Tuesday, December 15, 2009

Forex Trading Training - Training For the Budding Forex Trader

Forex Trading Training - Training For the Budding Forex Trader

Whether you are planning to take the forex trading training online or offline, its essential that the course has certain elements to help you understand the mechanics of forex trading. It's important to look at the content of the material when doing forex training. Not all the courses will suit he trader. These are some elements that should be present when you are learning the basics of how to trade.

Emphasis on the basic concepts

The forex training course should emphasize of the more basic concepts. The trader should be able to understand concepts such as forex trading, margin account, forex trading type of orders, forex signals, "BID/ASK" concepts and the concept of rollover etc.

Mistakes made by the traders

The forex trading training course should also emphasize on the common mistakes that are made by the first time forex traders and how best to avoid these mistakes. This information can only be given, if those that are giving the tutorials are also forex dealers themselves. Forex market is a very dynamic market and split second decision can have a huge impact n the profits and the losses of the trader.

Technical and fundamental analysis should also be included

The forex trading training should also teach the students how to interpret the data according to the fundamental and the technical analysis. Technical analysis is concerned with charting. It shows the historical data and the highs and the lows that the currency trading has experienced. Its show the likely price at which the currency would bottom out or reach at the top. Forex dealers after understanding forex trading should look to buy when the currency is at the lowest according to the charts and sell when it's at the highest.

Fundamental analysis as a part of forex trading to show how factors such as business markets, wars, political movements and other factors affect the currency trading. Sometimes the fundamental analysis can have more effect that the charting. For example the US dollar has taken a beating as compared to other currencies since the sub prime crisis, food price crisis and the oil rise crisis has begun.

Trading strategies

It's important that forex dealers know when to enter and when to exit. They should be able to contain their losses and maximize third profits. A good forex trading training will show them how to achieve this goal. With forex trading software that's easily available, all the tiding can be done by first timers too. In order to contain and understand forex training, it's imperative that they understand how the market operates.



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Wednesday, November 11, 2009

The Currency Trading Revolution

The Currency Trading Revolution

I want to share with you the currency trading revolution that has transformed this business into a new market. This is the fastest growing and also largest market in the world with over three trillion dollars a day in trades.

If you go back around 30 years ago, there was currency trading going on, as there is today. But there were much different players back than. Only the biggest banks and firms were trading. A lot of money was moving around, but only a few elite people were in the position to trade. Ordinary people never had access to this, unless they were involved with a bank. Banks would take commissions and there was really nothing an average Joe could do about this.

Fast forward to the 90's and the real birth of the internet. Dial up become a big service for people to have and really transformed the way we communicate on the internet. If you move into the 2000 era, we're experiencing an explosion of high speed internet. In the Western world most people have high speed internet now. What does this have to do with currency trading? The internet has leveled the playing field.

Today, the smallest trader from their home can compete along side the biggest banks and be successful at it. The internet has created a currency trading revolution that has made this market explode in size. Never before was it so easy for just ordinary people to trade in this market. There is an amazing potential for all people to profit and learn.



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Inverted Pyramid Based Forex Trading Strategies

Inverted Pyramid Based Forex Trading Strategies

As a trader, you must develop a Forex trading strategy that will allow you to quickly identify flaws and make adjustments while continuing to trade. A classic approach used to evaluate risks in the currency trading system is the inverted pyramid approach. All macroeconomic factors that affect a chosen currency pair are a function of the top of the inverted pyramid. All technical factors are considered as you move down to the bottom of the pyramid. Traders assign weight to different parts of the pyramid. Purely technical traders may apply more weight to the bottom of the inverted pyramid (upside down triangle) while fundamental traders may apply more weight at the top.

In order to make use of the inverted pyramid you will need to understand the macroeconomic factors that are a function of the top of the inverted pyramid. These include international issues that influence the global trading community. These types of issues may be gauged from news reports and news feeds with global coverage. News networks, such as CNN, provide up to date coverage of terrorism, oil prices and other such issues.

In order to account for the technical factors that apply to the pyramid, you will need to determine specifics and sediment in the particular market within which you are trading and also for any market that impacts the market within which you are trading. You must decide the typeof technical indicators that will be used in your Forex trading strategy. Some traders rely upon randomness and chance while others engage more complicated mathematical computations to calculate weighted moving averages. You must be able to develop and visualize a picture of the market, which identifies events that are of importance to affect the market. You also need to develop a general feel about the market. News reports and specific market reports will assist you in developing a picture of the market and also indicate of the direction in which the market is headed.

You will need to determine which currency pairs are volatile in relation to the macroeconomic environment and market conditions that have been identified. You will need to have knowledge of the market in order to identify and differentiate market indicators from events that bear no real significance. Your analysis of acquired data should indicate whether price movements represent a trend or volatility in the currency trading system. You will then be able to use this analysis to narrow your options to trades that offer the most potential.

You must be able to set floors and ceilings in your technical analysis to establish trading levels and then use those levels in your Forex trading strategy. Technical patterns that indicate the direction of trades in specific currency pairs should be developed. Once you have narrowed down to a specific currency pair for trade, you will then need to reexamine its market sediment as it applies to the technical analysis. You will have to identify entry and exit points for your chosen trades.




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Tuesday, November 10, 2009

Stock And Option Trading System Review

Stock And Option Trading System Review

Are you thinking about becoming involved with trading the stock or options markets? Are you in need of a reliable and easy course to help guide you in your trading decisions? If you answered yes to the preceding two questions, then keep reading in order to learn more.

Picture yourself as having only 15 minutes a day to do your stock trading. How would you manage to do the research necessary and analyze the various stocks or options you were considering trading? This was the situation that Dr. Stephen Cooper found himself in several years ago when he used to worked 12 hour days as a chiropractor who was also interested in investing in the stock market. He needed to develop a system that would allow him accomplish his goals, and he found a way that helped him to invest in the market while only spending 15 minutes a day.

Today, several years later, Dr. Cooper has developed a system that is designed to help anyone, young or old, experienced or inexperienced, to become a successful market investor. He proudly boasts that: "You don't need to be a seasoned stock investor to make money with online investing, and you don't have to have a lot of money to start." And yet, the trading system he teaches can help you make serious money in the stock market.

The biggest advantage of the system he offers to teach is an uncomplicated online investing system that can be completed in only 15 minutes a day. You can learn this amazing, easy-to-follow investing system without a lot of trouble or bother. His system lets you create wealth quickly, and does not require that you undertake a large amount of trades or do day trading.

With Dr. Cooper's Stock and Option Trading System, you are literally in control of your own destiny without being left to figure things out for yourself. One of the bonuses that prospective students receive are the personal trade recommendation from Dr. Cooper himself. There are direct email alerts along with Watch List changes that are updated on a regular basis. You have access to a members trading area where you can pick the trading brains of your peers.



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Day Trading Coaching

Day Trading Coaching

Day trading coaching is a crucial prerequisite for anyone looking to make a serious foray into the world of professional day trading. Whether you seek to quit your day job and engage in day trading on a full time basis or whether you merely seek to dabble in day trading on the side, one cannot underestimate the incalculable benefits of undergoing some form of day trading coaching before you get started.

Not only is this true before you get started, but it is equally important and of positive benefit to maintain an active coaching relationship on an ongoing basis.

Why is this important?

In order to be successful in any endeavor, there is no resource more valuable than to have a coach, mentor, or a teacher who has blazed the trail before you and who can guide you, inspire you, motivate you, and keep you focused on achieving your goals.

Coaching can be provided for you in many forms:

- Someone you know who is already a successful day trader.

- A local investment company who can offer you one-on-one assistance.

- A local investment group that can offer you guidance in a peer / mentor environment.

- A "virtual" coach who guides you through books, audio tapes / CDs / DVDs / MP3s, or even via courses offered over the Internet.

No matter which way you go, coaching is not something you should underestimate the necessity of.



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Learning a Proven Forex Trading System So You Will Never Lose Money in Forex Trading!

Learning a Proven Forex Trading System So You Will Never Lose Money in Forex Trading!

