Make Money Currency Trading
by Charles Nash
I'm going to help you make money currency trading with my most profitable advice I try to apply on a daily basis. This is a perfect opportunity for all those people out there looking to develop a second income from the comfort of their own home.
My first piece of advice is to watch the news. The most important news to watch would be the morning news because all the important economic news comes out at scheduled times in the morning. This news is very important because economic stability of a country determines the quality of the price of currency. If the quality of the economy goes down, the price of the currency will go down internationally. This is just the way it goes. The last thing you want to do is make a trade and in the middle of it, the Federal Reserve releases some information and your "good trade" turns into a big loss because you missed the news. You want to pay attention to any news relating to the economy and how well it is doing. This includes GDP, unemployment rates, central bank interest rates, consumer spending, etc. Typically if these numbers are good, than it is good for the currency. If they're bad, they're bad for the currency.
The next thing I want to discuss is not what you trade, but when you trade. There are basically two different times you can trade, high volume and low volume. I recommend starting in the high volume time because this is when everyone else is trading. This leads to a more predictable outcome since you can be sure market forces are in control. If you look at low volume times, a large bank could make a big trade which could drastically change the direction of a currency. At this time you would be at the mercy of a bank.
Lastly, you'll want to get Forex Killer for your computer, so you can better handle trades and become more profitable. This software will seek out and find the most profitable trends out there, so you can profit from them.
วันศุกร์ที่ 6 มิถุนายน พ.ศ. 2551
Want To Day Trade Forex Successfully?
Want To Day Trade Forex Successfully?
by Dave Atkinson
WANT TO DAY TRADE FOREX SUCCESSFULLY?
First, set out your rules.
An Overview
So, you want to make big bucks trading the markets? We've heard all the stories of how fortunes were made in the time it takes to say, "where's the keys to my Porsche?" But can it be done? Well - maybe. And you want a piece of the action, yes?
And I don't blame you. Trading for a living, for me, is the best occupation there is. No boss, no overheads to speak of, work when you want, anywhere you want, freedom; just you, the computer, and your plan. Plan? What plan?
Of course, 'plan'. Anything in life worth doing must have a plan of sorts. Trading is no different. In fact trading without a plan is asking for trouble of the most serious kind, financially speaking. You must have a plan. Read on.
The content of this very modest document has been the subject of many books, has been studied in depth by the very best of us, and will be debated for years to come. My aim here is to plant a seed that hopefully will steer you in the right direction thus saving you countless dollars, not to mention heartache and ruin.
Before you start to lay your hard-earned money on the line, there are many, MANY, things that need to be taken into consideration. The very first lesson to learn quickly is that the guys and gals who trade the markets for a living, the professionals, are not going to think twice about taking that money from you. They know all the tricks in the book, and a few more to boot. The idea is to act and think like those professionals and eventually become one. The profits will then begin to flow.
If you have no idea what you are doing, then you may as well just mail a cheque to those above-mentioned professionals and leave it at that, saving a lot of time.
On the other hand, you could do as I did. Learn their tricks. Copy them. In short, study, study some more, then continue studying. As they say, 'knowledge is a powerful thing'.
Everything will then fall into place.
Where do I start?
Trading is very, very easy. Making a consistent profit is not - unless you have the plan we talked about earlier; a master plan. You need to learn, and sustain, some good habits. The primary weapon in your arsenal in fighting your opponents is getting the odds in your favour. Gaining an EDGE. Just like the casinos. Take a look at the house edge in the casino and how small it is. Something like 2.5%, this is enough to make them a fortune over time! It's just the same with trading the forex markets, get yourself an 'edge'.
Let's stay with the casino example for a moment. They often have losing days when a punter will win big. But overall, after the fat lady sings, at the end of the day, when all's said and done, and after the cat has been put out, those boys are in the money. And that is because of the 'edge'. Your edge starts here. It's not one item but your whole approach to trading. Sound complicated? Not really, when you break it down into its component parts. We'll do this now with headings and sub-headings. There really is no point in doing this exercise if you only pay lip service to it. You must follow your rules because they will get you into the money, no argument.
Rules
There's no point in having trading rules if you don't follow them, which very nicely brings us to golden rule number one.
FOLLOW YOUR DEFINED RULES RIGIDLY
This rule may sound silly but think about it, how often do you break the rules in some other pursuit such as driving, sport, work? Sometimes it can be costly, in forex it can be very expensive account-wise.
