Sunday, January 11, 2009

Forex - Pips, Spread, Margin, Leverage

Currencies are traded in pairs and exchanged against each other. The majority of currencies are traded against US Dollar. The first currency in the exchange pair is called Base Currency and the second currency is called the Counter Currency or Quote Currency.

The exchange rate tells you how much of the counter currency must be paid to buy one unit of the base currency. The exchange rate also tells the seller how much is received in the counter currency when selling one base unit. For example, an exchange rate for EUR/USD of 1.2083 specifies to the buyer of Euros that 1.2083 USD must be paid for one Euro.

Spread is the difference between the buy and sell price. Like in stock market ask and bid. This is the difference between the market makers selling price and the price the market maker is ready to pay to buy the same currency. This means that if you buy a currency and then sell the currency before the price has changed you will lose money because of the spread. Bid price is always lower than the ask price, thus the situation. For example if EUR/USD bid/ask is 1.2010/1.2015 then by selling the security before the price has changed, you will lose 5 pips.

Now you might be wondering what the heck the pip is. I know that when I first started reading about forex and such I wondered for quite a bit what is that pip they are talking about. Basically, as currency rates do not change a lot then the changes are brought out in pips. One pip is 0.0001 in case of all the currencies excluding Yen. For Japanese Yen one pip is 0.01. So if the exchange rate changes by 20 pips then now you’ll know it means 0.0020.

When in banks the exchange rates – buy/sell rates (spread) for different currencies may vary even more than 1000 pips, in forex market it’s a lot smaller and because of that investors may profit even from only small price movements.
Price of a currency is called Quote and there are two kinds of quotes – direct quotes and indirect quotes. Direct quote is the price for 1 US dollar in terms of the other currency. Indirect quote is the price of 1 unit of a currency in terms of US Dollars. The market maker provides the investor with quotes. The quote is the price the market maker will honor when the deal is executed.

When quote is not put against US dollar but against another currency, this is called Cross rates. For example GBP/YEN. This is called cross rate because it is calculated via US Dollar. To give you an idea how cross rate is calculated:

GBP/USD = 1.7464 USD/JPY = 112.29 Thus GBP/JPY = 112.29*1.7464 = 196.10

Don’t worry about the calculation though, in different forex trading platforms the calculations are all done for you. But it’s still good to know where the rate has come from.

Now, lets talk about MARGIN. Trading providers need collateral to make sure that the investor can pay up in case of losses. This collateral is called margin and is also known as minimum security in forex. This is basically the deposit to the trader account that is intended to cover and possible trading losses in the future. Margin enables traders to hold a lot larger position than their account value.

Some trading providers also require a maintenance margin that is used to cover administrative costs and such. And most importantly to cover loss in case of a “gap” or “slippage” in rates. For example if you have set a stop-loss rate to 1.8075 but the the rate jumps from 1.8050 directly to 1.8090. To cover loss that might come from here, the maintenance margin is used.

Leverage allows traders of forex market use credit. You might sort of compare it with short selling in stock market. Not the same, but starting traders might find the idea bit similar.

The leverage may allow a trader control 50-400 times bigger amount than he has actually deposited. For example if you deposit just $100 you may be able to actually play with $10 000. Of course, in this case this $100 is the margin you are willing to lose, everything’s at stake.

[ForexGen Live Account]

The live/real account is provided to those clients who may have some experience in the online trading.

[Opening an Account Online]

The quickest, easiest and secure way to open a ForexGen trading account is online.
Complete and submit your application online in just a few minutes.

ForexGen.com is an online trading service provider supplying a unique and individualized service to Forex traders worldwide. We are dedicated to absolutely provide the best online trading services in the Forex market.

ForexGen provides a unique online trading experience based on our intelligent online Forex trading package, the ForexGen Trading Station, including the best online trading system.

1 Pip Spread Forex Trading Platform

Learn how to trade FOREX by working with a Professional FX Trader! Its one thing to read how to calculate pivot points or exponential moving averages, but it’s critical that you see how they, and the other indicators (like MACD or RSI), work together in real-time.

….. is different because I'm not selling a "system". I trade my own money while people watch. Most members trade a [demo account] along with me, so if I win or lose, we both have an opportunity to learn. How many "experts" are willing to trade real money while you watch? To learn more click here: 1 Pip Spread Forex Trading Platform


ForexGen offers three types of business partnerships:

*Introducing Broker
*White label
*Money Manager

ForexGen Introducing Brokers, White Label and Money Manager holders are recognized as a strategic business partners. The main focus of our service is to satisfy our partner's needs in order to deal with a qualified service and gain a huge income sharing plan.

[ForexGen] provide appropriate services satisfying the needs of all business partner's specified situation and requirements.

9 Tricks Of The Successful Trader

For all of its numbers, charts and ratios, trading is more art than science. And just as in artistic endeavors, there is talent involved, but talent will only take you so far. The best traders hone their skills through practice and discipline. They perform self analysis to see what drives their trades and learn how to keep fear and greed out of the equation. In this article we'll look at nine steps a novice trader can use to perfect his or her craft; for the experts out there, you might just find some tips that will help you make smarter, more profitable trades, too.

Step 1. Define your goals and then choose a style of trading that is compatible with those goals. Be sure your personality is a match for the style of trading you choose.

