http://forextradingseminar.com A begginer Forex trading student with no previous trading experience shares results that cause disbelief among “professional” traders.
Duration : 0:5:0
For hundreds of years stocks have been a popular investment.
Companies issue stocks to raise capital for expansion and new
projects. Each share of the stock represents a partial ownership
in the company. When the company makes a profit, the value of
the stocks rise. Stock owners can sell their shares for a
profit, or hold on to the stock for even more gain in the
future. Sometimes companies will issue dividends — part of the
profits that are distributed to share holders.
Stock Exchanges
Stocks are traded on stock exchanges. Most stocks are bought and
sold through brokers who charge a commission or fee for this
service. United States stock exchanges include the New York
Stock Exchange (NYSE), the American Stock Exchange, and the
National Association of Securities Dealers Automated Quotation
System (NASDAQ). Most stocks are listed only on 1 exchange.
Long-Term Trading Vs. Day Trading
Stocks were traditionally seen as long-term investments.
So-called “blue chip” stocks, those having proven value over
many years, often formed the basis of an investment portfolio.
Short-term trading is a relatively new phenomenon in stock
trading, made possible by the advent of the internet. Day
traders attempt to take advantage of large daily fluctuations in
the market by buying and selling many times in a single trading
day. This is relatively risky, and any profits are reduced by
the broker commissions charged on each transaction.
FOREX
The Foreign Exchange Market (FOREX) is quite different from the
stock exchange. FOREX is primarily a short-term market. Most
traders enter and exit deals within a 24 hour period –
sometimes within a few minutes. Many FOREX trades can be made in
1 day without building up a large brokerage fee, because FOREX
trades are commission-free. Brokers earn money by setting a
spread — the difference between asking and selling prices.
The FOREX is the largest financial market in the world, with
transactions worth $1.5 trillion every day. By comparison, all
the American stock exchanges combined handle about $100 billion.
The huge volume of FOREX allows it to be 1 of the most liquid
markets in the world. There is always a buyer and seller for any
type of currency, because the world economy relies on the
movement of goods from country to country. The stock market is
less liquid because participants may choose to hold their
investments indefinitely or move on to other markets.
Non-Stop Trading 5 Days A Week
The FOREX is not based in any 1 location. Trading markets are
located worldwide and, due to time zone differences, trades can
be made 24 hours a day, 5 days a week. Trading begins in Sydney,
Australia on Monday morning (Sunday afternoon New York time) and
continues non-stop until Friday afternoon New York time. Stock
exchanges have more limited trading hours. While it is possible
to trade on exchanges worldwide, each exchange is independent
and operates for just 7 hours a day. It is not possible to buy
or sell a certain stock that is traded only on 1 stock exchange
when that exchange is closed.
Other FOREX Advantages
It is more predictable than stocks; it follows well-established
trends.
It allows high leverage — typically 100:1 as opposed to 2:1 on
the stock market
It doesn’t require a large investment — mini accounts as small
as $250 can get you started in FOREX.
FOREX trading is not without risk. Neither is the stock market.
Either trading vehicle requires education, planning, discipline,
and some disposable income.
Ron King
http://www.articlesbase.com/finance-articles/is-forex-trading-better-than-stocks-3561.html
A look at FOREX markets and Gold Futures for Tuesday, May 15th; Observe the visual pattern setup into an aggressive sell in the Gold Futures chart, which has already taken out scalpers and is currently pushing towards extended targets. In the FOREX, we review a few patterns we see setting up or completing, including buy patterns in the British Pound and Canadian Dollar.
Duration : 10 min 8 sec
For you to become a successful forex trader you need to know what forex trading is and how to successfully trade foreign-exchange. Sufficient knowledge is essential to foreign exchange trading. You can learn some strategies through on-line foreign exchange tutorials.
An on-line foreign exchange tutorial will explain how the foreign exchange market flows and will also explain the types of foreign-exchange orders that are available to you as a foreign exchange trader. It will also let you know about technical indicators and what they mean, the economic indicators you will need to be aware of and the various options and strategies that are available to you as a forex trader.
Joining the forex trading bandwagon with both feet? Here are some must-know tips on foreign exchange trading and mini-forex to help you stay afloat in the Foreign Exchange currency market.
1.Know your foreign-exchange trading market- educate yourself about the currencies that you trade. The more you understand about the country whose currency you are trading in the forex market, the more precisely you will be able to predict which way the money will move.
