Forex Trading 101

By Jason Myers

There are so many aspects to Forex trading that it is really not difficult to get confused. Where do you begin? What must you look for? What products should be used? And foremost, what are the Rules for Forex Trading to consistently make profits?

I guess so many questions, so many opinions and responses. There will be some individuals willing to put their lives on the line for following their own system, whilst others will take a different system or set of rules. The reason is that each person's goals, situations and expertise vary. But in my experience, there are general Rules for Forex Trading that should be implemented to gain success in this trade. Indeed, these rules apply to almost any business venture undertaken. I have made slight modifications to apply to Forex trading specifically.

Before making a trade, commit a considerable time and effort in making sure you gain much knowledge as possible about the intricacies of currency trading. Do thorough research, ask queries and explore things for yourself - instead of relying solely on what others articulate. Undertake correct testing of different products and systems before starting to trade on real account. It should be a constant learning process. This is possibly the most critical of all the Rules for Forex Trading.

To coin an old phrase: "Failing to plan is planning to fail". You are even constrained to begin to start trading without a concrete plan in tow. A plan should consider a detailed outline of the trading strategy to be carried out taking into account, the lot sizes, time lines, trading schedules, currency pairs traded, profit-taking exit targets, capital preservation strategy, etc.

Once your plan is firmed up, a system is paramount for success. I am not aware of any successful trader who doesn't use a proper trading system. Whether it is manual based or automated, make sure the system is good and then stick to it. This will eliminate subjective trading and give you a proper framework to work from.

The Rules for Forex Trading are very easy. But it is difficult to implement and follow. Keep getting used to your system and you will reap the benefits. Ensure that your system is consistent with the rules and calibrate if needed. - 23305

About the Author:

Jason Myers is a professional writer and he writes mostly about day trading the forex market. He's also interested in writing forex beginner help guides.

What Aspiring Traders Should Know About Foreign Currencies And Their Changing Values

By Cedric Welsch

The business of doing forex thrives through the constant changes in currency values. However, there are many reasons why foreign currency conversion is as volatile as it is. There is an interplay of events that directly and indirectly affect the value changes.

There are several playing factors to consider in directly relating why foreign currencies have a highly volatile nature. Some of these factors are:

A country's monetary resources - as countries transact with their respective nearby neighboring nations. The fact that each country have their own respective currency rate may highly influence their respective volume of spending. One may have to use lesser resources against the other because of the difference in their respective currency values. And since there is a consistent need for such interaction amongst these neighboring nations, the cycle would go on continuously, thus the influence in the changing currency rates go on. Other equally influecing factors at a country's currency rates are those of local affairs and also those that are political in nature.

A country's economic state - Both foreign entities and local entities such as private ones do surely play an important role in the molding of its currency rates. Due to political happenings and some other unexpected or unwelcomed factors such as weather disruptions, the counry is faced with huge challenges to undertake and to wisely deal with. Plus of course, when these things happen, both foreign and local entities doing business within the country are also much affected.

How traders play their game - The decisions that traders come up to when doing business do certainly bring forth an effect on the currency conversion rates. Of course, every trader who has the resources and capacity to take advantage of high valued currencies would most likely decide on acquiring these currencies for their own. The more traders demand for a specific currency increase in numbers, the bigger rate growth happens for that particular currency.

Although foreign currency trading is only and was originally intended to be a downwardly outright simple kind of business, the transactions involved in it are now fast becoming more and more sophisticated, not because of the system itself, but mainly because of the increasing number of players that are now getting involved with the whole transaction of the business. It is evident that aside from only traders to deal with, there are way many other individuals who claim to also play key roles during trading processes.