Before you set out on any journey, it is imperative that you have some idea of where your destination is and how you will get there. Consequently, it is imperative that you have clear goals in mind as to what you would like to achieve; you then have to be sure that your trading method is capable of achieving these goals. Each type of trading style requires a different approach and each style has a different risk profile, which requires a different attitude and approach to trade successfully. For example, if you cannot stomach going to sleep with an open position in the market then you might consider day trading. On the other hand, if you have funds that you think will benefit from the appreciation of a trade over a period of some months, then a position trader is what you want to consider becoming. But no matter what style of trading you choose, be sure that your personality fits the style of trading you undertake. A personality mismatch will lead to stress and certain losses.

Step 2. Choose a broker with whom you feel comfortable but also one who offers a trading platform that is appropriate for your style of trading.

It is important to choose a broker who offers a trading platform that will allow you to do the analysis you require. Choosing a reputable broker is of paramount importance and spending time researching the differences between brokers will be very helpful. You must know each broker's policies and how he or she goes about making a market. For example, trading in the over-the-counter market or spot market is different from trading the exchange-driven markets. In choosing a broker, it is important to read the broker documentation. Know your broker's policies. Also make sure that your broker's trading platform is suitable for the analysis you want to do. For example, if you like to trade off of Fibonacci numbers, be sure the broker's platform can draw Fibonacci lines. A good broker with a poor platform, or a good platform with a poor broker, can be a problem. Make sure you get the best of both.

Step 3. Choose a methodology and then be consistent in its application.

Before you enter any market as a trader, you need to have some idea of how you will make decisions to execute your trades. You must know what information you will need in order to make the appropriate decision about whether to enter or exit a trade. Some people choose to look at the underlying fundamentals of the company or economy, and then use a chart to determine the best time to execute the trade. Others use technical analysis; as a result they will only use charts to time a trade. Remember that fundamentals drive the trend in the long term, whereas chart patterns may offer trading opportunities in the short term. Whichever methodology you choose, remember to be consistent. And be sure your methodology is adaptive. Your system should keep up with the changing dynamics of a market. (For related reading, see What is the difference between fundamental and technical analysis and Blending Technical And Fundamental Analysis.)

Step 4. Choose a longer time frame for direction analysis and a shorter time frame to time entry or exit.

Many traders get confused because of conflicting information that occurs when looking at charts in different time frames. What shows up as a buying opportunity on a weekly chart could, in fact, show up as a sell signal on an intraday chart. Therefore, if you are taking your basic trading direction from a weekly chart and using a daily chart to time entry, be sure to synchronize the two. In other words, if the weekly chart is giving you a buy signal, wait until the daily chart also confirms a buy signal. Keep your timing in sync.

Step 5. Calculate your expectancy.

Expectancy is the formula you use to determine how reliable your system is. You should go back in time and measure all your trades that were winners, versus all your trades that were losers. Then determine how profitable your winning trades were versus how much your losing trades lost.

Take a look at your last 10 trades. If you haven't made actual trades yet, go back on your chart to where your system would have indicated that you should enter and exit a trade. Determine if you would have made a profit or a loss. Write these results down. Total all your winning trades and divide the answer by the number of winning trades you made.

Step 6. Focus on your trades and learn to love small losses.

Once you have funded your account, the most important thing to remember is that your money is at risk. Therefore, your money should not be needed for living or to pay bills etc. Consider your trading money as if it were vacation money. Once the vacation is over your money is spent. Have the same attitude toward trading. This will psychologically prepare you to accept small losses, which is key to managing your risk. By focusing on your trades and accepting small losses rather than constantly counting your equity, you will be much more successful.

Secondly, only leverage your trades to a maximum risk of 2% of your total funds. In other words, if you have $10,000 in your trading account, never let any trade lose more than 2% of the account value, or $200. If your stops are farther away than 2% of your account, trade shorter time frames or decrease the leverage.
Step 7. Build positive feedback loops.

A positive feedback loop is created as a result of a well-executed trade in accordance with your plan. When you plan a trade and then execute it well, you form a positive feedback pattern. Success breeds success, which in turn breeds confidence - especially if the trade is profitable. Even if you take a small loss but do so in accordance with a planned trade, then you will be building a positive feedback loop.
Step 8. Perform weekend analysis.

It is always good to prepare in advance. On the weekend, when the markets are closed, study weekly charts to look for patterns or news that could affect your trade. Perhaps a pattern is making a double top and the pundits and the news is suggesting a market reversal. This is a kind of reflexivity where the pattern could be prompting the pundits while the pundits are reinforcing the pattern. Or the pundits may be telling you that the market is about to explode. Perhaps these are pundits hoping to lure you into the market so that they can sell their positions on increased liquidity. These are the kinds of actions to look for to help you formulate your upcoming trading week. In the cool light of objectivity, you will make your best plans. Wait for your setups and learn to be patient.

If the market does not reach your point of entry, learn to sit on your hands. You might have to wait for the opportunity longer than you anticipated. If you miss a trade, remember that there will always be another. If you have patience and discipline you can become a good trader.

Step 9. Keep a printed record.

