Trading the Forex market I have found to be a great analogy of life. We trade as we live, with our strengths and weaknesses. Our feeling about ourselves, our cultural views on money and abundance, and especially our perception of wealth creep into every aspect of our trading. This is the reason I place such a heavy emphasis on personal self-mastery. Becoming aware of whom we are as an individual, our strengths and weaknesses, and our perspective on life will determine how well we can deploy the correct principals of strategy and risk management and remove the mask of mental poverty in our trading.

Self-mastery is taught within the context of Forex trading, but in reality it is all about identifying who we are as a person. What drives us and what holds us back. Each aspect can help or hinder us from becoming successful traders. Identifying our personal traits is so critical to our trading that it should be brought from the back pages (usually under the last chapters of “trading psychology”) to the first page of our Forex education curriculum.

Mastery of yourself not only will lead to success in the Forex market, but also success in whatever venture one decides to pursue. Forex Journey is my journey and from personal experience I have found that to experience success trading this market you will come to know yourself. The 90% that don’t succeed fail because they did not acknowledge who they are as a person, which determines who they are as a trader.

Trading currency is hard, but not because of risk management models. Forex is hard because the market is comprised of living, breathing emotional beings that can think and act both independently and as a group. It’s the human element that makes the market what it is. Know the psychology of the market through fundamentals is mandatory, but what most people ignore is that they themselves are the other half of the equation.

It all starts with becoming aware of who you are as a person to fully understand the strength and weakness you will bring to the table as a trader. Becoming aware will lead to an understanding which in turn will lead to overcoming.

I’m really excited and so will you be in EXACTLY 2 minutes from now…
I’m not sure if you’ve heard of Richard Stevenson but, if you haven’t…
…you’ll not only hear from him today but you’ll also have the chance to get one of his true Forex master-pieces.
Let get straight to the point:
Richard’s decided to release one of his PRIVATE COLLECTIONForex systems to a very small number of Forex traders…

Automated Forex trading appears to be the next big trend in currency exchange trading. Automated Forex system trading is just what it sounds like -- a system for making exchanges on the Forex market without your constant supervision. Automated Forex systems work in many different ways, from e-mail commands sent to your supporting broker to trading platforms that allow you to automate activity with the click of a mouse. Automated Trading is simply a way for a trader to securely trade your account for you.

The benefits of using automated Forex trading are many -- the most important are personaliztion and time saving. What is the fun of making money through currency exchange if you're glued to your computer all day, using a system or application you don't like?

Not only do automation systems offer you the ability to set up your own automated trade parameters, many of them give you several application or web based trading options. Some automated systems, like HyperOrder, offer you several well known trading platforms (TradeStation, MetaStock,etc) as well as the ability to collect trade orders from your email and send them directly to your broker. Set up your customized automation plan exactly how you want it. If you want further personalization, there are even so called "third party" automation systems that allow you to develop your own automated Forex trading system and apply it to any trading utility or website you choose. That makes the automated experience completely personal -- not only can you personalize your automated trading system, but you can choose the application you use to track your system. If you have an affinity for a particular Forex broker or utility -- you can use the GoForex third party automation system to trade on your own terms. Check it out at Go Forex.

Regardless of which automated Forex system you choose, you'll be saving yourself time. We've all known day traders or stock hounds who spent most of the workday tied to the monitor, analyzing trends and making trades. Since Forex never closes, Forex traders often get caught up in trading all night, soaking up valuable time. Using automated Forex trading, you can spend less time with your Forex account, and more time enjoying family and friends.

Automated Forex TradingHowever, automated trading of any kind can be dangerous. If you're a greedy trader, you could set up automated trades that are high-profit and therefore often high-risk. These trades will be executed by the application until you personally change the system -- take just a day or two off from closely monitoring your account, and you could miss a major trend that would have led to a better, or just safer, investment.

You should also be wary of certain automated Forex trading systems that offer "guarantees". The automated Forex market reminds me of the huge market for "gambling systems" instruction manuals and eBooks. There are more automated Forex systems for sale than you can shake a Japanese candlestick at (sorry, just a little Forex joke). Many of these systems advertise returns for all their customers, "guaranteeing" success. However, if there were a system that could guarantee a positive return, every broker and investor in the world would be using it. The fact is, there is no way to guarantee profit in the Forex market. These guarantees target the opposite of the "greedy" crowd -- people who can't stomach the idea of even the slightest risk will jump at the chance to earn a guaranteed profit.

Forex made easy is as simple as you would want it to be. The foreign exchange market is a worldwide market and according to some estimates is almost as big as thirty times the turnover of the US Equity markets. That is some figure to chew on. Forex is the commonly used term for foreign exchange. As a person who wants to invest in the forex market, one should understand the basics of how this currency market operates. Forex can be made easier for beginners to understand it and here's how.

Foreign exchange is the buying and the selling of foreign exchange in pairs of currencies. For example you buy US dollars and sell UK Sterling pounds or you sell German Marks and buy Japanese Yen. Why are currencies bought or sold? The answer is simple; Governments and Companies need foreign exchange for their purchase and payments for various commodities and services. This trade constitutes about 5% of all currency transactions, however the other 95% currency transactions are done for speculation and trade. In fact many companies will buy foreign currency when it is being traded at a lower rate to protect their financial investments. Another thing about foreign exchange market is that the rates are varying continuously and on daily basis. Therefore investors and financial managers track the forex rates and the forex market it on a daily basis.

Those who are involved in the forex trade know that almost 85% of the trading is done in only US Dollar, Japanese Yen, Euro, British Pound, Swiss Franc, Canadian Dollar and Australian Dollar. This is because they are the most liquid of foreign currencies (can be easily bought and sold. In fact the US Dollar is most recognizable foreign currency even in countries like Afghanistan, Iraq, Vietnam etc).

Being a truly 24/7 market, the currency trading markets opens in the financial centers of Sydney, Tokyo, London and New York in that sequence. Investors and speculators alike respond to the ever-changing situations and can buy and sell simultaneously the currencies. In fact many operate in two or more currency market using arbitrage to gain profits (buying in one market and selling in another market or vice versa to take advantage of the prices and book profits).

While dealing in forex, one should have a margin account. Quite simply put if you have US$ 1,000 and have a forex margin account which leverages 100:1 then you can buy US$ 100,000 since you only need 1% of the US$100,000 or US$1,000. Therefore it means that with margin account you have US$ 100,000 worth of real purchasing power in your hand.

Since the foreign currency market is fluctuating on a continuous basis, one should be able to understand the factors that affect this currency market. This is done through Technical Analysis and Fundamental Analysis. These two tools of trade are used in a variety of other markets such as equity markets, stock markets, mutual funds markets etc. Technical Analysis refers to reading, summarizing and analyzing data based on the data that is generated by the market. While fundamental Analysis refers to the factors, which influence the market economy, and in turn how it would affect the currency trading. Of course there are other economic and non economic factors which can suddenly affect the trading of the forex markets such as the 9/11 tragedy etc. One needs to have a shrewd acumen and a few number crunching abilities to strike gold in the forex market.

