involvement with forex
Wednesday, May 30, 2007
Go to a dinner party and mention your involvement with forex? and you’re likely to get a few baffled looks. Most people don’t have a clue what forex is or how it works. Worst of all, neither do most beginning forex? traders. Understanding what makes these markets tick is a good step towards a successful trading record.
Q: What are pairs and pips?
A: Each currency exists in the marketplace not on its own, but as a “cross” between itself and another currency. This is practical, since when you travel to Europe you want to exchange your money for Euros. If you have US Dollars, you will be exchanging money at the rate set by EURUSD. EURUSD is a “pair”. It also happens to be the most popular pair.
Most currencies are paired with EUR and USD, and to other currencies to a lesser extent. The “four majors” are EURUSD (Euro/Dollar), USDJPY (Dollar/Yen), GBPUSD (Pound/Dollar), and USDCHF (Dollar/Franc). The bid-ask spread is usually lowest for the four majors, since their volume is the highest. With high volume the dealer is usually assured of having ample liquidity to meet your trading needs, so they charge you less through the spread.
For more obscure, less traded pairs, the spread will be more, since dealers assume more risk in completing those transactions. The spread itself is made up of pips. A pip is simply an incremental unit in forex. In stocks, you call them ticks or points. That makes sense because usually all stocks are quoted in the same currency. In forex, each currency may have a different incremental unit. For example, a quote in EURUSD might be 1.3240, versus a quote in USDJPY at 107.87. What is the incremental unit? There is no common unit, so one was created, and it was named a pip. A pip is always worth $10 if the pair ends in USD. If not, you will need to refer to a pip calculator to get the value, since these per pip values can vary, even within the same currency.
Q: How do you trade forex?
A: There are two major methods for trading forex: fundamental and technical. Fundamental analysis relies upon a broad and near-expert understanding of multi-national macroeconomic statistics and events. Fundamental traders believe that the value of a pair is determined by the underlying health of the two nations involved in the pair. A high value for GBPUSD, for example, would suggest a better economic outlook in Britain vis-à-vis the United States. Global events like news, catastrophes, politics or economic shocks all play a role in determining price. Technical analysis is based on the mathematical analysis of price, and of many variables which all derive from price. Technical traders believe that technical indicators include fundamental analysis and also provide repeatable, tradable patterns. Technical traders use charts to determine support and resistance, draw trend lines, or analyze measures like moving averages, etc. Whichever camp you belong to determines your trading approach. A fundamental trader may take the Warren Buffet approach and buy-and-hold a pair, expecting long term returns. A technical trader may play long term as well, but usually day trades. Some fundamental traders trade on news, which may just be certain days of the month.
Q: What is leverage?
A: Since dealers have ultimate control over accounts and trades, they are willing to loan money to the trader. That’s called margin – basically a loan from the dealer to the trader, but based on the trader’s equity. Normally if the trader wants to trade EURUSD he would need $100K, but not if the dealer offers margin. Margin is another word for leverage, with a little difference in concept. Some dealers will allow you to trade a full standard contract with just $500 in margin available. That means the user has to have at least $500 (or really $500 + spread) in their account to trade. If at any time their account balance equals or drops below their margin requirement, the dealer will liquidate all of their positions. That’s called a Margin Call. So if you traded 5 contracts with $4,000 in your account, you would be using $2500 in margin. If the trade went against you $1500, you would be taken out. When you traded the one contract with $500 in margin, you controlled $100,000. That’s leverage. It’s 200:1 in this case (leverage = $100,000 divided by $ per contract as a % of total equity). In this example, you would only be employing 200:1 leverage if your account equity was $500. Most dealers have scaling margin which allows smaller accounts to use something like 200:1 and bigger accounts to use 50:1, or 10:1. If you had $20K in your account and played 40 contracts, that would be 200:1 leverage. $100K with 10 contracts is 10:1. Leverage is one of the biggest reasons people trade forex?, but it’s also one of the biggest reasons people lose money. Be careful to manage your leverage position when trading, especially when starting out.
Labels: Forex Tips
posted by inlink5 @ 4:07 PM,
,
Super Divergence Blueprint
Saturday, May 19, 2007
I have seen a new trading video that reveals a trading method you may
never have heard of before. And, if you're familiar with this
method, you're probably not using it like this experienced
trader is...
