Step up the forex trading platform!

The forex market or forex trading is an unregulated one as it is known for being enormously liquid or flexible for trading purposes. Forex brokers provide their services to traders to help them enter the market and be a part of it. Legally, a broker is meant to be registered with one of the many regulatory agencies that work in the arena and a trader has to look for this registered broker to avoid any problems that might arise because of getting an unregisterd broker. The best forex trading platform is the one which is less costly and is very user friendly for an even running business. The best forex robot, as the forex trading platform is generally called, is the one which yields maximum profits and also offers information and knowledge on how to achieve such profits. This knowledge amounts to intelligible ways to supervise business proficiently with an intention to develop forex trading strategies.

The forex trading software also proves of a great help where instant information is required in lesser time. And this has happened with the rise in demand of automated forex trading system due to increased online forex trading. The best of forex trading platforms are also available on the internet today, but these are to e chosen only with expert advice. Online forex trading has improved to a great extent with technological advancements in the forex trading arena. And this is lesser costly and easy to use than the established trading structures. But online trading platforms have to be checked for their authenticity. It is at times difficult for the trader to choose the best forex robot which is credible too. The information provided by online forex trading systems holds a lot of importance due to minute by minute changing trading figures. This ever changing information can affect profits so online trading systems are very essential and can prove helpful if trader deems to increase his technical knowledge. The Forex market is designed to give ease and permit financiers to come in and way out the market at will and with ease. There is supposed to be neither a bond nor time limitations on when to enter or exit the forex market.

Thus forex market platforms are highly professional and require extreme knowledge and skill on the part of the trader right from choosing the broker, acting upon the demo account, to investing real money in real accounts. So, if you feel that you are skillful enough to survive in the forex trading field, step right up on the platform, because that's your place to be!

forex trading requires you to be a risk taker. And with online forex trading coming up you need to be an expert in forex trading software. Online agencies provide you with forex software reviews which come handy.



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Your Must-Know Guide To Choose A Forex Trading Platform

By: Han Ming

Our introduction to this topic will include the basics, which will be followed by a more in depth look at this topic.

Getting an account with an online FOREX trading platform account regularly consists of four steps: selecting an account type, registration, account activation and confirmation. Here are few tips of choosing a great platform




1. Open a mini account Try opening a minuscule FOREX account with two or three platforms if you desire and ultimately consolidating your money to the one that seems to work best for you. Take time making decisions on which FOREX trading platform you want to work with and don't be troubled to ask tons of questions.

2. Get spot account Make certain you're getting a FOREX spot account and not forwards and futures account. Almost everybody uses spot market as it is easier to rollover your position.

3. Policies Be certain that you feel comfortable with FOREX trading platform policies before registering. Look for these few stuff

- Bid/ask price on main currency pairs

We hope that the first part of this article as brought you a lot of much needed information on the subject at hand.

- quantity of margin that is vital per trade

- lowest trading unit size

- No unknown commissions or other trading fees

- Reliability of the trading platform

4. Competitive spreads Look for the most competitive spreads as this will lower your expense when you trade FOREX. If you're trading thickly, it might expense you a complete lot addition of money for not receiving a great competitive spreads. Competitive spreads varies about 3 to 5 pips and if you're receiving a paste of 8 pips or more, just snub this platform.

5. Transparency Transparency of the trading platform is also important to make certainly they never charge you extra costs. Sometimes, they might make a blunder and charge you more and this might expense you an addition expenses you didn't want. Select which online FOREX trading platform prudently before trading currencies. Open a mini account in 2 or 3 platforms before choosing which platform you want to use in long term. Assess it for few weeks and see which gives you the best deal. Getting an account in a incorrect online FOREX trading platform can make you to fail both your time and money.




Seeing is believing, but sometimes we can't all experience every subject in life. This article hopes to make up for that by providing you with a valuable resource of information on this topic.

