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The Truth About Demo and Live Account

Comparing A Forex Demo Account With Mini Forex Trading: If you are beginner in the forex trading business then you may first need to look around for a good forex demo account. It contains several advantages that are especially tailor made for the beginners. Apart from this, there is also the mini forex trading account. Are you confused about which is better than the other? Then let us find out whether a forex demo account is preferable or you must go with the mini forex trading account.   A mini trading account is specially designed for those who are learners in the forex trading business. This account allows you to trade in the real market with real money,...

The Truth About Demo and Live Account
posted on: Apr | author: Ella

Forex Traders Winning Traits

In the world of Forex trading, the most successful traits a trader may have has nothing to do about who gets to play the good or bad guy. Rather, it’s all about the traits that increase your tendencies to make wise – or unwise – moves. Cut Your Losses Early Traders hear this very sage advice all this time, but most ignore it – to their everlasting regret. Hope is a powerful motivator. And it’s always good to be optimistic. However, you have to be careful about choosing what to be hopeful for. Cutting your losses early does not mean you’re quitting. It simply means it’s time to move on and try another currency pair. It really is that...

Forex Traders Winning Traits
posted on: Apr | author: Ella

Effect of Complicating Forex Trading on Your Emotion...

These Forex trading tips are for those currently experiencing losing streaks, it is not unnatural for a trader to lose money once in awhile, but when you realize that you are making fewer profits and losing more, you may have some deep underlying issues you need to fix before you can get back on track. After reading this book, traders will learn how make the trading process as simple as possible, providing them with the insight on how to make more profits in the markets.   Mastering Your Mind The primary reason as to why a lot of Forex traders are losing money is that they are unable to consciously master their emotions and it does not take...

Effect of Complicating Forex Trading on Your Emotion
posted on: Apr | author: Ella

Understanding The Power Of Patience In Trading...

A lot of people make huge losses in Forex markets just because they make simple mistakes like overtrading or not being patient enough to allow their trade setups to play out and instead they enter and exit the Forex market compulsively. The problem may lie not so much with your trading strategy but with your inability to exercise patience by waiting for the best low risk opportunity with the highest probability of success. The tips discussed below will help any trader step up their trades from mediocre trading to consistent and profitable trades.   Educate Yourself on the Forex Market It is important that new traders educate themselves on all matters pertaining to the Forex Market resisting the...

Understanding The Power Of Patience In Trading
posted on: Apr | author: Ella
Steps To Success in Forex Trading

Steps To Success in Forex Trading

posted on: Apr | author: Ella

Here are the best tips that you can use to ensure success in Forex trading.   Step 1: Set Realistic Expectations The initial step is to set realistic expectations. Of course, all people would want to earn profit. In this kind of business where currency trading is highly volatile, you win some and you lose some. Chances are, if you use the right strategies and forecast, you can definitely earn a huge sum. But on the other hand, you can also lose your money.   Basically the point here is to hope for the best outcome and anticipate the worst case scenario. There are still many factors and other market forces that can directly and indirectly affect currency trading. Make sure that you do not stake your whole life on the line just to be in the Forex trading business. It is strongly suggested that you trade using the disposable...

Fibonacci Trading Insight

Fibonacci Trading Insight

posted on: Mar | author: Ella

In an uptrend, the general idea is to go long the market on a retracement to a Fibonacci support level. The price retracement levels can be applied to the price bar chart of any market by clicking on a significant Swing Low and dragging the cursor to the most recent potential Swing High and clicking there. This will display each of the Retracement Levels showing both the ratio and corresponding price level. Let’s take a look at some examples of markets in an uptrend. The same points made by these examples are equally applicable to markets in a downtrend. Example 1: Here we plotted the Fibonacci Retracement Levels by clicking on the Swing Low at about $71.31 and dragging the cursor to the Swing High at about $89.83. You can see the resultant levels plotted by the software. Now the expectation is that if the market retraces from this high it...

Understanding The Standard Contract Size

Understanding The Standard Contract Size

posted on: Oct | author: Ella

When trading a currency pair, the standard contract size is called a “lot”. A lot can have different values for different currency pairs. At present, the major currency pairs have the lot value equal to 100,000 units. But 100,000 of what? When we buy, we give money for goods. When we sell, we get money for goods. But with currencies, we buy and sell simultaneously since we get one currency for another one. This is why it is common practice to consider that we get the first currency of the pair (base currency) wehn we buy and give, respectively, the second currency (quote currency).   A standard lot of USDCAD is $100,000 US dollars. if we buy one of USDCAD, it means that we get $100,000 US dollars and give a number of Canadian dollars equal to 100,000 times the actual exchange rate. If the current exchange rate of...

Money Management

Money Management

posted on: Jul | author: Ella

The leverage basically gives a trader the possibility to control a higher capital, than his real start up capital. That way he is able to control larger lot size and to make higher profit, if the trade goes in his direction. But at the same time he is taking higher risk, if the trade goes against him. Resuming, leverage is a powerful too but it should be used by traders carefully!   Example: EURUSD, 4 percent per trade risk level, $1000 account size, 40 pips stop loss.   Well, let us assume that you want to trade EURUSD using Support Resistant Strategy and that your account size is $1000. First of all you need to define how much risk you want to take every time you enter a trade. For example, let’s say you want to take a risk level of 4% per trade ($40 per trade). Ok, in...

Financial and Sociopolitical Factors That Forex Depends on

Financial and Sociopolitical Factors That Forex Depends on...

posted on: Jul | author: Ella

Financial factors are vital to fundamental analysis. Changes in a government’s monetary or fiscal policies are bound to generate changes in the economy, and these will be reflected in the exchange rates. Financial factors should be triggered only by economic factors. When governments focus on different aspects of the economy or have additional international responsibilities, financial factors may have priority over economic factors. This was painfully true in the case of the European Monetary System (EMS) in the early 1990s. The realities of the marketplace revealed the underlying artificiality of this approach.   The role of interest rates. Using the interest rates independently from the real economic environment translated into a very expensive strategy. Because foreign exchange, by definition, consists of simultaneous transactions in two currencies, then it follows that the market must focus on two respective interest rates as well. This is the interest rate differential, a basic factor...

Improve Risk Management and Discipline

Improve Risk Management and Discipline

posted on: Jun | author: Ella

Risk Management is extremely important for a trader. If you want to achieve success, you need to adopt a disciplined mind about trading and improve your risk management rules as much as you can. You shouldn’t risk more than 2% of your account on a trade. This way you’ll be more relaxed because you know that if you lose money on a trade that’s not the end of the world. Besides this, if you have a good system or strategy, you need to have the discipline to stick to your rules. Be Patient and Realistic: You need to be patient and have realistic expectations about the Forex market.The truth is that Forex is a difficult market, and unless you work hard on it, you won’t achieve consistent results. You need to treat Forex trading as a business and you need to be patient. In order to become a professional...

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