New Forex Trading Strategy

Sunday, November 22, 2009

Forex Made Easy: Starting Out in Trading

By Bart Icles

Foreign exchange trading is a very attractive market that practically anyone from anywhere can enter. The rewards it offers are truly tempting and many beginners tend to forget the unpredictability of this market. But this should not stop you from venturing into this market. What you simply need is to understand the basics of the market so you can avoid the most common mistakes that beginners do. In this manner, you can help keep yourself from losing most of your investments in your first few trading stints. While it is true that foreign exchange concepts can be confusing, you will able to make your forex education easier through forex made easy trainings.

These forex made easy trainings are all over the internet. These tutorials and guides will help you better understand the different concepts of foreign currency trading, and they typically use terms that any average Joe can understand. In this manner, you will be able to have a better view of the market without having to be confused with all the various terms used in trading.

Once you have a good handle of what the market is and what you can expect from it, you will be able to develop your own trading strategies. In many cases, beginners would tend to place all their money on a single lot and expect that their investment will be doubled at the end of the day. However, this is not how the foreign currency market works. You have to remember that you are trading currencies and prices can change at any hour of the day. It would therefore be more advantageous for you if you try to weigh the risks and benefits before you put in your money on a certain currency pair.

One of the most important things you will learn in a foreign exchange trading tutorial or guide is that this form of trading does not involve the exchange of any physical product. Trading happens electronically and is often referred to as over the counter or inter-bank transactions. This simply means you need not physically be in a central marketplace before you can participate in trading. All you would need is your computer and an internet access.

There are so many things that you can learn from forex made easy tutorials and guides. But what you must understand is that it is not merely on the number of concepts you are able to learn but on how you deeply you are able to appreciate them so you can effectively apply what you have learned to actual trading. - 23305

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Using a Forex Trading System To Secure Your Financial Future!

By Howard G. Platt 111

Anyone who arms themselves with a good forex trading system as well as taking the time to learn the basics of trading in the forex can be as successful at trading as the most advanced traders. Currency trading is no longer confined to the expertise of banks and financial gurus.

Essentially the forex trader needs to understand how currency pairs relate to each other on the forex market and then be able to effectively analyse the market data to make decisions about when to buy or sell. Thus it is important that the trader's decision-making is based on a sound framework that will guide the trader's choices. This framework is found in a quality forex trading system.

Forex trading systems claim to dispel "secrets" to successful trading. The self-proclaimed trading experts that create these systems try to empower the trader with the knowledge to know when to enter or exit a trade, rules for money management and tools for technical analysis. It also provides information and explanations about different types of forex trading such as day trading and swing trading. Most currency trading systems will even provide the trader with actual trade examples to make the learning more experiential.

The tools for technical analysis provided by the forex trading systems can be either automatic signal generators or chart tools that need to be interpreted manually by the trader. Depending on the trader's level of knowledge about foreign exchange and the trader's desired level of control over the trades he or she executes, would determine whether he or she chooses a manual versus automatic forex trading system.

Usually the rules outlined in forex currency trading systems are translated into trade signals, which are generated either manually or automatically. With manual currency trading systems, the trader will familiarise him or herself with the rules and guidelines for analysing market data and how to identify potentially successful trades. While the manual forex trading system affords the trader more control over their trades, it is also very time consuming because it requires the trader to sit at the computer for large amounts of time to personally make interpretations and decide whether to trade.

On the flip side, if the trader does not have the time to sit in front of the computer all day, or the trader does not have the confidence to interpret data manually, then the automatic forex trading system would be ideal. This system still affords the trader some control over which trades to execute, but the tracking of the markets and identifying opportunities for profit are generated automatically by the software provided. The trader receives alerts when a profitable trade is identified and then makes the decision whether to execute the trade or not.

With either system, the ultimate decision to buy or sell still rests with the trader, it is still essential for the trade to have a good understanding of forex trading fundamentals in order to be a successful with any type of forex trading system. - 23305

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Invest In Gold During Periods of Inflation

By Garrett Strong

Many are turning to gold in these times of inflation and economic uncertainty. Gold hedges your money from the risk of inflation. If you assume that gold is just a piece of pretty metal that people strap on their bodies, then you are sorely mistaken.


Gold has been money for over 6,000 years. Gold and silver were the first forms of real money that met the requirements of sound money. Plato and Aristotle spoke of sound money to be


1. The ability to be durable. It must stand the test of time and not wither.

2. The ability to be portable. Good money needs to hold value in a small space.

3. The ability to be divisible. Real money should have the ability to be divided evenly and still hold its value. Also known as fungibility. Diamnonds are not fungible because each diamond has it's own value.


4. It must hold a rare value or quality.


Those four requirments are important because Plato and Aristotle knew something that most people today are not aware of. Our paper dollar, and all paper money for that matter, do not meet any of the requirements of sound money.

Paper is paper. It can be made on the spot and printed at will. Paper is neither rare or durable. The trust that we put into paper is the only thing giving it value at this point.

A piece of paper with ink stamped on it is essentially what our dollar bill is. That's all. If someone gave you some a sheet of paper to wash their car, it is the same thing as receiving a paper dollar. Ink is the only thing making a difference. Both are paper.

If someone gave you some oil, copper, silver, or gold in exchange for a pack of gum, then the transaction makes sense. Those are real assets. Someone's hard work and time went into producing those assets, so they hold a real value.