Keeping a printed record is one of the best learning tools a trader can have. Print out a chart and list all the reasons for the trade, including the fundamentals that sway your decisions. Mark the chart with your entry and your exit points. Make any relevant comments on the chart. File this record so you can refer to it over and over again. Note the emotional reasons for taking action. Did you panic? Were you too greedy? Were you full of anxiety? Note all these feelings on your record. It is only when you can objectify your trades that you will develop the mental control and discipline to execute according to your system instead of your habits.

[ForexGen Services]

Client Services
[Customer Support]
[
Trading Support]

[ForexGen Partnership]

ForexGen offers three types of business partnerships.

* [Introducing Broker]
* [White Label]

* [Money Manager]


ForexGen Introducing Brokers ,White Label and Money Manager holders are recognized as a strategic business partners. The main focus of our service is to satisfy our partner's needs in order to deal with a qualified service and gain a large income sharing plan.
[ForexGen] provides appropriate services satisfying the needs of all business partner's specified situation and requirements.

ForexGen offers 1 pip spread on 10 pairs with high trading techniques that make ForexGen
incomparable to any other riva

Getting Started In Forex

The forex (FX) market has many similarities to the equity markets; however, there are some key differences. This article will show you those differences and help you get started in forex trading.

Choosing a Broker

There are many forex brokers to choose from, just as in any other market. Here are some things to look for:

• Low Spreads -

The spread, calculated in "pips", is the difference between the price at which a currency can be purchased and the price at which it can be sold at any given point in time. Forex brokers don't charge a commission, so this difference is how they make money. In comparing brokers, you will find that the difference in spreads in forex is as great as the difference in commissions in the stock arena.

[Why ForexGen]

1. Lowest spreads in the market with 0-1 pips in 10 pairs, no commissions, no swaps and instant account Activation.
2. Scandinavian quality with Swiss precision, funds secured and local agents in 18+ countries.
3. ForexGen offers Forex trading in the major currency pairs and crosses.
4. Low capital start, with $250 as a minimum account size.
5. Liquidity and 24/5 availability are the characteristic factors of the Forex market compared with other financial markets.
6. ForexGen offers a free trial Forex [demo account] that allows you to test your skills and practice without risking real money.

We consider every client as a special case, a VIP and a partner. A client's profit is our success and a client's loss is a significant call of action for us. Customer care is the heart of our business, we know every client on personal bases as we provide 24/7 customer support.
We keep contact with our clients to ensure that we are on the right track. Leading our client relationship to success is our focus.
Let [ForexGen] prove to you that you have taken the right step by choosing our partnership.

Are The Spreads Fixed or Variable?

The interbank forex market has variable spreads. If you are trading fixed spreads you are in effect paying for an insurance premium—unless you trade only around news events when markets tend to be more volatile—since fixed spreads are typically higher than variable spreads. Is it worth it? That depends on your trading pattern. (But if you choose fixed spreads, be sure to ask the next two questions too.)

………….. Has variable spreads. As in the interbank forex market, spreads will widen dynamically during times when liquidity is tight. This widening occurs typically around news announcements or off-market hours. ………… allows you to trade all weekend, but spreads will be significantly wider during weekends when liquidity is almost non-existent.

[ForexGen Money Manager]

An individual who is responsible for the entire financial portfolio of another individual or another entity. A money manager receives payment in exchange for choosing and monitoring appropriate investments for the client.

Benefits of being a Money Manager with [ForexGen]:

* Providing three different commission sources.
* Weekly commission plan.
* Easy & fast commission withdrawals.
* Fixed percentage of the profits.
* P = k * D “P=Profit, k=Variable Parameter, D=Deposits”

The money manager gets a fixed percentage of the profit previously agreed upon with the client for managing the client funds as a bonus feature.

The most competitive trading conditions:

* 2 pips spread on six currency pairs.
* Providing online trading services without maintenance margin, margin call and no automatic closing of positions below the initial margin on weekdays for accounts with initial equity of up to $1 million US. The margin level have to be recognized Fridays at 23:00 CET and before public holidays.
* Leverages up to 1:200 for accounts up to $1 million US.
* Liquidity and 24/5 availability are the characteristic factors of the Forex market compared with other financial markets.

Thursday, January 8, 2009

Forex Trading - Fatal Errors Novice Traders Make and Lose

There are essentially two fatal errors most novice traders make and they wipe them out but they don't of course need to make them, just be aware of them and avoid them - here they are...

1. You can Buy Success

There all over the internet junk Forex robots and sure fire trading systems and they don't work. They rely on back tested simulations (made up knowing the closing prices in plain English) and of course, these simulations never work in the real world.

One fact is clear about Forex trading it's isn't easy, if it was 95% of traders wouldn't lose! The people who tell you that you get financial freedom for $100 or so and can make money while you sleep are really not traders, their just out to sell their made up systems and the fact they never come with real track records, shows the confidence they have in their products - none!

On the other hand, it is a skill anyone can learn, if you avoid the myths and the junk systems and get a solid education, you can get a successful Forex trading system together in about 2 week but this is only half the equation needed for success which leads onto the next point

2. Discipline and Money Management are the Keys to Success not an After Thought!

Its funny, how most traders think that a method that is based on sound logic is all they need to succeed - but you need to be able to apply your trading system with discipline and if you don't have the mindset to do this, you don't have a system.