Your trading rules can be defined as:
a) General rules
b) Trading rules
c) System rules
Remember, this is a very short article on the ways that I have tackled the problem of gaining an edge in my trading, and in trying to emulate the professionals. This is by no means the only way, so you will need to address your trading traits in a similar manner to extract those profits from the market that we all aspire to. Let's look at the general rules.
The reason you are reading this is because you want to make money. I have been in your shoes doing exactly the same thing, but at the wrong end of an £8,000 account. Yes, all gone! It wasn't the first account that I had delivered to 'the professionals' so something HAD to be done. I made rules and divided them into sections, analysing them yet further. Here are my general rules that you may want to consider:
a) General rules
· Work/study hard continuously, knowledge is essential, but
· Strike a balance, have a life. Trading at all times will make you stale
· Take responsibility for every decision that affects your trading
· Self-belief in your aim, in what you are trying to achieve
· Do you want to trade full time or part time, how many hours per day?
· What IS your aim, what do you want to get out of it, know yourself?
· The only place where success comes before work is in the dictionary
A whole book could be devoted to just this section, this article cannot delve too deeply into what only you can answer for yourself. Please take the time to write down your rules and how you will address them. Your trading will evolve for the better I assure you.
b) Trading rules
· What type of trader am I, do I want action, stress etc?
· Have a system that fits your trading style
· Become good at one style, tweak it to suit you
· Keep an open mind for each and every trade
· Do not form opinions on the market, let it tell you where it's going
· Do not listen to the opinions of others
· The words 'hope' and 'wish' are not in your trading vocabulary
· Trade with money that is not indispensable, can you afford to lose it?
· Learn to take losses as part of the business, learn from them
· Take regular breaks from trading
· Don't over commit yourself, not too many open positions
· Stand aside if you are not sure about a trade
· Do not add to losing positions
· Keep the dollar signs away, try to score points
· Without fail, have a trading plan and trade that plan
That last point in the list brings us to our final section in honing our trading skills, and making a living from trading the currency markets.
c) System rules
Most aspiring traders hope to win on every trade. This is just not possible and there will be losing trades. It is a fact of trading life. It should not be taken as a failing of your rules or system when these occur. Rather, it highlights how good your rules are in dealing with those losses. The aim is to win more than you lose by utilising the 'edge' described in the previous paragraphs. This 'edge' is gained by following your rules religiously, coupled with a trading system that suits your style. I have managed to do this after almost ten years of trading and using many differing systems, styles, and techniques. We will add to your edge in this section. As a minimum your system should include:
· What time frame you will be trading
· The times not to trade
· Clear and unambiguous means of entry into the trade
· The reasons for entering and exiting the trade
· What your means of exiting the trade will be
· What size your stop loss should be
· Will you use trailing stops
· What position size will you use
· Dealing with news announcements?
· Will you scale out of the position etc. etc.
Each system has its own merits on dealing with the problems presented by the markets on a daily basis. Another example that I will mention is my own unwritten rule that I never trade on the first Friday of every month, this is when the NFP report is released and the markets tend to be a little too volatile for me. This is a lesson that I have learned the hard way (and I've paid for that lesson handsomely).
You can see, then, that your rules can evolve as your trading experience grows. You will also see that you will become more confident in your trading as you add rules to your overall trading system. Sometimes though these rules will be added after experiencing some drawback, or even a minor disaster, but this is all part of the learning process. You can bet your bottom dollar that the top traders amongst us have suffered a disaster or two along the way. The idea is to learn from those mistakes.
The trouble is that it's difficult to learn a lesson by the written word alone. Some form of interaction is best in order to firmly plant that lesson in our brain. This is where experience comes in. But, I firmly believe that these pages will get you started on the right path.