About the author:
Easy forex is an online trading platform gives lots of free valuable tools. You can start trading instantly at a very low cost. However trading forex involves risks, easy forex will not be responsible for the losses incurred by forex traders. Visit online forex trading or go to http://genuineforextrading.com to trade at lowest cost



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Financial Institutions Offer More Investment Options as Forex Introducing Brokers

By: Adam Hefner

Foreign exchange traders offer Forex Introducing Brokers the opportunity to introduce their clients to international currency trading. This service is offered to accountants, investment groups, financial institutions, or individuals with access to potential clients who might be interested in diversifying their investments.

The value of all the world's stock markets together is well below that of the foreign exchange. This market has great investment potential. While stock markets rise and fall, global currencies are constantly fluctuating in a manner which offers more flexibility to the investor. If an individual stock falls, it represents an irreversible loss. While there is a risk of losing money to an investment in a currency which suffers a devaluation, investors can sell this currency against any other foreign currency and instantly convert a bad investment into a good one.

As a financial institution, an Introducing Broker can offer more options to their existing clients. They can remain competitive by offering to invest their clients' capital in a more diversified market, and gain new clients who will be looking for the best service with the most varying options for turning capital into financial growth. It also gives clients the option of putting capital into a new market if they've become disenchanted with the stock market, rather than settling for bank interest or keeping their money in a safe. Clients can also reduce their risk by investing their capital in stocks and foreign currencies, avoiding a loss in the case of a significant fall in either market.

Numerous competing Forex companies offer Introducing Broker services with various options to meet the IB's specific requirements. They usually offer investment tracking software and can manage accounts themselves. Some provide instant online trading, allowing an IB or its clients to take advantage of market fluctuations throughout the day.

Financial planners and other individual finance managers or advisors, as well as small investment groups or members of mutual funds, can count on training programs offered by currency traders who offer Introducing Broker services. Forex companies work closely with IBs in promotion and advertising and also help maximize clients' personal financial growth.

If an individual holder of capital is keeping their money in their own national currency, they are already investing in one currency on the global market and counting on it not to suffer a loss. The value of their capital, in a global market, will suffer if they do not maximize their growth potential by investing in foreign currencies. Using the Forex Introducing Brokers option is necessary for any financial institution that realizes this and wants to help their clients stay competitive.
About the author:
To learn more about forex introducing brokers and how you may become one, check out http://www.ForexTrading101 .info, a popular website on todays popular forex trading.



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How to Find a Regulated Forex Broker

By: Paul Elms

This is one of the most important decisions you need to make at the start of your Forex trading: Who are you going to choose as your regulated Forex broker? You need to have a broker to place your trades in the market on your behalf. There are a number of factors that can help you come to a decision as to who you should choose.

One of the main things that you have to do is make sure that you chose a regulated Forex broker. If based in the US, your broker should be registered with the CFTC, the Commodity and Futures Trading Association. They should also be a member of the NFA, the National Futures Association. If they are Swiss based they should be regulated by the FDF, the Swiss Federal Department of Finance.

It is possible to look through the records of these organizations online to do some background checking of the broker that you are interested in. This should show you whether the broker has had any serious problems that have resulted in the regulatory authorities becoming involved. If the broker is not regulated at all, it is best not to proceed.

Other factors that will influence your decision of which broker to choose will include the costs involved. Forex brokers make their money by taking the difference in the ask price and offer price. This 'spread' should be as small as possible to make sure you are not being overcharged. Most brokers are in the range of 2-3 pips. If you are going to be charged 5 pips or more - walk away!






Another important consideration is the software or platform that the broker provides to make your trades. This can either be downloaded to your desktop or an online version. It is likely that you will find that some platforms are more user-friendly than others. So do shop around, as this is a crucial piece of equipment that you will be using in your day-to-day trading.

As well as the technology, many beginners value the human touch as well. Is it easy to contact a human being when you have a query or are you left on answer phone for ages? Why not give their support team a call and see what the response is like? Some regulated Forex brokers pride themselves on the level of customer care that they provide. Don't be afraid to put them to the test.