One should bear in mind that, before starting on Forex trading, one should have proper Forex training. This is because the Forex trading market is a very competitive one. In order to remain competitive and ensure profitability, one should have proper Forex training to familiarise with the Forex trading market. One must not rush into Forex trading.

Forex training brings the knowledge of professionals into your personal trading. Forex training helps you know where to enter a currency based on the direction it is taking and how to forecast that direction. Forex Training allows you to learn how to trade currencies with a live coach. As you trade, your Forex training can truly help you become the master of your money.

There are free Forex trainings online created to teach everyone a strategy to day trade currencies. Forex training sessions are designed to give new and experienced traders all the necessary tools to start buying and selling currencies in the Forex market. Forex training program would not only be for beginners who want to learn how to start day trading, but also for more experienced traders who already had some stock or futures trading experience. Forex training will help you succeed in your currency trading as you learn to trade the Forex like a pro.

As such in order to succeed, one should have their fundamentals right. Do not be impulsive and rush into starting Forex trading. Be patient and go through proper training. This will be beneficial for you in the long term



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Monday, November 9, 2009

What is Day Trading? - The Basics

What is Day Trading? - The Basics

Day trading is the practice of buying and selling financial instruments, such as stocks, stock options, currencies, and futures contracts, within the same day such that your positions are usually closed before the end of the day.

Day trading used to be the sole realm of professional investors. In fact, many day traders work for banks or investment firms. Advances in technology and the Internet, however, have allowed even amateur traders to day trading.

Day traders often borrow money to trade. This leveraging allows for a high potential rate of return and large profits. Some day traders earn millions of dollars a year. However, day trading can also be extremely risky. Without the proper skills and tools, day traders can just as easily and quickly lose money.

Although collectively called day trading, there are several different styles of day trading. Some trading styles include:

Momentum Trading

Momentum trading is a strategy in which one believes that stocks, or other financial instruments, move with a momentum or trend. Thus, stocks that have been rising are assumed to continue to rise. Likewise, stocks that are falling will continue to fall. A momentum trader thus buys stocks that are rising and short sells ones that are falling.

Contrarian Trading

Contrarian Trading sharply contrasts momentum trading. Contrarian traders believe that stocks that have been rising will reverse and fall. The contrarian trader buys stocks that have been falling and short sells stocks that have been rising.

Range Trading

Day traders who range trade look for stocks that have been consistently trading within a specific range. These stocks rise after hitting a "support" price and fall after hitting a "resistance" price. A range trader therefore buys stocks that are near the support price and short-sells stocks that are near the resistance price.



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Discover the Crucial Fact You Need Know!

Day Trading For Beginners - Discover the Crucial Fact You Need Know!

This article is all about forex day trading for beginners and what you need to know, to preserve your equity and win at forex trading...

The most important fact you need to know is that the odds are stacked against you and longer term, it's impossible to win. Have you seen a tempting day trading system with a track record of gains?

Then you will also find the warning below in the small print which is a sobering thought, showing you how the track record has been manufactured:

"CFTC RULE 4.41 - Hypothetical or simulated performance results have certain limitations. Unlike an actual performance record, simulated results do not represent actual trading. Also, since the trades have not been executed, the results may have under-or-over compensated for the impact, if any, of certain market factors, such as lack of liquidity. Simulated trading programs in general are also subject to the fact that they are designed with the benefit of hindsight. No representation is being made that any account will or is likely to achieve profit or losses similar to those shown".

All day trading forex courses and systems sold that I have seen have it.

You see some lovely track records, then in the small print, you get the above which simply means the system has never been traded and the track record made up using past data. That's made up KNOWING the closing prices!

Well that's not hard, a child could do it and so could you.

So why doesn't day trading work?

All you need to do is think about the dumb logic it's based on.

We have numerous millions of people all around the world, all with different skill levels, motivations, aims and forex trading strategies and you are going to have to decide, what this vast mass of people are going to do, in just a few hours.

Is it possible?

Of course not.

It's a fact, that all daily volatility is of a random nature and prices can go outside of daily support, resistance, pivot points or any other technical analysis tool you apply.

Look at any forex chart and this is obvious.

Because you can't get the odds on your side, your destined to lose - PERIOD.

The other point you need to keep in mind (if the above is not enough to convince you) is that day trading breaks a fundamental rule of investment:

Run your profits, to cover your losses.

So in day trading, you do keep losses small (and your going to get lots of them) but on the other hand, what does a day trader do if he is lucky enough to have a profit?

Run it? Not a chance - he cuts it!

So you have lots of small losses and marginal wins (now and again when your lucky) and this equates to an equity wipe out long term.

Don't be fooled by all the vendors telling you that you will win, you won't.

You could always ask the obvious question:

If the system is so good, why hasn't it got a real time profitable track record?

You already know the reason why!

You can make money at forex trading big money but you need to get the odds on your side and you need to trade longer term.

If you want a good forex education and to learn currency trading the right way, forget day trading and try long term forex trend following.

Forex markets do trend longer term, you can get the odds on your side and you can win which is more than can be said for forex day trading.




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Thursday, November 5, 2009

How to Use Fundamental Studies to Supplement Technical Analysis

How to Use Fundamental Studies to Supplement Technical Analysis

There are 2 methods of trading in a particular stock. And these methods are known as fundamental analysis and technical analysis.

There is a wide difference between fundamental analyst and technical analyst.

Fundamental analysis investors are those people who take the pains to do certain research about the stock. And then take decision whether to invest or not in a particular stock.

Technical analysis investors are the people who try to evaluate a particular stock and then take decision whether to buy a particular stock or not. They try to find a brief history of the stock and then only they take a decision of investing in a particular stock.

It must be noted that both the methods have their own advantages. Technical analysis investors would but those stocks in which a huge investment is done by other thinking that in future the value of these stocks would go high. These are the investors who follow the crowd and don't take pains to take their own decisions.

On the other hand fundamental analysis investors would take pains to do a brief research about a particular stock and then only they would take the decisions of buying that stock.

Some investor can become a specialist in any one the methods. They try to gain specialize knowledge of any one method. The investors who specialize in technical method are considered to be reliable tool. On the other hand fundamental investors consider this method to be superior to any other method.

Since the technical investors try to find he brief history of the stock so they able to predict the future price of the particular stock. This is the most important advantage of technical analysis. And this method is beneficial for short term and day traders. Where as fundamental analysis is beneficial to long term traders.

According to technical analyst a brief history of the particular stock gives the brief idea about its future performance. But according to IPO or mutual fund the history of the particular stock is not the best way to predict its future. Technical investor take look at the brief history of the performance of the stock but do not consider the other factors that might change the situation in the future.

Fundamental analysts are the investors who take care of factors that might change the price of the stock in future. One should try to gain the latest knowledge about a stock that he is willing to invest in.

Learn the Basics of Winning and Successful Forex Trading

Forex Trading Tutorial - Learn the Basics of Winning and Successful Forex Trading

Forex trading tutorial - one of these can be very helpful in giving you the basic knowledge from which to launch a successful forex trading career. In this article, I want to give you a few beginner basics to start you on the right path.

Never Trade On Instinct

Never make a trade based on instinct. Always use logic. Think "Spok" in Star Trek. He would have made an incredible trader!

I had a friend who made lots of trades based on gut feeling. He did well for a couple of months and then he blew it all in a single day. His wife is still not happy about that!

Learn As Much As You Can

The forex market is not for lazy people. Sure, you don't need to know much to start trading. But you owe it to yourself to continually learn.

Don't worry - the great thing about learning forex is that it is so interesting. You learn about the world and it's politics and economics and about the psychology of people in general. You'll love it, I'm telling you!

Always Have An Exit Strategy

Let's say you place a trade because you think the price will go up. So, how long will you ride this trend? What if it goes higher than you expected? What if the price suddenly turns around?

Always have an exit strategy before placing a trade. Either bail out if the price falls against you by a fixed percentage or make a decision as to how long you will hold on if the price goes even further in your favour.

Never Risk More Than You Can Afford To Lose

I'll give you an example of this. I once lost 20% of my trading balance. I decided to go on what I thought was a sure thing and trade the remaining 80%.