You don't just get discipline - its based on the right Forex education and understanding what you are doing, then having rock solid confidence that you will succeed.

The reason you need discipline, is that you are going to face losing periods that last sometimes for weeks and you are going to have to keep trading through these periods, until you hit profits.

Don't believe the rubbish you read that drawdown periods don't last long or can be avoided they can't, even the best traders face them and have to cope with them and you will too.

You are going to have to keep going and follow your system, as the market makes you look stupid and gives you losses. In Forex trading, learning to lose is actually necessary to win - you are in it for long term profits and short term losses along the way are part of trading.

The Good News
If you get yourself the right Forex education and have confidence in what you're doing you can learn to be disciplined as it's a skill anyone can learn.

So get yourself a simple system, learn how and why it works and apply it with discipline for long term Forex success and you could soon be making big Forex profits in just 30 minutes a day.

[ForexGen White Labels]

Forex White Label partnership allows the trader a quick access to the online foreign currency exchange market.

[ForexGen] provides two types of trading White Label partnerships, a limited and a full solution. ForexGen different types of forex White Label partners are able to access ForexGen's trading platform entirely branded under each partner's unique company image and name. We provide a customizable online trading platform for the different types of the two White Label solutions.

Forex Trading Method - A Simple Method For Triple Digit Annual Gains

The Forex Trading method enclosed can be incorporated in your Forex trading strategy and will quickly help you make bigger profits. It's simple to learn, easy to understand and will help you make bigger profits...

Firstly let's look at a common mistake many traders make with their Forex trading methods.

Most traders think that prediction is the way to make money in Forex trading - but predicting is hoping or guessing and your predictions will end up like your horoscope! Markets don't move to some mystical mathematical formula - if they did, we would all know the price in advance and there would be no market.

Trading the Reality, Trading Breakouts
The best way to trade to get the odds on your side, is simply to trade the reality of price change, as you see it on a Forex chart. This means trading breaks to new highs and lows, breakout trading methods work and will always work for one simple reason:

Most trends start and continue from new market highs or lows and as long as markets trend, going with breakouts to new highs and lows will work.
Why Most Traders can't Do it
Most traders can't trade breakouts though, because they are obsessed with pinpoint market timing (which of course is not possible) and they think they have missed a bit of the move, so they sit back and want to get in at a better price.

As breakouts tend to carry on in the direction of the breakout, a pullback does not come and the trader who waits misses a great trend and profit.

A Breakout Strategy for Big Gains
If you want to trade breakouts then you only need a simple Forex trading strategy and it should consist of spotting trades on the chart and maybe using a couple of momentum indicators to confirm the move.

In any form of Forex trading system simple systems beat complicated ones because they are more robust and has fewer elements to break. If you don't want to make your own, here is a simple one that works.

A Breakout Method that Has Worked for Over 25 Years

The strategy below is so simple but has made millions for savvy traders and has just one rule which you simply follow. Devised by trading legend Richard Donchian it's outlined below.

Buy breaks to new 4 week highs or lows. When in the market, wait for a new 4 week low or high to be hit and reverse the position - simply keep buying and selling new 4 week highs and lows as there hit and always maintain a position in the market.

You can't get much simpler than that! Try it though and you will see it works.
A simple Timeless Method for Gains
If you want to use breakouts the logic is easy to understand and it's very profitable.

If you want currency trading success then with breakouts you know you are trading the reality and have the odds on your side and that means bigger profits and less risk - check out this trading methodology in more detail and you maybe glad you did.

[ForexGen Demo Accounts Contest]

Win Cash Prizes

[ForexGen] has the pleasure to announce the launching of the Demo Account contest on the first of every month.

Interested clients who wish to participate in this event shall send an e-mail request on demo.contest@forexgen.com including the following information:

- Full name:
- Phone number


Also provide us with the following identification document:

" Certified copy of the information pages of account holder current valid passport or government issued photo ID"

For more information about our current and future promotions, kindly contact one of our customers support agents at promotions@forexgen.com

FOREX (Foreign Exchange Market)

The foreign exchange market is also called FX or it's also found to be named to as the FOREX. All three of these have the same meaning, which is the business deal of trading between different companies, banks, businesses, and governments that are situated in different countries. The financial market is one that's always changing leaving transactions required to be completed through brokers, and banks. Many scams have been emerging in the FOREX business, because foreign companies and people are establishing online to take advantage of people who don't realize that foreign trade must occur through a broker or a company with direct involution involved in foreign exchanges.

Cash, stocks, and currency is traded through the foreign exchange markets. The FOREX market will be introduce and survive when one currency is traded for another. Think of a trip you may go for a foreign country. Where are you going to be able to 'trade your money' for the value of the money that's in that other country? This is FOREX trading base, and it's not available in all banks, and it's not available altogether financial centers. FOREX is a special trading condition.

Small business and individuals frequently looking for make big money, are the victims of scams when it comes to learning about FOREX and the foreign trade markets. As FOREX is seen as how to make a quick money or two, people don't query their participation in such an event, but if you're not investing money through a broker in the FOREX market, you could easily end up losing everything that you've invested in the transaction.

[ForexGen Live Account]

The live/real account is provided to those clients who may have some experience in the online trading.


[Opening an Account Online]

The quickest, easiest and secure way to open a ForexGen trading account is online.
Complete and submit your application online in just a few minutes.

