Tag Archives: Learn Forex

Managed Forex Accounts

Forex, short for Foreign Exchange, is where one nation s currency is converted for that of another. With over $3 trillion being converted everyday, the Foreign Exchange Trading market is presently the world s biggest fiscal marketplace and hence very attractive to investors. The market has no corporal position and it runs through a worldwide network of banks, institutions and individuals. Nowadays, importers and exporters, multinational companies, bargainers and many others all have an progressive interest with the Forex market relating to their financial proceedings. Many such establishments choose to sustain managed forex accounts for such roles.

A managed currency trading account, also known as an automated managed forex account, admits an investor the chance to take part in the international s most significant market without having to monitor the market trends 24 hours a day. The managed currency trading accounts, as the name may imply, are dealt and handled by professional people with huge experience in the market. This alone belittles the risks of losses while profit-maximizing yields on the investment made. Managed foreign exchange trading accounts are ideal for those that choose the capital invested to be managed efficiently. There are many profits to be reaped through applying a managed forex account. The investors would still be efficient to hold liquidity of assets, which is holding the deposit and withdrawal of funds at their discretion, while receiving real-time account management and reporting as well as currency trading strategies and related information of the market. The forex trading account managers also use several analytical methods, both mechanical and technical, to check the most exact investment entry and leave tips to hold moneymaking results.

Whether you use a managed forex account or do it yourself, investment in forex is not for everyone. Many professional people also advocate spreading chance of investment through regarding the capital in different opportunities and not just one. In picking out an appropriate managed forex account, it should also be noted that previous performance is not suggestive of future solutions. However, committing in a managed forex account would enable an individual or foundation to deal in worldwide currencies without having to analyze the market yourself. The professionals are more than efficient to do it for you, with the wide added up benefit of their expertise. All the investor then has to do is to allow the needed capital, where the nominal investment would be around $10,000. If you either miss the necessary capabilities to trade in the forex marketplace alone or do not have the resource of time on your hands it would be perfect to get an automated account to do the task for you.

However managed fx trading accounts are mostly costly. A better solution is to go for an automated forex trading robot. I advise you to get a reliable forex robot like FAP Turbo.

Instant Forex Profits

Instant Forex Profits is a high quality forex trading course offered by Kishore M an ex Hedge Fund Manager. In the following Instant Forex Profits review, you will see what is included in the Instant Forex Profits course, what is Instant FX system and the user reviews and ratings.

Instant Forex Profits Review :
Instant Forex Profits course is a complete forex training course designed to make you an expert trader. Please note that iFxProfits in not an automated forex trading robot like Forex BulletProof.
The course is jam packed with information from beginner’s tutorials to advanced currency trading strategies. The Instant FX Profits from Kishore M is the only foreign exchange trading course that is certified by a tertiary instituition (Metropolitan Business School, UK).

Watch iFxProfits Videos   |   Join Instant Fx Profits Course

Watch the videos to see the creator behind iFx Profits course talking on Bloomberg, BBC, Channel News Asia etc.

Currency Trading for Dummies

You probably know that the “Dummies Books” are famous for the simplicity and plain English in which they explain and teach complex topics. Forex Trading for Dummies or Currency Trading For Dummies is a book by Mark Galant and Brian Dolan that aims to provide a comprehensive introduction to forex trading (also known as foreign exchange trading or FX trading) for beginners. Let’s see what is inside this dummies book.

What in inside Currency Trading For Dummies?
The Currency Trading for Dummies book is 360 pages. It is published by John Wiley & Sons in the ‘For Dummies’ series of reference books whose stated aim is to put complex subjects into plain English for beginners. It is clearly written and should help people who want to get started with currency trading but do not have any background knowledge.

As this is a physical book, there are no video tutorials. You are on your own here. This is reflected in the low price. If you need a currency trading pdf book I suggest you to see Bird Watching In Lion Country book.

Currency Trading for Dummies Level And Coverage
Currency Trading For Dummies is clearly aimed at beginner traders. With some notable exceptions (see below) this gives a well structured introduction to forex trading. Special terms and concepts are well introduced and the language is appropriate for people new to currency trading, although some understanding of the financial markets generally is assumed. Some terms are not explained.

The explanations of the workings of the market and the section on currency pairs are excellent. Fundamental analysis is well covered too. The book is weaker on technical analysis and actually setting up trades. Its strong point is bringing you to an understanding of how the forex market actually works, which many of the more practical, system-based trading books hardly cover at all.

The established forex trader will not find much that is new on the practical level here, although the sections on mindset and attitude are covered well and could be helpful for anybody.