Tuesday, October 20, 2009

What is Day Trading? - The Basics

Day trading is the practice of buying and selling financial instruments, such as stocks, stock options, currencies, and futures contracts, within the same day such that your positions are usually closed before the end of the day.

Day trading used to be the sole realm of professional investors. In fact, many day traders work for banks or investment firms. Advances in technology and the Internet, however, have allowed even amateur traders to day trading.

Day traders often borrow money to trade. This leveraging allows for a high potential rate of return and large profits. Some day traders earn millions of dollars a year. However, day trading can also be extremely risky. Without the proper skills and tools, day traders can just as easily and quickly lose money.

Although collectively called day trading, there are several different styles of day trading. Some trading styles include:

Momentum Trading

Momentum trading is a strategy in which one believes that stocks, or other financial instruments, move with a momentum or trend. Thus, stocks that have been rising are assumed to continue to rise. Likewise, stocks that are falling will continue to fall. A momentum trader thus buys stocks that are rising and short sells ones that are falling.

Contrarian Trading

Contrarian Trading sharply contrasts momentum trading. Contrarian traders believe that stocks that have been rising will reverse and fall. The contrarian trader buys stocks that have been falling and short sells stocks that have been rising.

Range Trading

Day traders who range trade look for stocks that have been consistently trading within a specific range. These stocks rise after hitting a "support" price and fall after hitting a "resistance" price. A range trader therefore buys stocks that are near the support price and short-sells stocks that are near the resistance price.

Tuesday, March 24, 2009

All About Forex Trading

Forex trading, short for foreign exchange trading, involves the buying and selling of the many currencies of the world. It does not operate via a central exchange site, like traditional stock market trading, and may, thus, fully function a 24-hour basis.

When compared to other exchanges, the trading market is the largest in the world, even beating the New York Stock Exchange (NYSE) by over a hundredfold, in terms of daily trading volume, most of which are conducted by private entities and individuals.

Because of the absence of a central exchange, trading happens between two parties directly. Buyers and sellers communicate and trade via the phone, the Internet or other communications networks worldwide.

In addition, trading forex is also speculative, meaning, they are based on expectations on whether a certain currency would rise or fall, depending on current market conditions. It is risky business, but the returns have often proved themselves worth the risk.

Basic forex trading

Forex trading involves the buying and selling of two currencies at the same time. This combination is often dubbed a cross, because it occurs between two moneys; for instance, the US dollar/Japanese Yen. The highest traded currencies in forex are the US dollar, the euro, the Japanese yen and the UK pound - the "majors".

Trading normally occurs in the spot market, which is the largest because of its volume. Here, trades are made and completed directly and on the spot. You don't have to wait too long to settle.

Advantages of forex trading

1. No 4pm trade closing time.

When you're trading forex, you have 24-hours to do so from Sunday night to Friday night. This opportunity allows you to retract your moves and react immediately when a currency suddenly goes up or down. Breaking news are vital to trading.

2. Very liquid.

It is easy to convert your trades to cash in the market, especially if yours involves one of the majors. The high liquidity helps ensure that spreads are narrow and prices are stable throughout the period.

3. Strong potential for profits

This is particularly true with falling currencies. Because trading involves two currencies, when one rises, the other naturally falls. When a currency depreciates, it could be the perfect time to buy into it so that you can sell it for a hefty profit when it's its turn to appreciate.

4. The higher the currency's liquidity level, the cheaper it is to trade it.

This is why most forex trading patrons opt to trade majors, because they have the highest liquidity. In addition, trading is also more attractive to some money movers because of the absence of a commission. Thus, currencies are actually traded for their real merits and not because they come with misleading incentives.

There's a lot more to learn about trading and the above merely scratches the surface. To be able to further understand what forex trading is and how it can help you grow your coffers, it is advised that you speak to an expert who more likely has all the answers to your questions. Or, yet, ask somebody who's already had experience with forex trading.

Our mission at the Options University is to provide investors around the world with the very best in options education and tools, empowering them to use options for greater profit protection and less risk. To learn more on the options trading strategies for safer investing and bigger profits, please visit our blog at http://www.options-university.biz/blog/ for free trading tips and video e-Course.

Treasury Secretary Timothy Geithner testifies on Capitol Hill in Washington, Tuesday, March 24, 2009, before a House Financial Services Committee hearing on AIG.  (AP Photo/Pablo Martinez Monsivais)Reuters - The Obama administration on Tuesday mounted a full-scale push for government authority to shut down troubled institutions like insurer AIG to avoid the need for future bailouts.

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Friday, March 13, 2009

Day Trading - What's it Really All About? Choices That Lead to Stellar Success and Unlimited Wealth

There's an old Buddhist saying, As within, So without.

You may think its all about the charts, the fundamentals, your system and the unprecedented world economy, but haven't there been times when you sensed there was something more to it?

Me too. Being tuned in to all that is what separates the super traders from the guys who are second mortgaging their home hoping to make a come back.

Aside from the obvious, not putting too great a percentage of your overall nugget in any one trade, how does one keep the emotional element out of decision-making? Is this emotional element the same thing as your gut feeling? It's easy to confuse the two and it's well worth learning to discern the difference.

Keeping notes is critical, but not just about the numbers. Taking time to notice your own patterns is invaluable in the long run if there is to be a long run.

Over-confidence can be just as deadly as under-confidence. And playing when you really don't have the juice to, but feel like you need to can also have its consequences,

There really aren't a lot of women out there trading, not relatively, so for a long time I thought it was only because I had focused on my inner work for so long that I was naturally using my trades as way of flushing out my deeper issues---resistance to having more than enough or the compulsion to keep trading when I had already done well enough for the time being.

But then I attended one of those weekend workshops with the best of the best. And on the very first day my trading coach said, the market is mirror---a stark mirror.

That, to me, was worth the price of admission!

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This undated photo released by the Metropolitan Corrections Center(MCC) shows a cell at the New York facility similar to the one where disgraced Wall Street financier Bernard Madoff was sent to. Madoff awoke Friday -- at 6:00 am on the first day of his new life as Prisoner 61727-054 after pleading guilty to massive fraud.(AFP/MCC-HO/File)Reuters - Investors are dubious that Wall Street's best week since November means the stock market has found a bottom.

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Wednesday, March 11, 2009

Confident Trading Tactics

I wanted to take the time to share with you some confident trading tactics for forex. This is a great business with over three trillion dollars a day in trades. That makes it the biggest in the world and potentially the most profitable. The most amazing part about this business is that it acts completely independent of world recessions and economic downturns. Profits sum down to a ratio in difference between currency and that is how we make money.

I think the most important thing you need to understand when you're looking for a trade is that the buy price is completely useless. As consumers in a grocery store, we look for the cheapest price and when we find it, we're happy. This is different. We're not consuming money, we're trading it. This means that the cheapest price isn't necessarily the best trade. You don't make one cent of profit until you exit the trade. That means the sell price is the most important thing. So when you're looking for a good trade to make, always look for the exit prices, than compare it to the original cost and you can now determine if you have a good buy.

When you get confident, sometimes you get overconfident. The way you can tell this is if you feel too invincible. You feel like every trade will just workout in your favor. This is a poor state of mind because you're going to let down over and over again. Confidence is one that exists in reality and it knows the limitations. Remember, that is what you're striving for.

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The FTSE 100 index slipped marginally Wednesday, shedding 0.58 percent to close at 3,693.81 points.(AFP/File/Ben Stansall)AFP - The FTSE 100 index slipped marginally Wednesday, shedding 0.58 percent to close at 3,693.81 points.

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Sunday, March 8, 2009

Currency Trading Basics - Think You're Ready To Trade? Check These Points

Here we are going to look at some currency trading basics in relation to points to consider before you start trading. They cover basic errors which most traders make so to avoid being in the 95% of losers check them out.

1. Are You Putting Your Faith in a Forex Robot?

Most novice traders I speak to put their faith in a forex robot they have bought. The track records look great but check the small print there all "simulated in hindsight" that means knowing the closing prices and on paper only - not real money so they don't indicate profits as anyone can make profits knowing the future!

If you think this is way to make money its time for re think.

