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Binary options strategy

A binary options strategy for beginners

Each of the various binary options strategies can be found on https://www.profinances.fr/. The truth however is: only the very least work and many can cause more problems even in the long term than they are good. A sustainable and successful binary options strategy is not easy. Discipline, perseverance and a solid basic knowledge are the key to this. There are a few binary options strategies, which have now established themselves in the field of binary options, and which are popular both professional traders and beginners.

Although there are several binary options strategies, the strategies combines some similarities. For example, one such similarity is what a trading strategy is all in all. In the field of binary options, the strategies are based primarily on past experiences that have been made with the price development of the underlying. Also the past actions of the trader plays an important role for the development and use of strategies that apply of course to the future. Technically based binary options strategies to a large extent on trading signals. Most of the time a strategy consists of various trading signals. While each binary options focus strategy on a specific behavior of the market, so that the trader can choose quite, what strategy fits most closely to his goals and ideas.

With the right strategy successfully trade binary options

One of the first tips that give expert beginners with on the way, want to learn a binary options strategy: put money that you don’t really miss in case of loss. And invest not immediately high sums. Numerous binary options brokers allow traders even small investments with stakes from about 25 euros.

 

Editor’s Note: the broker profinances.fr/avis/anyoption/ allows you to trade binary options 25 euros and also offers a free elite Tradingpaket.

Ends an option with a such a small sum of money, the loss is bearable, for this one but has learned anything without paying learned the hard way. Solid binary options tips explain also the respective strategies. The easiest there is the trend following strategy. This is recommended for longer-lasting price moves in one direction. Of course also experienced and seasoned traders can use strategy this binary options as a base, especially if they are more conservative. The Volatilitätsstrategie is used in very troubled markets with high price movements and often has the latest news of the company as a basis. Here, the price movement changes in a matter of seconds.

With the right strategy successfully trade binary options

 

There are different strategies to choose from, and each trader for themselves need to find out he wants to track what binary options strategy in detail. There are three strategies used by many traders with success so far, namely these:

The trend following binary strategy

The hedging options strategy

Not just the strategies are important in the segment binary options, especially for newbies also binary options tips can be very helpful. A good binary options strategy is in a sense always the basis for it to trade successfully with these special options. Also various binary options can help tips and tricks to trade routinely and successfully in the course of time. Therefore, we have put together some binary options tips here.

A good binary options strategy profinances.fr/strategie-option-binaire/ for online trading is the be-all and end-all

A good binary options strategy and first tips from professionals are a good basis for a successful start as a trader after opening a merchant account. As the financial instruments are too diverse, as being one to overlook all the important details able as a beginner without any binary options tips. Trading without background knowledge? Thus, you risk first and foremost to recognize not the breadth of services and possibilities of binary trade has to offer. And that would mean finally interesting features to forego that enable optimal alignment of the own trading strategy may be in individual cases. The binary options shows step by step instructions, what matters, to make money in this exciting and easy-to-learn, but also risky derivatives trading. Requires a little patience in the implementation of the theories in later trading on the real money account. This patience can pay off but then above-average. Extensive training of the broker enables

 



How to trade binary options?

Binary options is the “establishment” or investment based on the movements of stock prices, currencies and even gold and silver within a specified time. A person selling/buying option selects whether the value of the shares or the currency will rise or fall, and the period in which it is to take place may be for a number of years, up to a few minutes. Recently, a very loud is a Web-based investments to trade on financesplus binary options like “everything or nothing”-for which you can receive the results within an hour.

Most of these options are winning or money or a percentage proportionate to our investment in the contract, with respect to the participation of other brokers in investment in a specific currency or an action. In the case of the “all or nothing”, if the market will not move according to our expectations, we will lose all money invested in the action or currency. However, in the case of certain options, you can receive a refund of part of the money (for example: If an action or currency has an assessment on the level of 46, then by investing $ 10 per percentage point, we can win $ 540, or lose $ 460).

Binary option 3

Monetization strategies Binary options

If you have experience in securities trading at the stock exchange, we have some inkling as to which way it will change the course of the stock or currency-based on data from the past. In the case of binary options is even simpler, due to the fact that we do not provide the high or low level rises or falls, the value of the investment asset within a specified time. If you have experience with certain companies and we know what they think investors during working hours-then digital options become an easy form of investing methode de trading les options binaire.

We can also analyze the stocks of these companies over the years and watch when the usual increases or decreases their value. We have a chance to make money when the price rises or decreases, depending on which option you choose – whether we will buy or sell. However, if any of us really has a lot of experience gained in the stock market, then you know that there is no such thing as “safe”, you just can’t be wrong in 100% of cases.

Returns with trading online

Observation of world events and messages may give some indication of what will happen with some stocks or currencies in relative future. Although you can get the impression that we earn on the adverse news, when we invest in an option put binary options strategy used for the currency of the country that has experienced a big shock, but it is nothing other than a good deal. The tragedy of one man in this world can become a dream for some of the investor, through which it can make a huge profit.

Investing in binary options and forex is possible with the best cfd broker etoro 2016 .  you should always make sure that you do not invest more money than we can afford to lose. Good investor knows when to stop, because he knows that always happens to be another good day.

 



Talking about FOREX

Talking about FOREX

Brief introduction to the FOREX (foreign exchange market)

Suppose that you’re relatively new to FOREX currency trading, or even are part of the Grand Army of novice in trading as all it were in his day. Perhaps you are experiencing with your first demo account, you have some experience in other mercados-acciones, futures, or options. In this article we will provide a brief overview of FOREX. Our goal is not to make an extensive treatise on the FOREX. To get to learn a little about the environment of the Forex market and its operation just read some books specialized in trading, simply buy any of the hundreds of books of trading that walk the market where it’s more professionalism or Retail Forex.

To get to learn a little about the environment of the Forex market and its operation just read some books specialized in trading, simply buy any of the hundreds of books of trading that walk the market where it’s more professionalism or Retail Forex.