2.Practice makes perfect-but it’s not the real world- practice forex trading accounts are ideal for learning how a particular trading account works but they are not the real world. Many experienced traders recommend starting off with a mini foreign exchange account to minimize your losses while you get acclimated.
3.Pick a forex trading system and stick with it- savvy forex traders will tell you that system is everything. It by system lets you automate your trades based on history, following the traditional peaks and valleys. Set up a system and live with it to make the most of your forex trading.
4.Keep your eye on the margin- margin trading is a great way to lose a lot of money quickly. Stay away from forex margin trading until you are sure you know what you are doing.
5.The only win that counts in foreign-exchange trading is the bottom line- in foreign exchange trading, the bottom line is how much money you made at the end of the day. Don’t count won or lost trades only dollars and cents.
The most essential aspect when it comes to forex trading is to educate yourself about it so that you understand how to trade and how to trade efficiently, successfully. The more you educate yourself with foreign exchange trading the more understanding you will have and the more success.
Stephen Campbell
http://www.articlesbase.com/currency-trading-articles/learning-some-important-tips-for-forex-trading-352000.html
Discover why rest of the herd keeps trading without understanding the best way to profit from time frames in Forex trading.
Duration : 8 min 18 sec
This is one of my forex trading signals videos where I share my forex trading system by forecasting which forex news events are coming up next and how to trade them.
Duration : 0:9:58
If you are as confused as I was when I started trading currency on the foreign exchange (forex), than this article will do wonders for you. From facts on the forex to the best online forex trading platform, your questions will be answered.
If you are as confused as I was when I started trading currency on the foreign exchange (forex), than this article will do wonders for you. From facts on the forex to the best online forex trading platform, your questions will be answered.
Ok, let’s go over some of the basics. What is the forex? Well, forex, the word is simply a combination of the phrase FOReign Exchange. That’s it, you’re ready to trade. Oh, you want more? The forex market is an electronic market where the currency of different countries are traded.
In actuality, you are trading the value of currency A vs. the value of currency B. Although you can combine any two currencies to form a currency pair, there are four currency pairs that are considered the major pairs.
They are: EUR/USD (Euro/Dollar), GBP/USD (Pound/Dollar), USD/JPY (Dollar/Yen), USD/CHF (Dollar/Franc). You can spend your entire currency trading career trading just one of those pairs.
Now for some interesting facts about the foreign exchange (forex) market. It is over 30 times as large as any other financial market. Remember this fact, we will be touching on it again later. The forex market is open 24 hours a day 5 days a week. This is a great feature as it allows you to partake in the business of currency trading regardless of where in the world you are.
Back to the size of the forex for a second. Due to this attribute, the foreign exchange market provides currency traders with opportunities that do not exist on any other trading tool. Although this article is not being written to get into too much detail about this, I’ll give you an example. There is no slippage on Stop orders during regular trading hours. If you are not sure what this means, I strongly suggest you spend some time looking it up. This is a quality that, by itself, separates the forex from all other markets.
So, now we get to the nuts and bolts of this article. What is an online forex trading platform?
Truth is, whether you are doing your own trading, following some form of forex trading alert or any other sort of forex trading system you are going to need an online forex trading platform.
Regardless of which forex broker you choose, you will be provided with some form of online forex trading platform. Usually, the trading platform will be the same whether you are trading mini contracts or full contracts.
What should an online forex trading platform provide?
Firstly, you should be able to see the value of your account at a quick glance. Also, you should be able to see how much money you have in the market and in what currency pair at any given time.
Secondly, the value of all currency pairs of interest to you should be right at your fingertips. This means that you should be able to define which currency pairs you want to have access to and you should be able to choose the look and feel of the quotes.
Thirdly, an order entering system should be easy to find and easy to use so that you can make quick reactions when you see an opportunity present itself. When you see a 20 pip reward and a 10 pip risk trade, you don’t want to be fumbling around with your mouse or keyboard, you just want to trade.
In a very small nutshell, that’s it. Those are the three things that an online forex trading platform needs to offer. If you have those than currency trading on the foreign exchange (forex) is only a few clicks away.
Eddie Yakubovich
http://www.articlesbase.com/finance-articles/the-ins-and-outs-of-an-online-forex-trading-platform-89264.html
http://forextradingseminar.com Is it really possible to trade forex while relaxing at the beach? Some say it actually helps with the wave theory.
Duration : 5 min 56 sec
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.
This free lession is brought to you by: http://www.ForexSimpleTrading.com
This video features some of the most commonly asked Forex trading questions. Learn all the basic Forex trading info you NEED to know to be a great trader.
Duration : 4 min 42 sec