2. Are You Going To Day Trade?

Very popular again but day trading and scalping is sure fire way to wipe yourself out. I know there are lots of track records for day trading systems - but like the robots comment above, there all "simulated in hindsight".

All volatility within a day is random so you can't win.

3. Have you made money in a demo account?

If you have don't assume you will make money in real time - why?

Because there is no pressure and without pressure, it's not real experience.

Trading with money online, involves pressure and lots of it.

4. Do You Intend Trading News Events?

If you do think twice - I saw a whole course devoted to non farm payroll and how to trade the number and that's madness. News is discounted instantly and you have no way of knowing which way prices are going to go - it depends on sentiment and that can't be judged on single event.

Never trade individual news events or the news stories, sure the stories are convincing - but that's all they are stories.

5. Are you going to Base your strategy on prediction?

Lots of traders love this idea predicting in advance with science. They follow such "legends" as Fibonacci, Gann and Elliot who use scientific formulas and of course their not scientific - if they were they would work all the time and they don't.

Markets don't move to science. Leave these to the far out crowd and trade on the realty of price change. Try and predict and your predictions will be as accurate as your horoscope.

6. What's Your Edge?

These are the reasons why you are going to win when 95% of traders lose.

It doesn't matter what it is but you must have confidence in it and know why he sets you apart. Don't know what it is?

Then you don't have one and its back to your forex education until you do.

I have been teaching trading for 25 years and its surprising how many people give you a blank look when you ask them what their edge is. It really is vital to know and if you don't your in the 95% of losers.

The reason most traders lose is through believing myths or wanting easy money and you need to avoid this.

Trading is an odds game and if you can get a method to trade the odds you can win. There is no other business where you can make so much money in terms of effort you put in and sometimes it can even be life changing - but you need to get an edge so, learn and get one and you will be well rewarded.

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Reuters - Goldman Sachs' chief executive said he opposed the full nationalization of banks, but thought government stakes could be sensible in extreme situations, in an interview with German weekly Welt am Sonntag.

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Wednesday, March 4, 2009

Trade Forex - Strategies For Forex Trading

Currency trading has a great potential to gain from home. It is a excellent business opportunity and I wanted to spend some time to talk about some of the strategies for currency trading. Consider all the money you spend related to your job and with currency trading you do not have to worry about it. It runs on complete autopilot. All you will need to do is fund the account and the software will make all the trades. Forex Trading can be a side income job or you can just buy multiple software's that work and make it your full time job. But you won't even have to work!

Learn how to let things go: Sometimes you might have unsuccessful trades. Due to these bad trades you had, some people might curse themselves and others might curse you. You might also have successful trades, but whatever the result is, you have to let it go. Don't think about the trades that are finished, don't be so emotional, this will lead to making a worse trade next time. You have to learn to let it go and move on and this will help you a lot.

Be Technical: You should not be relying on your emotions to make decisions. Look at currency and other technical information to do it. Sometimes you will feel that you have to buy things regardless of what technicals tell you. This is very dangerous. What you feel is not always right. Most of the times, it is not based on technicals, but based on the success you had before. Thats why it would be smart to purchase a forex robot software.

Do you want the very best forex software? Well I have some good news for you, I bought and tested the top 7 forex software's and put a review of the top 2 on my website: ForexTradingReview.Info I made over 900 dollars a day with one of the softwares I bought. Just Imagine if you purchase a couple profitable softwares!

You have to be very careful when purchasing a software though. Some of the software's just sit around and never make you any money. If you want to make thousands every week with forex I suggest you take a look at the website: Forex Trading Review

In this March 2, 2009 file photo, Specialist Michael Sollitto works on the floor of the New York Stock Exchange. People are increasingly skeptical the government knows how to pull the nation out of its slump, and many have stopped listening to financial advisers reciting the conventional wisdom to 'stay the course' . (AP Photo/Richard Drew, file)Reuters - Stocks rallied on Wednesday, ending a five-day losing streak, as another Chinese stimulus package boosted commodity prices and encouraged investors to jump into energy and natural resource shares.

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Saturday, February 28, 2009

Trading Forex - Best Currencies to Trade

The explosion of over the counter Forex trading led to increased competition on part of brokers. Over last few years trade execution has become much better, spreads went down and trading platforms have seen dramatic improvement in performance and functionality. Another area of brokers services that witnessed huge changes is the number of currency pairs available for trading.

As recently as 5 years years ago there were platform offering only 4 major pairs for trading, all of them US dollar denominated - EUR/USD, USD/JPY, GBP/USD and USD/CHF. Not much choice there. Vast majority of brokers would provide 8 to 12 currency pairs. That was the staple. Only very select group could boast availability of 20 or more crosses.

Those times seem like ancient history. These days broker which offers 20 or so currencies is, well, services deficient. New norm seems to be availability of 50 + pairs on a trading platform, while few leaders provide over 70 or even close to 1000 currency based financial products. If swaps and options are included, this number can easily breach 300. Quite a difference over just few short years.

Does it mean that all these instruments are suitable for an average trader? The answer is resounding "NO". Some currency pairs are better than others, especially for beginning and less experienced traders. Some should be all out avoided or left for true professionals. That said, which are the best currency pairs to trade?

Trading instrument, should be liquid, have low cost of trading and have enough volatility to present profit opportunities as often as possible. Volatility, of course, is a double edged sword and can be detrimental, as well as desirable. Most of USD and, these days, EUR crosses fit into this mold.

Beginners should generally concentrate on the old stand byes, the 4 majors. EUR/USD and USD/CHF should the the first to consider. Both are very liquid, have low spreads (minimal trading costs) and move quite a bit. Incidentally, under current market conditions, USD/CHF is less volatile, and probably better for new comers, while still providing very good opportunities.

If you prefer fasting moving currency, GBP/USD is for you. The "cable" can move with surprising speed, but that works both ways- losses can be just as swift. Last one of the 4 majors is USD/JPY. Despite its much vaunted status, it is also a currency most susceptible to political influence. That can lead to more unpredictable behavior than the before mention pairs, but it has extremely low spreads and huge volume.

At present some of EUR denominated pairs are just as liquid as USD crosses. Most notable are EUR/CHF, EUR/JPY and GBP/USD. All of them are among the very best currencies to trade. EUR/CHF, for example, is far from being the boring instrument of years past. Daily trading ranges are very similar to USD/CHF, spread is the same and , by some accounts, volume is even higher.

Rounding up the best currencies to trade is AUD/USD. This pair has also experienced tightening spread, increased volume and widening daily trading range. On the contrary, the remaining dollars, USD/CAD and NZD/USD, should probably be left alone by less experienced traders. One of their less desirable characteristic is significant luck of liquidity pool at certain times of the day.

While it is good to have wide range of choices when it comes to trading options, it is not necessary, or even possible, to master all of them. There is nothing wrong with trading only the most popular currencies. They are most accessible and most information is available about them. Some of the best traders around specialize in only or two of these pairs. So can you.

Mike P. Kulej is a Chief Forex Strategist for Spectrum Forex LLC. He specializes in mechanical trading systems as explained on http://www.spectrumforex.com Spectrum Forex LLC offers numerous services to individual traders. You can also follow his trading blog at http://www.fxmadness.com With questions and comments e-mail him at kulej@spectrumforex.com

Reuters - Leaders of Southeast Asian nations have agreed to ease monetary policy and resist protectionism as they fight the financial crisis that is hurting their export-dependent economies, a draft statement showed.

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Monday, February 23, 2009

The Only Thing You Need to Read For Forex Trading Success

I promise that when you are done reading this you will know exactly what to do to make money while trading forex. This is what I personally do myself and I am making enough money to live at home and do whatever I want, whenever I want. I didn't write this to brag but to inspire you that you can do the same, and hopefully better!

Heres the secret...

If you want to have forex success you need to get a forex trading robot. This is by far the most important thing you can do for yourself. You will increase your profits dramatically when you have a robot trading for you while you carry on with your normal day to day things.

I say this because before I was using a forex trading robot, I was doing decent trading forex on my own. After I started using it you wouldn't believe the money I started to bring in. This is because the robot was making trades for me as I was sleeping which gave me more of a chance to make money during any time of the day.