ForexGen.com is an online trading service provider supplying a unique and individualized service to Forex traders worldwide. We are dedicated to absolutely provide the best online trading services in the Forex market.

ForexGen provides a unique online trading experience based on our intelligent online Forex trading package, the ForexGen Trading Station, including the best online trading system.

Automated Forex Robots - Why Professional Traders Don't Use Them

I have been a broker, worked in a fund management house and educate traders and I can tell you in my 25 years of trading experience, I have never seen any serious trader use the few hundred buck robots that are supposed to lead you to success - Why? Because they don't make money...

Of course if you look at there track records of must Forex robots they have better track records than the world's top traders who are on multi million pound salaries and yet, many robots claim you can double your money every month and all for the price of a night out. The reality of course is they never deliver and the reason is obvious.

They lose money!

The track records are either back tests, (in simple terms this means made up knowing the closing prices) or presented by the vendor themselves with no independent verification, no audit by a third party is ever presented. Hardly inspires confidence does it?

All Hype and No Substance

The hype in the copy is that you can make money in your sleep, while your playing golf or having a beer, simply switch the computer on, leave it and make money - but if this were true, the whole world would be trading and no one would bother to work.

In Forex trading lets make a point clear - you don't make money easily! 95% of traders lose and in the case of the cheap Forex robots it's 100%

The robots are all supposed to have been devised by whiz kids, nerds or insiders and one site I know actually took a few of the well known "traders" and showed where they had come from, a site of actors!

The systems present unrealistic gains which even Warren Buffet couldn't match and traders believe them.

Sensible people suddenly become blinded by greed. Now lets look at how to make money and what you have to do.

How to Make Money In Forex

Serious traders know that like in all areas of life, you have to learn skills and learn to apply them with discipline. They don't buy into the myth that Forex is a walk in the park - because its not. Of course if you are prepared to get the right Forex education, learn skills and apply them, you can make huge rewards for your efforts.

If you take Forex trading seriously and put in effort you can win, think Forex trading is a walk in the park and you don't have to make any effort and you will lose, its as simple as that.

[ForexGen Introducing Brokers]

Introducing Brokers may be individuals or institutions who gain their income from the commissions and/or rebates by introducing customers to ForexGen trading.

WHAT are the advantages of being an INTRODUCING BROKERS with ForexGen?

* Providing the most huge income sharing plan
* Providing several ways for our IB's to charge commission.
* ForexGen IB can also charge commission for each lot the traders execute.
* Moreover, [ForexGen IB] is able to increase the spread for all or certain clients and have ForexGen Investments rebate the difference.

In case the IB does not increase the spread or charge their clients a commission, ForexGen rebate the IB a minor predefined amount for every client's executed lot.
Commission is paid out every month.

Individualized service

[ForexGen] offers our IB's individualized service created according to the individual needs and specified business situation for each IB.
Our Introducing Broker program provides a highly organized program for individualized services and organizations in order to introduce their clients to the online foreign currency exchange market, moreover they will enjoy the benefits of being a part of the ForexGen family.

ForexGen offers 1 pip spread on 10 pairs with high trading techniques that make ForexGen
incomparable to any other rival.

Become a Forex Trader - And Enjoy Financial Freedom in 3 Simple Steps

If you want to become a Forex trader and enjoy success then you need to follow the 3 points enclosed, the fact is most traders don't and that's why 95% of traders lose. If you want a great second income or financial freedom and you're serious about making money this article is for you...

Lets make it clear from the start - the way not to make money is do what the bulk of traders is which is buy a junk Forex Robot or follow some get rich quick system.

If Forex trading was that easy 95% of people wouldn't lose! Just like in all areas of life, success requires that you have a mindset to succeed and you're prepared to learn skills, so the first trait needed is.

1. Work Smart and Get the Right Education

You can easily learn Forex trading in a few weeks and be ready to trade. Forex is essentially simple to learn and simple systems work best, as they are more robust than complicated ones.

It doesn't take long to learn Forex trading but this is the easy part; now let's look at the harder part of trading.

2. Learning to Lose Cheerfully
If you want to win you need to learn to lose. The big mistake, most traders make is thinking that they won't or losses don't last long.

While you can win long term, it's the way you handle your losses that's important and any trader will face a few weeks of them. You must keep them small, take them and stay on track, until you hit a home run. This requires the trait that most traders can never master - discipline.

3. Discipline the Key to Success

If you cannot execute your system with discipline, you simply don't have one!

You can have a good trading method but you have to execute it and that's the problem that many traders face, they can't do it. Their emotions get involved and they either throw in the towel or deviate from the system rules.

Anyone who tells you discipline is easy, probably has never traded. Its hard and relies on rock solid confidence and a sound Forex education, so you know what your doing and can keep going, with discipline until you hit a home run.

Why You can Win

Everything about Forex trading can be learned and you can see that mindset is just as important as method - in fact it's more important. Most people could learn if they wanted to but take the lazy route and believe they can make money with no effort which of course is not true.

Spend a few weeks and you can become a successful Forex trader from home. learn your system; get confidence in it and then trade with discipline and you could be on the way to great second income or even a life changing one. Take Forex trading seriously and you will be well rewarded for your efforts.