Nowadays, Forex Robots have been center of discussion and controversy, people are always stuck in the same questions: Do they really work? How can a robot make a man’s job? Will a robot be able to do a human job as well as we do?. In most areas the answer could be, no, robots can’t run a company, robots can’t interact well with people, can’t sing, cook, act or take decisions, among other things, but what robots can do, and probably even better than humans, is statistics and mathematics, and that’s what Forex market is all about.
The movements on this market are represented in charts and digits, and that’s what people analyze in order to make a good trade, they base their judgment, about buying or selling, on what happened and what could happen. This is also called trend following. This is more or less what an investor does when trading on Forex market: he chooses a chart to analyze, for example USD/EUR currency exchange chart, follows its trend, draw conclusions from it and based on his judgment makes a trade at an specific time in which he thinks he could buy that currency on its lowest price, then he redo the process, but this time, trying to sell the currency he just bought at a higher price at which he bought it to generate a profit

The crisis is spreading like a cancer and as the days pass it becomes increasingly difficult to abstract from it. By this time almost no profitable sector of the economy is immune to the effects of the financial debacle and even the wealthier segments of the population had to adjust their belts. The Foreign Exchange has been one of the exits all of those seeking to protect their investment have taken.
Investing in the Forex Market, as well as in the Stock Market, in times of crisis could be risky and good at the same time due to the high volatility in the markets which provides an extreme sensitivity to any asset. This could bring two possible consequences: being the market so sensitive to changes the first consequences is that people could lose large amounts of money in just one transaction, but looking at this from another angle, people could also win large amounts of money if they put their money in the right place at the right time.

But how could you know where and when to invest? Anyone who invests in foreign currency exchange should analyze what are the economies most affected by the global crisis, and from there, deduce which currencies could get devalued, and which could benefit from this situation. By doing this, people could get an idea of which are the best currency pairs to invest, taking into account all the market and broker’s parameters such as pips, spread rates and leverage, among others. Which leaves us only with the question: when to invest?. Knowing the exact time to make a transaction in the FX market is almost impossible, but following trends as well as the news of the countries involved is a really important step.

Forex Basics

If you've already read the "What is Forex?" section then you should know what Forex market is and what it is all about. If not, please, do it. There are five essential aspects of foreign currency market a beginner trader (and an old one as well) should be aware of:

Forex Fundamental Analysis

Forex Technical Analysis

Money Management

Forex Trading Psychology

Forex Brokerage

Understanding and mastering these sides of trading are crucial to organize your Forex trading experience.

Forex Fundamental Analysis

Fundamental analysis is the process of market analysis which is done regarding only "real" events and macroeconomic data which is related to the traded currencies. Fundamental analysis is used not only in Forex but can be a part of any financial planning or forecasting. Concepts that are part of Forex fundamental analysis: overnight interest rates, central banks meetings and decisions, any macroeconomic news, global industrial, economical, political and weather news. Fundamental analysis is the most natural way of making Forex market forecasts. In theory, it alone should work perfectly, but in practice it is often used in pair with technical analysis. Recommended e-books on Forex fundamental analysis:
Reminiscences of a Stock Operator
What Moves the Currency Market?
Forex Technical Analysis
Technical analysis is the process of market analysis that relies only on market data numbers - quotes, charts, simple and complex indicators, volume of supply and demand, past market data, etc. The main idea behind Forex technical analysis is the postulate of functional dependence of the future market technical data on the past market technical data. As well as with fundamental analysis, technical analysis is believed to be self-sufficient and you can use only it to successfully trade Forex. In practice, both analysis methods are used. Recommended e-books on Forex fundamental analysis are:
The Law Of Charts
Candlesticks For Support And Resistance
Trend Determination
Money Management in Forex
Even if you master every possible method of market analysis and will make very accurate predictions for future Forex market behavior, you won't make any money without a proper money management strategy. Money management in Forex (as well as in other financial markets) is a complex set of rules which you develop to fit your own trading style and amount of money you have for trading. Money management play very important role in getting profits out of Forex; do not underestimate it. To get more information on money management you can read these books:
Risk Control and Money Management
Money Management (A chapter from The Mathematics of Gambling)
Forex Trading Psychology
While learning a lot about market analysis and money management is an obvious and necessary step to be a successful Forex traders, you also need to master your emotions to keep your trading performance under strict control of mind and intuition. Controlling your emotions in Forex trading is often a balancing between greed and cautiousness. Almost any known psychology practices and techniques can work for Forex traders to help them keep to their trading strategies rather to their spontaneous emotions. Problems you'll have to deal while being a professional Forex trader:
Your greed
Overtrading
Lack of discipline
Lack of confidence
Blind following others' forecasts
These are very professional books on psychology written specially for financial traders:
Calming The Mind So That Body Can Perform
Emotion Free Trading
The Miracle of Discipline
Forex Brokerage
Every Forex trader like any other professional needs tools to trade. One of these tools, which is vital to be in market, is a Forex broker and specifically for Internet - on-line Forex broker - a company which will provide real-time market information to trader and bring his orders to Forex market. While choosing a right Forex broker things to look for are the following:
Being a professional company you can trust
Provide you with real-time quotes
Execute your orders fast and accurately
Don't take a lot of commissions
Support the withdraw/deposit methods that you can use
For beginning Forex traders I recommend these four brokerage companies that are probably the best Forex brokers to start with:
FXOpen — one of the most popular and progressive brokers with MetaTrader platform and comfortable trading conditions for all kind of traders.
InstaForex — a reputable MetaTrader 4 brokers, allows Islamic Forex trading accounts, while you can deposit and withdraw money via WebMoney.
FXcast — good because you can start trading Forex with as little as 10$, use MetaTrader 4 platform and the dozoen of various deposit and withdraw methods, including WebMoney, e-Bullion and wire transfer.
LiteForex — broker that supports MetaTrader 4 Forex trading platform and doesn't require a lot of money to start with.

Do people really know what’s a forex broker is? And what’s it’s connect to forex trader? For those who don’t have any idea, a forex broker are the one who makes money from the buyer that pays for the currency and for the seller and of what it will receives for the sale. This is like the way a market maker makes money.
With this kind of strategy, only few people are aware or get involves with forex brokers and foreign exchange trade and even until now. Before only large banks, large corporations or big investors are only the one who grabs the advantage of foreign currency market. But, since internet also widely emerged in the world, many of forex broker are now allowed people to open their own accounts and just trade through in the internet. Anyone who has the interest in trading are now allowed to bigen their trade even in the internet.
Although, this kind of work now are much easier than before because of the internet, being a forex broker is still not easy. To become a good forex broker should provides training and assistance in both. And because a forex trader also needs a good forex broker, you should always provide those two words. And if you can’t have those two, never tried to become a forex broker coz it will not surely fit you.

The Forex market could move against you. No one can predict with certainty which way exchange rates will go, and the Forex market is volatile. Fluctuations in the foreign exchange rate between the time you place the trade and the time you attempt to liquidate it will affect the price of your Forex contract and the potential profit and losses relating to it. To avoid losing all of your investment capital, you should have a pre-arrangement on your risk profile. A solid risk profile will limit the Forex dealer not to overtake risk that you cannot handle. For example, if you have 100,000 to invest, you can say that you are willing to risk 10,000 of that capital with the potential to gain another 100,000. This can be easily implemented by a fund manager, so your losses can be limited to 10% or 5% of invested capital.

One of the best methods to avoid unnecessary risks is avoid fraud dealer.
Forex is a special trading business with no centralized market. Thus, unlike regulated futures exchanges, there is no central market place for Forex buyers or sellers therefore the price offered by different Forex dealers may vary a lot. When you are trading in Forex market, you are totally relying on the dealer’s integrity for a fair deal.
Further more, you need to select a right Forex dealer to avoid scams. There may be Forex dealers that are not regulated legally and there maybe investment scams, especially on the Internet. Be very careful on who you are dealing with in Forex and always check cautiously on the investment offer.