Currency Trading for Dummies Review :
There is quite a lot in this book that is open to criticism. For example, they suggest that you should develop your own trading system and trading plan, which is a worthy goal. However, they do not tell you how to backtest a system, which is a very important step. Testing is vital before you go live with a system. While you can and should do real time testing on paper or in a demo account, backtesting is much quicker and can rule some possible systems out of court very fast. You cannot realistically test 10 or 20 possible variations of a system live; but you can easily backtest them.

Also, there is not much coverage of certain steps which are essential to the beginner, such as choosing a broker. We have seen it suggested that this is a deliberate omission because the authors are allegedly associated with a market maker which prevents them being objective. Certainly, if true, it would be a reason for not pointing up any of the possible disadvantages of going with a market maker, which in our view, beginners should be warned about.

They do not give an example of a profitable system that you can use yourself. This is explained on the basis that you should develop your own. While this is undoubtedly the ideal, most beginners will be looking to buy into something that could work for them as a starting point.

Cynics will wonder if the authors really know any profitable trading systems. The book is so much stronger on market information than on practical trading, that it is no surprise to hear that it was authored by people who are on the brokering rather than the trading side of the business.

Summary
This is a useful introduction for beginners interested in forex trading who like to read rather than following video tutorials. It does not set out a trading system to follow, so you will have to look elsewhere for that. It leaves certain things to be desired but on the other hand, it’s not expensive. Let’s face it, you wouldn’t expect to get the perfect trading system for a few dollars. Overall, good value for the price, but it does not contain all that you need to know.

Currency Trading For Dummies is available from Amazon and other online and high street stores.

Forex Strategies for Profits

A Simple Forex Strategy To Increase Your Profits

There are a few forex strategies that you can use to increase your profits, no matter what forex trading system you may be using. Here is one simple trick that can help you to make more out of each successful trade.

Of course, all traders know that you should set a limit order or at least include a profit aim or closing signal in your plan and keep to it. It is important not to keep a winning trade open until the moment ‘feels right’. Either you are aiming for a certain number of pips or you are waiting for something like an oversold or overbought signal and then close immediately.

Keeping a trade open for an undefined time, hoping to make the most of it and profit from every last pip, is a road to ruin. Successful forex strategies are never based on feeling. Sure it is annoying to close out a trade at 50 pips and then see the trend continue to 200, but how often does that happen? We tend to remember trades like that and forget the others, so if you do not keep a record of what happened after you closed a trade, now is the time to start.

If it turns out to be true then you might want to back test the results of increasing your profit aim per trade, but in 90% of cases you will find that this does not happen often enough to justify that. What you may find, however, is that it is worth closing half of your position.

Of course, to do this you must either be trading more than one lot or have a broker that accepts fractional lots. You can set a limit order for the first half but you need to be watching the market so that at that time, you can set a new limit order for the second half and at the same time, move your stop loss. The new limit order could be half of your original profit target or it could be the same amount again, but not more.

There are several options for the positioning of the new stop and it is a good idea to back test these for your particular system. First option, if your stop was originally 20 pips out from your opening position, it now moves to 20 pips from the price at which you just closed half of the order.

Second option, your stop moves to your entry position plus or minus the spread. So if the trend now turns on you, you will have a profit on the first half of your trade and break even on the second half. Third option, the stop moves to half way between the opening price and the current price. What is best depends on the original position of your stop. Of course you do not want to move it so close to the current price that it is triggered too easily.

Equally, never be tempted to apply this technique to a losing trade. It would be a big mistake to only close half of a trade when it hit your stop, unless you are testing different positions for the stop. Forex strategies should maximize your profits, not your losses!

Easy Forex Trading

How to Make Money Fast and Easy with Forex Trading?
How can I make money with forex trading and is it possible to make money fast with forex trading? These are some of the common questions you can find on any currency trading forum. There are so many advertisements out there that endorse ways to make money. Earn little extra cash from home, make money online, replace your day job or start a home business … whatever you want to do; there seem to be a hundreds of ways to do it. And yet we all know that it not really easy as it sounds. Naturally now the questions arising in your mind should be, is the same thing true of forex trading?

Forex trading is currency or foreign exchange trading which involves anticipating the movement of currency prices around the world. A forex trader exchanges one currency for another because he thinks that the price of one currency will rise and fall relative to the price of the other.

For example, if the US economy is doing well but the Canadian economy is doing badly, you might want to trade the USD/CAD currency pair. You would buy the currency pair which means that you are buying USD. One time when you might want to do this would be if there is a fall in the price of oil. Canada is a big exporter of oil and the USA is a big importer, so the value of the US dollar against the Canadian dollar is likely to rise when oil is cheap. This could be true even if the US dollar is falling against other currencies.

Of course, if you just had a couple hundred dollars in an account that you wanted to invest in this trade and you got 1 for 1 when you bought this currency pair, you would probably not make more than a few cents on the trade. Currencies just do not change in value that much that fast, at least most of the time.

