money than you have in your portfolio . For example If you have $2000 in you account some brokers will allow you to buy $50,000 of a currency .
Its better to get the know the market over time than take unnecessary risks. Don't get carried away as you need a steady well thought out approach to make a long term consistent income with FOREX trading .
2-There Is A Time to Quit - Know When It Is
When your riding high on a profitable trade ,many people don't want to sell in the hope there profits will just keep on rising . Well values can fall as well as rise so don't get greedy and lose your gains.
However you don't want to cash in to quick and miss those few extra gains. Some trades you make won't be successful. But over time and careful studding the market trends , you will get a feel for when to start and stop trading. Even Experienced traders have a few losses along the way , but over all they have far more wins that losses and you will too.
3-Doing Your Research Before Making Trades
Research is a word many people don't like , because it involves extra work with no apparent benefits . Well in the FOREX Trading market , having an idea of history and current trends can be the difference between winning and losing . Don't treat the FOREX market like a casino because you will lose far more than you win. Do your research.
4-Stop Loss Orders For Protection
Stop loss is part of a system that stops you from losing too much of your investment or profit , basically if the value of the currency falls to the value you set in the stop loss , Stop loss will sell and stop you from losing any more profit .
Stop loss should be st up before you start to trade ,and you need to decide the value that the stop loss activates. The successful traders use this safety method all of the time .
5-Consider Getting Trading Robot That Will Save You Time and Money
Well after reading the four rules above you must be wondering if there is an easier way .
Well yes there is , FOREX automated robot software , not only trades on average better than humans it can also trade night and day with no interaction from you. Real live account studies have shown one particular Robot Doubling Profits every month .
The Three Keys To FOREX Trading Success Trading Robots To The Rescue
The Three Keys To FOREX Trading Success Trading Robots To The Rescue
Hello
I’m sure like many people you are curious about the Foreign Currency Exchange Market, or FOREX as it is commonly called. $3.8 trillion a day is traded on the Forex market . That,s enough money to buy Microsoft , Google, Wal-Mart ,IBM, FORD, and still have change for a Caribbean country and your own space programme .
There are those who have mastered the trillion dollar beast and are making a nice living , some have even become millionaires and billionaires . Of course you want to join those people at the top , with a life style most of us only dream of.
Is There a Legitimate Way To Make Life Changing Money With FOREX ?
Yes There is , but You need these three Principles/methods in place at the core of your trading plan.
1) Ability to trade with realistic risk assessment
2) Be able To keep greed under control
3) Use the Best Tools for the job ( Forex trading Software )
Ok let take a brief look at these principles/method
1) Values can go up as well as down , the Spread ( difference between the buy and sell price) is constantly changing . The amount of PIPS ( measurement of the smallest unit price ) in the spread tells you how much your investment has increased or decreased. So there are times when you need to trade short and other time you need to trade long . don’t expect the market to always go your way , do research on trends on the currency pairs your about to trade.
2) The FOREX market is not a get rich quick system , keep in mind there will be loses as well as gains , so controlled researched and planed trading will give you more chance of success. Leverage ( using credit to trade more than you have deposited) Is a powerful way to make money
3) Well after reading the Key principles 1 and 2 you may feel a little overwhelmed . However FOREX trading software robots , can make it so much easier for the new trader. You just need to find the FOREX trading robot with the best track record of success .
What’s really exciting right now is that I have found the top three robots on the web site below. Discover the best tools for the job visit the site below now
Hello
I’m sure like many people you are curious about the Foreign Currency Exchange Market, or FOREX as it is commonly called. $3.8 trillion a day is traded on the Forex market . That,s enough money to buy Microsoft , Google, Wal-Mart ,IBM, FORD, and still have change for a Caribbean country and your own space programme .
There are those who have mastered the trillion dollar beast and are making a nice living , some have even become millionaires and billionaires . Of course you want to join those people at the top , with a life style most of us only dream of.
Is There a Legitimate Way To Make Life Changing Money With FOREX ?
Yes There is , but You need these three Principles/methods in place at the core of your trading plan.
1) Ability to trade with realistic risk assessment
2) Be able To keep greed under control
3) Use the Best Tools for the job ( Forex trading Software )
Ok let take a brief look at these principles/method
1) Values can go up as well as down , the Spread ( difference between the buy and sell price) is constantly changing . The amount of PIPS ( measurement of the smallest unit price ) in the spread tells you how much your investment has increased or decreased. So there are times when you need to trade short and other time you need to trade long . don’t expect the market to always go your way , do research on trends on the currency pairs your about to trade.
2) The FOREX market is not a get rich quick system , keep in mind there will be loses as well as gains , so controlled researched and planed trading will give you more chance of success. Leverage ( using credit to trade more than you have deposited) Is a powerful way to make money
3) Well after reading the Key principles 1 and 2 you may feel a little overwhelmed . However FOREX trading software robots , can make it so much easier for the new trader. You just need to find the FOREX trading robot with the best track record of success .
What’s really exciting right now is that I have found the top three robots on the web site below. Discover the best tools for the job visit the site below now
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