In trading forex, there are many things that you should know in dealing with the forex market, and you also need to understand the nature of this niche if you’re goal is to become successful in the business. Surely, you have already heard of some of those terminologies like forex and fx (shortcuts for foreign exchange), currency trading market, currency market, etc… all of which are different names for the market. Generally, the forex market is an international market wherein the currencies of different countries are traded and exchanged.

Every nation in the world is involved in the market, so there's always the possibility of trading and exchanging currencies with most of the nations. That's why it runs 24 hours a day and five days a week, starting at 5pm EST (Sunday) and ending at 4pm EST (Friday), New York. And in here, currencies are being traded and exchanged.

The market began when the U.S. abandoned the gold standard (which gave every currency a value related to the U.S. dollar and was introduced for the purpose of stabilizing the world economy back then) and the values of all the other currencies had undergone change, with the banks opting to exchange currencies for profit (buying low and then selling high), rather than just being a passive means of transferring and exchanging money from one country to another country (and this made each currency a commodity that can be traded from then on).

Common exchanges/trading involve the U.S. dollar against other currencies like the British pound, euro, Australian dollar, Japanese yen and Swiss franc, but it’s always possible to trade any of these currencies with one another. The value of a currency determines the value of the nation: if one nation is successful, then its currency increases, but if it is undergoing crisis, the value decreases. Take note that these fluctuations can be huge and will happen very fast, involving huge sums of money. Today, the total worth of transactions in the market reaches around $2 trillion dollars per day.

International banks, major corporations, investment banks and other large financial institutions govern the forex market, but it is possible for a private individual to trade in the market through brokers (with the Internet, this has become very common today). Many forex traders do business through their own PC in their own homes (these traders comprise 2 percent of the entire forex market). The systems used by these individual traders concentrate on lesser pairs, like the British pound against the euro.

The Forex market is truly a very big arena that will really dwarf the individual trader, but as long as you have the little capital that you’re willing to risk in the process, then you’re in! At times, you can start up with as little as $250. The forex demo account is great if you are one of the novices in trading, as it will serve as a practice for you to learn the basic principles of the market, before you invest a single cent and go into the real thing!

The British Stock Exchange or the London Stock Exchange is undeniably the global leader in trading of stocks in financial community. It owes’ its existence to its humble beginnings in one of London’s coffee houses in the late 16th century. At 300 years old, this prestigious financial giant holds the unbeatable record of being the first, and the oldest stock exchange house in the world, not to mention one of the busiest stock exchanges. A look at the British Stock Exchange milestones, is also, therefore, a history of this country’s financial milestones. In 1698, the first list of stock and commodity prices is issued in the Jonathan Coffee house. The stocks, called “The Course of the Exchange and other things”, are the first recorded financial activities in London. In 1761, one hundred and fifty stock brokers form a club, to buy and sell shares. In 1773, these brokers christen their financial house as “The Stock Exchange”. Finally, on March 3, 1801, the stock exchange market, as we know it, became a regulated financial exchange with the issuance of formal membership subscription basis. Despite the emergence of a number of stock exchanges all over the world, The London or British Stock Exchange remains a significant hub for international trading activities and because of its considerable experience, offers many valuable services. Here are some of the key services and benefits; you can avail of as a member: As a first time trader, you can be assured of guidance and training on the Exchanges rules and regulations, especially on the legal aspects. These training and consultancy session have all been created to help you understand and use this knowledge advantageously to trade in the markets you’re at. You’ll gain access to trade in different markets that offer a wide range of securities, equities, AIM securities and depositary receipts. You’ll learn about the dynamics of trading, the services and products of the British Stock Exchange’s other members, with their prices and contract details. How would you want to conduct your real-time trading activities? The exchange offers you a choice from the following: connect via Extranex (the exchanges’ direct link), CREST, or the STX, which is a private telephone network for securities professionals. Due to the British Stock Exchange’s expertise gained from centuries of stock trading, you can depend on having your company expertly steered to marketsThe British Stock Exchange or the London Stock Exchange is undeniably the global leader in trading of stocks in financial community. It owes’ its existence to its humble beginnings in one of London’s coffee houses in the late 16th century. At 300 years old, this prestigious financial giant holds the unbeatable record of being the first, and the oldest stock exchange house in the world, not to mention one of the busiest stock exchanges. A look at the British Stock Exchange milestones, is also, therefore, a history of this country’s financial milestones. In 1698, the first list of stock and commodity prices is issued in the Jonathan Coffee house. The stocks, called “The Course of the Exchange and other things”, are the first recorded financial activities in London. In 1761, one hundred and fifty stock brokers form a club, to buy and sell shares. In 1773, these brokers christen their financial house as “The Stock Exchange”. Finally, on March 3, 1801, the stock exchange market, as we know it, became a regulated financial exchange with the issuance of formal membership subscription basis. Despite the emergence of a number of stock exchanges all over the world, The London or British Stock Exchange remains a significant hub for international trading activities and because of its considerable experience, offers many valuable services. Here are some of the key services and benefits; you can avail of as a member: As a first time trader, you can be assured of guidance and training on the Exchanges rules and regulations, especially on the legal aspects. These training and consultancy session have all been created to help you understand and use this knowledge advantageously to trade in the markets you’re at. You’ll gain access to trade in different markets that offer a wide range of securities, equities, AIM securities and depositary receipts. You’ll learn about the dynamics of trading, the services and products of the British Stock Exchange’s other members, with their prices and contract details. How would you want to conduct your real-time trading activities? The exchange offers you a choice from the following: connect via Extranex (the exchanges’ direct link), CREST, or the STX, which is a private telephone network for securities professionals. Due to the British Stock Exchange’s expertise gained from centuries of stock trading, you can depend on having your company expertly steered to markets

If you are interested in trading currencies online, you will find that the Forex market offers several advantages over equities trading.

24-Hour Trading: Forex is a true 24-hour market, which offers a major advantage over equities trading. Whether it's 6pm or 6am, somewhere in the world there are always buyers and sellers actively trading foreign currencies. Traders can always respond to breaking news immediately, and P&L is not affected by after hours earning reports or analyst conference calls.

After hours trading for U.S. equities brings with it several limitations. ECN's (Electronic Communication Networks), also called matching systems, exist to bring together buyers and sellers - when possible. However, there is no guarantee that every trade will be executed, nor at a fair market price. Quite frequently, traders must wait until the market opens the following day in order to receive a tighter spread.

Superior Liquidity: With a daily trading volume that is 50x larger than the New York Stock Exchange, there are always broker/dealers willing to buy or sell currencies in the FX markets. The liquidity of this market, especially that of the major currencies, helps ensure price stability. Traders can almost always open or close a position at a fair market price.

Because of the lower trade volume, investors in the stock market are more vulnerable to liquidity risk, which results in a wider dealing spread or larger price movements in response to any relatively large transaction.

100:1 Leverage: 100:1 leverage is commonly available from online FX dealers, which substantially exceeds the common 2:1 margin offered by equity brokers. At 100:1, traders post $1000 margin for a $100,000 position, or 1%.

While certainly not for everyone, the substantial leverage available from online currency trading firms is a powerful, moneymaking tool. Rather than merely loading up on risk as many people incorrectly assume, leverage is essential in the Forex market. This is because the average daily percentage move of a major currency is less than 1%, whereas a stock can easily have a 10% price move on any given day.

The most effective way to manage the risk associated with margined trading is to diligently follow a disciplined trading style that consistently utilizes stop and limit orders. Devise and adhere to a system where your controls kick in when emotion might otherwise take over.