You can access it immediately here:
This quick video drills right down to a recent trade of Harley
Davidson (symbol: HOG), and shows how in just 2.5 weeks, a very
profitable trade was extracted from the market using a
"countertrend" trading method that most traders completely miss.
That's why, if you know how to find these countertrend trades,
you'll have a huge edge over other traders.
The top 3 reasons most traders miss these types of trades are:
1. They don't know a countertrend method even exists.
2. They use divergence patterns that are too 'loose' or general.
3. They spend way too much time searching for these patterns.
The good news is that traders who use the method used in this
video have a quick and easy solution to address those Top 3
problems.
Discover it here:
Enjoy this video, and have the chance to add this
countertrend trading method to your trading arsenal.
Labels: Forex Tips
posted by inlink5 @ 8:57 AM,
,
Forex Trading Machine
Thursday, May 03, 2007
Forex Trading Machine? Warning: Read before you purchase.
Does it work? Read on.......
Are you frustrated by the thousands of Forex trading guide out there that did not deliver as promise? You are not alone.
Forex Trading is by far the world's most rewarding 'career' only if you have mastered the techniques correctly. If you followed 99% of the traders' technique, you are unlikely to succeed. You need unique, innovative and revolutionary strategy that can help you relate to how the market behaves and spot market trend way ahead of others.
So how does Forex Trading Machine fare? At first glance, I nearly discard Forex Trading Machine as another useless get-rich guide. However, I'm glad I didn't. Forex Trading Machine is by far the most diverse and effective Forex training lessons I have come across. With its 3 explosive strategies, you can attack the forex market from every angle and take advantage of different opportunities presented and much much more...
In just less than a month's time of studying, I made my first $1500 and since then I have consistently earn a considerable amount using Avi Frister's unique strategies.
At just $97 (promotion price only), Ari Frister is really insane to charge you so little for revealing so much of his revolutionary strategies. He should have charged at least $1000 for this brilliant product..... I had easily recouped my initial investment 10 folds in just one trade. Considering the enormous success of this product, its just a matter of time he will raise the price anytime soon.....
My only regret? I should have my hands on Forex Trading Machine much much earlier!
Enough of my review.....You have to try it out yourself to know what I mean....Opportunity don't wait...
What you will master from Avi Frister's Forex Trading Machine :
1) How to consistently and systematically earn profits of at least $300 per trade around the clock!
2) Learn how to significantly lower your risk by using a time tested strategy that banks and financial institutions use every day.
3) 3 simple, easy-to-follow trading strategies that's guaranteed to work whether you're a beginner, swing trader, day trader or veteran!
4) How to identify trades trend before the market starts to move.
5) How to be in the Top Elite 1% group of successful traders.
Most importantly, how you can quit your day job and become incredibly wealthy with this system! And, much, much MORE...
Labels: Forex Tips
posted by inlink5 @ 8:11 AM,
,
5:08 trading video shows new 1-2 short/long combo
Friday, April 27, 2007
Here's a brand new, 5 minute, 8 second day-by-day video report
that shows you how a few focused traders could have picked up 2
great recent trades with ISE, International Securities Exchange.
One is a short trade.
One is a long trade.
They're both short-term trades, and you'll see how critical it
is to have a set of specific trading rules that let you capture
quick hit moves before the market turns against your position
(many traders hold on too long and end up breaking even or even
losing in situations like this).
Here's the video (no email required to view it):
The techniques used to place these 2 trades were specifically
designed to be used in any liquid market and in any time frame,
so they are extremely flexible.
Enjoy the video!
Labels: Forex Tips
posted by inlink5 @ 7:54 AM,
,
Forex? What is it, anyway?
Tuesday, April 17, 2007
The market
The currency trading (FOREX) market is the biggest and the fastest growing market on earth. Its daily turnover is more than 2.5 trillion dollars, which is 100 times greater than the NASDAQ daily turnover. (click here to read full market background by Easy-Forex™).
Markets are places to trade goods. The same goes with FOREX. The Forex goods (or merchandise) are the currencies of various countries. You buy Euro, paying with US dollars, or you sell Japanese Yens for Canadian dollars. That's all.
How does one profit in Forex?Very simple and obvious: buy cheap and sell for more! The profit is generated from the fluctuations (changes) in the currency exchange market.
The nice thing about the FOREX market, is that regular daily fluctuations, say - around 1%, are multiplied by 100! (in general, Easy-Forex™ offers trading ratios from 1:50 to 1:200). If, for example, the exchange rate of "your" pair of currencies increased by 0.6% in the last 4 hours, your profit will be 60% on your investment! Such can happen in one business day, or in a few hours, even minutes.
