Category Archives: General Forex

General Forex

Start A Forex Business – FOREX as a Home Business

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Start A Forex Business

Many people are looking for something legitimate to get into when it comes to starting a home based business. The FOREX market just may be the perfect opportunity when it comes to working at home. FOREX is the process of simutamously buying one currency and selling another.

I’ll be the first to say that 99% of home based businesses are scams. After losing nearly $10,000 in work at home opportunities, I was looking for a way to make a decent amount of money though a legitment business. I’ve heard of FOREX trading before, but wasn’t really quite sure just exactly what it was and how it worked.

In January of 2005, I decided to run a search on FOREX in Google and began reading articles and forums on the subject matter. It seemed that FOREX was the perfect home based business to start. I opened a demo account with $500 and started trading. Within my first 25 trades, I won 23 and lost only 2. I thought to myself I was ready to start trading on a real account.

Little did I know that there was a huge difference in trading on a demo account as opposed to trading real money. My entire psychology changed and I could not implement the same trading strategies that were previously winning on a consistent basis. Needless to say I blew out my first live FOREX account of $600. I decided to fund my account again with $400 this time trading under strict guidelines and much more discipline. Over the next month I managed to gain back my initial loss of $600 and gain a small amount of profit. Start A Forex Business

When starting out in FOREX, you will have the opportunity to choose between many different brokers. My suggestion is to choose a reputable broker that is well known. Most brokers offer a 3 pip spread on all the majors, some will offer a spread as little as 1 or 2 pips.

If you are not familiar with FOREX, another thing you might want to look into is a managed FOREX account. There are many FOREX signals providers that will send you entry and exit points, however only a selected few of them actually work.

It’s now been a little more than a year since I started with FOREX as a home based business and I have compiled over $40,000 in profits. Attaining these results did take a lot of work and research on my part. The FOREX market can be extremely volatile. Do take caution and be sure to do your homework before trading with a live account. Start A Forex Business

General Forex

Best Forex Broker Spreads – Selecting the Best Online Forex Broker For Your Trading

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Best Forex Broker Spreads

When deciding on a Forex Broker you need to think about the way in which you will be using your Forex account. These days many traders, especially beginners, will use automated systems to enhance their trading returns. Therefore it is important that you select a Forex Broker who is sympathetic to their use.

The difficulty when trying to employ an automated trading system is in finding a Forex Broker that will accept their use. Many brokers will have an official or non official policy on the use of automated Forex trading systems on their platforms.

This policy is likely to be stricter the more successful the robot becomes. Increased success brings increased use, which in turn eats into broker profits. To combat this Forex Brokers employ various tactics to make it difficult to trade automated Forex systems.

While some will reportedly close a trader’s account if they suspect a robot is being used, others use more underhand tactics to disrupt their use. A common tactic is to raise the spread during quieter market sessions when automated robots are more likely to trade. While this doesn’t actually prevent the robot from being used it can make it difficult for them to find trade entry points. This is particularly true of the many robots that are reliant on a low spread as part of their strategy.

And of course by raising the spread on trades taken, a bigger commission is earned by the Forex broker, leaving less profit for the trader. Best Forex Broker Spreads

Some Forex Robots will try to prevent the Broker from detecting that they are being used by offering a form of key protection. This will need changing frequently and is not an ideal solution. Ok so the broker may not be able to detect that a robot is placing the trades but this will do nothing to overcome the issue of increased spreads which effect the time of day rather than the actual mechanism of trade execution.

When selecting a Forex Broker to run your automated system on it is important to take account of the tactics employed. For this reason it is best to look for a broker who accepts the use of automated Expert Advisors and the strategy it employs. Selected Brokers will allow the use of EA’s, hedging and scalping strategies on their platform without penalty.

However this is only half the solution. There is no point in settling for a broker who accepts the use of automated systems and then puts up the spreads at the time of day that they are most likely to be used.

The second part to selecting a Forex broker is therefore to make sure that you keep an eye on the spreads. A low spread is good but make sure it remains that way at the times when your system is looking to trade. Be wary of the broker increasing the spread at times of low liquidity. In some instances, dependant on the strategy employed, it can be advantageous to look for a broker offering guaranteed fixed spreads. In this way you have a known constant to your trading. Best Forex Broker Spreads

General Forex

Fx Trading Station For Mac – The Importance of Choosing the Right Forex Platform

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Fx Trading Station For Mac

The choice of a forex platform is a big decision! This is the online software that provides live, streaming, executable bids and offers for instant execution. Here is where you perform your trade, so it has to be quick and reliable. The forex platform (also called “forex station”) should include charts and the other tools you need to trade the forex online.

It’s a challenging task to find the right forex platform for you and it can be done if you are really determined to successfully trade the forex. Several key factors you should consider before you choose, but there’s a shortcut for your decision. One of the great things about forex broker is that almost all of them offer a free trial of their software, so you can open a demo account with many of them and simulate the forex trading without risk.