Lower Transaction Costs: It is much more cost-efficient to trade Forex in terms of both commissions and transaction fees. FOREX.com charges NO commissions or fees whatsoever, while still offering traders access to all relevant market information and trading tools. In contrast, commissions for stock trades range from $7.95-$29.95 per trade with online discount brokers up to $100 or more per trade with full service brokers.

Another important point to consider is the width of the bid/ask spread. Regardless of deal size, forex dealing spreads are normally 3-4 pips (a pip is .0001 US cents) in the major currencies. In general, the width of the spread in a forex transaction is less than 1/10 that of a stock transaction, which could include a .125 (1/8) wide spread.

Profit Potential In Both Rising And Falling Markets: In every open FX position, an investor is long in one currency and short the other. A short position is one in which the trader sells a currency in anticipation that it will depreciate. This means that potential exists in a rising as well as a falling market.
The ability to sell currencies without any limitations is another distinct advantage over equity trading. In the US equity markets, it is much more difficult to establish a short position due to the Zero Uptick rule, which prevents investors from shorting a stock unless the immediately preceding trade was equal to or lower than the price of the short sale.

Mar 29 - Apr 4 Filter
Date 12:18pm Currency Impact Detail Actual Forecast Previous Chart
Sun
Mar 29 5:45pm NZD Building Consents m/m 11.6% 13.0%
6:21pm AUD HIA New Home Sales 3.9% 8.6%
6:30pm USD Treasury Sec Geithner Speaks
7:50pm JPY Prelim Industrial Production m/m -9.4% -9.1% -10.2%
Mon
Mar 30 4:30am GBP Net Lending to Individuals m/m 1.3B 1.3B 1.2B
4:30am GBP Mortgage Approvals 38K 34K 32K
5:00am EUR Consumer Confidence -34 -33 -33
10:30am EUR ECB President Trichet Speaks
11:30am USD FOMC Member Duke Speaks
2:05pm CAD BOC Gov Carney Speaks
7:01pm GBP GfK Consumer Confidence -35 -35
7:15pm JPY Manufacturing PMI 31.6
7:30pm JPY Household Spending y/y -4.6% -5.9%
7:30pm JPY Unemployment Rate 4.3% 4.1%
8:00pm AUD RBA Deputy Gov Battellino Speaks
8:30pm AUD Private Sector Credit m/m 0.5% 0.6%
9:30pm JPY Average Cash Earnings y/y -1.4% -1.3%
10:00pm NZD NBNZ Business Confidence -41.2
10:20pm AUD RBA Assist Gov Debelle Speaks
Tue
Mar 31 1:00am JPY Housing Starts y/y -17.6% -18.7%
2:00am CHF UBS Consumption Indicator 0.99
3:55am EUR German Unemployment Change 53K 40K
4:00am EUR Italian Retail Sales m/m -0.4% 0.0%
4:30am GBP Index of Services 3m/3m -1.0% -0.9%
5:00am EUR CPI Flash Estimate y/y 0.7% 1.2%
5:00am EUR Italian Prelim CPI m/m 0.2% 0.2%
8:30am CAD GDP m/m -0.6% -1.0%
8:30am CAD RMPI m/m 0.2% 1.4%
8:30am CAD IPPI m/m 0.4% -0.1%
9:00am GBP MPC Member Tucker Speaks
9:00am USD S&P/CS Composite-20 HPI y/y -18.5% -18.5%
9:45am USD Chicago PMI 34.3 34.2
10:00am USD CB Consumer Confidence 27.8 25.0
6:30pm AUD AIG Manufacturing Index 31.7
7:50pm JPY Tankan Manufacturing Index -55 -24
7:50pm JPY Tankan Non-Manufacturing Index -26 -9
8:30pm AUD Building Approvals m/m 1.5% -3.7%
8:30pm AUD Retail Sales m/m -0.5% 0.2%
Wed
Apr 1 1:30am AUD Commodity Prices y/y 19.1%
2:00am EUR German Retail Sales m/m 0.2% -0.9%
1st-9th GBP Halifax HPI m/m -2.0% -2.3%
3:30am CHF SVME PMI 33.0 32.6
4:00am EUR Final Manufacturing PMI 34.0 34.0
4:30am GBP Manufacturing PMI 34.9 34.7
4:30am GBP Housing Equity Withdrawal q/q -6.2B -5.7B
5:00am EUR Unemployment Rate 8.3% 8.2%
7:30am USD Challenger Job Cuts y/y 158.4%
8:15am USD ADP Non-Farm Employment Change -660K -697K
10:00am USD ISM Manufacturing PMI 35.7 35.8
10:00am USD Pending Home Sales m/m 0.3% -7.7%
10:00am USD Construction Spending m/m -1.7% -3.3%
10:00am USD ISM Manufacturing Prices 32.4 29.0
10:30am USD Crude Oil Inventories 3.3M
All Day USD Total Vehicle Sales 9.3M 9.1M
2:10pm CAD BOC Gov Carney Speaks
2:45pm CAD BOC Gov Carney Speaks
7:50pm JPY Monetary Base y/y 6.8% 6.4%
8:30pm AUD Trade Balance 0.70B 0.97B
10:00pm NZD ANZ Commodity Prices m/m -4.6%
Thu
Apr 2 2:00am GBP Nationwide HPI m/m -1.5% -1.8%
All Day ALL G20 Meetings
4:00am CHF Gov Board Member Hildebrand Speaks
4:30am GBP BOE Credit Conditions Survey
4:30am GBP Construction PMI 27.6 27.8
7:45am EUR Minimum Bid Rate 1.00% 1.50%
8:30am EUR ECB Press Conference
8:30am USD Unemployment Claims 653K 652K
10:00am EUR ECB President Trichet Speaks
10:00am USD Factory Orders m/m 1.5% -1.9%
10:30am USD Natural Gas Storage 3B
6:30pm AUD AIG Services Index 32.2
Fri
Apr 3 2:00am EUR German Import Prices m/m -0.3% -0.5%
3:15am CHF CPI m/m 0.0% 0.2%
4:00am EUR Final Services PMI 40.1 40.1
4:30am GBP Services PMI 43.6 43.2
8:30am USD Non-Farm Employment Change -662K -651K
8:30am USD Unemployment Rate 8.5% 8.1%
8:30am USD Average Hourly Earnings m/m 0.2% 0.2%
10:00am USD ISM Non-Manufacturing PMI 41.9 41.6
11:00am USD FOMC Member Kohn Speaks
12:00pm USD Fed Chairman Bernanke Speaks
Sat
Apr 4 10:00am NZD Daylight Saving Time Shift
12:00pm AUD Daylight Saving Time Shift

Different currencies pay different interest rates. This is one of the main driving forces behind foreign exchange trends. It is inherently attractive to be a buyer of a currency that pays a high interest rate while being short a currency that has a low interest rate.
Although such interest rate differentials may not appear very large, they are of great significance in a highly leveraged position. For example, the interest rate differential between the US dollar and the Japanese yen has been approximately 5% for several years. In a position that can be supported by a 5% margin deposit, this results in a 100% profit on capital per annum when you buy the US dollar. Of course, an even more important factor normally is the relative value of the currencies, which changed 15% from low to high during 2005 – disregarding the interest rate differential. From a pure interest rate differential viewpoint, you have an advantage of 100% per annum in your favour by being long US dollar and an initial disadvantage of the same size by being short.Please refer to our page Forex Rates & Conditions for current Spreads, Margins and Conditions!
Such a situation clearly benefits the high interest rate currency and as result, the US dollar was in a strong bull market all through 2005. But it is by no means a certainty that the currency with the higher interest rate will be strongest. If the reason for the high interest rate is runaway inflation, this may undermine confidence in the currency even more than the benefits perceived from the high interest rate.