My own system has very clear rules on the items mentioned above, plus many more, keeping me out of trouble when my money is on the line. Before I even pulled up a chart onto my computer, I started by asking myself what I actually wanted my new system to address by making a list. I already had most of the General, and Trading rules in place, in fact I have added to them fairly recently, but I wanted a whole new set of System rules. These are the items on my list that enabled me to build a new, easy to use, profitable system:
· First and foremost it must trade with the trend
· Must be good for all currency pairs
· Must be good for all time frames
· Must try to get me into the big moves of the day
· Must be user friendly
· Must be simple
· Must utilise more than one of my strategies on the same chart
· Must keep losses to a minimum
· Must enable decision-making at a glance
· I must be able to use aggressive/non-aggressive tactics
· Must have a higher time frame and trend confirmation
· Must have clear and unambiguous accurate entry signals
· Must also give clear re-entry signals into trends
· Must tell me when to exit
· Must have multi-timeframe trading on one chart
· Must give an audio alarm when signals are generated (important)
· Must stop me from overtrading (important)
· Must stop me from fishing for tops and bottoms (important)
Don't take any part of this trading rules set-up lightly, as it will definitely pay dividends at a later stage of the whole process. The last two items on the list had cost me dearly in the past. The audio alarm is to call me to the computer when a trade presents itself, this way I do not need to stare at the screen all day. No more missed opportunities. Perfect.
The biggest task was to convert those 'must haves' into a working system that enabled me to trade for a (profitable) living. This has been achieved after no small amount of work, blood, sweat, and tears! In some small way, I hope that I have given you a base on which to build your own trading strategy.
by Dave Atkinson
WANT TO DAY TRADE FOREX SUCCESSFULLY?
First, set out your rules.
An Overview
So, you want to make big bucks trading the markets? We've heard all the stories of how fortunes were made in the time it takes to say, "where's the keys to my Porsche?" But can it be done? Well - maybe. And you want a piece of the action, yes?
And I don't blame you. Trading for a living, for me, is the best occupation there is. No boss, no overheads to speak of, work when you want, anywhere you want, freedom; just you, the computer, and your plan. Plan? What plan?
Of course, 'plan'. Anything in life worth doing must have a plan of sorts. Trading is no different. In fact trading without a plan is asking for trouble of the most serious kind, financially speaking. You must have a plan. Read on.
The content of this very modest document has been the subject of many books, has been studied in depth by the very best of us, and will be debated for years to come. My aim here is to plant a seed that hopefully will steer you in the right direction thus saving you countless dollars, not to mention heartache and ruin.
Before you start to lay your hard-earned money on the line, there are many, MANY, things that need to be taken into consideration. The very first lesson to learn quickly is that the guys and gals who trade the markets for a living, the professionals, are not going to think twice about taking that money from you. They know all the tricks in the book, and a few more to boot. The idea is to act and think like those professionals and eventually become one. The profits will then begin to flow.
If you have no idea what you are doing, then you may as well just mail a cheque to those above-mentioned professionals and leave it at that, saving a lot of time.
On the other hand, you could do as I did. Learn their tricks. Copy them. In short, study, study some more, then continue studying. As they say, 'knowledge is a powerful thing'.
Everything will then fall into place.
Where do I start?
Trading is very, very easy. Making a consistent profit is not - unless you have the plan we talked about earlier; a master plan. You need to learn, and sustain, some good habits. The primary weapon in your arsenal in fighting your opponents is getting the odds in your favour. Gaining an EDGE. Just like the casinos. Take a look at the house edge in the casino and how small it is. Something like 2.5%, this is enough to make them a fortune over time! It's just the same with trading the forex markets, get yourself an 'edge'.
Let's stay with the casino example for a moment. They often have losing days when a punter will win big. But overall, after the fat lady sings, at the end of the day, when all's said and done, and after the cat has been put out, those boys are in the money. And that is because of the 'edge'. Your edge starts here. It's not one item but your whole approach to trading. Sound complicated? Not really, when you break it down into its component parts. We'll do this now with headings and sub-headings. There really is no point in doing this exercise if you only pay lip service to it. You must follow your rules because they will get you into the money, no argument.
Rules
There's no point in having trading rules if you don't follow them, which very nicely brings us to golden rule number one.
FOLLOW YOUR DEFINED RULES RIGIDLY
This rule may sound silly but think about it, how often do you break the rules in some other pursuit such as driving, sport, work? Sometimes it can be costly, in forex it can be very expensive account-wise.
Your trading rules can be defined as:
a) General rules
b) Trading rules
c) System rules
Remember, this is a very short article on the ways that I have tackled the problem of gaining an edge in my trading, and in trying to emulate the professionals. This is by no means the only way, so you will need to address your trading traits in a similar manner to extract those profits from the market that we all aspire to. Let's look at the general rules.