I can't stress enough that this was the biggest eye-opener for me. I was now making money on complete autopilot and I was free to do whatever I wanted. I felt that with this knowledge there is enough money to go around so why not share it. This is why I wrote this report for everyone to read because I feel that if I can help others be successful, so will I.

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US insurance giant AIG indicated it was in talks with the authorities to cope with its Reuters - American International Group Inc , which was rescued twice last year by the U.S. government, is in talks with authorities for more aid as it looks to post its largest-ever quarterly loss, a source familiar with the matter said on Monday.

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Friday, February 20, 2009

What Kind of Trading Strategy Is Best For YOU?

The biggest mistake that most beginning forex traders make is made before they even place their first trade. In fact, they usually make this mistake before they even open their trading account!

Most traders begin by learning the mechanics and terminology of trading.

They study charts and look for trends. They try to find predictable patterns and how to profit from them.

They learn the meanings of the words "pip", "cable", "swissie", "shoulder", "flag", etc.

They study how the "Aussie" behaves when the Royal Bank of Australia lowers rates or what the impact on the EUR/USD will be after Jean Claude Trechet says the word "vigilant" three times during the ECB rate announcement or what the rising price of oil will do for the Canadian dollar.

But the one thing most traders don't do before they begin their careers in this "sport" is to properly assess their own temperament and how that will effect their trading.

The cute E*Trade commercial which shows a talking baby placing a trade is accurate. It's easy to place a trade. The mechanics are easy enough to learn. And many traders, even adults, feel like barfing right after they pull the trigger!

Are you going to barf every time you place a trade? Will you be afraid of losing? Will you become angry when you do lose on a trade - even if it's a small amount? When you close out a trade, will you feel elated (on a win) or humiliated (with a loss)?

These are all questions that you need answered before you place that first trade.

When you have answered the tough questions about yourself, you will be well on your way to determining what kind of trader you will be.

Many of those who hold educational seminars and write books on forex traders talk about 3 types of traders: the day-trader, the swing-trader, and the investor. However, I believe there is a viable fourth category: the non-trader.

The day-trader goes for the quick gain. Successful day-traders have nerves of steel and don't mind sitting in front of their computers watching the up-ticks and down-ticks of their favorite pair(s). They can easily stomach many small losses knowing that they only need a successful trade or two to put them ahead. The day-trader depends heavily on the charts and technical analysis. But they really only care about what's going on with the 5-minute, 10-minute, or 15 minute charts. A daily chart represents an eternity for a day-trader.

The next type of trader is the swing-trader. This type of trader is a bit more patient then the day trader. The swing-trader will read the weekend papers and websites and study the fundamentals of their favorite pair. They'll then take a look at the yearly and daily charts, looking for good entries and then decide on their target. Then they'll set up their trade on Monday morning, which may or may not be triggered. When the entry for the trade is triggered, the swing-trader is patient to then wait until either their stop or target takes them out. The swing-trader's trades will run for days, weeks, or months, typically - and that's plenty fast for them.

The third type of trader is the investor. And the investor is the most patient of them all. The investor trades off of very long term trends. He places his trade and forgets about it. It may be months or years before he exits his trade. The investor relies mostly on fundamentals and long-term economic trends.

The last type of trader is the non-trader. Although, the dealers wouldn't agree, it's actually ok to not trade. For some people, trading is just going to be too stressful for them. Even though education can relieve a lot of this stress it won't eliminate for everyone.

What category am I in? Right now, I'm in category four. But, soon, look for me in category 3.

What is the best category to be in? Again, it all depends on who you are.

Visit http://www.learnforexdirect.com for more Forex Trading secrets and claim your no-cost subscription to 'Learn Forex Direct' e-letter ($198 VALUE).

George Soros, chairman of Soros Fund Management, listens to economists speaking at the 'Emerging from the Financial Crisis' annual conference at Columbia University in New York, February 20, 2009. (Chip East/Reuters)Reuters - Renowned investor George Soros said on Friday the world financial system has effectively disintegrated, adding that there is yet no prospect of a near-term resolution to the crisis.

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Sunday, February 15, 2009

The Forex Trading System Secrets

Forex trading is quickly becoming a revolution of income, and you will be pleased to know, it is getting even easier. Forex Funnel is a complete system that will enable you to set the program to autopilot whilst you get on with the rest of your life, earning up to $115,000 per year just from the Forex Trading System. Sounds good?

Forex Funnel requires no real human interaction, and will make decisions by itself, based on forecasts and previous facts and figures. During testing of the product, the average winning in-a-row was 19, and a maximum achieved of 53!

The software included mainly focuses on USD/JPY (United States Dollars/Japanese Yen), which is the currency pair it was designed for and the one that gives the best results. The software analyses the systems track record from the last 4 years. The win/loss ratio for Forex Funnel is 90%. That means that 4.8 out of 5 trades end up with a profit.

The Forex Funnel has previously bought a $50,000 account up to $462,000 on autopilot alone. The more time you spend learning around the area, the more you can understand how the software works, and adapt it to maximum profitability. I am new at trading, and without disclosing too much personal information, I have seen my investment triple since purchase, all on autopilot whilst I do nothing.

Could you quit your day job? I would say you can, it depends on your initial investment. Like I said above, a $50,000 investment could soon be close to Half a Million USD four years down the line!

You can check out a review of the Forex Funnel Trading System along with more information about Forex trading.

Hopefully I will meet you on a sunny beach drinking cocktails in 4 years.

Ashley Baker

The White House is shown lit at night following the return of President Barack Obama from a celebration of the former President Abraham Lincoln's birth bicentenary at Ford's Theater Grand reopening in Washington, February 11, 2009. (Jason Reed/Reuters)Reuters - With Wall Street veering close to the November bear market lows, the market is likely to be awash with caution next week as investors look for clarity on how the government plans to shore up banks, housing and the economy.

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Thursday, February 12, 2009

200 EMA Forex Strategy - Easy For Beginners

Are you a relatively new trader looking for a solid forex strategy?

A challenge facing many new traders when developing their forex strategy is the ability to identify the overall trend for intra-day trading.

The 200 EMA (Exponential Moving Average) can solve the problem.

The 200 EMA is one of the most popular indicators of all time with Forex traders the world over, and for that reason alone is worth noting due to the psychological effect on the market place price can have when hovering around the 200 EMA.

Using The 200EMA Strategy

To use this very powerful Forex strategy, create charts on 3 time frames:

  • 4 hour
  • 1 hour
  • 15 minute

Now plot a 200 EMA indicator on each chart and, as a suggestion, color it red, for easy visual impact.

Preferably tile the 3 windows containing your 3 charts into a vertical fashion so you can see the 3 time frames next to each other. It will squeeze up the information on the charts somewhat but for the purpose of this strategy that doesn't matter.

Now scroll through the various currency pairs you like to trade.

If you prefer to trade only pairs with a smaller pip spread, they amount to about 9.

They are:

  • EUR/USD
  • GBP/USD
  • USD/CHF
  • USD/JPY
  • EUR/JPY
  • USD/CAD
  • AUD/USD
  • NZD/USD
  • EUR/CHF

What you are looking for is any currency pair that bucks the 200 EMA on the 15 minute chart.

So for example, look at the EUR/USD pair and note the position of price relative to the 200 EMA on the 3 time frames.

If price is well above the 200 EMA on the 4 hour chart, well above the 200 EMA on the 1 hour chart, but BELOW the 200 EMA on the 15 minute chart, price is bucking the trend.

The overall trend is up, price has temporarily gone against the trend and is currently in a retracement.

Using the fundamental trading principle of "buy the dips in an uptrend", "sell the rallies in a downtrend", look for a suitable entry point.

In the example given above you would look for an opportunity to buy the EUR/USD, perhaps watching for a candle signal that price has exhausted it's downward momentum, bucking the 15 minute chart 200 EMA and will soon resume it's upward momentum.

This is an easy exercise and it can be done once or twice a day, taking just a few minutes.

Watch For Price Bucking The Trend

Once you see price bucking the 200 EMA on the 15 minute chart, whereas it is on the opposite side on the 4 hour and 1 hour charts, sit up and take note. Watch carefully and grab the opportunity to get in and make some pips.

