Archive for the ‘Forex Articles’ Category

EUR/USD Currency Pair

January 12th, 2019 Comments off

EUR/USD is the most liquid and the most popular currency pair among the forex traders. Trading currencies can be exciting and lucrative. Its a great market because of the way politics affect the trends. Elections, strikes, and sudden developments, both good and bad, can lead to significant trading profits if you stand ready to trade the euro is a convenient currency because it encompasses the policies and the economic activity and political environment of a volatile but predictable part of the world: Europe. EUR/USD is the most heavily traded currency pair in the global currency markets at the moment.

In the United States, where the free-market approach and a usually vigilant Federal Reserve make more frequent adjustments on interest rates. France, Italy, and Germany, the largest members of the European Union (EU), normally operate under high budget deficits and tend to keep their interest rates more stable.

Fed changes its interest rates frequently keeping in view its inflation and unemployment targets. The general tendency of the Fed is to make the dollar trend for very long periods of time in one general direction. Here are some general tendencies of the EUR/USD currency pair on which you need to keep tabs aside from the technical analysis:

1) Given Germanys history of hyperinflation in the first half of the 20th century and the repercussions of that period, namely the rise of Hitler, the European Central Bank (ECB) is almost fanatical about inflation. That means that the European Central Bank raises interest rates more easily than it lowers them.

– The European Central Banks actions become important when all other factors are equal, meaning politics are equally stable or unstable in the United States and Europe, and the two economies are growing. For example, if the U.S. economy is slowing down, money slowly starts to drift away from the dollar. In the past that meant money would move toward the Japanese yen; however, because the market knows that Japans central bank will sell yen, the default currency when the dollar weakens is often now the euro.

– The flip side is that the market often sells the euro during political problems in the region, especially when the European economy is slowing and the economy in the United Kingdom (UK), which often moves along with the U.S. economy, is showing signs of strength.

As a word of caution, its okay to form an opinion and have some expectations, but the final and only truth that should make you trade is what the charts are showing you. As usual, you want to closely monitor major currencies and the cross rates. The direction that counts is the one in which the market is heading.

It is always best to choose only two or three currency pairs and become a specialist in them. Two currency pairs that I would recommend for you are the EUR/USD and the GBP/USD. Both these currency pairs are highly liquid and very popular among the currency traders. Fundamental analysis can help you determine the strong/weak currency pair. Use fundamental analysis to determine if USD is expected to lose value and EUR is expected to gain more strength that means that the currency pair EUR/USD is perfectly timed for swing trading. Use technical analysis to make the entry and exit decision. Combining fundamental analysis with the technical analysis can give you the edge as a forex trader. Sometimes there is a fundamental shift in the direction of a currency pair. As long as you are not following a currency pair like EUR/USD on the daily basis, you wont be able to understand what is happening.

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Know The Facts About After Hour Trading

December 20th, 2018 Comments off

Online trading provides us the option of after hour trading. This enables us to buy and sell shares after the market closes at our own convenience. So you can look at the market trends of the day, see the performance of the market in different parts of the world and at night make a more informed decision away from work and personal stress.

The market generally closes at around 4: pm EST. But when trading after hours certain things should be kept in mind such as the opening and the closing price of the stock. Because in actual reality through the market closes for public at around 4:OO PM, it never closes in operations because there are other world markets that are affective and there are political and other events taking place in different parts of the world when Americans go to sleep.

The different events taking place around the world has the impact on the American market. You may buy a share for $2 but when the market opens in the early morning its price may have changed.

There is a way to keep a price range within which your after hour orders should be executed. If the price of a certain stock goes beyond your range then your order would be cancelled. This can be done through limit ordering.

Another meaning of after hour trading is some small exchanges with stretched hours. They are open than the normal 4:00 Pm exchanging timing to allow investors take benefit of extended hour trading.

But these small exchanges may be more risky than the normal exchange market with greater price change and volatility. They are for specialized traders who know the in and out of the market. They are complex and not easy to understand for normal investors. So if you?re a newbie then either stay a way from these or learn all you can before attempting this kind of trading.

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Things To Keep In Mind While Investing Online

December 16th, 2018 Comments off

There are certain things every investor should keep in while investing online. They are as below:

If you are new to online investing it is important that you start in small steps, it is advisable not to put the entire life saving in the single online account. Start investing the small amount of money, which can be easily handled.