The Forex is essentially risk-bearing. By the evaluation of the grade of a possible risk accounted should be the following kinds of it: exchange rate risk, interest rate risk, and credit risk, country risk.

Exchange rate risk. Exchange rate risk is the effect of the continuous shift in the worldwide market supply and demand balance on an outstanding foreign exchange position. For the period it is outstanding, the position will be subject to all the price changes. The most popular measures to cut losses short and ride profitable positions that losses should be kept within manageable limits are the position limit and the loss limit. By the position limitation a maximum amount of a certain currency a trader is allowed to carry at any single time during the regular trading hours is to be established. The loss limit is a measure designed to avoid unsustainable losses made by traders by means of stop-loss levels setting.

Interest rate risk. Interest rate risk refers to the profit and loss generated by fluctuations in the forward spreads, along with forward amount mismatches and maturity gaps among transactions in the foreign exchange book. This risk is pertinent to currency swaps, forward outright, futures, and options (See below). To minimize interest rate risk, one sets limits on the total size of mismatches. A common approach is to separate the mismatches, based on their maturity dates, into up to six months and past six months. All the transactions are entered in computerized systems in order to calculate the positions for all the dates of the delivery, gains and losses. Continuous analysis of the interest rate environment is necessary to forecast any changes that may impact on the outstanding gaps.

Credit risk. Credit risk refers to the possibility that an outstanding currency position may not be repaid as agreed, due to a voluntary or involuntary action by a counter party. In these cases, trading occurs on regulated exchanges, such as the clearinghouse of Chicago. The following forms of credit risk are known:

1. Replacement risk occurs when counter parties of the failed bank find their books are subjected to the danger not to get refunds from the bank, where appropriate accounts became unbalanced.

2. Settlement risk occurs because of the time zones on different continents. Consequently, currencies may be traded at the different price at different times during the trading day. Australian and New Zealand dollars are credited first, then Japanese yen, followed by the European currencies and ending with the U.S. dollar. Therefore, payment may be made to a party that will declare insolvency (or be declared insolvent) immediately after, but prior to executing its own payments.

Therefore in assessing the credit risk, end users must consider not only the market value of their currency portfolios, but also the potential exposure of these portfolios. The potential exposure may be determined through probability analysis over the time to maturity of the outstanding position. The computerized systems currently available are very useful in implementing credit risk policies. Credit lines are easily monitored. In addition, the matching systems introduced in foreign exchange since April 1993 are used by traders for credit policy implementation as well. Traders input the total line of credit for a specific counter party. During the trading session, the line of credit is automatically adjusted. If the line is fully used, the system will prevent the trader from further dealing with that counter party. After maturity, the credit line reverts to its original level.

Dictatorship risk. Dictatorship (sovereign) risk refers to the government's interference in the Forex activity. Although theoretically present in all foreign exchange instruments, currency futures are, for all practical purposes, excepted from country risk, because the major currency futures markets are located in the USA. Hence, traders have to realize that kind of the risk and be in state to account possible administrative restrictions

The process of forex brokerage is fairly new and only big corporations or banks usually participated in this type of trading in the past, but now independent brokers are doing it and making money doing it. Online forex brokers are enticing their clients to trade through their Internet brokerage accounts and anyone who has the desire to trade foreign currencies can set up an account and do it.

Simply put, forex trading is buying low and selling high, but sometimes very quickly so there is the need for close monitoring. I recommend for the beginner that, when they purchase forex trading software, they utilize the demo software to begin and try different scenarios before going live.

The possibility of making money through forex trading is attractive if you think you can start with a 20:1 ratio and go as high as 300:1. The dollars available to make can be endless if you invest time and energy into forex trading.

1) Capital Value Tax (CVT) on purcha1) Capital Value Tax (CVT) on purchase of shares.
2) Presumptive Tax in lieu of Commission Sale Value of value of sale.
3) Presumptive Tax in lieu of Commission Buy Value of value of purchase.
4) Withholding Tax on Sale calculated on value of sale.
5) Withholding Tax on Carry Over Trades.
6) Current Taxesse of shares.

If you’ve been trading for awhile and yearn for more features and complexity, take ClassicFX for a spin. The ClassicFX platform has much more power under the hood. Its versatile platform can be accessed on PC, web browser, Smart Phone and PDA. This platform comes with a slew of features, including a fully customizable layout, audible market alerts, advanced charts and much, much more.

What are the advantages of the Forex Market over other types of investments?

When thinking about various investments, there is one investment vehicle that comes to mind. The Forex or Foreign Currency Market has many advantages over other types of investments. The Forex market is open 24 hrs a day, unlike the regular stock markets. Most investments require a substantial amount of capital before you can take advantage of an investment opportunity. To trade Forex, you only need a small amount of capital. Anyone can enter the market with as little as $300 USD to trade a "mini account", which allows you to trade lots of 10,000 units. One lot of 10,000 units of currency is equal to 1 contract. Each "pip" or move up or down in the currency pair is worth a $1 gain or loss, depending on which side of the market you are on. A standard account gives you control over 100,000 units of currency and a pip is worth $10.

The Forex market is also very liquid. When trading Forex you have full control of your capital.

Many other types of investments require holding your money up for long periods of time. This is a disadvantage because if you need to use the capital it can be difficult to access to it without taking a huge loss. Also, with a small amount of money, you can control

Forex traders can be profitable in bullish or bearish market conditions. Stock market traders need stock prices to rise in order to take a profit. Forex traders can make a profit during up trends and downtrends. Forex Trading can be risky, but with having the ability to have a good system to follow, good money management skills, and possessing self discipline, Forex trading can be a relatively low risk investment.

The Forex market can be traded anytime, anywhere. As long as you have access to a computer, you have the ability to trade the Forex market. An important thing to remember is before jumping into trading currencies, is it wise to practice with "paper money", or "fake money." Most brokers have demo accounts where you can download their trading station and practice real time with fake money. While this is no guarantee of your performance with real money, practicing can give you a huge advantage to become better prepared when you trade with your real, hard earned money. There are also many Forex courses on the internet, just be careful when choosing which ones to purchase.

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If you plan to go into Forex trading and learn Forex basics, one of the first Forex terms you will be introduced to will be the Forex Pip. As you get more involved in Forex currency trading, you will continually encounter it, so you will essentially have to know and understand this important term, and many others like it, in order to learn how to trade Forex successfully.

PIP is the acronym for Percentage In Point, or Price Interest Point, which is used to measure profits and losses in Forex Trading. This is comparable to the term used in the stock market referred as a "point". Basically, the PIP is the unit of measurement for the smallest value (price) change of a currency.

The PIP serves as an easy alternative for measuring the rise of fall foreign exchange currency values in the form of a percentage number. Forex spreads, or the difference between the bid and ask price (buy and sell quote), is measured in PIP's, and is the major cost of Foreign currency trading. This amount is also used to pay the broker facilitating the trade. A lower spread means a lower the payment for the broker, and the trader gets to keep more profits.

The PIP is used in currency trading since the values in foreign exchange is not based on a universal currency, and its monetary value changes accordingly to the currencies involved with each individual trade. The dollar (USD), even though considered to be the most widely traded currency, is not and cannot be involved in all currency trades. For example, if there is trading of two common currency pairs such as the EUR/GBP, the profit and loss margins cannot be measured against the USD, simply because it does not make sense. Thus, Forex trade utilizes the PIP to simplify matters.