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Information in this article is intended to be a brief introduction of essential elementsof currency trading and the mechanics associated with this process with what you don’t expect a great treatise on the macro economy and its influence on the price ofthe currencies in the world. For those brave men who wish to take their first step asForex traders, we strongly recommend that once the theoretical concepts of the currency trading have assimilated, go to practice on a demo trading account is the bestway and quickest to learn your way around FOREX. If you have not done so yet, we recommend opening a demo account, offering us any broker today access time real in the markets. The important thing is to develop a learning plan to subsequently move to a trading plan. Without at least one basic trading plan, we will be doomed from the outset and, consequently hate the Forex market… Financial leverage in the foreign exchange market is also very important, and a small faux pas can be fatal in the beginning.

Talking about FOREX

In this article we will explain in the simplest way possible, that is, and what the FOREX, with the following essential questions:

  • Whatis the Forex? How Forex works
  • Howto operate it?
  • Whatdo you have to demand that a Forex broker?
  • Recommendedbrokers working the invention of Forex?
  • Is itprofitable?

What is the Forex?

The Forex is the most liquid market worldwide, generating almost $ 2 trillion in volume a day. It is a market that is open 24 hours a day, use “pips”, there are no commissions in the purchase/sales contracts, and margins are very tight, no doubt very attractive for traders, but obviously this market very complicated is that it requires enough knowledge and experience. Most operated currencies within the world of a Forexof the attractions of this market, also minimum dwell time does not exist, one can be removed at any time. Countries with currencies more popularly marketed are: United States Union European Switzerland Great Britain Japan Canada Australia New Zealand markets the Forex market giant, commonly known as “FOREX” or market “FX”,is the largest financial market in the world. As we mentioned, it has a high volume of negotiation where compared to the stock market, these lag quite a representationof approximately $50 million. Then, what is the market exchange rate? It is simply the buying and selling of currency pairs at a market open process. The Forex market istraded mainly through the interbank market of 24-hour Forex market, which is themain foreign exchange trading market. Liquidity in its purest form until years ago Forex was a market limited to central banks, investment funds and big corporations. In the mid-90s, and since its opening to private clients, their strong advantages as the24-hour schedule, the absence of systemic risk, leverage, liquidity in the stops guarantee or leverage have made Forex financial market of greater projection of the 21stcentury, with a few daily trading volumes of around 3 trillion dollars.

How FOREX works

The Forex market allows you to buy and sell currency for profits with the differencesbetween the exchange rates. This is done by properly regulated broker to operate inthis market. At the interbank level, one always thinks in terms of the price of the base currency. For example, if you buy EUR/USD are buying euros and selling dollars. Is the equivalence relation with the dollars that cost to buy those euros. For example: the EUR/USD pair: 1.45 means that every euro that is purchased to pay the 1.45 dollars. Or what is the same, to buy a euro need to 1.45 dollars. How they traded currencies in Forex? Currencies are traded in pairs, for example: EUR/USD (euro dollar), USD/JPY (dollar against the yen), GPB/USD (pound against the dollar), USD/CHF (dollaragainst the Swiss franc). The first currency is called “base” while the second is knownas his “counterpart”. The famous “pip” “pips” or commonly “Pipo” Forex pip (acronym for “percentage in point”) is a unit of measurement for forex quotes. For much ofthe currency 1 pip is equivalent to a unit of the 4th decimal (0.0001). In the case of the Japanese yen, 1 pip equals a unit of the 2nd decimal (0.01) it is important not toconfuse 1 pip minimum quote unit, what is known as “minimum tick”. For example in the broker Interdin, they quoted many pairs of currencies to 5 decimal places, being the minimum tick 0.00001, and however the quote and the spread of that pair are still referencing in pips. A good example is the EURUSD, that Interdin quotes to 5decimal places and where the average spread is usually 0.2 pips.

How is the FOREX operates?

Now that we’ve talked about some of the intricacies of how it is structured the Forex and the magnitude of this type of market, we will have to learn how it operates inthe foreign exchange market. Technical or fundamental analysis… and you of whichyou make in forex trading? Technical or fundamental? Both types of analysis are important when investing in Forex and build a model of investment, but it is true thata market of such dimension and negotiated cash are multiple the fundamentals thatunderlie a cross behind. This last makes especially complex valuation crossing and with much greater weight in operational short term. How many times in a week, different news we have been able to catch with step changed in terms of the strength orweakness of a currency, either fundamental weight we had associated has not finished moving to the price action. Technical analysis is optimal to identify trends, anticipate the action of the price or deduct the emergence of strong volume. Studies from the academic community – Aswath Damodaram, “Investment Philosophies and the Greatest investors who made them work – are running the following in relation to technical analysis and Forex:-moving averages in the foreign exchange market had generated excess return on the indices.” -The application of technical analysis in theForex market works better than in any other market and certain patterns of prices asthe hombro-cabeza – shoulder had generated excess profitability from 1973-1994 incurrencies such as the pound sterling, Canadian dollar and the Swiss franc. -The implementation of certain technical filters for sale, taking advantage of “momentum” orprice momentum generated returns consistent in Sterling, yen and Deutschemark between 1973-1981

Rollover on Forex… would Roll what?

The rollover is the amount that a customer has to receive or pay to maintain an open position in the Forex market, after 23:00 Spanish time. The calculation of rollover is related to the interest rates in each currency, and often usually behave in the following way:-If the purchased currency interest rate is higher than the selling will reward a positive rollover. -If the purchased currency interest rate is lower than the sold is paid a rollover negative. How can you get the party of rollover? Quality brokers givefull transparency to the amount of the rollover, publishing in real time, and within the negotiation of currencies ticker, the amount of the same. In this way, you can incorporate into your rational trading amount to receive or pay for the position you aregoing to keep open at the end of the session.

Best time to trade FOREX

Theoretically there is no a better slot in the Forex market, since each trader can adapt its operational in different crosses within a market that operates 24 hours and during Asian, European or American. That said, most of the “majors” or important crossings involve the euro or the dollar, and therefore at 8.00 (opening of European session) and 14.00 (opening of the American sitting) price is usually to start position being moments with a high trading volume. “” Liquidity and activity are provided with its peak from 14.00 hrs and up to 18.00 hs, time zone where both sessions, European and American overlap.