About the author:

Should you invest the time and money to learn to trade the Forex or should you just sit back and let a Forex trading robot do all the work for you? Get trading tips at http://www.forex-tradi ng-advice.com



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The Multi-Trillion Dollar FOREX Market

By: Jim Pretin

The Foreign Exchange market (Forex) is truly the largest exchange in the world. The amount of dollars traded on the Forex market on a daily basis is in the trillions. Most of this currency trading takes place between between large banks, central banks, currency speculators, multinational corporations, governments, and other financial markets and institutions. However, individual traders are starting to get in the mix, using internet discount brokers such as Etrade to participate in the currency exchange market.

There is no central exchange or meeting place for the Forex. All trading is done over computer networks between traders in different parts of the world. Also, unlike the stock market, the foreign exchange market is open 24 hours per day, because it is a global market. A trader in Hong Kong may be exchanging currency with a trader in Australia while an American trader is sleeping.

There are several different markets within the Forex exchange system. First, there is the spot market. The spot market deals with trades that are based on the current values of currencies. One person trades a certain amount of currency with another trader in exchange for an equivalent amount of a different foreign currency. Spot trades take two days for settlement.

The other two types of foreign exchange markets are the forward and futures markets. In the forward market, the buyer and seller agree on an exchange rate and a transaction date is set for a specific time in the future, at which point the trade is executed regardless of what the rates are at that time. On the futures market, futures contracts are bought and sold based upon a standard contract size and maturity date. Futures trades take place on public commodities markets.

A currency quote is listed differently from a stock quote. Stocks are quoted in terms of price per share. Currency exchange prices are listed as either a direct quote or an indirect quote. A direct quote uses the domestic currency as the base and the foreign currency as the quote. An indirect quote works the exact opposite way.

So, if you were to view a quote in an American newspaper that said USD/JPY = 75, that would be a direct quote and would mean that $1 of U.S. currency is equal to 75 Japanese yen. If that same quote appeared in that same American newspaper and was listed as JPY/USD = 0.013, that would be an example of an indirect quote.

As with stock prices, currency exchange prices have a bid and ask spread. The current bid is the amount of foreign currency that someone is willing to spend in order to buy $1 U.S. base currency. The ask is the amount of foreign currency that someone is demanding in order to be willing to sell $1 U.S. base currency.

The Forex markets are generally considered to be less volatile than then stock market because within the course of a trading day, it is highly unlikely for the value of a single currency to move all that much. With equities, it is not uncommon for a trader to buy a stock, and then a negative press release causes the stock to lose considerable value within a day or even a couple of hours. Sometimes, however, the Forex can be volatile. If there is a significant economic or political development with a certain country, the currency of that country can lose value quickly.

There is a higher degree of liquidity on the currency exchange then there is on the stock exchange because the currency exchange is open 24 hours per day and because the very nature of currency exchange is to bet on when certain currencies will go up or down; so, it is easy to sell your position in a certain currency even when the value of that money is going down. A plummeting stock is more difficult to unload, but not impossible.

If you want to begin currency tranding, try to set aside some money and open an account with an online broker. Start slowly, then as you get the hang of it, work your way up to larger trades and higher volume. However, do not gamble your nest egg on currency trading because inexperienced traders can lose everything they have rather quickly in spite of the relative safety of the Forex market.

About the author:

Jim Pretin is the owner of http://www.forms4free.com, a service that helps programmers make an HTML form



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Forex Brokers Exposed

By: George S. White

If you're looking for a good Forex broker for the first time, you have to be extremely careful. As the Forex market isn't regulated there are plenty of Forex broker scams.

The horror stories continue to appear every day. And until the Forex market starts to be a regulated market like stocks or futures markets, you need to do a solid research on any broker, before you send them any money.

There are several things that you should look at in order to avoid opening an account with the wrong broker.

Some Forex brokers trade against their clients. So, when you're buying for example EUR/USD the broker is taking the other side of the trade (they are selling EUR/USD). As a result, these kinds of brokers tend to manipulate prices in order to scare you out of your trade. In some worse case scenarios I've seen traders complaining that some brokers didn't fill their orders when they were in a winning trade. When they were losing money, the broker executed their trades in a matter of seconds.