The reason you are reading this is because you want to make money. I have been in your shoes doing exactly the same thing, but at the wrong end of an £8,000 account. Yes, all gone! It wasn't the first account that I had delivered to 'the professionals' so something HAD to be done. I made rules and divided them into sections, analysing them yet further. Here are my general rules that you may want to consider:
a) General rules
· Work/study hard continuously, knowledge is essential, but
· Strike a balance, have a life. Trading at all times will make you stale
· Take responsibility for every decision that affects your trading
· Self-belief in your aim, in what you are trying to achieve
· Do you want to trade full time or part time, how many hours per day?
· What IS your aim, what do you want to get out of it, know yourself?
· The only place where success comes before work is in the dictionary
A whole book could be devoted to just this section, this article cannot delve too deeply into what only you can answer for yourself. Please take the time to write down your rules and how you will address them. Your trading will evolve for the better I assure you.
b) Trading rules
· What type of trader am I, do I want action, stress etc?
· Have a system that fits your trading style
· Become good at one style, tweak it to suit you
· Keep an open mind for each and every trade
· Do not form opinions on the market, let it tell you where it's going
· Do not listen to the opinions of others
· The words 'hope' and 'wish' are not in your trading vocabulary
· Trade with money that is not indispensable, can you afford to lose it?
· Learn to take losses as part of the business, learn from them
· Take regular breaks from trading
· Don't over commit yourself, not too many open positions
· Stand aside if you are not sure about a trade
· Do not add to losing positions
· Keep the dollar signs away, try to score points
· Without fail, have a trading plan and trade that plan
That last point in the list brings us to our final section in honing our trading skills, and making a living from trading the currency markets.
c) System rules
Most aspiring traders hope to win on every trade. This is just not possible and there will be losing trades. It is a fact of trading life. It should not be taken as a failing of your rules or system when these occur. Rather, it highlights how good your rules are in dealing with those losses. The aim is to win more than you lose by utilising the 'edge' described in the previous paragraphs. This 'edge' is gained by following your rules religiously, coupled with a trading system that suits your style. I have managed to do this after almost ten years of trading and using many differing systems, styles, and techniques. We will add to your edge in this section. As a minimum your system should include:
· What time frame you will be trading
· The times not to trade
· Clear and unambiguous means of entry into the trade
· The reasons for entering and exiting the trade
· What your means of exiting the trade will be
· What size your stop loss should be
· Will you use trailing stops
· What position size will you use
· Dealing with news announcements?
· Will you scale out of the position etc. etc.
Each system has its own merits on dealing with the problems presented by the markets on a daily basis. Another example that I will mention is my own unwritten rule that I never trade on the first Friday of every month, this is when the NFP report is released and the markets tend to be a little too volatile for me. This is a lesson that I have learned the hard way (and I've paid for that lesson handsomely).
You can see, then, that your rules can evolve as your trading experience grows. You will also see that you will become more confident in your trading as you add rules to your overall trading system. Sometimes though these rules will be added after experiencing some drawback, or even a minor disaster, but this is all part of the learning process. You can bet your bottom dollar that the top traders amongst us have suffered a disaster or two along the way. The idea is to learn from those mistakes.
The trouble is that it's difficult to learn a lesson by the written word alone. Some form of interaction is best in order to firmly plant that lesson in our brain. This is where experience comes in. But, I firmly believe that these pages will get you started on the right path.
My own system has very clear rules on the items mentioned above, plus many more, keeping me out of trouble when my money is on the line. Before I even pulled up a chart onto my computer, I started by asking myself what I actually wanted my new system to address by making a list. I already had most of the General, and Trading rules in place, in fact I have added to them fairly recently, but I wanted a whole new set of System rules. These are the items on my list that enabled me to build a new, easy to use, profitable system:
· First and foremost it must trade with the trend
· Must be good for all currency pairs
· Must be good for all time frames
· Must try to get me into the big moves of the day
· Must be user friendly
· Must be simple
· Must utilise more than one of my strategies on the same chart
· Must keep losses to a minimum
· Must enable decision-making at a glance
· I must be able to use aggressive/non-aggressive tactics
· Must have a higher time frame and trend confirmation
· Must have clear and unambiguous accurate entry signals
· Must also give clear re-entry signals into trends
· Must tell me when to exit
· Must have multi-timeframe trading on one chart
· Must give an audio alarm when signals are generated (important)
· Must stop me from overtrading (important)
· Must stop me from fishing for tops and bottoms (important)
Don't take any part of this trading rules set-up lightly, as it will definitely pay dividends at a later stage of the whole process. The last two items on the list had cost me dearly in the past. The audio alarm is to call me to the computer when a trade presents itself, this way I do not need to stare at the screen all day. No more missed opportunities. Perfect.