By pulling the lever. Leverage in FOREX, a double-edged weapon

Automated systems can operate up to 20 currency pairs at a time. You can use various leverages: 2:1 10:1 20:1 50:1 100:1 1000:1 depending on the broker and the typeof account will be allowed certain types of leverage in our account, but this is another factor to manage the risk.

What do you have to demand that a Forex broker?

Be regulated the first search criterion, is to find a broker that is regulated. Regulatedbrokers are obliged to keep transparent the transactions in which they are involvedas intermediaries. These transactions must be documented and submitted to the relevant authorities. If the runner does not follow these rules is or she can be fined andor have your membership ends. While brokers badge can be located anywhere in the world, the majority of countries have some kind of regulation standards requiredof members. In the United States, for the example, Forex brokers are regulated by the National Association of futures (NFA) and the Commodity Futures Trading Commission (CFTC). Swissbased brokers are regulated by the FDF, the Swiss Federal Department of finance. In the United Kingdom currency brokers are regulated by the financial services authority. the good Forex broker no longer hide from those who are regulated. You can require a few mouse clicks to get to the information, but it is important to look for him. It is the first protection for the investing public of the brokers trade fraudulent or abusive practices.

Recommend me what Forex broker?

Currency traders have more options that never when their contracts or orders are running at higher speed, price efficiency and good reliability when it comes to launching operations, is very important and increasingly these factors will have improved. Firstly, any trader seeking to open an account with a FOREX broker, part of deeply know the market and its mechanisms (i.e. not having enough experience in trading), must find a broker of currency with expertise on the market that goes to trading. It should do a little research and compare the different options we have on the subject.After this, your first question might be: “how fast will execute the command? Looking for brokers to: provide direct access to the largest part of real-time electronic markets have a good speed of execution “short delay” good commissions, spread or aswork internally. all of this should be put in a balance and we will be discarding one.As we have said, we must also pay special attention in the brokerage of currencies, you margins to operate and commissions. Finally we will have into account information in real time the pair negotiated price and its correspondence with the markets.We cannot allow the graphical platform for our broker to paint a thing, and in another graph to see the same pair but with 20 pips in difference.



Trading Forex. Creating a trading strategy

Trading Forex. Creating a trading strategy

A common mistake for those who are entering the world of Forex trading is to start trading without a strategy of trading which has been designed and thoroughly practiced in a demo of a broker account and having done hundreds of backtest.

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Because of the attractive features of this market in particular which is the foreign exchange or Forex market, the majority of novice traders, begin too anxious to be tested in their first steps as traders.

All this without not even having defined his trading strategy, or its goals, bringing precipitation to the end just playing them tricks especially in the first months of his adventure as traders or investors.

The factor of anxiety in the trading, is perhaps one of the larger defects that may have a stock exchange operator or a forex trader. This type of personality we could bejeopardized because they often believe that they can operate to winning right now,sometimes also believe that they can make a fortune in a short time, but soon get tired and end up taking the wrong approach that leads them to a path of repeated losses.

The first step to operate profitably in markets

The first step to operate profitably in markets, in particular in the case that we present Forex, is to create a strategy for trading or trading plan. The process of the creation of a trading strategy, is vital and is also quite easy, difficult course is take it out and keep being faithful to our own rules.

Processes when creating a trading strategy to proceed to the creation of a strategyof trading, traders, whatever your style of trading (scalping, day trading, swing trading) should always take into consideration the following: have things clear trading: before opening an operation there must be a good reason that we invite to take a predisposition buyer or seller. Very often traders etran market, opening operations out of simple boredom or to feel involved (because someone has said on Twitter or read it in a Social Trading network), but with these reasons going direct to the catastrophe. The reason to buy or sell in any market and Forex in general must be based on something, no matter if it is based on fundamental analysis or other techniques, the important thing is to have a reason, a conviction. Be very scrupulous in choosinga currency pair to do trading, may seem simple, but isn’t really. Traders who have some experience in foreign exchange, always suggest to concentrate on some currency pairs such as the Exchange euro dollar (EUR/USD) or change pound dollar (GBP/USD). Define the time frame that you want to operate within our trading strategy, especially to define when placing an operation and on that time frame we want to operate, which will consequently take our style of trading and the number of transactions to be carried out. Based on this type of temporalities us especializaremos in a particular style of trading, such as scalping, day trading or swing trading all of these styles of trading have their pros and cons. From above we have to establish if we are daytraders, or swing traders, or traders operating in long term. We will have in consideration based on the temporality that we use, the risks and the size of the position to be used, or even management position with its stop-loss, given that many times we can be with an operation open before or after important economic news. It is important to also define the objectives, the ultimate goal of a trading operation. What areour objectives where earnings are taken or stop losses?. It is important to always have these points clear, since we always run the risk of a change in the trend in the markets, an increase in volatility for any reason etc… We are exposed to a completely changing conditions on the market. Most of the traders tend to close the transactionquickly, in the event of profits, while allowing to leave the operation open in case ofloss and this is a very common mistake in novice traders who lack experience. By placing a stop loss at the beginning of the operation will be easier to have a referencepoint, and will allow you to have more discipline and fulfill your own trading strategy. In addition, many beginners tend to have very unrealistic objectives. We have high yields during the first year making investment or trading, but it is not easy to achieve year after year. With these unrealistic expectations, many investors withdraw, even until they had time to learn the behavior of the market. The management of themoney or money management, is the most important aspect of trading. First you have to accept the fact that no one can make 100% positive operations, and that around the world, even experts can make mistakes. The key point is to accept being wrong, before the errors affect your money. To specify the amount to invest, since whatyou’re willing to risk in every trading operation. We hope that with these small tips you can establish a good trading strategy.



How to check the currency exchange?

How to check the currency exchange?

Currency exchange can be change dollar euro, is perhaps one of the headaches more pursuing managers of investment portfolios when designing their portfolios of shares. Do base currency used in my investments? Should I invest in American sharesor conversely I invest in shares in the euro area?

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Everything boils down to the same thing, the strength of the euro against the dollarand vice versa. It may seem like a simple thing but I’ve known to investors who havebeen to increase the potential of your investment portfolio in about 20,000 euros only for correctly choosing the currency based on a financial asset, some seem them little money and other much but the fact is there, we always have latent in our investments currency risk if not we diversified properly between the major currencies today, and away from own assets whose contributions are made on currency with a high-risk country.