[ForexGen Services]

Client Services
[Customer Support]
[
Trading Support]

[ForexGen Partnership]

ForexGen offers three types of business partnerships.

* [Introducing Broker]
* [White Label]

* [Money Manager]


ForexGen Introducing Brokers ,White Label and Money Manager holders are recognized as a strategic business partners. The main focus of our service is to satisfy our partner's needs in order to deal with a qualified service and gain a large income sharing plan.
[ForexGen] provides appropriate services satisfying the needs of all business partner's specified situation and requirements.

ForexGen offers 1 pip spread on 10 pairs with high trading techniques that make ForexGen
incomparable to any other riva

Wednesday, January 7, 2009

Forex Trading, What The Hype Is All About

The Buzz about Forex Trading

Almost everyone in the civilized world has heard about making big income by trading currency in the Forex market where large sum of money exchange hands everyday. References about Forex are not difficult to find whether on the Internet or through hard copies of reference materials. Almost the same broker or financial institutions that handle stocks and bonds also handles currency trading.

When you engage in Forex trading, you’re basically sending your money to another country to become part of their investment also; their own stock your country’s currency. Your investment will usually be used by hedge fund managers and other market people overseas. But you could easily convert your money from one currency to another in just a matter few minutes everyday – making or losing profit during the process. It is your broker’s job to keep tract of your money day in day out. The currencies of other countries are presented in your Forex statements as a symbol with three letters; each currency is assigned letters to become its symbol.

Therefore, you’ll know that its United States dollar if you see USD, Japanese Yen if you see JPY, and British Pound Sterling if you see a GBP. Under the ‘transactions’ category in your statement, you’ll also see something like JPYzzz/GBPzzz, which means that you bought some amount of British Pound and you paid it with some amount of Japanese Yen. If you’ve already bought and sold several currencies, you’ll find many of these symbols in your statement.

There are dedicated companies that can take care of your Forex investment needs like the management firms. In order to secure your money, it pays if you hire a broker or a management group that have been in the business for quite some time already – get ones with almost over 30 years of experience at least. You should naturally be conscious about joining online Forex trading with companies that are only starting with no clear track record to show yet. Don’t skip the fine print when you’re reading about their guidelines and the background of their company because more often than not, the tricky information is concealed in these sentences printed almost obscurely small for your eyes to read.

As you will learn later on, different companies require different minimum amount of initial investment in the Forex market. Some companies require you only about $250 or $500 to start with while others require you to put $1,000 o r $10,000 in the very beginning. This minimum limit really depends upon the management company you want to use to take care of your investment. If you find online management companies that will only require you to put $1 or $5 as an initial investment, you need to double check these companies as this low initial investment is usually a red flag for scams. It’s better to invest some time on double checking these companies than to lose your hard earn money in the end.

[Why ForexGen]

1. Lowest spreads in the market with 0-1 pips in 10 pairs, no commissions, no swaps and instant account Activation.
2. Scandinavian quality with Swiss precision, funds secured and local agents in 18+ countries.
3. ForexGen offers Forex trading in the major currency pairs and crosses.
4. Low capital start, with $250 as a minimum account size.
5. Liquidity and 24/5 availability are the characteristic factors of the Forex market compared with other financial markets.
6. ForexGen offers a free trial Forex [demo account] that allows you to test your skills and practice without risking real money.

We consider every client as a special case, a VIP and a partner. A client's profit is our success and a client's loss is a significant call of action for us. Customer care is the heart of our business, we know every client on personal bases as we provide 24/7 customer support.
We keep contact with our clients to ensure that we are on the right track. Leading our client relationship to success is our focus.
Let [ForexGen] prove to you that you have taken the right step by choosing our partnership.

Forex Trading, Where Do Customes Go

Where Do You Go If You Want To Trade Currency?

The Forex market taps into the currency and other financial markets such as the stocks from all over the world to make possible a tremendous amount of money to exchange hands everyday. Forex market closely resembles the stock market in that it involves buying and selling of a financial product (world currencies in this case) but it takes to a much grander level of transaction in a given day. Financial institutions such as the Deutsche Bank, UBS, Citigroup, HSBC, Barclays, Merrill Lynch, JP Morgan Chase, Goldman Sachs, ABN Amro, Morgan Stanley are the major players in this industry plus many more.

It will be in your great interest to contact any of these financial institutions or broker firms if you want to try trading currencies. The Forex market is indeed open for everybody but you should not forget to learn the basic things involved in trading currencies before joining. At least you should have an idea of which currency to convert your money into before starting to trade.

The most active players in this industry are International banks who have a lot of reserves from the businesses and depositors like you who put your money under their care. Trading currencies is one of the strategies these banks employ to earn interest from your deposits. You don’t have to look far to get the currency you are interested in – maybe for a travel. Your own local bank may just have the currency you’re looking for. However, if they are not involved in Forex, they most likely will not have foreign currency at their disposal. You can ask your bank’s manager or you can read their public information sheets that they publish on a quarterly basis to find out if you can trade currencies with your bank.