Most of the major Forex currencies are marked or quoted to the fourth decimal point, except the Japanese Yen. As an example, let's assume you are quoted a bid for the EUR/USD quoted at 1.0090 and the ask price is 1.0095, the spread is 0.0005 or 5 PIP's. In percentage terms, a PIP is 0.01% of a lot. Take for example the lot size of $100,000, 1 PIP is then worth $10. This is the value of PIP's when using the USD is used as the quote currency.

Trading in one Forex pair, such as the EUR/USD is advisable if you're a beginner. As you get more adept doing this, you'll get a clearer picture of how the PIP measures your gain or losses

The foreign exchange (currency or forex or FX) market is not subjected to one trading place. It exists wherever and whenever one currency is traded for another. Because foreign exchange is an OTC market where brokers and dealers negotiate directly with one another, there is no need for central exchange or clearing house.
An important factor separating the seasoned traders from the amateurs is Objective Forex Trade.Unlike exchange-based markets, FOREX markets operate 24 hours a day. Therefore, FOREX dealers view their customer positions concidering Objective Forex Trade most carefuly. It is easy to demonstrate that Objective Forex Trade is important. A total lack of Objective Forex Trade would mean risking everything on any one trade.

OBJECTIVE FOREX TRADE used by successful traders to leverage their winnings and create real wealth. Improved your trading skills to the point that you are mastering Objective Forex Trade can begin applying the Leverage System.The growth in trading of financial assets (stocks and bonds) has reshaped the way analysts and traders look at Objective Forex Trade. Economic markers such as economic growth, inflation and productivity are no longer the major influencial drivers of Objective Forex Trade.

There is no place in the world like Forex trading market to accomplish success in spawning oodles of money. The Foreign Exchange trading, popularly known as Forex, deals with purchase and sell of foreign currencies and thus, holds unleashed potential equivalent to share trading.

Businessman Going up

How does it Work

Forex trading is driven by the fluctuating forces existing in the currency market. These forces are capable of playing with the prices of currencies from different countries. Thus, there is a constant revision of the worth possessed by each currency.

* Investment in Forex trading is made by converting one currency into another during its deceased value phase on the run.
* When the prices of new currency climb new heights, the investor has the options to convert it back to the original form or alter it into other another currency.

Thus, keeping in mind the fact that nothing remains constant in this universe, one can expect to earn high yields on Forex trading investments. The prospective investors in this market must learn existing trends in Forex trading before making serious investments.

Essence of Forex Auto Trading

Forex auto trading is the latest buzz in the investment market. There are a number of automated software tools, which are taking the Forex investment market by storm. One of the most accepted and appreciated Forex auto trading software is Forex Auto Pilot, popularly known as FAPS.

So, why does an investor need to look upon at these efficient software systems for Forex trading?

* First of all, these systems work beyond the capabilities of humans in exploring the high and low phases of Forex trade market. Thus, these tools are helpful in employing extensive research for your investment to flourish.
* These tools are capable of keeping the knowledge of each world currency in its database and utilizing this information to bring desired profits for the investors.
* Being a human, it is impossible for investors to keep their eyes on computer screen for 24 hours a day. However, one may hire these tools to work round-the-clock without asking for a lunch break.
* The auto Forex trading tools are dedicated to fuel the idea of home-business. Let us keep this point on hold for further discussion later on.
* These systems are risk-analyzers. Thus, the risk factors, which might be overlooked by human eyes, are analyzed by these systems.
* These automated tools are considered as connoisseurs in handling the voluminous data associated with Forex market, which may take serious turns in fractions of seconds.
* Also, one may invest in more than one trade at a given point of time with the help of these automated software systems. More than that, it allows the investor to make investments on different trading platforms.

A proficient trader can enhance his or her proficiency level by learning the benefits of Forex trading systems. However, moral of the story is that Forex automated trading software systems have proven their mettle in the world of investments and this has been made possible by thinking minds behind these systems.
In the Horde of Forex Trading Systems

Every new development in a particular field is accompanied by the dawn of service providers to prove their flair in providing maximum benefits associated with it. In case of Forex trading automated systems, a number of products have been launched in the recent times and the number is still going strong. However, it is not in the aptitude of everyone to provide underlying functionality in the form of these automated systems.

One celebrated name in this direction is that of Forex Auto Pilot System, as it comes from the bench of a successful Forex trader. The system has been endowed with all capabilities to emerge as a powerful Forex trading tool.

Man on The Phone

If you are unable to decide upon the right choice for these automated tools, it is recommended to employ extensive research and read reviews of auto Forex trading tools available on different web portals.
Automated Tools for Self-Employment

As we promised in our previous discussions on the benefits offered by Forex trading tools, it is time to unfold the potency of these systems in providing an excellent opportunity of home-based business to millions of people, who desire to do so. There are many reasons, why people want to leave their job and switch over to self-employment:

* First and most important reason is that the skills of an individual are not suitably paid by doing jobs.
* Majority of bread-earners are frustrated victims of bosses and seniors jumping over their heads.
* Most of the people in regular jobs are unhappy with a dull routine of waking up early, commuting long distances to reach offices and then, listening to commands. So, how about being your own boss and that too, at the comfort of your home?

Thus, the stage is set for tools like auto Forex trading systems to add a commendable worth to your earnings within a short period of time. Thus, there is no scope of turning down the effectiveness of these tools to reach your destination. One has to simply sit back and relax, after surrendering the load to these systems. It demands only few minutes to glance at computer screen and let these tools describe the reports generated throughout the day.
Making Efficient Usage of Forex Trading Tools

Possessing one of these automatic tools is not enough for a budding investor. It is time to introduce you to newly purchased system and learn the tracks of reaching the peak of investment market.

* First of all, you must make an effective selection amongst desktop-installed software or Internet-facilitated automated tool for Forex trading. The later one definitely shares more benefits with an investor:

1. First of all, there is no headache of maintaining the software.
2. Also, you may access this software from different corners of the world
3. Most importantly, it is a more secure system as compared to desktop based application.

* After making a good selection, one must study the software to its depth. It is always good to know the system, which promises to earn significant money for your investments.
* One must understand the real meaning of word ‘auto’. These tools are made self-sufficient to work for the investor. Thus, it is not a wise act to interfere in its working.
* Now, that doesn’t mean that an investor should not possess the know-how of Forex trade market. Keep your knowledge updated to entertain the requirements at any point of time.

Having said all, it is time to express the gratitude towards people, who burn their night oils in coming up with these wonderful automated systems. The development of these systems requires the knowledge of two significant aspects. Firstly, there must be updated knowledge of trends existing in Forex trading market to prepare all type of figures and calculative functionality for these systems. Secondly, technical knowledge of computer programming completes the picture of ending up with a dependable tool for trading.

Believing our beliefs that it is nice to recommend good things to others, we want to help your search for Forex trading systems to attain meaning. Forex Auto Pilot System is the talk of the town for all good reasons. The system promises most effectual currency trading in the biggest market of world. Thus, there is no fun in wasting the time. Get set to attain what is called the status of a millionaire.

Given that there is in excess of $2 trillion a day being traded on the forex market, it’s easy to believe that there will always be enough liquidity in the market to do what needs doing. Sadly, belief doesn’t negate the truth that for each and every buyer in the market, there MUST also be a seller, otherwise no transaction can occur. If an order is too big to handle at the current price, then the price has to move to a point where there is enough open interest to cover the transaction. Each time you see a price move even a single pip, it’s an indication that an order was transacted or executed which “consumed” the open interest at its existing price. Prices can move in no other way

Here are some of the most common terms used in FOREX trading.