Quotes and prices to pay for conducting foreign exchange operations have accessible through any trading platform where you can check currency quotes in real time. There are an endless number of brokers that can give us this service across platforms’demo’ (show) with what is not difficult to learn from what is happening in the global currency market.

Do you know where I can rapidly calculate currency exchange?

Converting dollar euro, you can check quickly through any specialized website as Infobolsa, Investing Yahoo Finance etc…, or instead through an account of a broker’s foreign exchange (Forex) that provide access to currency pairs quotes in real-time through trading platforms such as ProRealTime or Metatrader 4.

Sure I shall give the reason traders and investors experienced when I say that the difficult thing is not really check changing currency or their quotes, it is instead to operate them (to trading) and get benefits for that reason. But for example queries thatare more often made reference to the change of currency or Forex are the following (generally also are the most traded currency pairs worldwide):

dollars to euros dollars a pound dollar to Swiss franc

As discussed somewhere that another occasion, a currency quote front to another ismainly due to macro-economic reasons and geo-political conflicts by which specializing in trading in foreign exchange or Forex world carries some time if you want to understand even in broad terms, the world in which you live (or operates). That said, to verify the change of currency between different pairs, us is enough to have access to any calculator of currencies or list of quotation of Forex in real time as we put the case of ProRealTime through a list and from where you can see the Exchange well in my case I made a specially designed widget that shows the biggest currency changes that occurred throughout the day today and that in addition is it updated:



Are you ready to operate in the forex market?

Lately it seems that it is picking up some growth of traders that start directly in the forex market, that for me is a mistake. The forex market has certain peculiarities thatmake it complicated to keep up with gains for someone considered a rookie in the trading. Curiously many make the mistake of starting backwards when it comes to knowledge and the forex market is not less. It is one of the most important factors that make us to have certain guarantees of success in the forex is part of our psicotrading or attitude towards markets, is without a doubt the management of capital or also known as Money Management. When we decided to start as traders in the forexmarket and yet we are not aware of how dangerous that is acting in leveraged markets, we are reaching a stage where we know the great dangers that we can stalk when it comes to trading.

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These dangers are certainly as we said it is the management of capital, but then there are other more specific factors: position sizing (the sizing of the position we tookup us) risk management (the management of the risk we assume each operation) allthese factors are precisely those who are less trained by novice traders arriving every day in the maw of the forex market without sufficient preparation.

A solid formation on the forex market

A life jacket that can help us if we start making trading is to seek a good training onthe forex market, learn where the dangers involving operate with certain currency pairs or do so at certain times. We need to know the behavior of markets and its most fundamental features.

EUR USD (Euro dollar Exchange) USD GBP (pound, dollar Exchange) EUR GBP (change Euro pound)

Currencies have their own standards in terms of their behavior and it is our duty toknow them if we want to reach a site such as forex traders.

Learn how to make trading with the specific of each currency pair and hourly volatility

Having already present that each pair of forex has its own peculiarities, we will specify the why are so different: the factor of the volatility of each currency factor from trading hours with more volatility factor of the liquidity of the currency pair

Each currency pair has its own regulations and basically all are characterized by having different behavior according to the above list. We use our own trading system sothat it fits to the forex market like a glove and that can work each pair of currencieswith maximum comfort (the best way to operate more comfortable is undoubtedly knowing your enemy).

The volatility is an important factor and can help us enough once we have found the best strategy forex that suits us. We must look for periods where the volatility increases (eye whenever we do intraday trading) in order to expose us the shortest possible time to market and get a good run and of course avoid the periods of low volatility where the direction of the market behaves erratically and without no intentionality (here is where to make the biggest mistakes of trading). In the currency pair trading hours is essential, we must find the best time to trade the forex looking for greater volatility and certainly not leave open positions if the maximum volatility beginswhen we’re going to go to bed (see Asian, oceanic, or exotic currency pairs).

Another factor that we must control when we venture into the forex market is the factor of the liquidity of a currency pair given in an hour in particular. Many strategiesare thwarted because they are executed in little traded pairs which increases the known Spread (differential between the supply side and the demand) which makes a trading operation will be ruined by not taking into account this factor.

Ultimately, our recommendation is to always and I always say learn about the behavior of markets that will be used, is made during a good season paper trading (operating in demo Forex) and since then test again and again our trading strategy making hundreds of backtest. Only in this way we will be the sufficiently trained to deal with the forex market.



Learn Forex. The most widespread currency trading.

Learn Forex. The most widespread currency trading.

Already in some last article we talked about Forex as a market with amazing liquidity. Learn Forex seems a need within the world of traders and investors, but… it is so easy to Trade Forex? This question is really interesting, because it is curiously more accessible markets by retail investor:

  • There areplenty of brokers
  • Theyallow us to opening accounts with very low capital
  • Leverageallows us to make large movements
  • Offerus videos, tutorials and even free  There are a few competitive commissions.
  • It isthe market with more liquidity in the
  • Ourfavorite football team or our team of Formula 1 is sponsored by any of these forex
  • Giveus even packs of welcome by create us new accounts or being

More than one already suspects that paints all too beautiful. And that we will try toexplain in our article.

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The Forex, perhaps the market more affordable but more difficult.

We are facing the main problem of the Forex. The currency market is perhaps the most accessible to the trader or investor retail but also the most complicated to operate by different factors. Main disadvantage as commenting that the Forex market is based on contracts OTC (Over The Counter) in the absence of a regulatory body as an intermediary for the negotiation of the two parties, we run the risk of one of the parties does not comply with the contract. That is essential to carry out such operations, search all licensed intermediaries for financial brokerage services. We already mentioned in another post of the importance of seeking properly regulated brokers mostly avoiding tax havens where it may be refugees in a loose and opaque legal framework.

Foreign exchange contracts. OTC contracts

OTC contracts that occur in these types of negotiations, are bilateral contracts containing the agreement on the liquidation of the instrument that have reached the twoparties without a body which ensures that the two parts of the negotiation met. Themajority of contracts or negotiations OTC are made via banks and financial investment companies. There are also frames trading in OTC derivatives that tend to be picked up at these contracts such as the rules of the International Swaps and DerivativesAssociation (ISDA), or in Spain, the contract CMOF (contract framework of financialoperations). Knowing this, you should make it clear that the risk increases if we don’t read the fine print when it comes to open account with any Forex broker, it is our responsibility to be knowledgeable of where our trading account opened and where our future broker is regulated.