Some brokers are from 3rd world countries. Usually this kind of broker isn't regulated anywhere. So, if you send them money, you can forget about the safety of funds. More than once I've seen people trying to withdraw money from their account, while the broker doesn't even answer their emails or calls. Some of these brokers have open offices in Switzerland so that you can trust them. Be extremely careful with where the broker is based.

Some brokers make their trading platforms freeze during key economic events. This makes impossible to a trader to exit a position. If a broker can't offer you a stable platform, you shouldn't use it.

Forex broker horror stories are all over the place. In order to protect yourself you should choose a solid and reliable broker based in USA or in Europe. This broker must be regulated and offer you easy withdraw conditions.

With all of this you need to be extremely careful when you're choosing a Forex broker. You must read everything you can about that broker. Make sure it's a regulated broker based in US or Europe. If you have any questions about them, make sure to contact them so that you know exactly that your money will be safe with them.

Besides this, you may also consider to search for broker reviews on your favorite search engine. Reading reviews allows you to know Forex customers experiences with a particular broker. Are they glad with this broker service, or are they mad and feel cheated?

Try to understand the situation that led to a specific review. Sometimes you can easily notice if it was someone that was mad with his broker and has no reason, or someone that is simply telling good things about a broker because he works there.





Make sure the broker has enough money to avoid bankruptcy. If you're choosing a regulated broker this task is almost complete because that's one of the standards a broker must accomplish in order to be regulated. If not, you'll be in trouble to know exactly the financial stability of the broker.

The Forex market is a difficult market even if you're with the right broker. If you start trading with a bad broker, you won't have many chances to make money on Forex.

I hope you understand all the Forex brokers' risks and scams, and make a complete research about them before you send them your money. You'll be glad you've done it.

About the author:

George S. White is the editor at TopForexEducation. By visiting the website TopForexEducation you can see some of the best Forex trading systems and Forex trading courses on the market.



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Forex Global Trading

By: John Callingham

Forex global trading is a huge unregulated market where the potential to make millions of dollars is endless. There are a wide variety of investment markets such as the stock market, mutual funds, real estate, etc... Why forex global trading above all else? The currency forex online trading involves potential risk when trading but the potential to earn a significant amount of money outweighs any time of risk. With all investment opportunities there is risk involved. If you find a method to trade forex online, you have one of the best chances of living comfortably even quitting your endless day job. Forex trading is very simple, it only involves the buying and selling of foreign currency for a major profit. There are special forex news sites directly related to forex trading and tons and tons of free resources out there on the internet to help you also. If you decide to go down the forex trading route, you will not be alone!

Throughout the years, forex trading has become the largest trading market out of all markets. All markets, whether that be on a global or local level change daily. There are many currency markets out there where you can buy currency for cheap and in a matter of days turn your inexpensive investment into thousands and thousands of dollars. To really understand forex trading, you need to first try out some forex mini trading sites that let you play around with the system and see how it works first hand. You need to create a sort of "mock" account and buy fake currency to see how much you would have earned if it was real money. This way you can see first hand how valuable forex trading really is if used properly. This type of forex strategy trading will take the average Joe working a dead end job and make them a millionaire. It happens everyday, all around the world 24 hours/7 days a week.





If you do not understand forex rate exchanges, the concept is very simple and really is one of the most powerful hidden weapons in making money online. To make a long story short, the currency market is never a set amount, it is constantly changing and fluctuating. When a forex trader decides to purchase a currency when it is low for the time being, you can make a huge profit by selling when the currency reaches it's peak high for the day. Let's look at an example, you can purchase a large amount of euro's aligned with the U.S. dollar and as the value of the euro rises further than your starting purchase amount, you could sell your euro for a huge profit.

Broker forex trading is one of the highest profitable trading systems, but the thing is you do not even need a broker to become rich in this market. All you need is a computer and an internet connection, well in today's society you can now do it on your phone. Almost all phones these days have the power to connect to the internet. Book forex will also give you a lot of valuable forex trading information. I hope this article has helped you greatly and good luck forex trading!