Ask Price ¨C Sometimes called the Offer Price, this is the market price for traders to buy currencies. Ask Prices are shown on the right side of a quote ¨C e.g. EUR/USD 1.1965 / 68 ¨C means that one euro can be bought for 1.1968 UD dollars.

Bar Chart ¨C A type of chart used in Technical Analysis. Each time division on the chart is displayed as a vertical bar which show the following information ¨C the top of the bar is the high price, the bottom of the bar is the low price, the horizontal line on the left of the bar shows the opening price and the horizontal line on the right of bar shows the closing price.

Base Currency ¨C is the first currency in a currency pair. A quote shows how much the base currency is worth in the quote (second) currency. For example, in the quote - USD/JPY 112.13 ¨C US dollars are the base currency, with 1 US dollar being worth 112.13 Japanese yen.

Bid Price ¨C is the price a trader can sell currencies. The Bid Price is shown on the left side of a quote - e.g. EUR/USD 1.1965 / 68 ¨C means that one euro can be sold for 1.1965 UD dollars.

Bid/Ask Spread ¨C is the difference between the bid price and the ask price in any currency quotation. The spread represents the broker's fee, and varies from broker to broker.

Broker ¨C the intermediary between buyer and seller. Most FOREX brokers are associated with large financial institutions and earn money by setting a spread between bid and ask prices.

Candlestick Chart - A type of chart used in Technical Analysis. Each time division on the chart is displayed as a candlestick ¨C a red or green vertical bar with extensions above and below the candlestick body. The top of the extension shows the highest price for the chart division and the bottom of the extension shows the lowest price. Red candlesticks indicate a lower closing price than opening price, and green candlesticks indicate the price is rising.

Cross Currency ¨C A currency pair that does not include US dollars ¨C e.g. EUR/GBP.

Currency Pair ¨C Two currencies involved in a FOREX transaction ¨C e.g. EUR/USD.

Economic Indicator ¨C A statistical report issued by governments or academic institutions indicating economic conditions within a country.

First In First Out (FIFO) ¨C refers to the order open orders are liquidated. The first orders to be liquidated are the first that were opened.

Foreign Exchange (FOREX, FX) ¨C Simultaneously buying one currency and selling another.

Fundamental Analysis ¨C Analysis of political and economic conditions that can affect currency prices.

Leverage or Margin ¨C The ratio of the value of a transaction to the required deposit. A common margin for FOREX trading is 100:1 ¨C you can trade currency worth 100 times the amount of your deposit.

Limit Order ¨C An order to buy or sell when the price reaches a specified level.

Lot ¨C The size of a FOREX transaction. Standard lots are worth about 100,000 US dollars.

Major Currency ¨C The euro, German mark, Swiss franc, British pound, and the Japanese yen are the major currencies.

Minor Currency ¨C The Canadian dollar, the Australian dollar, and the New Zealand dollar are the minor currencies.

One Cancels the Other (OCO) ¨C Two orders placed simultaneously with instructions to cancel the second order on execution of the first.

Open Position ¨C An active trade that has not been closed.

Pips or Points ¨C The smallest unit a currency can be traded in.

Quote Currency ¨C The second currency in a currency pair. In the currency pair USD/EUR the euro is the quote currency.

Rollover ¨C Extending the settlement time of spot deals to the current delivery date. The cost of rollover is calculated using swap points based on interest rate differentials.

Technical Analysis ¨C Analysis of historical market data to predict future movements in the market.

Tick ¨C The minimum change in price.

Transaction Cost ¨C The cost of a FOREX transaction ¨C typically the spread between bid and ask prices.

Volatility ¨C A statistical measure indicating the tendency of sharp price movements within a period of time.

The old battlefields of the middle ages are not gone, they have merely changed form. Hundreds of years ago normal men would set out to build their empires by conquering lands through the force of arms. Today, normal men like you and i set out to build our financial empires by conquering markets throught the force of self. The blood soaked battlefields of yesterday have made way for the cash soaked commercial battlefields of today, with the large private armies of Family warlords making way for large pools of family capital. Just as armies were needed to shape empires of the past, so too is capital needed today in order to put modern commercial plans of conquest into action.

In there, lies the reason as to why many forex traders fail. They go into battle risking too many soldiers (capital) and without the knowledge of tactics needed to win the fight.

Lets look at that again. 1. They risk too much capital, 2. They do not understand Forex markets.

Many traders both successful and miserable have made these mistakes, the main reason for me writing this article is so you can learn this lesson here and do not have to make this mistake and lose money, or at the very least be cautious enough to minimise your losses.

No general will risk a majority of his men in a battle that he has no plan for and where he has no idea about his enemy. So my question to you is, why would you risk your capital in market conditions you know nothing about? Luckily two remedies exist for the forex general who finds himself in this situation.

1. Make it a rule to only risk 1% of your capital in any one trade. This is to minimise your losses.

2. Educate yourself so you can recognise your chance to strike but also recognise when it is neccessary to withdraw. Learn to read the conditions of the forex battlefield. Great generals of the past would spend years learning battlefield tactics, luckily we can achieve this in a couple of months.

So in summary only risk 1% of your capital in any trade, and educate yourself about how forex markets work.

The first question that any aspiring forex trader asks when he or she gets to the website like this one is: Why is this person revealing his system to general public when he can make all the money he wants in the forex market. Why share the information with other people?
Well, here is the truth. The vast majority of the trading systems out there are useless rehearsed garbage. They are written by people who can not make a single penny in the real trading world.
My interest in trading the financial markets dates back to 1996. when I was banned from most of the Nevada casinos. Up until that time I was making my living by counting cards on Black Jack casino tables.
However, greedy casino managers do not like players who are able to use their brains in order to beat the casino at its own game. They prefer “players” who will leave the last dollar at their “fine establishments”. So I realized that if I didn’t want my legs broken I needed to find another source of income…
Financial markets were the natural choice… That was the best choice that I have ever made. Here I am, 12 years later, financially independent. Free. However, I must admit that I have become completely obsessed with my trade.
To me it is no more a question of money and profits. Forex has become my way of life. I live and breathe EUR/USD, USD/CAD, GBP/USD... At the same time it is a lonely way of life. Most of my family and friends are not that thrilled when I bring the “support/resistance” or “price momentum” terms at the dinner table. They are happy when I always pick up the $500 restaurant bill, but they don’t really care how I made it.
That is why every couple of years I take some time off my main trading business and share the information with people like you. People who are hungry to learn and succeed. Back in 2001. I came out with “Online Trading for Financial Freedom™” that was an instant classic. In 2003. I was the first person on the Net to write a complete forex trading system, put it into pdf format and provide it to general public. It was called “Forex Trading Course™”. In 2005. I published “Forex Trading Strategy™”, a trading system that gave all of the forex industry a severe case of headache.
And now I am coming out with all of the tricks and techniques that I have acquired over the years in a single system that I have named “Street Smart Forex™”. It is a lethal combination of trading techniques that are easy to implement and at the same time brutally effective. It is explained in a manner as if you were sitting at my trading desk and watching me trade.

The foreign exchange market (FOREX) offers many advantages to investors. But you need to know where to begin. This short guide will give you the FOREX basics, so you can quickly start participating in this fast growing market.

In the past, foreign exchange trading was limited to large players such as national banks and multi-national corporations. In the 1980’s the rules were changed to allow smaller investors to participate using margin accounts. Margin accounts are the reason why FOREX trading has become so popular. With a 100:1 margin account, you can control $100,000 with a $1,000 investment.

A Learning Curve

FOREX is not simple, though, so you’ll need some knowledge to make wise investment decisions. Although it is relatively easy to start trading on the FOREX, there are risks involved. Your first move as a beginner should be to find out as much as possible about the forex market before risking a dime.