Moreover, you cannot lose more than your "margin"! You may profit unlimited amounts, but you never lose more than what you initially risked and invested.
You can implement your choice (the pair of currencies, the volume amount) under any direction to which the market is moving, and yet make profit. It does not matter whether the exchange rate is going up or down: you can always decide to buy Euro and sell dollar, or vice versa - buy dollar and sell Euro. You don't have to physically possess certain currencies in order to perform "buy" or "sell" with them.
How do I start?
Register (Easy-Forex™ offers the simplest and quickest registration process, no obligation); deposit your first trading "margin" amount (credit cards are welcome, only by Easy-Forex™); start trading.
It can't be simpler or easier than that. Need help? We'll provide you with 1-on-1 training and service, as much as necessary (Easy-Forex™ offers real people service, live, in your own language).
How do I trade Forex?
You select the pair of currencies with which you wish to make a Forex deal. You determine the volume (the amount of the deal). You deposit the "margin" (collateral needed to facilitate the deal. Usually - only a very small portion of the whole deal, say: 1% or 1:100).
Before you finally activate the deal, you can still "freeze" it for a few seconds. That enables you to either change the terms, or accept it as is, or altogether regret the whole idea. The "freeze" feature is a unique service by Easy-Forex™.
When your Forex deal is running (you hold an "open position"), you can monitor its status and check scenarios online, whenever you wish. You may change some terms in the deal, or close it (and cash the profit, if any, or minimize the loss, if any). Moreover, Easy-Forex™ lets you determine a "take-profit" rate, with which the deal will close automatically for you, when and if such rate occurs in the market. Meaning: you do not have to stay near your computer when you hold open positions.
Want to know more? Want to get on-line training? Register here (simple, quick, no obligation), we'll be glad to guide you, every step of the way. [ source ]
Labels: Forex Tips
posted by inlink5 @ 9:04 PM,
,
Forex market history
Thursday, November 16, 2006
An overview into the historical evolution of the foreign exchange market
This article will follow the historical roots of the international currency trading from the days of the gold exchange, through the Bretton Woods Agreement, to its current setting.
The Gold exchange period and the Bretton Woods Agreement.
The Bretton Woods Agreement, established in 1944, fixed national currencies against the dollar, and set the dollar at a rate of USD 35 per ounce of gold. In 1967, a Chicago bank refused to make a loan in pound sterling to a college professor by the name of Milton Friedman because he had intended to use the funds to short the British currency. The bank's refusal to grant the loan was due to the Bretton Woods Agreement.
This agreement aimed at establishing international monetary steadiness by preventing money from taking flight across countries, and curbing speculation in the international currencies. Prior to Bretton Woods, the gold exchange standard -- paramount between 1876 and World War I -- ruled over the international economic system. Under the gold exchange, currencies experienced a new era of stability because they were supported by the price of gold.....read on >>>
Labels: Forex Tips
posted by inlink5 @ 7:12 PM,
,
Working trading system?!
Wednesday, November 08, 2006
I just received an exciting eBook from trader Bill Poulos. In
it, Bill exposes the specific steps that you can take to quickly
and efficiently analyze any trading system on the market. Armed
with this knowledge, you'll be in a better position to determine
if a trading system actually has the potential to work for you.
I worked out a special deal with Bill and he's agreed to let me
offer it to you FOR FR.EE because you're on my mailing list...
but I had to agree to put a time limit on it, so you need to
hurry if you want to get this FR.EE information!
For 48 hours only, you can download the full 'Choosing a Trading
System That Actually Works' eBook by going to this link:
http://www.profitsrun.com/choosefree_ksc.php?id=502992
Enjoy and Good Trading.
Labels: Forex Tips
posted by inlink5 @ 11:20 AM,
,
"Sneak peek" video reveals trading method tactics...
Wednesday, November 01, 2006
I love "insider" trading information. (The legal kind!)
I'm talking about information that puts me up front with trading
methods, tactics, systems, etc. and that gives me a taste for
the trading method.
Are you like me? If so, then you'll want to check out this
"sneak peek" insiders video that exposes a few trading tactics
that over 1,000 traders have been happily employing since 2004
in the markets.