Our dollars become more worthless every day as our government prints dollars out of existence. A dollar collapse is happening in plain sight, yet few will recongnize the signs before it is too late. Gold and silver were used as the first real currency for this very reason. Gold and silver cannot be mass produced at will.


Gold and silver exploration companies have to survey and drill sites, and then they must mine the ore out of the ground. All of this takes energy and time. Only until relatively recently have governments used paper money as currency. It is important to not that there have been hundreds of paper currencies in history, and they all effectively went to zero.

Gold and silver coins are the only way to protect yourself from rising inflation. While paper money falls in value, gold will continue to soar higher.

Gold is in the middle of a 20 year bull market, and the dollar will continue to plummet. The most recent gold high is around $1,100/ounce. Inflation means that people will flock to gold. Why do they do this? Gold cannot be printed or inflated. What does that even mean?

Pretend you are inflating a balloon. The balloon gets so big that it sometimes bursts. Our government is inflating our dollars in much the same way. Our government is putting massive amounts of money into circulation. When you have more and more dollars chasing the same level of goods, you have inflation.

If you print more money then you have inflation, but inflation does not mean higher prices. Higher prices are the result of inflating the money supply. Basically, you should be diversifying out of dollars as soon as possible.

Gold, silver, gold bullion, silver bullion, and mining stocks should be in your investment portfolio right now. China, India, and Arab nations are currently getting out of dollars and into gold. Is it time for you to do the same?


God bless. - 23305

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properties Investing After Sub Prime Crisis

By Billy Chen

Subprime storm created chaos in the U.S. around the world, the impact on businesses, as well as the average person. Reputable banks and brokerages fell drain while people lost their homes and their property. It is now one years, and fortunately, the symptoms are not so depressing.

In fact we are now looking forward to a robust and significant upturn in the market as history would want us believed.The unilateral action has brought some calm to the market place and has afforded time for the exchanges/markets to recuperate and recover. There is a sense of optimism in the air today partly because governments across the world have been swift and decisive in their responses to this economy meltdown.

No doubt, it is still a volatile market out there but it will eventually recover as what happened in the past. The onus is on you, the investor, to sniff out the new opportunities. In this article, we will remind you of the age-old approaches to real estate investment, which still remain relevant today, as you work you way to new riches. These time-tested approaches are universal and you can find application of them in any market condition.

Don't Be Distracted by the Grapevine There are plentiful hot tips and sensational news coming out from the grapevine about real estate properties. Be very discerning on these newsfeed. Usually these are pure rumors and gossips. What you hear there should not decide how you invest. Always stay focused on your long-term investment plans, never rely on short-term speculation.

Portfolio review our financial targets by market conditions and its business environment outside affected. If you change your financial goals, make sure that these changes will be included in their investment strategies and investment plans. Once the updates have to do it in your investment plan.

Spread Your risk of investing in real estate has its fair share of risks. Intelligent investor should know not to sink all of its assets in a fund or property type. Instead, they spread their funds among the options offered on the market. For example, you can invest the majority of industrial buildings, some in commercial and office space, and some of the residential sites. If there is a balance in your fund, you can check, or REIT Real Estate Investment Trust.

When you spot an interested property, make sure you have done reasonable research before making your decision. Always keep yourself up-to-date with the latest development in the real estate market.If you need more help, you can always turn to financial advisers to take advantage of their professional knowledge.Do your Homework Nothing minimizes the risk of investment as much as knowledge.

Remember, investing in real estate is a major task that requires adequate capital base. More and investment plan and thread just like you, you can pay great plan if you're doing the right steps. - 23305

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Forex Pips in Profits and Losses

By Bart Icles

It is important for foreign exchange traders to understand what pips are. In the world of foreign exchange trading, a pip is simply short for percentage in point. There are traders who refer to pips as simply points. It is important that you understand the different concepts on forex pips if you want to maximize your earnings in foreign exchange trading. It is one of the most basic concepts that you should understand from the different foreign exchange lessons you might go through.

Forex pips are simply the smallest units of price for a specific type of currency. In currency pairs or in exchange rates, it is often indicated as the last decimal point. In most currencies, it is often 0.0001. For example, if you have bought USD/EUR at 0.6664 and sold it at 0.6676, then you have made 12 pips. If you have bought USD/EUR at 0.6664 and sold it at 0.6656, then you have lost 8 pips. A common exception is the USD/JPY currency pair because there are only two decimal places in this pair. Therefore, a pip in this pair is equivalent to 0.01. This simply means that if you have bought USD/JPY at 89.84 and sold it at 89.99, then you have earned 15 pips.

It is important for you to understand the concept of pips in forex trading because they are basis for calculating your profits or losses in foreign exchange trading. Making 12 or 15 pips can already mean a lot of money. Losing more than pips should already be a warning signal for you because you might be in for a large one-time loss.

But how exactly are forex pips used in trading? Currency prices fluctuate all the time, and this is why the value of a pip can change from time to time. What is important is that you know how much you have earned or lost in terms of pips so you will know how much value they have although prices might change every single hour.

For example, the exchange rate for USD/AUD (US dollar/Australian dollar) is 1.0762. The value of a single pip for a single dollar would be 0.0000929 and this is indeed a pretty tiny amount of money. A single pip for a thousand dollar investment would be .0929 or $0.09 per pip. But if your initial investment is $100,000, the pip value would change to $9.29. This simply means that if you have made 12 pips, you have actually earned $111.48. Therefore, forex pips become more significant with large sums of investment. - 23305

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