Another risk to take. Dealing Desk or No Dealing Desk brokers

Opera in forex, gold and silver spot without the intervention of a dealer to be an operator which operates regularly, is very likely that values transparency in the pricingstructure. Why are usually offer by brokers ecucion NDD for forex, gold and silver spot. NDD execution model allows you to operate directly on the market, significantlyreducing the number of requotes you can receive. what this mean for your trading strategy? This model means that you can execute your orders with the best possibleavailable price that receives the broker within his “pool” more liquidity providers increased or Commission. These increases are the way in which the brokers profit andours are very competitive. Solvents brokers tend to choose the best suppliers of liquidity very carefully to be able to offer you an ample liquidity and transparency in thenegotiations. The risk lies in the Dealing Desk. The dealing desk or table of money isthe place where they occur the transactions of purchase and sale of brokers type DD (dealing desk). In this type of brokers with operating table operations do not leadto market, but will remain on his operating table. This implies that the broker acts asthe counterpart of the operations of its customers.

Learn Forex. A costly work in time and in your Pocket

A Board that we wanted to give, is that we should very well select training in investment and trading services. Even knowing that it is the best way to acquire better knowledge and tools to invest in different financial products, have to be very careful inselecting the best course of Exchange, finance and trading. There are hundreds of teachers or schools that claim to provide the best training in FOREX, stock exchange and investment, but few students who are satisfied. Our recommendation is that you try to avoid trainers selling you high returns to a zero risk and even that avoid trainers who say “do not charge anything” by giving you training, since some kind of interest will have to spend resources and its time for your you learn on any matter, the quality of its training content is also very poor. My personal recommendation is if you want to operate with the best trading tools and innovative techniques, you pay for itby selecting the best teacher or financial institution with experience within the sector. Try to avoid all types of training without close recommendations because in this world it is vital to find a good recommendation from a professional since that aboundthe academies or trainers with low level of specialization.



Is live Forex possible?

Who did not this question sometime in his life as a trader? Perhaps one of the strongest desires within a person is doing what you really like without serving anything and anyone. The ties that binds us to the society are becoming stronger which will have the old Aristotle when he claimed that the man was a social animal (“zoon politikon”). However, a part of us wishes to leave the herd and cut those links that make you feel at times slaves. finanLive Forex is really possible behind the phrase “Living from the Forex” hide perhaps this romantic idea that anything is possible if we intend, andthe purpose of this article is that you see with your own eyes that not everything is beautiful in the world of trading but everything demands certain sacrifices that not all been taken into account in determining whether they want to live Forex or not. For some time one of our friends that most have read on the internet and large trader (will know you by the nickname of Aker) we responded to the Galician when we asked him if he believed that it was easy and possible to live Forex to what the US replied:

IT IS POSSIBLE TO LIVE TRADING, BUT RATHER THE CORRECT QUESTION IS DO I AM ABLE TO LIVE TRADING?

This phrase quickly caused some controversy among ourselves but with the time wegive account which effectively the main barrier that must overcome a trader is itself independently with capital that has (this also is important), but be aware that not everyone is trained mentally to withstand the pressure of the markets or the cold blood of closed an operation in losses before it pose a real threat.

Qualities and requirements should be considered to live Forex?

All must be taken into account if a person wants to devote himself seriously to live forex. I have personally established a few points of major minor who must meet all the traders who would like to have some consistency in the markets and want to liveit:

You must have the right qualities to be trader. Move self-destructive people, with atendency to be carried away by their impulses and that cost him to keep an objective criterion in stressful situations. Obviously, if does not operate this person with a foreign capital such as a Fund Manager, you must have capital sufficient first to operate and secondly so it can play you some significant benefits that enable you to be able to say that you can live of forex trading or any kind of market. The trader that wants to permanently live Forex has to have the necessary technical skills to operate with the solvency that is demands in the market. A trader to get the more regularly in its results, should always be on the side of his trading and plan your daily trading record where every minute that happens to her around. And of course, trader wishing to devote himself seriously to this must have sufficient experience to enable him have some consistent profits (here is really complex because few manage it).

What us it remains to do if we really want to go ahead and hope despite the Live Forex?

For those few who are still interested in taking a step forward, my recommendationis that they have the greatest possible formation and make hundreds or thousandsof hours if possible of papertrading and demo accounts. It is essential that before you decide to operate in real, certain techniques of trading that ti will make a better investor or trader in the market is to dominate. I particularly recommend a proper reading on different trading strategies and you diseñéis your own system of trading adapted to your own personality with that already have something advanced. If whatyou want is to start from scratch you can start download some books for free we have available in the community as this book that I leave some of our collaborators and written by Juan Torres Mari: living from the Forex book ready to download hope you like the book to my personally found me very interesting and to retrieve certainconcepts that had forgotten about the trading system.



FOREX brokers

The magnifying glass on the brokers in the United States. Forex brokers.

Following our study of FOREX, this time we will focus on FOREX brokers, especially in which of these brokers have better numbers in terms of accounts with gains in their ranks. We know that the world of speculation in foreign exchange is somewhat complex and where we can find us some trileros than another.

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Our research is carried out through the information provided by different pages specialized in FOREX (see final references) and in the studies of some brokers (also referenced at the end of the article).

Periodically from the magazine Forex Magnates, these studies that can give us an indication of the best brokers are, or which have presented some better numbers as to which of them have presented more customers with benefits over a certain time, this table we can see that they are presenting these data classified by “%” and “Qs” per year are performed.

Also from Forex Magnates, we can see an evolution from the previous Q so yes canhelp us in our task of seeing that brokers are less reliable. Indicate that it is convenient to also analyze brokers that have a high ‘%’ of accounts with benefits but who also have many accounts and as suspected we turn to come up with important like FXCM, OANDA or even Interactive Brokers FOREX Brokers.