Here's the video:
http://www.profitsrun.com/z/?i=502992&l=q36
You'll see some actual content "ripped" from a proven trading
course that allows you trade in any time frame and any market
with extreme precision and flexibility.
That means markets like stocks, forex, and futures... and time
frames like 5, 10, 15 minute bars or longer... whatever you
like.
The thing I like the most about this course is that it's one the
most realistic, sober approaches to trading I've ever seen. In
fact, after it hit the market in 2004, I noticed a lot of other,
inferior 'hyped' systems change their message completely.
When I had the chance to review this course, I was very
impressed with its no-frills, step-by-step methodology. The
production value is totally professional and of the highest
quality, too. But you hear from me all the time, so don't just
take my word. Here's what one trader had to say about it:
"Your course allows me to look at the markets through a
microscope with great accuracy to consistently make profits. I
know to expect losses as a fact, but as of writing this, I'm
currently in my 7th profitable trade in a row. Now that's
consistency! I would gladly pay five times its current value and
I highly recommend it to anyone who is serious about trading."
--Ivan Moore*
http://www.profitsrun.com/z/?i=502992&l=q36
The 'sneak preview' the developer put together for you is a rare
chance to preview some of the the closely-held 'secrets' that
are revealed in this tell-all course.
This is the same information that his paying students have
previously only had access to.
Here's the catch, though...
I can't promise that this video will always be available because
the developer deletes if from his web site from time to time.
So, if you aren't already fully satisfied with your current
trading routine, I urge you to check this out now at:
http://www.profitsrun.com/z/?i=502992&l=q36
Labels: Forex Tips
posted by inlink5 @ 9:12 AM,
,
Potential profitable trading positions await you
Tuesday, October 17, 2006
If you had a stock trading method that let you discover when astock was about to make a massive move UP or DOWN, and thenshowed you, step-by-step, how to take advantage of that move topotentially pull profits out of the markets... would you beinterested?
I was among a select group of traders who was lucky enough toget a 'preview copy' of the now 3x SOLD-OUT profit pullingtrading course that has the trading market chomping at the bit.And for just the next 7 days, you have a pretty good chance atgetting one, too.
It's called Quantum Swing Trader, and was created by 30+ yeartrading veteran Bill Poulos. The trading community's beenwaiting for the re-release of this course since it was announceda few weeks ago, and as of 7:39pm on 10/16, there have been over37,745 visits to Bill's website from traders hoping to catch aglimpse of his new course.
Well, the doors are now officially open. The next 200 traderscan get Quantum Swing Trader here:
http://www.profitsrun.com/z/?i=502992&l=q32
Why all the excitement? I'll tell you why.The 'sweet spot' of Quantum Swing Trader is that Bill shows youhow to take just a few common indicators, but use them in anuncommon way to 'pinpoint' the spot in any stock where it has ahigh probability of making a massive move UP or DOWN, but notstay the same.
This is a big deal, because traders have the potential to makethe really big money when the market makes these kinds of moves.And Bill shows you how easy it is to take advantage of thesesituations, again and again.
This course is HUGE. Heck, the box that it arrived in weighedabout 5 or 6 pounds. But Here are some of the highlights thatreally stood out for me:
- Bill's 'Free Trade' strategy which is the goal of everytrade he teaches you to place. This lets you get into a positionand lock in some early profits. Every trade should be like this;-)
- How to quickly scan over 8,000 stocks every night in secondswith Bill's search criteria to find the stocks that have a high-probability of entering into a potentially profitable position.
- Bill's Profit Feeder service, which 'spoon feeds' you hishighest-probability stocks every night.
- The 2 'cheat sheet' blueprints that summarize the entiremethod in one place so you don't need to spend hours huntingthrough the materials after you've studied it to find what youwant.
- Spend no more than 20 minutes a night applying the method.There's a ton more, including a dedicated section just forbeginners, lifetime customer support, and some really uniquebonuses, but you'll need to check out his web page to seeeverything for yourself.
http://www.profitsrun.com/z/?i=502992&l=q32
If I had to sum up Quantum Swing Trader in 3 points, they wouldhave to be:
- The method is deceptively simple, yet profoundly powerful.
- Bill's unique 'immersive' teaching style makes it extremelyeasy and entertaining to learn the method.** This is one the highest-quality courses I've ever seen on themarket. All the audio is crystal-clear, the videos are superb,and the full color manual is a breeze to get through.