If you want to really succeed with the business of foreign currency trading, it is highly important that you make yourself deeply familiar with the every bit of detail that is involved within trading foreign currencies, as well as every bit of detail that pertains to foreign currencies themselves and their frequently changing rates & values. Always remember that there is no room for complacency if you are to become a successful forex trader. Learn as much you could and take every opportunity to meet the best people in the industry who can really help you and contribute to your rising. With the technology we have now, there is no excuse for lack of knowledge. The only excuse one can have in not finding the right information is lack of desire and determination to push towards your goal. - 23305

About the Author:

Are you always last to find out about the most recent forex news alerts? Freshpips has that covered for you. Be the first to discover the best brokers that can help you. Visit broker forex review and find out.

Online Forex Resources Offer Many Forex Trading Tools

By John Eather

Online forex resources are abundant and can range from entire forex platforms to articles that offer advice and information. Forex trading is a popular market as unlike the stock market it is always open and trades can be made at any hour from anywhere in the world. The forex market is based off of the differences between pairs of currencies. There are also no restrictions for trading which can make the stock market a bit tricky to navigate.

There are many online forex sites that offer forex resources. ZuluTrade is an automated trading service. It offers recommendations from 3rd parties and you can pick any live trade for free. There is a low minimum deposit to open an account and they also offer a free demo account so you can become familiar with the system before going into a live trade.

Cashback Forex is an exceptional online resource that is regulated and licensed by the NFA, FSA and CTFC to name but a few. You can earn excellent cash when trading through them, as they do not work with brokers. Brokers will require their cut so you will save more by not having to pay a broker fee.

Easy Forex has locations around the world and can personally manage your accounts either through e-mail, advanced chat or phone. They have their own trading platform that can provide forex training. You do not need to download any software, just log into your account. You can make a deposit using your credit card and can start trading with a minimum of $25. If you are interested in a forex-trading platform then you should look into easy Forex.

Besides platform and advice many online forex resources include calculators that can give you risk assessment and possible profits on a trade. This works by previous analysis of trends in the market and applied to a calculator that gives you the best information based on the past. - 23305

About the Author:

Learn more about online forex resource. Stop by John Eather's site where you can find out all about forex trading systems and what it can do for you.

Factoring in Busies Finance: Start Here!

By Asem Eltaher

What does the concept of factoring in business finance tell you?

This concept involves the sale of commercial accounts receivable invoices to others at a discount. This buyer is also known as a factor. In such an arrangement, this buyer will usually assume to hold the complete responsibility. He will collect the payments and will be responsible for any credit losses on the accounts.

Does it make sense to do it?

Factoring in business finance is one of the most common saving money tips. This option is different from normal loans and you do not have to shell money out for commercial loan rates.

In the mean time, this deal is very welcomed by a wide range of merchants. Nevertheless, the tremendous increase of this concept is sometimes overlooked or even ignored. This is really the case in spite of the attractive discounts offered on the receivables.

Fine, which risks have you take?

Actually, there are no 100% perfect deals and you should not accept the first offer you get. In our deal, the risk is involved in the non- availability of the cash needed by the merchants to carry out their planned investments. This is definitely a problem and, consequently, they must wait for a long time-frame till they can make any financial gain.

Should this disadvantage prevent you from going on?

Honestly, it should not! If the merchants are lucky and look well for the perfect buyers, then they will definitely find people who are interested to pay them immediately and, therefore, there is no any need to wait. Then, they can use this paid cash to invest in raw materials or pay off debt or cover payrolls.

Avoid this #1 mistake that most beginners do!

The quality and value of these services depend on the kind of business your company provides. However many companies who claim to do factoring in business finance are just middle men. They just sell leads and you have to check this quite carefully.

The hazards behind such companies that they will do nothing but forwarding your application to other companies and your inbox will be full of spam emails. Or they may ask you to work with other companies that offer very low quality services.

So, what would be the optimal solution?

Based on my lessons learned, it is strongly recommended to work on recourse factoring. In this manner, the buyer does not have to worry about the hazards of bad debts. In few words, he has the right to get his money paid, if the customer does not pay. Hence, a written agreement has to be established to define the number of days after which advances should be paid back. - 23305

About the Author:

Are you caught in a constant struggle in the hope to get the best federal grant money to start a business? Good news! It is your turn now to discover the priceless secrets and tricks to accomplish your loan easily and quickly. Grip our incredible tips right now for FREE at: Small business grants.