FOREX brokers reports

Attached the reports generated by the specialized magazine skewing results for quarters during the year of 2012.

FXCM: Other brokers of FOREX to take into account.

Within the own broker FXCM and its corporate website, they tend to publish reportscustomized and differentiated in quarters (Q1, Q2, Q3, Q4). Already many brokers (i.e. not everyone in Spain) could take example and start to present this informationmore clearly and visibly as possible. Sure you own the consumer demand will makesuch reports be made public and all we may gain (the customer by greater transparency and the broker because win more customers for their services). Accountability in FXCM is that clarified that most of the reports are focused on the foreign exchange market and United States, with which it is possible to number or percentages vary (and enough) or from European houses. But they are facts which agree to be testedfor approach as us reality as much as possible. It seems that it is not as black as theypainted it with respect to the Brokers of FOREX, or Yes? Seeing reports that show usmagazines and specialized forums of us it seems that an impossible task is not the road to consistency to the Trader. They have repeated over and over again that onlyget 10% of traders to succeed, although seeing the numbers on the table the probability it is still negative but with some nuances that invite us to be somewhat more optimistic (not forgetting our ongoing training, training and risk management). THE FACT IS PRESENTED COURTESY OF FOREXMAGNATES VERSION REDUCED A REPORT ABOUT THE PROFITABILITY AND PERFORMANCE OF THE CURRENCY BASED IN THE U.S. THE FIGURE MOST PROMINENT RUNNERS THE CUSTOMER PROFITABILITY WAS 39.1% AVERAGE TRADERS COUNTING WITH AROUND 24,000 ACTIVE ACCOUNTS.Conclusions again, I want to invite to the caution in interpreting these studies, sincethe human being by nature goes from euphoria to despair in a matter of seconds and more when there may be a certain margin of media manipulation, but if it were true, would still be a good “%” throwing us some hope to lovers of the currency market. Broker factor returns to come to light in these reports seeing as they vary the results of a broker to another… gives to think. By this I mean that you look you thousand times that counts each of them and above all to speak with people who alreadyhave has open with each of them and tell you their experience with FOREX Brokers.



Function and interpretation of economic forex calendar

Function and interpretation of the economic calendar

Function and interpretation of the economic calendar in FOREX thanks to economic calendars can know beforehand the indicators that will be published on the day of each week, and that can certainly affect the financial markets.

In a calendar FOREX will also appreciate online provides details of the most recent economic events, also upcoming events and even expectations about future news, which will make us to estimate whether the result is worse than expected or better.

We can see in the following picture a practical example of what would be an economic schedule on any given day: example of economic calendar pullback trading economic calendar plays a vital role in the macro-economic or fundamental analysis.

For lovers of the news and those who want to operate for these (do not forget that this news cause great volatility in the markets because of its importance), all these events and macroeconomic indicators can be analysed by the economic calendar that even changing the format of a service provider or another, they all meet their function, which is the offer of guide or warning to those investors who move mostly in markets or financial derivatives of currency.

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As we mentioned, the economic calendar lists scheduled events and economic indicators to be published, with its publication date and projected estimate for each economic indicator next to the previous results. The news and price volatility are closely related. So more relevant or shocking news.

More movement in prices will cause

More movement in prices will cause. This way when an indicator macroeconomic, if published and projected outcome does not vary substantially with the previous result is unveiled, probably not consider a significant change of trends on the FOREX market. However, if the published economic data differ greatly estimated projections and the previous result, the market will probably react with force, and thus investors basing their strategies of trading on macro economic issues take advantage of these economic differences to take profits with the fluctuations of currencies which occur as a result.

However there are to take into account that many times the market digests advance economic changes and many other market anticipates this type of economic gaps, and can therefore be that event or economic indicator in question do not impact on the FOREX market with the advance force. One of the reasons may be filtering news by insiders or any event which do have information early to the “Smart-Hands” (the famous and dreaded strong hand).

On the other hand, from the macroeconomic point of view, the decisions on monetary policy carried out by the monetary authorities of different States also acquire great relevance in the forex market.

Both press conferences that provide Presidents and Governors of central banks and also the minutes or minutes that are drafted after the closure of each session making a central bank to public knowledge, are anticipated in the economic calendar where we can take knowledge of these events and when it will happen.

In addition the interest rate or interest rates of reference setting central banks, and the operations of open market or the fixation of active policies, tend to impact heavily on the foreign exchange market and the measures usually are advertised or insinuate indirectly through speeches or changes in the votes that are recorded in the bosom of the major central banks and emerge such changes of the proceedings or Bank minutes published for public knowledge.

The effects of economic policies and announcements of the type macro economic

In this way we understood why Forex economic calendar plays a fundamental role to analyze macro-economic causes. As a general rule, when a Central Bank raises interest rates, the currency of that State can be seen. Similarly when a Central Bank decides to cut interest rates, currency depreciates associated with that State. It is because the importance of monetary policy in the Forex market. Fundamental investors often follow closely the minutes and the minutes are published by the monetary authorities, as well as speeches and press conferences that tend to give the Governors and Presidents of the central banks, since they may involve the future monetary policy.

It should also be kept in mind, that not only from the central banks of the world events cause impact on the market of foreign currency, but events of Governments, international organizations, entrepreneurs, risk rating agencies and people with roots and weight of leadership are often able to affect the market. We must bear in mind that stability in monetary politics translates into increase of economic attraction among foreign investors, who invest capital in the country and consequently the national currency can be seen. Same opposite effect takes when the situation political economic it deteriorates, which usually tends to produce an influx of capital and to a deterioration in the national currency.

Forex economic calendar, is one of the main tools of fundamental or macroeconomic analysis, and as we are in other sections focuses on the cause, and explores the political, social and economic variables that affect the supply and demand of financial instruments. Fundamental analysis analyzes, describes and interprets macroeconomic indicators and the main thing monetary political decisions. In this way it pays special attention to the overall economic environment, the political and monetary situation and future prospects of global development. Therefore we need to understand the importance of macroeconomic indicators in the foreign exchange market.