Find A Forex Broker

FOREX traders usually require a broker to handle transactions. Most brokers are reputable and are associated with large financial institutions such as banks. A reputable broker will be registered as a Futures Commission Merchant (FCM) with the Commodity Futures Trading Commission (CFTC) as protection against fraud and abusive trade practices.

Open an Account with a forex borker

Opening a FOREX account is as simple as filling out a form and providing the necessary identification. The form includes a margin agreement which states that the broker may interfere with any trade deemed to be too risky. This is to protect the interests of the broker, since most trades are done using the broker’s money.

Once your account has been established, you can fund it and begin trading.

Many brokers offer a variety of accounts to suit the needs of individual investors. Mini accounts allow you to get involved in FOREX trading for as little as $250. Standard accounts may have a minimum deposit of $1000 to $2500, depending on the broker. The amount of leverage (how much borrowed money you can use) varies with account type. High leverage accounts give you more money to trade for a given investment.

Trades are commission-free, meaning that you can make many trades in one day without worrying about incurring high brokerage fees. Brokers make their money on the ’spread’: the difference between bid and ask prices.

Paper Trading Forex Market

Beginning traders are strongly advised get accustomed to FOREX by doing "paper trades" for a period of time. Paper trades are practice transactions that don’t involve real capital. They allow you to see how the system works while learning how to use the various software tools provided by most FOREX brokers.

Most online brokers have demo accounts that allow you to make free paper trades for up to 30 days. Every new FOREX investor should use these demo accounts at least until they are consistently showing profits.

FOREX Software

Each forex broker has its own set of software tools for making transactions, but there are a few tools that are common to all FOREX brokers. Real-time quotes, news feeds, technical analyses and charts, and profit-and-loss analyses are some of the features you can expect to see on most online brokers’ web sites.

Almost every broker operates on the Internet. To access a broker’s online services you’ll need a reasonably modern computer, a fast Internet connection, and an up-to-date operating system. Once your account is set up, you can access it from any computer just by entering your account name and password. If for some reason you are unable get to a computer, most brokers will allow you to make trades over the phone.

There are lots of ways to make money. FOREX trading is just one more potential stream of income — if you are prepared to learn and practice.

Yoy Gonna Love This..Foreign exchange markets and prices are mainly influenced by international trade flows and investment flows. The FX markets are also influenced, but to a lesser extent, by the same factors that influence the equity and bond markets: economic and political conditions especially interest rates, inflation, and political instability. Those factors usually have only a short-term impact, which makes Forex attractive as it offers some of the diversification necessary to protect against adverse movements in the equity and bond markets.Foreign Exchange prices, or quotes, include a "Bid" and "Ask" similar to other financial products:
Bid: Price at which Dealer is willing to Buy and Traders can Sell CurrencyAsk: Price at which Dealer will Sell and Traders can Buy CurrencyThe difference between the Bid and Ask is called the "Spread", which is the Trader's cost of the transaction. For more information on the Spreads offered by Forex N Trading.
Currencies are usually quoted to four decimal places, such as the Euro/US Dollar trading at 1.2400/1.2403, with the last decimal place referred to as a point or "pip". A pip for most currencies is 0.0001 of an exchange rate; the one exception is the USD/JPY quote in which each pip is equal to 0.01

In order to become an adequate participant on FOREX market – professional trader, it is necessary to cover inevitable stages and get skills and knowledge, which are essential for working on FOREX, in process.

To be a novice trader – does not mean to incur losses. Owing to the fact that the accounts of InstaForex do not have limits to the volume of minimal lot, you can start working with any sum, having the opportunity to reduce risks. With increase of your confidence you enlarge the volume of trading operations, increasing risks and the opportunity to get higher profit.

3Steps of Forex Market

1 Step. Training on DEMO-account.

Every person can open DEMO-account and learn how to operate the trading terminal and trading strategies for unlimited period of time and absolutely free. Even without having any idea about FOREX market you can try yourself as a trader, opening a DEMO-account. In spite of the fact that all deals on DEMO-accounts are virtual and are not put on FOREX, you have the full copy of all terms and conditions as the are on the live accounts. On the DEMO-account you can complete deals as well as you would do on the real account.Doesn’t matter how many questions you have – you can try to answer them using the DEMO-account, without any risks and having the opportunity to open unlimited quantity of such accounts totally free. Moreover, 24/5 support department is available by ICQ, chat, telephone or e-mail.

2 Step. Trading on the live account.

Having got the hand in working with terminal and learning the main trading strategies, you can try yourself on the real account, limiting your risks. Owing to the absence of limits on minimal deal’s volume you can trade according to the principle “risk=profit”, when you define the volume of your investments.The work on the live account lets you to understand and learn more in comparison with DEMO-account, doesn’t matter how serious you take the virtual trading. Working with real, even minimal funds, you start to feel the connection between your profit and currency movements. This experience is very important for raising to the next level of trader’s development.


3 Step. Professional work.

After having got all necessary knowledge, trader is able to work independently on the currency market, using his own or borrowed trading strategies for getting profit on currency movements. Professional trader indicates the style of his trading and chooses trading tools which are more suitable for his strategy.Not all the new coming traders are able to reach this level, but InstaForex company guaranties that our team bends every effort in order to help every client to go forward and get the full support when any problems exist.

There are several external factors that affect Forex currency trading. These factors include trade reports, GDP, unemployment, international trade, manufacturing etc. The growth or decline in these factors affects a country’s currency value.Foreign exchange is a continuous global market, providing a 24-hour market access to its players. Since it is open only 5 days a week, so weekend is the closing period. Although foreign exchange is the most liquid of all markets, the fact that it is an international market and trading 24-hours a day, the time of day can have a direct impact on the liquidity available for trading a particular currency.The major centers and time zones are that of Sydney, Tokyo, London, and New York. Therefore, forex alerts must consider which players are in the market, since in the modern interconnected financial world, events that occur at any hour, in any part of the globe, can affect some or all parts of the investment community.In forex trading, you are not ignorant like one remains in stock for a considerable period of time about the news affecting the liquidity of a stock. In stock market, you come to know about inside trading, revision in earnings only after the market has reacted upon it.But in forex currency trading, this is not the case. Here you get various forex signals. Significant information affecting a particular currency becomes known to everyone in the trade instantaneously. There isn’t anything as insider trading in a forex market.There are many online forex trading startegy sites. They all maintain a global economic calendar. This calendar indicates the major forthcoming economic, financial and business related events all over the world and which can have important bearing on foreign exchange market. What you have to do is to keep a track of all important events and news.Certainly, it will not be an easy task to watch constantly all the factors affecting foreign exchange trading market. They change in importance over time and condition. But the information is available to anyone and for use to one’s benefit. A currency trader has got a chance to react immediately to any new information.Unlike stock market, another important advantage forex trading offers is that you can do foreign currency trading almost from anywhere from the world. There are so many online forex trading signal platforms available to get instant information and to act within time.Most important GDP figures that affect forex trading are of USA, Japan, Canada, Australia and Britain. China is also expected to be a major force in online paper trading in near future.Central banks play a significant role in the forex market because they have the responsibility of changing the country’s “base” interest rate. A central bank has to maintain growth in the economy in accordance with inflation, so it creates a good balance in interest rates. The bank’s decisions on whether to raise, cut, or hold the interest rate fuels speculation in the forex market, where the value of a currency, or group of currencies, changes in real time. Natural disasters, terrorist attacks, and militarily actions in a sensitive region can have a significant impact on the forex market as they create a disturbance in the world.