Do not keep all the apples in the one basket. Most of the investors after getting online invest in shares. It is recommended not to invest all your money on one type of security. Understand your goals and then invest in different types of securities.

Keep a track of your online buying and selling since it would add up to your online brokerage costs at the end of the month.

Learn to use various tools online to cut off your losses. Make use of tools such as heat maps to keep an eye on different stocks. Learn about stock comparison tools.

If you get to online do not expect that there would be no problems or issues at all, while dealing with technology, there would be problems, and you should keep yourself prepared for that. Expect different types of problems such as server could crash down, your computer or internet may not work, some other issues. Learn about alternative means to trade so that you are not stuck in case of technology failure.

While investing online information and research is extremely important. Try and be well informed as possible about the market and its conditions. Do not believe the rumors about the favorite stock and invest in them, learn about them from various sources, get your facts and figures correct and then make a decision to invest in them. Your money is worth all the effort.

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Forex Trading With Forex Phantom

December 15th, 2018 Comments off

Many people use the internet to make money with online businesses. If you know how, the internet can deliver cash right to your doorstep. What kind of online business can ensure you will earn some cash? One way is by becoming a Forex trader.

Although Forex trading has been around for a few years now, it has to be considered one of the new ways to generate income from the internet. In the past, the Forex market was closed only to multinational corporations and banks. They were the only ones allowed to trade in this vast and very liquid market.

In Forex, currency is traded against one another. In order to become successful in Forex, one must know when to trade specific kinds of currencies and which currency they should trade it against with. Thanks to the internet, the Forex market is now open to everyone who has access to the internet.

You too can now become a Forex trader even if you don’t have a million dollars to spare. In fact, with just a hundred dollars, you can start trading currency in this very large market.

Hundreds of billions of dollars are exchanged in a single trading day. The great thing about the Forex market is that it is almost always open. This means that you will be able to trade anytime of the day and anytime you want.

If you know how to trade in Forex with this kind of market, you will definitely be able to make some cash and a lot of it. All you need is a computer or a laptop with an active internet connection. So, just how do you get started trading in the Forex market?

I can truly recommend a system that was developed by a team of seasoned trading experts. The Forex Phantom is an automated trading robot that automatically buys and sells for you. It will help you create proven profits even if you know absolutely nothing about Forex trading.

The phantom is not like most systems because it is designed to autopilot and help newbies and experienced traders as well. Created with the current financial and economic markets in mind so it has an advantage over any other software available today. The Forex Phantom is the most advanced trading analysis system on the market.

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Forex Trade

November 12th, 2018 Comments off

Forex Trade is the trading of the world’s countries currencies that are paired against each other. This market is commonly termed as Forex, FX or Foreign Exchange. An example of this might be between the paired currency of the United States and of the European Union, or otherwise the dollar and the euro (USD/EURO). The currency pair will appear on the forex quote at the top-left side, and the left currency is the quote currency, while the currency on the right side is the base currency.

A Forex broker usually facilitates forex trading in behalf of a client/trader, with the corresponding currency pair of his choice. The forex broker passes the clients orders to the Interbank Market partner, whether to buy, sell or stay and credits any losses or gains to the account. This can be done in a matter of few seconds with just a click of the mouse, thanks to the Internet and computers.

The advantage forex trade has over other investment markets is that it is not being controlled by a central trading system or entity, and that it happens in one continuous movement all over the world. Operating in a 24 hour period, it opens on a Sunday evening in Australia and closes on Friday in New York.

Any trader will be provided with various price quotations for the currency pair he is currently trading in since forex trade operates in all the major countries of the world, as also give him many options to choose from in order to come up with the most profitable deals, as well as receive vital information and technical datas vital to trading the market. The description given to this inherent characteristic is known as an Over the Counter (OTC) market trading system.

If you compare Forex trade with other investment markets such as futures or stock trading, it is more liquid yet volatile. With this set up, forex trade offers its market players the chance to make transfers of larger amounts of money with little effect on its price. With such freedom, traders can choose to trade with whatever currency they choose to, if the opportunity to gain profits from it presents

With this in mind, forex traders are not limited with specific rules to follow – as long as no laws are broken, and can base any of their trade decisions on the market’s speculator’s, the current trade conditions of major and leading economic countries and the behavior of major commodities.

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