But here's the deal... not every one will get a chance to own acopy of Quantum Swing Trader, and here's why:
Bill's only releasing 200 more copies to the trading community,and only from October 17 through October 24. He's doing this sohe can make sure he can provide support and focus to his nextgroup of students for his new course.
Honestly, it may already be too late. As I mentioned above, his'pre-release' website received over 37,745 visits since October1, so there's an insane amount of demand for this course. Andthose were just the visitors that found out about the courseearly on. This week, he's letting the entire world know aboutthe course, so those numbers are sure to skyrocket.
And if you think that Bill will keep offering his courses pastthe October 24 deadline, think again, because I've watchedthousands of traders come to a 'Sorry, Sold Out' page alreadythree this year during the prior releases of his course.
Finally, to make it super easy for you to try out Quantum SwingTrader in your home, Bill is also going to give you a guaranty.So what do you have to lose? Not much. And I believe you have awhole lot to gain.
Here's the link for a letter that Bill wrote giving you all thedetails. Again, I can't promise this link will work because hemay already have sold out. http://www.profitsrun.com/z/?i=502992&l=q32
Labels: Forex Tips
posted by inlink5 @ 11:21 AM,
,
Time-limited "sneak peek" trading video online...
Wednesday, October 11, 2006
Have you been looking for a hands-on, step-by-step,A to Z, trading method designed to work in any time frame and anymarket. If this sounds like you, keep reading to get your paws on a'meaty' sneak peek of this dynamic trading course...
This video will only be available for a few days, and then it will betaken offline, so if you aren't already fully satisfied with your currenttrading routine, you absolutely need to check this out NOW.. [ click here to download ]
The thing I like the most about this course is that it's one the mostrealistic, sober approaches to trading I've ever seen. Aren't you sickand tired of all the 'hyped' trading methods that promise overnightriches? This course makes no such promises, because, frankly, no onein their right mind can honestly do so.
When I had the chance to review this course, I was very impressed withits no-frills, step-by-step methodology. The production value is totallyprofessional and of the highest quality, too. But you hear from me allthe time, so don't just take my word.
Here's what one trader had to say about it:
'Your course allows me to look at the markets through a microscope withgreat accuracy to consistently make profits. I know to expect losses asa fact, but as of writing this, I'm currently in my 7th profitable tradein a row. Now that's consistency! I would gladly pay five times itscurrent value and I highly recommend it to anyone who is serious abouttrading.'* --Ivan Moore
Labels: Forex Tips
posted by inlink5 @ 6:14 PM,
,
If you haven't already heard about Bill Poulos by now, you should. Bill and his 'computer genius' son, Greg, created the groundbreaking trading courses, Instant Profits & The Super
Divergence Blueprint.
I know from experience that because of his insanely busy schedule, it's nearly impossible to get Bill on the telephone for a private chat. read more ... >>>
Well, after several attempts, trader Norman Hallett was finally able to get through to Bill and got Bill to agree to do an interview. In fact, this is the ONLY telephone interview Bill has EVER DONE. However, Bill made Norman promise that the interview would be hard-hitting, pertinent and quick. He didn't want to waste time with chit-chat and B.S.
Previously only available to Norman Hallett's private clients, this quick-paced, 15-minute interview gets you inside the mind of trader Bill Poulos. In it, you'll learn...
** A bit about his trading background and why he developed his groundbreaking trading courses...
** Who Bill's secret 'computer genius' is and just what exactly he did to make Instant Profits and the Super Divergence Blueprint a reality...
** A broad overview of the trading methodology behind Instant Profits and its companion method, the Super Divergence Blueprint...
Due to bandwidth limits, and because I know the demand for this download will be intense, this exclusive, 15 minute recording will only be available online for the next 72 hours, so you need
to grab your copy NOW.
It's a quick download (less than 1 MB in size), so you can listen to the interview almost instantly. Go to the link below to grab it NOW... read more ... >>>
P.S. Hurry over to the link below to grab your FREE copy of Norman Hallett's 15-minute insightful interview with trader Bill Poulos... read more ... >>>
Note: Futures, forex, stock, and options trading is not appropriate for all people. There is a substantial risk of loss associated with trading these markets. Losses can and will occur. No system or methodology has ever been developed that can quaranty or ensure no losses will occur. No representation or implication is being made that using this service, methodology
or system will generate wins or prevent you from having losing trades.
Labels: Forex Tips
posted by inlink5 @ 10:44 PM,
,