Focus on Coffee Commodity Trading, Coffee Market Tips

By Marianna Gomes

With a UN food agency report suggesting global food production needs to rise by over 70% by 2050, coffee commodity trading offers the keen trader some great opportunities to make profitable trades. Over the years coffee has been the most actively traded commodity after crude oil, and so inevitably changes in coffee futures prices are watched closely, especially as sudden weather changes can impact on crop yields. Coffee beans are grown in most countries between the Tropic of Cancer and the Tropic of Capricorn, that is tropical and sub-tropical regions, and so good levels of rainfall are important for this popular commodity.

Climate is crucial for success in achieving good yields as well as having an optimum temperature range of between 17 and 23 centigrade and favourable soil conditions. A recent Cafedirect report showed the gradual damage caused to coffee farmers in developed countries. One clear impact of rising temperatures is coffee growers needing to move to higher altitudes. Another effect is more disease caused by pests due to the temperature rises. The climate change challenge is significant to coffee growers because the beans can only grow properly in a relatively narrow temperature range.

For those who follow coffee commodity trading the two main varieties of economic importance are Arabica and Robusta, both highly traded futures on global commodity exchanges. While the largest global coffee producer is Brazil with around 34 million (29% global output) 60-kg bags of coffee in 2007/8, and mainly Arabica, the US is the biggest world consumer and importer of coffee. In second place with a 15% world share at 17.50 m bags (Robusta) is Vietnam, while Columbia with a 11% share was third producing Arabica, and with production of 7.0 m bags in 2007/8 Indonesia was fourth largest producer.

Making up about 70% of green coffee bean production, Arabica thrives at altitudes of over 4,000 ft in warm, humid climates, which along with the right soil conditions gives the bean its characteristic aromatic flavour. Most Arabica grows in the high altitudes of countries like Columbia, Brazil, Peru, Ecuador and Venezuela. The Santos grade of Arabica in Brazil is considered one of the best, with beans picked within the first 4 years of the coffee tree's life. While Robusta beans, which are a lower grade and grown mainly in South East Asia, are picked after 2-3 years, usually with Arabica there is a longer lead time of 4-5 years.

With a drought crop yields fall and this hits supply, which can lead to coffee futures prices rising. Higher prices can also arise from lower crop yields caused by higher than normal rainfall. Freezing conditions can adversely affect crops for both current and the following year, which can be a real problem for Arabica varieties grown in the higher altitudes of Latin America. According to data, over recent years southern hemisphere growers have experienced serious freezing once in every six years in winter (June to August) months. All these various factors need to be weighed up by the coffee commodity trading observer before they commit to trades.

The first stages in coffee bean growth is the appearance of white blossom on coffee trees, followed by growth of green cherries from two weeks to 6-9 months, which eventually become reddish and then black cherries. There are two coffee beans in each cherry. The "dry" method accounts for most coffee production where cherries are stripped off the tree before the green beans are dried and graded, then shipped for roasting. Broadly speaking one pound of coffee comes from around 2,000 cherries (4,000 beans).

With your coffee commodity trading system set up and having approached a broker for an electronic trading platform, you are ready for profitable coffee trades. On ICE Futures US there is a Coffee "C" futures contract which is the Arabica benchmark, while the exchange also offers a Robusta futures contract. Alternatively, with NYSE Euronext route there are two Robusta coffee futures contracts available to trade on the London LIFFE market, along with other soft commodities like white sugar, raw sugar, cocoa and rapeseed. If you only want exposure to soft commodities without trading futures you could invest in an agricultural ETF, tracking a soft commodity index. With these derivative and investment funds you have a good choice for gaining exposure to dynamic coffee commodity trading markets. - 23305

About the Author:

The author, Marianna Gomes, focuses on soft commodities and pens articles for a practical online resource ontrading commodities. Discover more about how you could benefit from coffee commodity trading tips here.