After a little practice you will see how extremely powerful this simple Forex strategy is - certainly deserving a place in your trading tool kit.

Get a useful free tip on how to use the MACD indicator for safe trading here:

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Goldman Sachs' Lloyd Blankfein joins other TARP recipient financial institution leaders as they testify before House Financial Services Committee on Capitol Hill, February 11, 2009. (Larry Downing/Reuters)Reuters - Goldman Sachs Group Inc denied a CNBC television report on Thursday that it had convened an "emergency" meeting of top investors earlier this week, prompted by worries Treasury Secretary Tim Geithner's bank rescue plan was not viable.

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Monday, February 9, 2009

Where Can I Find Good Penny Stocks to Invest In?

I had always been impressed with the tales I had heard about amateur investors somehow being able to pick the right stocks to invest in and grow their portfolios. In fact I was sick of hearing about friends picking killer stocks that rose 20% or 30% overnight making them huge amounts of profit.

This was a real problem for me until I discovered that their success was not really about their due diligence, any special research techniques or even the newspapers they were reading. What I did to turn my investing around was to use an automated stock picking software service to do the hard work for me.

I want to reveal this invaluable service to you right now. If you are looking to make some healthy returns from stocks then this could be the most informative article you read because the information I am about to disclose has the power to dramatically improve you wealth.

I used to spend hours and hours each week pouring over the financial press and the Internet researching potential stocks to invest in. I was using a combination of fundamental analysis (looking at the companys profits and balance sheet) and technical analysis (looking at price movement trends) and felt I was fairly competent with both despite my lack of results. Occasionally I would pick a winning stock however I would also pick bad ones and I never managed to significantly grow my portfolio of stocks.

What I found really difficult was when I did buy in to a good stock I did not know when to sell. I often found myself sitting on a 10% gain only to see it eroded away over the next few weeks. In a similar vain I was unsure when to buy in to a stock I thought offered value. All too often I would 'miss the boat' and spend my time working out how much money I would have made had I bought the stock.

I was introduced to the service by a close friend that worked in one of the large investment banks. He told me that for some years now the big banks have been using computers to select their trades. The benefit being the huge computational power they offer. He showed me the service and more importantly the profit and loss on his trading account. My trading has gone from strength to strength since that moment.

Now I use a automated stock picking service all of the hard work is done for me. I receive a weekly newsletter with my picks in. I then do some high level research to get some more background on the companies then simply invest when the suggested buy price is reached and sell at the proposed sell price. By doing this and spending just 2 hours per week on my trading I make roughly $5,000 per month more than I did when I was spending 15 hours per week researching the market by myself.

You too can use this stock picking system to your advantage. The service that I use to direct my stock investments can be found at this website: http://www.frogfinance.com/investing/investing_tools.php

This service has helped earn me thousands of dollars and has helped to change my life by helping me plan for my retirement as well as indulging in some luxuries now!

General Motors product chief and Vice Chairman Bob Lutz in a file photo. (Gregory Shamus/Reuters)Reuters - General Motors Corp's product chief and Vice Chairman Bob Lutz will retire at the end of the year, bringing to a close a legendary automotive career that spanned 46 years and included top jobs at all three Detroit automakers.

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Friday, February 6, 2009

Selecting the Best Day Trading Broker

Day trading brokers are essential to new traders. They do the transactions for you and even give suggestions as to which transactions to make, whether you should sell now or later. Your choice of broker is therefore crucial to your success. But other than this criterion, what other qualities must your broker have and how do you choose the best one in your trading company?

The first thing to consider is the cost. Some really good brokers can charge high rates for every transaction that he does. While this may give you more profit, still you may not earn much because a big chunk of the money goes to the broker. You should therefore be able to weigh the transaction costs and commissions that you will give your broker against the profit that you are supposed to have.

It is also important that you require financial stability from your broker. He must have enough capital or assets. This will lessen the probability of him running away with your money. More importantly, transfer of funds between the two of you must also be relatively quick and easy. See also if he accepts online payments.

He must likewise be reliable and with a proven track record in this field. To know this, you must do your own research. Ask the company for details on the broker's record, such as the number of clients that he had, how many of them lost their money and how many of them actually made profit. Or you can ask fellow traders as to which ones are good and which ones are not. You can also search his name in the net. It is possible that his name may have been mentioned in forums or message boards, so you will have more information on how he works or operates.

Of course, there are other services that he can provide, such as technical support and chart analysis. See also if he uses a trading platform that you are comfortable with.

With the many day trading brokers available, choose one who can provide you with the best service at the least cost. Remember your goal as you ventured into this kind of business, and that is to gain profit. If a big part of your gain goes to commissions, then it is time to look for other brokers who can provide you with the same service at a lower price.

Miodrag Trajkovic is an expert on information related to Day Trading, Day Trading Systems, Day Trading Strategies, Online Day Trading and Day Trading Websites. For more information visit his website http://daytrading.explore-me.com

Visitors walk past computer screens showing stock index at the Korea Stock Exchange in Seoul. Asian and European stock markets have risen as investors shrugged off gloomy company results to concentrate on overnight Wall Street gains and a huge US economic stimulus plan.(AFP/Jung Yeon-Je)AFP - Asian and European stock markets rose Friday as investors shrugged off gloomy company results to concentrate on overnight Wall Street gains and a huge US economic stimulus plan, traders said.

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Thursday, February 5, 2009

How I Became a Forex Trading Professional

All my friends ask me, "hey how do you always have so much money". I always respond with "I do forex trading from home", which they look at me with such confusion. If you are reading this you probably know what forex trading is already if not, I will quickly go over it.

Forex trading is the stock market for currency. You trade each countries currency the same way you would do it with stocks. Buy low value currency and sell it when it gets to a higher value. When you do this you make an easy profit, and in my case a lot of money.

Now you probably wonder how I became a forex trading professional and the secret is simple. If you want to be the best, at some point you need to learn from the best. You cannot get anywhere in life if you don't challenge yourself or try to get better. It was no different for me when I first started trading forex.

I was frustrated with my slow progress and losing money so I had to look for another way to succeed. I joined a website that was run by forex trading professionals who were looking to teach others how to succeed. Well I felt this was the perfect opportunity so I paid the membership fee and started learning from day 1.

Within a matter of weeks I was making my first profits and had already made enough to cover the costs of my membership. From that point on I kept learning more and more and what would you know - I made more and more money!

So even though my story was short remember this, "if you want to be the best, learn from the best!"

Like I said before, I am now a forex trading professional because I learned from the best.

Want to be like me? Click here and learn from forex trading professionals!

Craig Berry, who has been unemployed for 10 months, signs up for temporary work at a Manpower temporary agency in Chicago, February 5, 2009. (John Gress/Reuters)Reuters - The number of U.S. workers filing new claims for jobless benefits hit a 26-year high last week and factory orders plummeted in December, data showed on Thursday, illustrating an economy mired deep in recession.

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Monday, February 2, 2009

5 Tips on UK Forex Trading Success!

Or Should I Say: 5 Tips on what you MUST NOT DO if you want Success Trading the UK Forex market.

Lets begin with the 5 MOST common errors!

1. Do Not Trade With Cash You Cannot Spare: Being reckless with money you can't afford to lose is plain dumb. When panic sets in, recklessness takes over and inevitably, losing money you don't have will cause more panic.

2. Do Not Follow The Mantra Of Buying Low To Sell Higher To Get Pips: This purports that you have to predict where the lows and highs will form. Realistic in the equity market for sure but in the UK Forex Market: Again, plain dumb.

3. Never Rely On Guess Work: Because the UK Forex Markets simply unpredictable, your guess work will swallow all your assets up and inevitably end your fledgling Forex career.

4. Avoid the Day Trading Market At Your Peril: With complex, unpredictable influences you might as well stick your head in the sand. Stay well clear.

5. Never Go It Alone: ALWAYS Have Help From THE HIGHER ONE: In order for every novice trader to gain experience you need to start of trading with PLAY MONEY. That's right, you need software which lets you play the Forex game for Free.