About the author:

John Callingham has been teaching traders all over the world about online forex trading. His award winning course exposes some of the best forex information in the industry. Learn more about John's course at http://www.ForexSimpleTr ading.com



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Reasons You should Use a Regulated Forex Broker

By: Korbin Newlyn

Does becoming a regulated forex broker interest you? Forex brokers do their business in the fast paced arena of foreign currency, creating millions for their clients. In addition, they earn very good money in commissions for themselves , speculating on which specific countries exchange rates are going to either go up or down in the near future.

What Entity Regulates Forex Brokers?

Since Forex brokers do their business around the world in various nations and cities, there is no single agency that regulates all Forex brokers. Instead, brokers are generally regulated through the local regulation brokerage agency in their home countries.

Therefore, U.S. Forex brokers are mainly regulated through the Securities and Exchange Commission, the Federal Deposit Insurance Corporation, the Federal Reserve System, or the Office of the Comptroller of the Currency.

Forex brokers that are situated in Japan are regulated by the Financial Services Agency, while the Irag Securities Commission regulates Forex brokers that are located with the borders of Iraq.




What Are The Rule That Govern Forex Traders?

Making trades on foreign exchanges is very different from making trades on the NYSE or the Nasdaq for instance. Forex trading has it's rules set down by the National Futures Association. The majority of the trades have to do with the major currencies; The American, Australian, Canadian dollars; The Euro; The British Pound; The Japanese Yen and so on.

National Futures Association

These various regulations are set forth in the National Futures Association Retail Off Exchange Foreign Rules. The various rules include detailed information in regards to assessments and dues, different requirements for managing a Forex account, numerous obligations of assignees, and various other situations that arise throughout the course of Forex trading.

The internet website of the National Futures Association incorporates a wealth of information for the start up regulated Forex Broker or Forex Investor. At this site you will find all the numerous rules that govern Forex traders; Forex reporting requirements' Forex alerts for investors; different notices to Forex members, decision notices which interpret the Forex rules, as well as other resources for those people who want to learn more in regards to Forex.

Their website also furnishes various links for electronic filing that are required to both establish as well as maintain a Forex brokerage, Forex reporting, promotional materials, complaints, exemptions, and the annual questionnaire.

Be Wary Of Unregulated Brokers

All investors must be aware that Forex fraud is an increasingly pervasive problem. The Commodities Futures trading Commission have estimates that consumers have lost in excess of $395 million in fraudulent Forex schemes.

For Additional Information

If you are looking for added information in regards to Forex than can be found on the National Future Association website, you can educate yourself on Forex trading by a self study program or through taking a course.

About the author:

Listen to Korbin Newlyn as he shares his insights as an expert author and an avid writer in the field of finance. If you would like to learn more go to Forex Training advice and at Learnin g About Forex tips.



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Currency Trading Platform

Benefits To Traders In The Market

By: Dean Forster

There are many different ways to make money in the financial markets. You can trade a stock, buy a bond, or buy a future in oil. However, none of them even comes close to the amount of money that is traded on the most current currency trading platform. The platform I am speaking of is Forex, also known as Foreign Exchange or FX for short.

There are various stock markets spread throughout the world, many in this very country. You have the New York Stock Exchange, The Nasdeq, the New York Mercantile Exchange, and roughly about 28 other stock markets dotting the globe. As far as currency trading, there is only one platform and that is Forex.

The current currency trading platform, Forex, is the largest market on the planet. It is estimated that in excess of $2 trillion US dollars is traded every day. Compare this to the New York Stock Exchange's daily transactions of approximately $50 billion, you can see that the enormity of the market, and its ability to dwarf all other equity markets in the world combined.

The currency trading platform identifies all currency that has a value relative to other currencies on the planet. It uses the purchasing and the selling of large or small quantities of currency in order to leverage the shifts, both upwards and downwards, in currency value and convert them into profit.

The currency trading platform known as Forex has many very real benefits over equity trading as in the stock exchange. The spreads, which will determine how good or bad your chance are for profit, in the currency trading platform are extremely low, making the cost to a trader very low as well. The platform is certainly not for the lighthearted because the downside to this market is that volatility in the currency market is extremely high. At first glance, that may sound unappealing but what it can mean is that a trader can generate enormous return on a given exchange. Conversely, given the currency trading platforms inherent volatility you also run the risk of losing big as well.