The biggest task was to convert those 'must haves' into a working system that enabled me to trade for a (profitable) living. This has been achieved after no small amount of work, blood, sweat, and tears! In some small way, I hope that I have given you a base on which to build your own trading strategy.
วันพฤหัสบดีที่ 5 มิถุนายน พ.ศ. 2551
The Forex Market Uses Margins to Increase Your Profits
The Forex Market Uses Margins to Increase Your Profits
by karen Fairham
Forex is a nickname for the foreign exchange, a vast market of trading in which the commodity is money itself. In the forex market, traders are buying and selling foreign currencies -- trading dollars for euros, pounds for yen, and so forth.
Forex is profitable because national currencies fluctuate from day to day based on predictions of the nation's gross domestic product and other factors. As with the stock market, the idea with the forex is to buy low and sell high: Buy a lot of a particular currency when it's weak, then sell it when it becomes stronger.
For example, bad financial news in Great Britain means that forex traders will be selling off their British pounds as fast as possible, as the pound is about to become devalued. Once the pound recovers, those traders will sell it for something else, thus turning a profit.
Though we talk of buying and selling pounds, euros, yen and francs, the transactions performed in the forex are not literal. That is, if you want to buy 100,000 euros, you don't have to withdraw the equivalent U.S. dollars from your bank account and swap them out for a big stack of euros. Everything is done on paper only, though the resulting profits and losses are real.
Because the transactions are not done physically, there is room in the forex for what are called margins or leverage. Put simply, this means you don't have to actually put up the full amount of the position you're taking. Usually the margin is 1%, meaning that when you put $1,000 into it, you're actually getting $100,000. Of course, margins multiply your losses as well as your profits, so you have to be careful.
One of the reasons for allowing a 100:1 margin like this is that the major world currencies in the forex market usually fluctuate less than 1% a day. (In the stock market, a typical stock might fluctuate as much as 10% in one day.) With changes that small, your daily loss or gain on an initial investment of $1,000 would be almost imperceptible, usually less than $10 either way. By multiplying it by 100, the gains and losses in the forex market are more pronounced.
With leverage implemented that way, the basic lot for buying and selling currencies is usually 100,000 (which of course only costs 1,000). Most firms that handle day-trading on the forex market don't go any lower than that.
by karen Fairham
Forex is a nickname for the foreign exchange, a vast market of trading in which the commodity is money itself. In the forex market, traders are buying and selling foreign currencies -- trading dollars for euros, pounds for yen, and so forth.
Forex is profitable because national currencies fluctuate from day to day based on predictions of the nation's gross domestic product and other factors. As with the stock market, the idea with the forex is to buy low and sell high: Buy a lot of a particular currency when it's weak, then sell it when it becomes stronger.
For example, bad financial news in Great Britain means that forex traders will be selling off their British pounds as fast as possible, as the pound is about to become devalued. Once the pound recovers, those traders will sell it for something else, thus turning a profit.
Though we talk of buying and selling pounds, euros, yen and francs, the transactions performed in the forex are not literal. That is, if you want to buy 100,000 euros, you don't have to withdraw the equivalent U.S. dollars from your bank account and swap them out for a big stack of euros. Everything is done on paper only, though the resulting profits and losses are real.
Because the transactions are not done physically, there is room in the forex for what are called margins or leverage. Put simply, this means you don't have to actually put up the full amount of the position you're taking. Usually the margin is 1%, meaning that when you put $1,000 into it, you're actually getting $100,000. Of course, margins multiply your losses as well as your profits, so you have to be careful.
One of the reasons for allowing a 100:1 margin like this is that the major world currencies in the forex market usually fluctuate less than 1% a day. (In the stock market, a typical stock might fluctuate as much as 10% in one day.) With changes that small, your daily loss or gain on an initial investment of $1,000 would be almost imperceptible, usually less than $10 either way. By multiplying it by 100, the gains and losses in the forex market are more pronounced.
With leverage implemented that way, the basic lot for buying and selling currencies is usually 100,000 (which of course only costs 1,000). Most firms that handle day-trading on the forex market don't go any lower than that.