The fundamental indicators and global economic analysis

Each country regularly publishes various economic data, indicating the economic status of the various sectors of the national economy. These indicators reveal to investors or traders if the economy is expanding or otherwise if there is a decline due to economic contraction. Understand the value of these results generally is very important because insinuate monetary policies that should be taken to stabilize the economy of the country concerned. Sustain economic growth under control, preventing inflation or hyperinflation, each central bank uses many tools to ensure a gradual growth or to stimulate it, thus defining a particular monetary policy. One of the most common tools used in current economic cycles are the adjustments of interest rates. During a period of economic growth are usually increased interest rates, phenomenon that attracts investors to invest capital. On the other hand, a reduction in interest rates is often a tool used to promote the growth and consumption, and is one of theways to deal with recessionary economic periods.

By nature, investors always seek the best performance for your money, so move it currency currency according to the differential in interest rates. In summary, in the economic calendar we can observe at which time indicators will be published or will happen events, and country to which belongs the publication or event, also observable previous results, forecasts, and current figures when they are already known, andthis with respect to each economic indicator or incident of importance, referring also to the posted period.

The relevance of the fundamental news on the economic calendar

Much higher note has an indicator or event, greater impact will be in the currency market and the degree of impact that will have the event or indicator on the market using the words low, medium and high inside the box of impact or impact is usually classified. Forex economic calendar are all indicators and scheduled economic events that will be published in each country. These events and indicators have an effect varied in the currency market as we already are. Following forex economic calendar, an investor can adjust operations according to the same, knowing that the economic results that are published or the events that will happen could affect foreign exchange transactions. On the Internet there are plenty of economic calendars that may help us in our operations, whether we operate core or if we try to avoid them.



Knowing the Forex market

We know the foreign exchange market, as the largest financial market and enjoys with greater liquidity in the world. This type of market is also known as the foreign exchange market Forex, currency or also by his initials (most commonly used in Anglo-Saxon as “FX” circles).

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But what a currency?

The currency, would be typical of a country currency and whocan quote (or not) in the market. For example, in the spot spot (spot) market, facesa currency of a country to another serving as the base currency, so would the priceand strength of one currency against another.

Seeing more operated coin, can get an idea of which is the reference in the currentmarket, as you can guess and check in the following graphic, is the US dollar the most operated in volume of transactions with an 84.9% (data extracted according to studies carried out in 2010):

most operated currencies in the Forex market

Forex, a new concept of investing in the medium term

What no doubt with the evolution of markets and new technologies have fostered increasingly will operate in this type of markets which are more and more actors notonly at the institutional level, but at level “retail” who are attracted by the behaviourof certain pairs of currencies with high volatility, also promoting the increase in studies on techniques of “hedging” or coverage.

Some of the concepts that are taken into account when developing medium to longterm investment strategies

Explain that involve this type of short, medium or long-term investment techniques,it can be a problem, given that many of these techniques are developed through the study of different interest rates.

They are many of the investors who opt to take up positions of coverage in order tohave certain benefits in the medium or long term and in turn reduce the risk.

We will not go into this type of techniques of arbitration in the currency market since it is a complex concept, but many of these techniques are based on concepts such as the following:

correlation with pair

correlation triangular

Cointegration are increasingly more investors that are optimizing and readapting their investment strategies in the medium or long-term, based on these types of analysis through which you can get benefits and reduce the risk. Advantages about the investment in the short and medium term in the foreign exchange market some of the benefits we can get when thinking of investing in the Forex market are the following:

Transfer the purchasing power between coins and measure the strength of these.

Beavailable from the investor or speculator of instruments or financial vehicles that help to promote international trade.

Offer different ways to perform investment systems through the “hedging” or coverages, techniques of arbitration or even speculationin the short term.

Different types of environments to operate in the foreign exchange market even if it is true that all types of currency in the end markets end up intertwining in one way or another, if it is convenient to know identify different types ofmarkets where you can operate with currency: market of financial options futures (6A, 6B, 6 c etc…) Currency market Forex (Spot) each type of Forex market (Forwards) term, will have its own regulation, control and regulations so it is convenient to studyeach of these markets separately. In short, we need to know the stage to perform the operation.



Does your FOREX broker that you earn?

For some time thanks to some advice from a friend and my master, a question markI has woken up about how financial derivatives operations gear and especially FOREX. The best advice that I gave on the subject was: “would like to know how to movein the foreign exchange market? “Perfect, tries to inform you of as work inside” andthat was what I did, I started researching a little about the operation of the types ofbrokers in the foreign exchange market.

A little history about the FOREX

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The foreign exchange market – FOREX a few years ago, in 1999, Forex trading to the retail (market “retail”) or individual simply did not exist. Trading in the foreign exchange market was more or less restricted, where only operated the big banks, “HedgeFunds” and managers of large estates. The minimum size of operations was generally $ 1,000,000 USD with what we can get an idea at that level moved these foreign exchange operations. However, soon spread the idea about the profit potential of enclosing Forex trading with that increasingly, more people wanted to come into this game, colliding with boundaries that could not operate in the traditional interbank market because large sums of money were not available to work on currencies. There was a growing need for access to foreign exchange markets to investors who had around 10,000 to $50,000 to invest, or even less, so the currency market to the retail was born and opened the door to small businesses. At this stage new currency brokers flourished (and yet they continue to do so) rising quickly to meet this high demand, however, this aspect of Forex trading is very delicate and tries to always be regulated to maximum. Result of this boom, there were all kinds of companies and concepts developed to regulate and control such operations, as well as witnessing the creation of the concept of “market maker” (market maker) many brokers we have today operate with the mechanisms to be “market maker” or typical model “bucketshop”, where we ask ourselves to studying the inner workings of their own mechanismsof purchase/sale operations if these guys actually they have interest in seeing that we have success in an operation or not.

Types of brokers

As we discussed in the last article, FOREX brokers could be classified in the following way: types of brokers classified by the type of operation to market perform.

But… What is a market maker?

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The dilemma a market maker broker (market maker) is a company or an individualwho is listed both the purchase price and the selling price of a financial instrumentor raw, distributing the supply and demand and creating a flow of liquidity from themarket to its participants and vice versa. The market for a specific financial instrument can have multiple market makers and each market maker may be for several markets market maker. In the forex market the market makers tend to be banks, institutions, trade currency, companies or set of them, which are always available to buy orsell a given volume of a continuous and regular at a public price immediately.