Reliability is the most important thing to check about a forex station. You will want to know if there are known problems that traders are speaking of in the online forums. Try to find a platform that has little complaints and check if the company has answered them in the past. When you have found what you think is a reliable forex broker, you can go on and compare prices. Of course you don’t need nonessential features or enhancements, you are interested only in the real trading features of the software. Therefore, supposing that the capabilities of two softwares are the same, you will obviously buy the cheapest one. Fx Trading Station For Mac

There are two types of forex platform: client-based and web-based. The first one, as for its name, is a software program that has to be installed on your computer. It’s recommended because of its limited accessibility (i.e. only from the machine with the installed software). On the contrary the web based forex station is the favorite of many traders because it’s accessible from any computer in the world with an internet connection. The only drawback is that it can’t work if you are offline.

Remember that every client-based forex platform has peculiar computer requirements. So, depending on which computer you are planning to trade the forex you have to choose the right software for Windows, MAC or Linux (or whichever operating systems you have). The best way to make sure you are choosing the right forex platform is to test drive the ones you can via a free demonstration. This is one of the best ways to be sure you will get the tools you need for your forex trading activity. Fx Trading Station For Mac

General Forex

Best Forex Investment Plan – How to Formulate a Forex Investment Plan

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Best Forex Investment Plan

Contrary to what you may have read, there is no formula that is going to make you an instant millionaire. You can make things as likely as possible for you to succeed by formulating you own forex investment plan that will also to some degree protect you from possible calamity.

When taking a delve into the Forex market you will have three basic time frames with which to hold your currency. Short, medium and long term. Each particular term has it’s advantages and disadvantages.

1. The short term trader (the scalper) is going to be trading very quick trades often buying and selling currencies to and fro several times a day. Leveraging is required here to both make a profit and also protect your investment.

2. The medium term trader holds on to the currencies between a day and up to a week or so. The big advantage of the medium term trader is that profit can be made on the least amount of capital invested. This term of investment is the type that people who are new to Forex trading will normally start on because it has less risk involved with it. Profits can be increased by leveraging.

3. The long term trader can hold the currencies from weeks to months and even years. Leveraging is also required here as well as short term trading to both make a profit and also protect your investment. Best Forex Investment Plan

Whichever plan that you decide to use, stick to it. Don’t try all three at once as this will surely cause confusion and lead to losses.

Technical analysis is a perfect tool for you to use in your forex investment plan to help you crack the Forex market. Following trends by using statistical analysis can lead you, the investor, to make decisions that are going to be profitable.

Technical analysis can be used to monitor many indicators as well as the all important price activity. When you get to know more about your personal needs in Forex market, you can get programs that will bring together large amounts of the data that you want included in your analysis. You will be able to customize and organize your plans for your personal investment strategy. Best Forex Investment Plan

The investor has the potential to isolate himself from huge swings in the Forex market because the market is open for twenty four hours a day not including weekends.

A Forex investment plan should include a stop/loss and take profit order. Basically the stop/loss order will allow you to get out of the trade before things really hit the fan. It can be set when you make the order at a certain level and when the currency falls below that point, it stops the order automatically.

The take profit order is the same as stop/loss but will stop the order when it has reached the level that you have set to reap the rewards. It is a dilemma because you do not want to curb your profits by putting a take profit on your order but unless you watch your account all day, the currency may drop like a stone and you may lose it all. It’s better to take little and often.

The great thing about the internet age is that you can get demo accounts set up from Forex trading companies before going live into the real market. A Forex investment plan should include demo accounts as they are fantastic resource for getting to know how things work and for formulating your forex investment plan. They are free and you get a certain amount of “dummy” currency to play with. Best Forex Investment Plan

General Forex

Forex Spread Betting Forum – How to Develop a Successful Forex Strategy

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Forex Spread Betting Forum

I think that every forex trader will agree with me when I say, forex trading is the most frustrating learning curve I have ever had to achieve. Anyone that can say they have had it easy trading forex from day one is either lying or I would love to hear from you. Forex trading I like to compare to chess, it doesn’t take long to learn but it takes a life time to master. That doesn’t mean you can’t be a successful forex trader with the right guidance.

One of the most important things to remember about a successful forex strategy is that a successful strategy for one forex trader doesn’t necessarily mean it will be successful for another. Everybody is different and everybody has different tolerance levels especially when it comes to losing money and winning money, I say winning money because that to can be as equally scary. Forex Spread Betting Forum

To develop a successful forex strategy that suits you is to start off using other people’s strategies, which you can pick up in forums and forex learning websites, then tweak these trading methods to suit your personality. Experience will also play a big part in your success, getting to know how each of the major currency pairs reacts and there general level of volatility is just as important. You may not use the same strategy for each currency pair.

Unfortunately it is a matter of trial and error and more tweaking to see if your method works, luckily many of the big spread betting platforms offer live trading demo accounts so you can practice without risking any real money. You are probably thinking, I want to start earning money straight away, this is where one of the main attributes of a successful trader plays its’ part and that it discipline.

One of the best ways to develop a successful forex strategy and earn at the same time is to join a forex trading club. A forex club is a group of traders that trade together over a webinar that is coordinated by a professional trader. This way you can get professional advice at the shared cost of the group. Forex Spread Betting Forum