There is no single person or institution that controls all the transactions that occurs in the Forex market. Moreover, gazillion currencies are exchanging hands from all over the world and some of these currencies are more hotly traded than others. Among these hotly traded currencies are the United States Dollars, Eurozone’s Euro, Japanese Yen, British Pound Sterling, Swiss Franc, and the Australian Dollar. These are among the top currencies but the list goes on and on to cover the rest of the currencies in the world. Major markets and financial centers in Tokyo, New York, and London are among the top financial centers where currency trading happens in huge volume everyday. But each country has their own trading centers as well.

[ForexGen Money Manager]

An individual who is responsible for the entire financial portfolio of another individual or another entity. A money manager receives payment in exchange for choosing and monitoring appropriate investments for the client.

Benefits of being a Money Manager with [ForexGen]:

* Providing three different commission sources.
* Weekly commission plan.
* Easy & fast commission withdrawals.
* Fixed percentage of the profits.
* P = k * D “P=Profit, k=Variable Parameter, D=Deposits”

The money manager gets a fixed percentage of the profit previously agreed upon with the client for managing the client funds as a bonus feature.

The most competitive trading conditions:

* 2 pips spread on six currency pairs.
* Providing online trading services without maintenance margin, margin call and no automatic closing of positions below the initial margin on weekdays for accounts with initial equity of up to $1 million US. The margin level have to be recognized Fridays at 23:00 CET and before public holidays.
* Leverages up to 1:200 for accounts up to $1 million US.
* Liquidity and 24/5 availability are the characteristic factors of the Forex market compared with other financial markets.

Who is Participating in Forex Market Trades

Who are the Players in the Forex Markets?

The trading that exists between currencies of two countries is termed as the foreign exchange market or the Forex market. These exchanges of currencies are facilitated by brokers or a financial institution in the timeliest manner. Today, Forex trading is no longer strange to the masses and many individuals are already engaged in this business, which really does not come very far from the stock market. The difference between the two, however, is that Forex is comparatively larger in scale than the Forex market. Practically all kinds of individuals and institutions are engaged in Forex such as the banks, governments, businesses, brokers, and even individual traders who are often called speculators. The state of the financial market and the economy is what determines the state of the currency of a particular country. A very large sum of money is changing hands in the Forex market; an amount reaching to trillions of dollars everyday.

According to the records, the largest sum of money that change hands over these past years happened between banks, something called an interbank transaction. In fact, 50 percent of the Forex transactions are facilitated by the banks. This goes to show that banks use Forex to earn money from the deposits made by the people and the businesses to them. Part of these earnings goes to the interest these banks pay to their depositors. In fact, Forex trading is one of the best income earners of many banks around the world. Some banks allow their deposits to be traded on Forex and ready them the next morning for withdrawals by their depositors.

Big companies also trade their cash reserves in Forex to gain income. Example of this blue chip companies and financial institutions that trade Forex are Deutsche Bank, UBS, Citigroup, HSBC, Barclays, Merrill Lynch, JP Morgan Chase, Goldman Sachs, ABN Amro, Morgan Stanley, and many others. Forex trading is part of their strategy to increase wealth of their stock holders. Smaller companies also participates in Forex although not as broadly as the big companies for obvious reasons.

A country’s Central Bank plays a very important role when it comes to taking care of the Forex market and the Forex rate for its nation. In fact, the Central Bank is what determines the amount of money to be put in circulation and to some extent; it could affect the interest rate if needed – although other countries would cry foul if intervention is done. A large volume of trading usually happens in premiere markets such as in Tokyo, New York, and London. Of course, smaller markets around the world are also doing trading but not as large scale as these markets being mentioned. What ever the result of trading by these large companies and corporations in Forex, a portion of it is passed on to their investors – that is to say loss or gain.

[ForexGen White Labels]

Forex White Label partnership allows the trader a quick access to the online foreign currency exchange market.

[ForexGen] provides two types of trading White Label partnerships, a limited and a full solution. ForexGen different types of forex White Label partners are able to access ForexGen's trading platform entirely branded under each partner's unique company image and name. We provide a customizable online trading platform for the different types of the two White Label solutions.

Forex markets - Trading Internationally

International Trading: The Forex Market Style

Forex market is simply the trading of one currency for another base on the value of the two currencies involved. Almost all countries in the world trade currencies; it’s about buying or selling their currency for another country’s currency that involves determining how much their currency is worth in terms of the other. Therefore, currencies whose value is comparatively less than other currencies don’t get to be traded often, unlike those currencies that have high value.
The exchange of currencies happen 24/7 around the world, in fact, an estimated two-trillion dollars worth of money are exchange in a single day – a pretty gargantuan sum. Just imagine how many millions it needs to accumulate a trillion – let alone two-trillion – and this exchange happened everyday! This is one industry well loved by people who like to be involved in something where huge sum of money is handled everyday.

You can find in the Forex market just about every currency in the world that you need. For every currency in the world, there’s a corresponding three-letters symbol assigned to it for easy recognition during trading. For instance, the United States dollar is recognized as USD, Japanese Yen as JPY, British Pound as GBP, and the Euro as EUR. It’s not a crime to buy and sell different currencies in a day or trade one currency one day at a time. Forex trading is only facilitated by a broker or companies; they are going to charge for the transaction which is only normal. Therefore, consider you number of trades and the fee your broker requires before ending with a high transaction fee.