Until very recently, the currency trading platform market was almost exclusively the province of the large investors. Banking conglomerates and large multinational corporations were the main players of this market place. Over the past few years, however, the doors have flown open to investors large and small, and it is no wonder why. It is difficult to overlook the enormous benefit of this currency trading platform market for the typical investor: higher returns with lower risk. Now that is a good combination to any investor.

About the author:

Read more information about using a Currency Trading Strategy and currency trading options for making money in the Forex market at => http://www.forextechnicaltrading.com



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The Power of Proper Leverage

By: Dr Joshua Geralds

Leverage is a concept that many new traders hardly grasp. As a tool leverage is very powerful and can potentially help you sky rocket your profits. But if used wrongly you might end up cutting off your foot! Many traders use the terms of margin and leverage interchangeably. Understand that margin and leverage are two very different aspects and cannot be used interchangeably.

What exactly is leverage? The general definition of leverage is: "The mechanical power or advantage gained through using a lever" Bear in mind this definition is very apt and when you think of it in Forex terms we can say that leverage in Forex as defined in www.freedictionary.com:

"The use of credit or borrowed funds to improve one's speculative capacity and increase the rate of return from an investment, as in buying securities on margin"

We can define Margin as:

"The amount of collateral a customer deposits with a broker when borrowing from the broker to buy securities"

In Forex, what you do is that you use your deposit in your account to borrow from the broker to trade. Of course that also means that you cannot borrow unrealistic sums of money. The Broker would have calculated your risk position in relation to his thus you see things like 1:100, or 1:500. That means with your margin of $1 you can borrow up to $500 to trade in forex. Without such borrowing, a common person cannot be possibly able to take all his resource to trade on the Forex market.

There are dangers to over leverage as well and what we call a margin call. A margin call occurs when the money in your account is in sufficient to keep your position in place. That means that you have lost so much money that the broker in order to protect his interest has closed all your positions to recoup his losses. A margin call is bad and shows poor money management skills. You should never be in that position as you have started out well taking on maximum5% of your account to trade. Greed kills an account very quickly. Over leverage and margin calls are two big no-no for traders!




So leverage is what you borrow from the broker to use in your trading. While Margin is what you use to fund your trade. Margin belongs to you, it is your money. Leverage is the broker's money; if you lose it then they will take your money to pay it back. How they do that is they close your position and take all your cash from that trade.

Leverage is a very powerful tool, imagine using $1,000 to control $100,000. If you started your trading with no leverage the maximum you could go was $1,000. With leverage you can do a hundred times of that amount.

What then is proper leverage? This really depends on the trader's risk appetite and your money management rules. I would suggest that the maximum cap be 1:200, but the best leverage to take would anything below 1:100. Over leverage kills as quickly as it can make you money, with proper controls you can supercharge your trading without controls you can expect an account wipe. Thus harness the power of proper leverage and make your trading profits soar!

About the author:

Dr. Joshua Geralds is a successful investment specialist with over twenty years experience increasing the income of people world wide. For a limited time get his free Money Management to a Million Dollars e-course here: http://www.pipsalot.com



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Forex Pips, FX Charts and Trends

By: Lyndsay Wilkinson

Trends

The Forex markets have been studied for over 100 years and over that time trends have repeated themselves and patterns have become consistent and fairly reliable. It is very important to understand that prices move in Trends and those traders who trade with the trend are more successful. Finding the trend will help you become more aware of the market direction.

Always find the trend and trade with it, not against it. This applies even if it takes days or weeks for a new trend to become obvious.

Looking at the charts and drawing trend lines is the most common form of technical analysis. A trend is usually when 3 or more lows line up. A market that is trending up is making a series of higher highs and higher lows and you can draw a line connecting the bottoms (roughly), this is a support line.

The market is trending down when it is making lower lows and lower highs, if you draw a line connecting the tops you have drawn a resistance line.