So forex traders use leverage to increase the size of the sums that they can control (lots). Brokers will allow you to open a trade a position that is at least 100 and sometimes 200 times the amount that you are putting up. This means that your $10 controls $1,000 or $2,000 in the market, or your $100 controls $10,000 or $20,000 in the market. Now the profits could be a lot bigger. This is how people make money fast with forex.

From this example you will see that forex is risky. In this it is like all speculative investment. Generally speaking, the risk increases along with the potential returns. There are safe investments like government bonds where you have a guaranteed return, but it’s low. Then there are risky investments like stock or forex trading where you can make money fast and make a lot, but on the other hand you can lose it all. So it is important not to trade with money that you cannot afford to lose.

Fortunately forex brokers provide demo accounts where you can try out your skills and trading systems on a virtual money account until you are profiting on a regular basis. It is necessary to practice in demo mode for a while before you go live, so forex is not something that can turn a complete beginner into a millionaire overnight. The truth is, there is nothing that can do that outside of gambling, which is even more risky.

However, once a person has learned to trade forex steadily and well, it is certainly possible to make money fast with forex. I would suggest you to spend some time and money on forex education. You could reduce the learning curve by utilizing automated forex trading robots like FAP Turbo or Forex Brilliance. However remember that even if you are using a Forex EA you still need to learn the basics.

Euro Trading

Euro USD is one of the most popular currency pair in forex market. Most of the traders when they start out making money with forex trading they go for Euro trading against the dollar. However, unfortunately most of these traders know practically nothing about the Euro trading. The only thing they look for is the euro to dollar conversion or the exchange rate. But when you are doing currency trading in euro there couple of significant facts that you should be aware of.
Unlike other currencies the euro is a very unique currency because it is not the historical currency of any nation. The euro was introduced after the formation of European Union or the European Economic Community. The European country leaders and European bureaucrats realized that it would boost their economic activities if they have a common currency. Today, Euro is the second most traded currency (after the US dollar), in the forex market. Naturally Euro is a very significant power in financial markets.

History of Euro:
The European Economic Community or the European Union was formed as a means of lowering trade barriers between nations in Western Europe. Over the years it has extended to include countries in Eastern Europe. However the most important factor for expansion of euro trading is the formation of the European Monetary Union (EMU) and the introduction of the currency euro, which happened during the beginning of this millennium.

Facts You should know while Trading in Euro
The euro is controled by the European Central Bank (ECB). Because of its status as a multinational regulatory bank, its remit is a little different than the US Federal Reserve. The European Central Bank is concerned solely with interest rates and maintaining price stability within the Euro zone, while the Federal Reserve and most other national central banks also have to consider the effects of their decisions on employment levels. Continue reading

Bird Watching In Lion Country 2010

Bird Watching In Lion Country 2010 by Dirk Du Toit’s is an updated version of the revolutionary forex guide. Bird Watching In Lion Country is a wired name for a forex trading book. But despite of the weird name, the original version of this book which was released over 5 years ago has become extremely popular and emerged as one of the best selling currency trading eBooks ever. In this Bird Watching In Lion Country 2010 review, we are going to examine the details of this guide and how it can benefit you to earn money from forex trading.

What is inside?
According to Du Toit the forex market is a dangerous jungle or the lion country. You know that well. Do a search on google for forex trading and you will see hundreds of websites and gurus claiming that they will teach how to make big bucks with forex and how the automated robots can make easy money etc. And you often wonder why can’t they use their system to trade and make money. The fact is that there is no easy money. According to Du Toit’s if you want to go bird watching in lion country like forex market, you must know the dangerous and learn which is the best route and which routes should be avoided to reach your goal.

Is Bird Watching in Lion Country suitable for me?
If you want to do manual trading and make big profits in the long run, then this book is for you. On the other hand if you are looking for a simple forex trading system based on an indicator you might want to consider one of the popular forex robots like FAP Turbo.

What is New in 2010 version?
The guide covers all forex trading essentials quite comprehensively. The new Bird Watching in Lion Country 2010 gives an additional focus to a number of things such as drawdown which were not explained in detail in the first version. As you know drawdown is critical for determining risk and therefore it is an indispensable part of any flexible forex trading system. The new version also consists of case studies of real trading examples.

Download Bird Watching In Lion Country 2010 here…

Limit Order in Forex

When you learn forex trading you might have come across the terms stop/loss and limit order. What are they and how they benefit for you to make money from trading?
limit-orderLimit order and Stop/Loss are conditional orders. We call these conditional orders because they will not come into effect unless certain conditions are met. There are two types of conditional order that you can place while trading forex. They are the stop loss (which is also known as stop/loss) and the limit order.

The Stop/Loss
The stop loss is a familiar order that controls the risk involved in a trade. With a stop loss, you are giving instructions to the broker, “If the price goes this far against me, I want out.” So if you have bought a currency pair expecting an increase in price, but then the price falls, your whole account balance will not get wiped out. The stop loss will be triggered when the loss reached at certain level according to your settings and protect the majority of your funds.