Forex Trading Secrets - The Best Kept Forex Trading Secrets
Forex Trading Secrets - The Best Kept Forex Trading Secrets
by Harold Hsu
Everyone knows that the Forex market holds tremendous potential for profits. With more than $3 trillion dollars being traded every single day in the market, capturing even a miniscule percentage of these profits would turn one into an instant millionaire.
But it is obvious enough that becoming a millionaire in Forex trading is not an easy task. After all, if it was to easy to become rich in currency trading, then why doesn't everyone manage to do it?
The Best Kept Forex Trading Secret
I may become extremely unpopular with what I'm about to reveal next, but it's the truth you'll need to understand this if you want to become a consistently profitable trader.
The best kept secret in profitable Forex trading is denial.
Like most other things in life, people always wish for there to be some magical short-cut to becoming successful. We will always wish for there to be an easy way to accomplish our dreams and desires.
For example, when we want to lose weight, instead of exercising regularly and eating healthy meals, we try to ‘cheat' by ingesting expensive diet pills and paying for premium gym memberships in the hope that we will lose the extra pounds. As you know, in the end, the only winners of this deal are the pill sellers and gym owners.
And this is exactly what's happening in the Forex market. The lazy traders who think they can make easy money are promptly ‘swallowed up' by the traders who put in the hard work and extra effort.
So stop being in denial. Stop telling yourself that there's some magical way to suddenly become rich. You can certainly become wealthy by trading currencies, but I can assure you that this won't happen if you keep spending money on magical ‘automatic trading systems' that claim to make you lots of money without any work on your part.
The people who really make money in the Forex market are those that rely on the natural human tendency of denial.
Don't fall into this manner of thinking!
by Harold Hsu
Everyone knows that the Forex market holds tremendous potential for profits. With more than $3 trillion dollars being traded every single day in the market, capturing even a miniscule percentage of these profits would turn one into an instant millionaire.
But it is obvious enough that becoming a millionaire in Forex trading is not an easy task. After all, if it was to easy to become rich in currency trading, then why doesn't everyone manage to do it?
The Best Kept Forex Trading Secret
I may become extremely unpopular with what I'm about to reveal next, but it's the truth you'll need to understand this if you want to become a consistently profitable trader.
The best kept secret in profitable Forex trading is denial.
Like most other things in life, people always wish for there to be some magical short-cut to becoming successful. We will always wish for there to be an easy way to accomplish our dreams and desires.
For example, when we want to lose weight, instead of exercising regularly and eating healthy meals, we try to ‘cheat' by ingesting expensive diet pills and paying for premium gym memberships in the hope that we will lose the extra pounds. As you know, in the end, the only winners of this deal are the pill sellers and gym owners.
And this is exactly what's happening in the Forex market. The lazy traders who think they can make easy money are promptly ‘swallowed up' by the traders who put in the hard work and extra effort.
So stop being in denial. Stop telling yourself that there's some magical way to suddenly become rich. You can certainly become wealthy by trading currencies, but I can assure you that this won't happen if you keep spending money on magical ‘automatic trading systems' that claim to make you lots of money without any work on your part.
The people who really make money in the Forex market are those that rely on the natural human tendency of denial.
Don't fall into this manner of thinking!
Forex Trading Software With Real Time Price Feeds
Forex Trading Software With Real Time Price Feeds
by Harold Hsu
There are various forms of Forex trading software available on the Net today, and most of them involve some sort of installation into your computer. In this article, I will specifically discuss the implications of getting a good piece of Forex trading software with real time price feeds.
Platform Trading Software
Forex trading platforms are one of the most common type of software that people use. As opposed to viewing live market charts in a web browser, platform software allows you to place your trades directly through it.
Benefits Of A Trading Platform
Trading Platforms allow the trader to view accurate market price fluctuations in real time. This is one of the biggest benefits of having a dedicated program to trade with. Generally speaking, the price fluctuations you see in a web browser chart are mostly lagging prices.
If you are the type of trading who prefers to make numerous small trades in a day (known as scalping), you might want to avoid trading based on the charts you see in your web browser. A good piece of trading platform software will instead provide you with highly precise price movements that allow you to make better trading decisions.
Should You Get Your Own Trading Platform?
Although trading platforms are indeed very useful for traders, I must say that not everyone is comfortable with using one.