Charts

Traders have different times they wish to trade in, some are comfortable using 1 and 5 minute time frame charts others prefer 15 min or 1 hour charts placing 4 to 10 trades daily and others prefer to place a trade and let it run for several days, weeks or longer. This is a personal decision. There is not one time period that makes more money than the others.

When reading the charts it is a good idea to look at 3 different time frames. The reason for this is the largest time gives a general over view of what is happening, the direction of the market, then zooming in to the next level shows what is going on more recently and when you should enter the market and the third and closest time frame is the one where you would actually monitor your trade.

The 3 different time frames can be any combination depending on your chosen trading time. A daily chart might show a downward trend but the 5 minute charts could show an upward trend and the 1 minute charts show a downward trend, these charts would be of no interest to anyone leaving a trade to run for weeks. Again there are software programs available to help identify trends and placement of orders. Having some knowledge I believe is useful even with automated programs.




There are 3 main types of Charts,the candlestick chart, bar charts and line charts.

They all come in many different time periods, 1 minute, 5 minutes,10 minutes,30 minutes, 1 hour, 2 hours, 4 hours, 1 day, 1 week and 1 month plus others.

With the bar chart each bar represents one period of time (as above) and on each bar there are 4 marks. The highest point reached in that time frame, the lowest point, the opening point and the closing point. Those 4 points tell you what has happened in the market for that time.

The candlestick charts give exactly the same information with the candlestick body changing colour on a high(bullish) and changing back on a low (bearish) market

The line charts simply chart the direction of the market moving up, down or sideways. You usually have a choice of what sort of chart you want from the broker of your choice. Trade in the time frame you feel comfortable with. There is no right or wrong time frame.

Pips

This is the smallest increment the value of the currency can change by. The pricing of the currency is always showing the value of one currency against another. For example EUR: USD 1.4443 ( 1 Euro is worth USD 1.4443) The last number shown on a price (for example the 3 in the following price 1.4443 ) is known as a pip. If the value of the Euro went up 20 pips it would be shown as EUR : USD 1.4463. All value changes are referred to as pip changes.

The main objective of trading is to gain as many profitable pips as possible. The more dollars you are trading and the higher your leverage the higher the value of the pip is worth to you. Trading a full lot of 100,000 with leverage the pip value is around $10 however with a mini account you are trading 1/10th of the size therefore a pip is worth $1.00.

Traders have different goals, short term traders might look at gains of 20 pips per trade, for a longer term Traders will be looking at 100 plus pips.

Good luck with your trading.

——————————————

About the author:

Lyndsay is a successful entrepreneur and forex trader. Discover how you can get the best proven Automated Forex Trading System and start trading successfully today. For the #1 automated forex system available check out http://www.best-fx-trading.com/



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Trading Forex - taking losses.

By: Mike P. Kulej

Everybody who has taken more than few trades knows that some of them result in loss. Some people stay in loosing positions in hopes for markets to turn around and produce profits. While it might work on few occasions, it is only a matter of time before this kind of trading will end in a margin call, effectively ruining account. Or, the wait period is measured in months or years, before price turns in the direction desired and reaches profitability. To avoid this, most traders use stops to cut looses short and preserve trading capital.

Unfortunately, vast majority of people entering trading arena have only gains in mind, leaving them unprepared for losses which are inevitable. They do not know how to deal with this reality of trading and how to manage them properly. This creates huge psychological problems, mental blocks, fear and eventual departure from trading.

Losses should be viewed as a cost of doing business, not much different than paying phone bill, rent or any other customary expense. Another analogy could be made with retailers who stock up on merchandise that doesn't sell. They discount it, sell it at as small loss as possible in order to recover capital. Then other items can be acquired, which, hopefully, will sell much better and recoup previous loss. Trading is exactly the same. If price moves against the trade, one has to get out, salvage as much funds as possible and wait for better opportunity.

Next, trader must find "comfort level" for loss. This is very personal and will depend on risk tolerance, account size and other similar variables. It can not be discovered from books and trading manuals but rather through personal trading experiences. One should experiment with position size in order to find out when losses don't bother him/her too much. This is easy to do now, as most brokers offer not only standard size lots, but also minis. Some even allow trading in hybrid lot sizes, which is great, since it permits really precise tailoring of amounts traded.