A Limit Order
A limit order is similar but applies to the opposite situation, the condition where you have a winning trade. With a limit order, you are instructing the broker, “If the price reaches this level, that’s enough, I’ll close there and take it.” Once set, the limit order will be activated if your pre arranged price (desired profit level) is reached and the trade will be closed at that price.

Many new forex traders are reluctant to use limit orders when they first start out. For them limit order seems counter intuitive. After all if the market is going your way, why would you want to close the trade? Wouldn’t you want to hold on as long as possible to get the most profit out of it? This is a serious mistake committed by many new traders.
The trouble with that approach is that sooner or later the price will reverse, and often it does it sooner rather than later. If you do not place a limit order, when will you close the trade? How will you know when it has gone as far as it is going? If you wait too long, a sudden reversal could see all of your profits wiped out.

So unless you have a system that is set up with very precise criteria to tell you when to close a trade, you will probably be better off if you use limit orders.

And where do you set them? Back testing your system can be helpful here. You can check through the last months and years of markets that would trigger a trade under your system and figure out what would have been the optimal setting for the limit order. However remember that past results are not necessarily going to be repeated in the future. Testing your limit order settings in a forex demo account is also useful.

In most cases you will want the limit order to be further from your starting point than your stop loss, even after spread is taken into account. This will mean that you only have to score a 50% success rate to be in profit. Setting the limit order at twice the pips of the stop loss, either before or after spread, might be appropriate. However, this depends on your system. Don’t skip the testing.

Using limit orders has another valuable benefit too. Once you have both stop loss and limit order in place, you can walk away from the computer and get on with your day. Though you won’t get the kind of freedom you can achieve through automated forex trading robots, with limit order and stop/loss in place there is no need to watch every little fluctuation of price until one or the other is triggered. This reduces stress and makes it less likely that you will panic and deviate from your original plan. So using limit orders in forex trades makes for a happier, more profitable trader.
For complete hands-free forex trading I suggest you to get a good automated forex robot like Forex Auto-Pilot Turbo (See FAP Turbo Review) or Forex Megadroid.

How to Use Scalper Expert Advisor

How To Use a Scalper EA to Make Profits

Forex scalping, if it is done correctly can be highly profitable. Using a forex scalper EA (expert advisor) can be a very lucrative way to trade the currency in Fx markets though it also very risky. Some forex traders seem to make a ton of money with scalping while others lose their shirts. So what is the difference and how can you stack the odds in your favor when you are using a forex scalper expert advisor?

1. Choose your broker carefully
It is crucial to get the correct broker when you are using a forex scalping system or a scalper robot. Many brokers do not like scalping strategies and particularly object to the quick profits that can be made with scalper software.

Usually these brokers will be market makers who will carry the risk of a trade themselves until they can match it in the ECN. If your scalper EA moves in and out of the market very fast, they do not have a chance to cover their risk, and so you profit will be their loss. As you can imagine, if you are very successful they will soon decide that they do not want your business.

Brokers who have a place in the ECN and do not have to rely on a third party are more likely to be happy to accept your robot’s scalping strategies. To find an amenable broker either ask the developers of your EA or look for recommendations from other scalping traders in forex forums.

2. Manage your risk
Many people new to forex trading assume that because scalping strategies rely on many small trades, they are less risky than systems relying on a higher profit per trade. This is not true at all. Scalping is just as risky as any other form of forex trading. Risk management is essential if you do not want to be wiped out of the game.

For the same reason it is important not to overstretch in terms of leverage. Certainly, do not choose a broker by looking for the one that gives you the highest leverage, unless you are very sure of the drawdown of your system and that you can cover it.

The problem with a high leverage means that triggering a stop loss will mean a greater loss. Sure, the profits are higher too, but when you go through a bad patch you can run through your funds very quickly. It is important that your account can take the battering. It is much more likely to be able to do that if you have kept your risk and your leverage low.

3. Understand your Scalper EA
It is also important to understand what your scalper expert advisor is doing. This means having realistic expectations about things like the number of times it will trade in a week, how much on average it will make on a successful trade, how much it will lose on an unsuccessful trade, what percentage of trades are successful, etc.

All of this helps you to know what you can expect in terms of your bottom line in the long term and what will be the optimum level of risk. When it comes to risk, by the way, always assume that the worst case scenario is at least twice as bad as the worst patch that you have seen.

You cannot rely on information from the developers or from other users in this respect. This is not a matter of trust, it is just that different variables will apply to each individual. So do your own back testing and demo testing before you start to use a scalper expert advisor live.
I suggest you to check out FAP Turbo or the new Forex Black Panther robot for automated scalping software.