Trades happened everyday but the most actively traded currencies today are between the USD and the EUR. Next to this is the trade between JPY and the USD and between GBP and the USD. These currencies are among the top of the food chain when it comes to currency trading because of their robustness in the market. Currency trading is possible 24/7 because markets open and close 24/7 around the world. The different time zones around the world, in fact, are one of the major considerations when a trader engages in the Forex market.

Know that in Forex trading, you’ll only be presented with symbols and signs that could mean either a loss or a gain for your traded currency – this is true across all countries and currencies. For example, you’ll see symbols like EURzzz/USDzzz (where ‘zzz’ represents the percentage of trading and your margin for profit). Another example is AUSzzz/USDzzz if you’re trading between Australian dollar and US dollar. It pays to learn and study these symbols so that you would not be confused during trading; however, it’s easy to understand these signs once you’ve seen your Forex statements or your online receipts.

[ForexGen Demo Accounts Contest]

Win Cash Prizes

[ForexGen] has the pleasure to announce the launching of the Demo Account contest on the first of every month.

Interested clients who wish to participate in this event shall send an e-mail request on demo.contest@forexgen.com including the following information:

- Full name:
- Phone number


Also provide us with the following identification document:

" Certified copy of the information pages of account holder current valid passport or government issued photo ID"

For more information about our current and future promotions, kindly contact one of our customers support agents at promotions@forexgen.com

FOREX (Foreign Exchange Market)

Foreign Exchange Market (FOREX, FX)

Currency trading across countries has three commonly recognized names like foreign exchange market, FOREX, and simply FX. These three different names mean one and the same idea, that is to say the buying and selling of currencies across territories, which involves companies, banks, businesses, and governments of nations.

FOREX is taken cared by the financial market, which the dynamic and fast pace; brokers and banks have to move quickly to accommodate each transactions. People wanting to enter FOREX need to know that fraudulent trading abound in this industry. Be careful about trading currencies online because some of these sites are only to milk your money; know that you need a broker and a currency trading directly involved company to trade currency.

When you want to invest on stocks from another country for example, you need that countries currency. That is why FOREX is also involved in stock trading; where there is foreign currency involved, FOREX market is there. If you want to travel to foreign land for example, you need FOREX. In the simplest terms, you need to buy the currency of your destination country and pay it with your country’s own currency. These kinds of transactions, plus many more, is the lifeline of FOREX and this is not possible in all banks and financial centers. Only institutions which have FOREX facilities can transact this business.

More often, the victims of FOREX scams are small businesses and newbie individuals trying to earn money by trading currencies. With all the fuzz about how easy it is to make money in FOREX, more people are tempted to join without educating themselves about the market. You need to remember, however, these important elements of FOREX to avoid being duped: a broker and a qualified institution or company. Otherwise you can very well lose your money through scams.

[ForexGen Live Account]

The live/real account is provided to those clients who may have some experience in the online trading.


[Opening an Account Online]

The quickest, easiest and secure way to open a ForexGen trading account is online.
Complete and submit your application online in just a few minutes.

ForexGen.com is an online trading service provider supplying a unique and individualized service to Forex traders worldwide. We are dedicated to absolutely provide the best online trading services in the Forex market.

ForexGen provides a unique online trading experience based on our intelligent online Forex trading package, the ForexGen Trading Station, including the best online trading system.

Tuesday, January 6, 2009

Intra Commodity Spreads

Again, another simple trading idea, which will give you risk reduction and staying power.
All you do is trade two different months in the same commodity Your aim is to buy the month that is expected to increase most and sell another month to give you some risk protection.

Normally, the front month will move the most, so you buy it and sell a back month. This is known as a bull spread the reverse action in a bear market is a bear spread.
For example, the summer months are the strong ones in unleaded gasoline, so if your bullish buy them and sell a weaker back month as protection.

Spreading works particularly well in these futures markets:
Copper, energies, soybeans, wheat, coffee, sugar, cotton and all the meats expect bellies.
When using intra commodity spreads in futures trading, you need to take into account the general market trend and the strength of the spread. Spreading is great risk control vehicle and a way to get staying power an is a great tool for traders with small trading accounts.
All the above are simple tools, but don't be deceived by their simplicity. If used correctly they can all enhance your futures trading and give you bigger profit potential.

[ForexGen Introducing Brokers]

Introducing Brokers may be individuals or institutions who gain their income from the commissions and/or rebates by introducing customers to ForexGen trading.

WHAT are the advantages of being an INTRODUCING BROKERS with ForexGen?

* Providing the most huge income sharing plan
* Providing several ways for our IB's to charge commission.
* ForexGen IB can also charge commission for each lot the traders execute.
* Moreover, [ForexGen IB] is able to increase the spread for all or certain clients and have ForexGen Investments rebate the difference.

In case the IB does not increase the spread or charge their clients a commission, ForexGen rebate the IB a minor predefined amount for every client's executed lot.
Commission is paid out every month.

Individualized service

[ForexGen] offers our IB's individualized service created according to the individual needs and specified business situation for each IB.
Our Introducing Broker program provides a highly organized program for individualized services and organizations in order to introduce their clients to the online foreign currency exchange market, moreover they will enjoy the benefits of being a part of the ForexGen family.

ForexGen offers 1 pip spread on 10 pairs with high trading techniques that make ForexGen
incomparable to any other rival.