Get a practice account, set up your Stop losses and Take Profit margins, and get your feet wet. You can also get Forex Autopilot software which once you've tried, tested and retested on your Demo Account, the automated robot will set your SL TP margins and will then lock in the profit and revert to a trailing stop for maximum gains.

You can put this system to the test on a Demo account. You can do that here at http://www.forextracertrading.com which allows you to trade with play money, so you won't be risking a penny. After you've tried, tested and retested, you can then open your real account and collect $100 and start trading on Autopilot immediately. STAY FOCUSSED and YOU WILL SUCCEED.

Reuters - General Motors Corp and Chrysler LLC on Monday began offering a new round of retirement incentives including vouchers for cars as the automakers move to reduce workers and inventory.

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Wednesday, January 28, 2009

Forex Trading Information And Tips

I'm going to share with you some of my forex trading information and tips. This is a great market to expand on a second income. With the economy in a downturn, lack of jobs and the expensive price tag on gas, it makes sense to work from home trading forex.

What is margin trading and how does it benefit me?

This is an interest concept of forex trading. One which makes it exciting for small traders that don't have a lot of money. A typical broker account will allow you to deposit your money and you trade that money. This is different. You put a deposit on your account and your broker allows you to trade anywhere from 10 up to 100 times more than your original deposit. It's not free money though.

If you deposit $100, you could trade up to $10,000. Now you have the capability of really making some money because you have more money to leverage. This also makes the broker more money because you're making more money. That's the positive side of this. The negative side is losses. The broker won't let you lose their money. If your losses get anywhere close to the original deposit, they'll cut you off. The best way to avoid this is to not trade all the money. Instead of using all $10,000 use $1-2k. That's a lot more money than you deposited, but it also protects you from losing your original $100 very fast.

What is the best trading software on the market?

I recommend Forex Killer. It has all the makings of an employee rolled into a software package. We've all experienced being in a trade and having to leave the computer for a significant amount of time. During this time anything could happen: you could miss out on an opportunity to make a good profit or lose out on a lot of money. Forex Killer will automate the trading process, so it will act in the most profitable way while you're gone. It may not have to even do a trade, but it will be watching to make sure the most profitable act is done.

The automated software of Forex Killer will give you an immediate edge in the market. Make trades that work for your profit line. For more information on the Forex Killer software, check out Forex Charting Software.

The Federal Reserve on Wednesday said it is prepared to buy long-term government debt if that would help improve conditions in financial markets and signaled some concern that deflation risks were rising. (Graphics/Reuters)Reuters - The Federal Reserve on Wednesday inched closer to buying U.S. government bonds in a new front in its fight against the credit crisis and signaled unease over the risk of deflation with the economy weakening.

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Friday, January 23, 2009

Marcus Leary's Forex Auto Pilot - Scam Or Does It Work

Forex Auto Pilot created by Marcus Leary is one of the most renowned and popular forex trading softwares on the market today. It has been used by thousands of people who wished to become better forex traders. But is the forex auto pilot a scam or does it really work?

As with any other software or product on the market, this software doesn't have a 100% success rate. But forex autopilot isn't a scam. It has worked for many people who have taken their trading skills and income to another level. And it will likely work for you as well, if you treat it the way it's supposed to be treated: a software which can help you make better decisions, not some magical artifact which will instantaneously give you a million dollars.

What I mean by that is that there 2 mistakes you can make with Forex Autopilot which may hinder your income with it:

  1. Use it without knowing how - Forex autopilot is a tool you can use, but you need to know how. The software comes with detailed instructions. Make sure to study them. Even if this means you'll start using it a week later than you wish, it's worth the time.
  2. Don't fail to get a regular forex education. This software can work for you even if you have little or no prior experience, but if you do become more informed about the market and how it works, you will have a much better chance of making more money with ForexAutopilot.

Marcus Leary didn't create a scam software and it's easy to see this since his software comes with a money back guarantee. So make the most of this software and make sure to give some of the money you'll earn with it back to the community. That way you'll make something good with the money for a lot more people and still have enough to enjoy yourself.

To read more about this software, click here: Forex Autopilot Review. John Drummond works from home. He writes often on business, trading, and finances. There is more than one forex trading software. To read John Drummond's review of the 2 best ones, click here: Automatic Forex Trading Software.

The headquarters of mortgage lender Freddie Mac is seen in Mclean, Virginia, near Washington, September 8, 2008. (Jason Reed/Reuters)Reuters - Freddie Mac , the second-largest provider of funding for U.S. home loans, on Friday said expected fourth-quarter losses may force it to draw up to $35 billion from the U.S. Treasury to maintain a positive net worth.

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Friday, January 16, 2009

Day Trading Strategies

Day Trading Styles
There are a number of day trading styles that make money in the market. This article provides an overview of multiple day trading strategies that professionals use to make money on a consistent basis. This article will contain the pros and cons of the following day trading styles: (1) breakouts, (2) scalp trading, (3) counters, and (4) trend following.

Day Trading Breakouts Overview
Breakouts is the most common form of day trading styles. It involves identifying the pivot points for a stock and then buying or selling short those pivots in hopes of reaping quick rewards as the stock exceeds a new price level. Breakouts is generally the starting place for newbie traders as it provides a clear entry level and it is a trend following system.

Pros of Breakout Trading
Breakout trading has the potential for quick gains. When key price levels are exceeded it will trigger stop order which gives that initial burst. The key component of a valid breakout is that volume and price accompany the move. This will increase the odds of the trade continuing in the desired direction. Breakouts are also easy to identify. Most trading platforms provide methods for tracking volatile stocks and how close they are to their daily highs or lows.

Cons of Breakout Trading
Breakout trading is by far the most challenging form of day trading. For starters, the levels where trades are placed are the most obvious to everyone regardless of their trading style. Think about it, no matter what system you use on a daily basis, every day trading system factors in the highs and lows of the day. Secondly, the vast majority of intraday breakouts fail. This doesn't mean they don't head higher a day or two later, but if your day trading and there is no instant follow through, odds are you are in a losing trade. Day trading breakouts requires the most discipline as you have very little time to make the call as to whether you are wrong or right. The inability to pull the trigger fast and consistently will mount in to huge losses.

Scalp Trading Overview
Scalp trading is a day trading style where a trader looks to make small gains throughout the trading day. This day trading style suits people who love "action" in the market.

Pros of Scalp Trading
The obvious benefit of scalp trading is the fact you are looking for very little from the market. Another plus is that stop losses are very tight. This will allow the day trader to avoid the monthly "blunder" trade that we all have put on one time or another.

Cons of Scalp Trading
Scalp trading like any other form of trading requires discipline, but due to the large number of trades one will put on during the day, it requires an enormous amount of focus. This "all day focus" can make the trading day a tense situation and can lead to high anxiety for the trader. Also, people go into the business of trading for unlimited earning potential and the idea that you do not have to slave away at a desk all day. Well if you plan on scalp trading, kep a bottle next to your desk, because bathroom breaks are considered a luxury.

Counter Trading Overview
Counter trading is when a trader looks for a pivot point, waits for that pivot point to be tested and trades in the opposite direction. This type of trader has a personality where he or she enjoys going against the grain.

Pros of Counter Trading
Counter trading has a high success rate for day trading. Ask any seasoned trader and they will tell you that intraday trading is nothing more than constant head fakes and lies. So, the counter trader is already up in the odds department, because they are going against what the market is telling them. Another plus for counter trading is that when the market fails it often fails hard. Day traders who are able to play morning reversals can make a great living only trading the first hour of the day.

Cons of Counter Trading
While counter trading has a high win percentage, the losers can bring destruction to an account. Even if you win on 4 counter trades, if you do not cut the loser fast, a breakout could run away from you in a hurry. Another downside to trading counter is the next pivot level is too far from your entry, so you will have to set some arbitrary stop limit. Since your stop is not based on an actual price point on the stock, it could get hit quite often. Lastly, setting your price target is also a challenge. Stocks will often appear to make a double top, only to change course just as fast and reclaim the recent highs.