The first and most obvious limitation of trading platforms is that you'll have to install them on your computer. Not everyone may like this idea, but it is in my opinion that if you are serious in becoming a consistently profitable trader, you'll definitely have to trade using a dedicated trading platform. Most web browser charts are simply too inadequate for you to analyze the Forex market properly and accurately.
by Harold Hsu
There are various forms of Forex trading software available on the Net today, and most of them involve some sort of installation into your computer. In this article, I will specifically discuss the implications of getting a good piece of Forex trading software with real time price feeds.
Platform Trading Software
Forex trading platforms are one of the most common type of software that people use. As opposed to viewing live market charts in a web browser, platform software allows you to place your trades directly through it.
Benefits Of A Trading Platform
Trading Platforms allow the trader to view accurate market price fluctuations in real time. This is one of the biggest benefits of having a dedicated program to trade with. Generally speaking, the price fluctuations you see in a web browser chart are mostly lagging prices.
If you are the type of trading who prefers to make numerous small trades in a day (known as scalping), you might want to avoid trading based on the charts you see in your web browser. A good piece of trading platform software will instead provide you with highly precise price movements that allow you to make better trading decisions.
Should You Get Your Own Trading Platform?
Although trading platforms are indeed very useful for traders, I must say that not everyone is comfortable with using one.
The first and most obvious limitation of trading platforms is that you'll have to install them on your computer. Not everyone may like this idea, but it is in my opinion that if you are serious in becoming a consistently profitable trader, you'll definitely have to trade using a dedicated trading platform. Most web browser charts are simply too inadequate for you to analyze the Forex market properly and accurately.
Trying to Forecast Forex Rates is an Acquired Skill
Trying to Forecast Forex Rates is an Acquired Skill
by karen Fairham
It's not easy to forecast the forex markets, but it's what thousands of forex traders and brokers do every day, with varying degrees of success. Like forecasting the weather, predicting the forex market is sometimes a crapshoot, sometimes a guessing game, and always an adventure.
There are two basic philosophies on how to forecast the forex markets. One is technical analysis; the other is fundamental analysis. We'll look at them both.
The technical approach examines past market action and uses that data to predict the future. Previous trends in most areas of life are almost always good indicators of the future; forex is no different. People have not changed much in the decades since the forex market was created. People still buy and sell and react to stimuli in much the same way as they did 50 years ago.
Since forex rates change constantly throughout the day, every day, looking at all the years of past data can be daunting. Smart analysts learned to look at the big picture, to skip the minor details and examine trends over a longer period of time.
Using fundamental analysis to forecast forex markets is a bit more in-depth, but it can also be highly accurate. Basically, fundamental analysis means forecasting the market based on external factors -- political moves, government involvement, social movements, even the weather. Someone good at fundamental analysis might forecast forex drop-offs because he knows a country's government is unstable at the moment, or increases because the country has just elected a popular new leader. Anything that can affect a nation's economy can affect the exchange rates, and that's what a fundamental analyst uses to guess at the forex market's future
Naturally, this means having to know a particular country in-depth, which is hard to do for more than a few countries at a time. (It becomes even more complicated when trying to forecast the euro, since several different countries use that currency.) But having that kind of intricate knowledge makes it much, much easier to forecast forex trends.
Most good traders use a mixture of both processes, technical and fundamental. For example, a trader might see that a country is currently facing a particularly strong hurricane season (fundamental) and know that in the past, strong hurricane seasons have meant a weaker economy for that nation (technical). Thus, he can predict down-turns for that nation with some degree of confidence.
by karen Fairham
It's not easy to forecast the forex markets, but it's what thousands of forex traders and brokers do every day, with varying degrees of success. Like forecasting the weather, predicting the forex market is sometimes a crapshoot, sometimes a guessing game, and always an adventure.
There are two basic philosophies on how to forecast the forex markets. One is technical analysis; the other is fundamental analysis. We'll look at them both.
The technical approach examines past market action and uses that data to predict the future. Previous trends in most areas of life are almost always good indicators of the future; forex is no different. People have not changed much in the decades since the forex market was created. People still buy and sell and react to stimuli in much the same way as they did 50 years ago.
Since forex rates change constantly throughout the day, every day, looking at all the years of past data can be daunting. Smart analysts learned to look at the big picture, to skip the minor details and examine trends over a longer period of time.