For example somebody trading $10,000 account might find it hard to stomach an average loss of $1000, but $50 or $100 would likely be easy to take. This could be a starting point. Position size small enough that a loss is no larger than, say $100. Once a trader doesn't have any problem with this level of an average loosing trade, position size can be increased and process repeated. One has to also remember that loosing trades often come in streaks. This process of starting small will help trader to deal with multiple failed trades in a row.

Profits also depend largely on the size of an average position, so a careful balance has to be established. One person might be willing to take greater risks in order to reach bigger gains, while other will concentrate on keeping account draw downs to minimum at the expense of gains. This is very personal, for which there is no universal, fit all mold. Everybody has to find his/her own comfort zone.

This process of starting very small and increasing trading levels might take some time before optimal position sizing for given trader is discovered. It could easily last several months, but is well worth it. Not only will it built loss tolerance, thicken the skin, but will greatly enhance trader's chances for long time success. Becoming a trader is not an event but a process and requires time.

About the author:

Mike P. Kulej is a Chief Forex Strategist for Spectrum Forex LLC. He specializes in mechanical trading systems as explained on www.spectrumforex.com . Spectrum Forex LLC offers numerous services to individual traders. He also publishes trading blog www.fxmadness.com . With questions and comments e-mail him at kulej@spectrumforex.com.



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All About Broker Forex Trading

By: Jason Hamilton

Forex, also known as the Foreign Exchange Market (or the "FX" Market) is involved in the buying of currency while at the same time, selling of another currency. A broker is an agent who works in the role of an intermediary between the trader and the client. He or she is a shrewd negotiator when it comes to drawing up contracts for the sale of currencies. Broker Forex trading takes place in the Forex market which is the largest financial market in the world and boasts a daily turnover in the area of $1.2- 1.9 trillion USD.



The currencies utilized in broker Forex trading are always quoted and traded in pairs. The currency listed first is referred to as the base currency while the second one is known as the counter currency or quote currency. To use an example of broker Forex trading in pairs would be the US dollar traded with the Japanese yen (USD/JPY) or the Euro traded with the American dollar (EUR/USD).



It is in the wholesale market of broker Forex trading that currencies are referred to by using five important numbers and the last number (or placeholder) is given the name point or pip.



The broker Forex trading market has a great deal more buyers, sellers and daily volume turnover than does any other financial market on the globe. The Forex market is open 24-hours a day, six days a week with the first trading starting every day in Sydney, Australia. As the business day begins in other financial business sectors so does the trading. After Sydney, Singapore is next, then Tokyo, followed by London and New York City, which comprise the largest and most powerful financial centers in the world.



For example, at 5 PM on Sunday the broker Forex trading begins in both the cities of Sydney and Singapore, followed at 7 PM by Tokyo. Next to commence trading is the city of London, England at 2 AM and then New York City begins at 8 AM in the morning.



Forex is a unique market in that it makes it possible for it's investors to immediately respond to fluctuations in currency whatever their cause, be it an economic, political or social upheaval. Most importantly, whenever they take place. There is no waiting until the sun comes up to deal with a tenuous currency issue, it can be dealt with at 3 AM or 3 PM, whenever it is necessary. It is because of this that the currencies that are traded on a daily basis are not at risk of what is known as "after hours" reports and/or a loss in value.



The Forex market, with its hustle and bustle of broker Forex trading going on in high volume, has no specific physical address as stock markets do. It is instead called an "interbank" market or an "Over The Counter" (abbreviated as OTC) because all currency transactions take place either via telephone communication or by way of an electronic network.



Besides the advantage of being available 24 hours a day, the Forex market has other advantages. This market boasts the highest liquidity of any market in the entire world; large amounts of money are lessened due to its 100-to-1 leverage and more than sixty currencies allow for trading that is free of commission.

About the author:

Jason Hamilton has been successfully trading the Forex market since 2002. He recently reviewed the popular Forex trading system Fap Turbo - The Forex Trading Robot.



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