From the official website of the NFA (National Futures Association – United States),a market maker is defined:

As a professional dealer that has the obligation to buy when there is an excess of sales orders and sell when there is an excess of purchase orders. This refers to the market markers are the counterpart of its customers (investors and traders), i.e., when amarket maker receives an order from a customer, seeks an order that compensates it of another client; in the case of an excess of a particular type, the market maker orders not may be offset this order with the order from another customer, having theobligation to then buy (or sell) the customer or take this operation to the market. This obligation has a volume limit which is obligation disappears, which depends on the regulatory body or legislation affecting the market maker monitor operations to be as fair as possible; because of this limit, a very large order may not be executed atthe same price in different market markets. Market maker name comes from the fact that it provides continuous liquidity and to regulate its customers: for example, there may be a customer of a market maker who wants to buy and this order in turn isabsorbed by the market maker, with what operation outweighs her with the order of another client, acting as a buffer against possible failures of market liquidity (case in which an investor wants to buy (or sell) and there is a counterpart in the market who wants to sell (or buy)), i.e., creates a market among its clients.

No doubt the will above has its advantages and disadvantages, depending on with that type of broker are dealing. Here good fame among customers and regulators have much to say in choosing who we want to operate in the Forex market, thereforealways recommend asking a thousand times and advise well before opening an account with one or the other.

The market makers in the forex market

The majority of trading in the forex market companies are market markers. The majority of commercial transactions in forex are over-the-counter (non-standardised and centralised market transactions) and the market maker providing liquidity to clients buying or selling to their customers. This service of the market maker is compensated by the differential between the price offered by a buyer client and the price offered by a seller client and the market price of (spread), which reduces the transactioncosts for investors.

The market makers are offering to every second of the day firm purchase and sale prices, prices that are refreshed every 30 seconds according to the supply and demand. Then, the investor can accept those prices even when there is an opposing party,because this offer is assimilated by the market makers. They are then ensuring the continuity of the market to participate when necessary. In addition, they must act independently of the operation to suppose him a profit or a loss.

The market makers have to be registered and authorized to operate by institutions such as the Commodity Futures Trading Commission (CFTC), U.S., or European Financial Services Authority (FSA).

The function of the Market Makers

Well, despite the infamous urban that rotates through forums and others should not be forgotten that market makers meet a basic but necessary function is to give access to the market and would be available to the investor or speculator middle (hence the term creator of market). In order to do that, they have to be able to cover all orders that are placed in its trading platform, and do so through the adoption of be the consideration (or what is the same thing the other side) retail operator.

Well, since these brokers will have a contrary position open to all contracts that we opened or closed, implicitly the broker will lose money whenever we have a winningoperation. Imagine that you bought the pair EUR / USD, since it believed that the Euro is going to shoot.

Well, in order to provide access to the market for you, the broker will have to take asell position in EUR / USD so that trade can be made. You always have to think thatour broker if it is market maker will be ‘the other side’. And we must bear in mind that the creator of forex market never, never going to directly tell his negotiating table mechanism, this would be like walking naked down a street crowded at rush hour, since they have only their ranks with a small minority of traders who really understand their business model completely, and therefore the majority of traders will be victim of this opacity or lack of knowledge of the gear of the negotiation.

Non Dealing Desk (without operating table)

In general terms it could be defined to the Non Dealing Desk as the intermediate option between a Market Maker and an ECN broker, the NDD basically operate with similar platforms (sometimes the same) Market Makers but its spread is variable, at times of low volatility is 1 pip less than Dealing Desk but in times of high volatility may be 15 or 20 pips above this due to that the aim of these is to be a little closer to the ECN, i.e., provide only input to the interbank market without interfering with prices or the liquidity of the same. Its main advantages are a lower Spread in times of low volatility and having friendly platforms similar to the Dealing Desk, as disadvantages are higher requirements for opening accounts, a less leverage available and not guarantee execution on the orders.

And the brokers will reach ECN other type of model of business forex broker is called a network of electronic communications (ECN), the agent has a personal interest in knowing that operation are doing.

To understand how this type of configuration, remember that any runner aims to provide access to the markets and the liquidity, simply. A creator of forex market is based on taking the opposite direction to the operation as your make, on the other hand an ECN broker not routing this purchase order trade through its network of communications and congruence with other trade (for example, if you place an order in a particular currency pair, the ECN it would coincide with another merchant that is on the side of the sale of that same pair).

ECN brokers are really the best option, since it is much easier to make money through a broker that offers this type of commercial facility. Since they have no personal interest in lost money and instead only cares to offer a network where can fulfill theirorders to other traders, never had any problem withdraw their profits as you can have with a market maker.

It is as we said of electronic networks collecting the prices published by multiple market participants, showing the best prices among all available. Usually spreads in theECNs have variable amplitude depending on the activity in each pair, shrinking in times of increased activity to such an extent that sometimes there is no practically spread, especially in the Majors (EUR/USD, USD/JPY, GBP/USD, USD/CHF).

The ECNs earn money by charging a small Commission to change clients. Therefore,because its operation scheme, the ECNs have less incentive to manipulate prices acting as simple intermediaries between two parties. However, the volatility of prices inan ECN tends to be higher than in a Market Maker network even though scalping isallowed without restrictions; in fact, given that it is possible to set prices within the quoted fork, we can act as a counterpart to other traders. However, platforms of trading of the ECNs are usually not so showy, not give so many free services (graphics, news) as a Market Maker and its management tends to be somewhat more complex.

Conclusion.

Search forex broker profitability studies. All brokers have their advantages and disadvantages depending on as to execute operations that we launched them. NodeName seen balance it could tilt to the ECN, but it should not be forgotten that the MM ifit is a good broker does not have why scare us when choosing it. Find references through your teammates and friends and insurance that can guide you a bit.

Anyway to give you an idea there are any studies by FOREX MAGNATES that may help you make a clear decision in this regard. Herewith a table so that you remove doubts: profitability of accounts of forex Broker and evolution over time.

Da to think. As you can see the number of profitable accounts varies from a brokeror another, with which we orient ourselves with these regular studies carried out.




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