Using fundamental analysis to forecast forex markets is a bit more in-depth, but it can also be highly accurate. Basically, fundamental analysis means forecasting the market based on external factors -- political moves, government involvement, social movements, even the weather. Someone good at fundamental analysis might forecast forex drop-offs because he knows a country's government is unstable at the moment, or increases because the country has just elected a popular new leader. Anything that can affect a nation's economy can affect the exchange rates, and that's what a fundamental analyst uses to guess at the forex market's future
Naturally, this means having to know a particular country in-depth, which is hard to do for more than a few countries at a time. (It becomes even more complicated when trying to forecast the euro, since several different countries use that currency.) But having that kind of intricate knowledge makes it much, much easier to forecast forex trends.
Most good traders use a mixture of both processes, technical and fundamental. For example, a trader might see that a country is currently facing a particularly strong hurricane season (fundamental) and know that in the past, strong hurricane seasons have meant a weaker economy for that nation (technical). Thus, he can predict down-turns for that nation with some degree of confidence.
What to Watch For When Reading a Forex Book
What to Watch For When Reading a Forex Book
by karen Fairham
When it comes to forex trading, there are many, many resources out there to help you learn the ropes. There are online courses, seminars and even one-on-one training available. But sometimes the best way to learn is the old-fashioned way: by reading a book.
The marketplace abounds with forex books, and many new traders find them the best way to learn because it allows them to re-read passages as many times as necessary to fully grasp the concepts. Imagine asking the speaker at a large public seminar to repeat himself and you can see why a book has its advantages!
The question is, which forex book should you read? Like any other field, the forex trading world has its share of hucksters and liars. Be wary of any book that makes outrageous claims in its title or on the cover -- Be a forex pro in an hour! or Make millions while you sleep for example. If a forex book promises something that's too good to be true, it probably is. And if the book downplays or neglects the inherent risk in forex trading, you should skip it.
What you want in a forex book instead is calm, reasonable, practical advice. Showy, glitzy language suggests the writer is trying to pull a fast one. (And you have to wonder: If it's SO EASY to make millions in forex trading, why is this guy writing books about it instead of doing it?) Restrained, logical language suggests the writer knows the market and is simply explaining what he's learned.
Take note also of the book's presentation. Is it an e-book sold by some guy off his Web site? Is it riddled with grammar and spelling errors? Or does it appear to have been written and edited by professionals, and presented in an appealing, straightforward manner? You want a book that fits the latter description. It's more likely to be reliable and up-front about the pros and cons of forex trading.
Finally, when considering a forex book, it's worth taking a few minutes to Google the author's name and see what comes up. Are there reviews of the book written by actual readers (not testimonials provided on the author's Web site)? Has the author been mentioned in any news stories? What is his or her background? Does he or she have any real-world trading experience, or do they just write forex books? Remember, those who can do, do. Those who can't do, teach.
by karen Fairham
When it comes to forex trading, there are many, many resources out there to help you learn the ropes. There are online courses, seminars and even one-on-one training available. But sometimes the best way to learn is the old-fashioned way: by reading a book.
The marketplace abounds with forex books, and many new traders find them the best way to learn because it allows them to re-read passages as many times as necessary to fully grasp the concepts. Imagine asking the speaker at a large public seminar to repeat himself and you can see why a book has its advantages!
The question is, which forex book should you read? Like any other field, the forex trading world has its share of hucksters and liars. Be wary of any book that makes outrageous claims in its title or on the cover -- Be a forex pro in an hour! or Make millions while you sleep for example. If a forex book promises something that's too good to be true, it probably is. And if the book downplays or neglects the inherent risk in forex trading, you should skip it.
What you want in a forex book instead is calm, reasonable, practical advice. Showy, glitzy language suggests the writer is trying to pull a fast one. (And you have to wonder: If it's SO EASY to make millions in forex trading, why is this guy writing books about it instead of doing it?) Restrained, logical language suggests the writer knows the market and is simply explaining what he's learned.
Take note also of the book's presentation. Is it an e-book sold by some guy off his Web site? Is it riddled with grammar and spelling errors? Or does it appear to have been written and edited by professionals, and presented in an appealing, straightforward manner? You want a book that fits the latter description. It's more likely to be reliable and up-front about the pros and cons of forex trading.
Finally, when considering a forex book, it's worth taking a few minutes to Google the author's name and see what comes up. Are there reviews of the book written by actual readers (not testimonials provided on the author's Web site)? Has the author been mentioned in any news stories? What is his or her background? Does he or she have any real-world trading experience, or do they just write forex books? Remember, those who can do, do. Those who can't do, teach.
สมัครสมาชิก:
บทความ (Atom)
.jpg)