Trend Following Overview
When most people think of trend following, the first thing that comes to mind is a long-term hold buy and hold strategy like the Turtle System. Believe it or not, there are day traders who utilize trend trading systems. The basic method is to look for stocks that are up big in the news and then buy the pullback on these stocks after the first reaction in the morning. Lastly, the trader will place a longer moving average (i.e. 20) and sell the stock if it breaks the line.

Pros of Trend Trading
Trend trading allows the trader to ride a stock for big gains. The day trader will have a limited number of stocks to trade per day, so the commissions are low for this kind of day trading style.

Cons of Trend Trading
If every trader was able to determine which stocks are going to trend all day, there would be a new millionaire created every 30 minutes. No one knows at 10 am, which stocks are going to trend all day long. This means that at best, a trend following day trader can hope to be right 20% of the time. While this trader could still make a killing with such a low win rate there are very few traders that can stick to their trading plan with such a low win rate.

Summary
Every trader is responsible for his or her success. Day trading can be a great money maker, but without a sound trading plan it can push you to your mental limits. The first step in becoming a successful day trader, you have to determine which style of trading best suits your personality.

Al Hill is the co-founder of mysmp.com (My Stock Market Power) which provides education on all topics finance; including stocks, bonds, options, futures, forex, technical analysis, and more! Please visit http://www.mysmp.com for more free financial educational content.

BusinessWeek Online - Mortgage giant Freddie Mac said on Jan. 15 that rates on 30-year fixed-rate mortgages fell below 5% this week -- the lowest level since it began surveying lenders in 1971.

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Sunday, January 11, 2009

Volume Rate of Change

Volume Rate of Change Definition

The volume rate of change (ROC) is a technical indicator used to gauge the volatility in a security's volume. The volume rate of change is a powerful indicator when estimating a security's ability to push through key resistance. The volume ROC is calculated the exact same way as the rate of change indicator except instead of tracking the closing price it tracks volume.

Volume Rate of Change Formula

The volume ROC is calculated by dividing the volume over the last "x" periods by the volume over the last "x" periods ago. If the volume from today is lower than "x" periods ago, then the volume ROC is trending lower. Below is the formula for the volume ROC:

Volume ROC = ((Volume - Volume n-periods ago )/ Volume n-periods ago) *100

Interpreting the Volume ROC

The volume rate of change indicator is subjective like many other technical indicators. The first question you have to ask yourself is how many periods should feed the input for the indicator. The shorter the periods, the greater price fluctuations will occur for the volume ROC indicator. Assuming you have selected the correct input value for the timeframe you are trading on, you want to see the volume ROC pick up significantly as it breaks through resistance. This is a sign that you are correct in your long position and the trend should remain intact for the near term. Traders can also use the Volume ROC to identify when there is a false breakout and use this as an opportunity to take a counter position.

Al Hill is the co-founder of mysmp.com (My Stock Market Power) which provides education on all topics finance; including stocks, bonds, options, futures, forex, technical analysis, and more! Please visit http://www.mysmp.com for more free financial educational content.

Dieter Zetsche, Chairman of the Board of Management of Daimler AG and head of Mercedes Benz, speaks before introducing the new MY2010 E-Class car during the North American International Auto Show in Detroit, Michigan, January 10, 2009. (Mark Blinch/Reuters)Reuters - Daimler (DAIGn.DE) Chief Executive Dieter Zetsche on Saturday said he would not jeopardize the automaker's long-term success by cutting spending on product planning and research and vowed to roll out at least one new hybrid vehicle per year.

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Friday, January 9, 2009

A Winning Forex Trading Strategy

There are two camps that most Forex traders tend to belong to: Fundamental analysis and technical analysis. What Forex trading strategy you choose largely depends on where you line up in the two camps. For currency traders that rely on the fundamentals to make their plays, there are a series of good and reliable strategies that can be employed. However, I want to concentrate on the other camp. We will look at a winning Forex strategy that is based in solid technical analysis.

First, start off your day by checking out the Relative Strength Indicator (RSI) on each currency. What you are looking to determine is whether or not a currency is oversold. If it is then we have our ears up and look to possibly confirm this as a potential move in the long direction. However, if it is overbought then we are looking to possibly short the currency but this is just preliminary. Remember, just because a currency is oversold or overbought does not mean very much, it simply tells us there is potential to move in a certain direction.

Second, we look at the 200 day moving average as this is also a helpful indicator as to whether a currency is about to move in a certain direction. This is my favorite technical indicator because it is what the "Big Money" moves on so often.

Lastly, we look to see what our trading signals are telling us. If it all lines up then you have yourself a winning Forex strategy. If you do not currently have a good, reliable Forex software program that provides reliable trading signals then I have provided a review of the three leading software programs at the bottom of the page, I am sure it will help.

Good trading ahead.

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German Finance Minister Peer Steinbrueck, seen here in November 2008, is mulling a cut in the base income tax rate to 12 percent from 15 percent to help pull Europe's biggest economy out of a deep recession, a spokesman said Friday.(AFP/DDP/File/Clemens Bilan)AFP - German Finance Minister Peer Steinbrueck is mulling a cut in the base income tax rate to 12 percent from 15 percent to help pull Europe's biggest economy out of a deep recession, a spokesman said Friday.

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Thursday, January 8, 2009

Know More About Day Trading

Do we really understand the meaning of trading? Many of us don't know and that's the reason why people have depicted stock market as a place, which is more vulnerable for investing. If you talk about day trading, you get the same response from most of the people. Such type of trading is often compared as gambling - where you cannot predict what will happen at the end of the game.

Day trading as the name signifies is a process where buying and selling of stocks is done in the same day before the market closes. Mostly, experienced traders who better understand the market moods do such type of trading. Though it's not a hard and fast rule, but traders need to have a comprehensive knowledge of the stock market. Once you understand the market, you can go for such type of trading.

Internet has made things much easier now -- anyone can enter into the world of trading. Online trading facility today has brought a new vista for traders and anyone can invest and manage funds from any corner of the world. Moreover, online brokers and stock trading companies have further made things easier for stock trading. Open an account today, invest and manage funds from anywhere you like.

However, choosing an online trading company is also one of the major steps and needs a lot of market research. Since all kinds of information are available on the Internet, finding a good company is not that much difficult. Compare some of the major industries - compare their services and choose the one as per your requirement. The company with excellent previous records should be given prime importance. On the other hand, your broker also acts as a key role in your successful trading. Choose the stock broker, who could manage your funds and charge a low commission rate for each transaction.

Everyone knows that trading in stocks is associated with some kind of risks, but one can avoid those subtle risks through a proper research work, and through a comprehensive market analysis. You can follow some important points that are mentioned below:

Trade intelligently: This is the first and foremost point to become a successful trader. You should know when to buy and sell stocks to gain maximum profit. Target those company shares where you can expect growth. Buy and sell stocks on time -- in case the share prices fall suddenly, it is always better to sell shares unless a boom is expected.

Invest in the right direction: Once you start investing, your aim would be to gain maximum profits. However, don't invest all your profits you make from the market. It is always better to invest a proportion of profits and move accordingly. This will help you in maintaining a balance between your principal investment funds and the profits.

Keep you abreast of the market news: Since, day trading is a process of buying and selling of stocks in the same day, therefore, it is important for you to keep in touch with the latest market updates. You can access all such information from the trading Website. Keep an eye on daily stock quotes and trade accordingly.

IF you follow the points above, you are bound to get profits. So, what are you waiting for, start planning and invest your hard earned money. Your present investment plan will definitely help you reap benefits in future. But, follow every steps with care and learn the fundamentals. Once you understand the market, you will always be a successful trader.

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People taking the Long Island Foreclosure Tour arrive at a foreclosed home for sale in New Hyde Park, New York in this May 17, 2008 file photo. Citigroup could soon agree to principles that would let troubled borrowers save their homes through bankruptcy, sources familiar with the talks said on Thursday, while industry groups are easing their opposition to the plan. (Shannon Stapleton/Reuters)Reuters - Financial giant Citigroup Inc will support a proposal in Congress to rewrite U.S. bankruptcy law to help troubled mortgage borrowers avoid foreclosure, Chief Executive Vikram Pandit said on Thursday.

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