Wednesday, January 30, 2008

Forex Trading - These Traders Made Millions after Just 14 Days Training!

Forex Trading - These Traders Made Millions after Just 14 Days Training!

By: Monica Hendrix

The turtle story is a trading story that will inspire and motivate you. If you want to get some great forex education learn how a group of traders with no previous experience went on to make millions after just 14 days.

The experiment took place over 20 years ago.

Legendary trader Richard Dennis in 1983 set out to prove that successful trading could be learned by anyone who learned the right information and he set out to prove his point - He interviewed 23 people for the test, who only had one thing in common:

None had any previous trading experience, they were also of all ages both men and women and from diverse backgrounds which included:

A security guard, two professional card players, a kid fresh from school and a female book keeper. He trained the group in just 14 days and then set them off to trade.

The result?

This group went on to be some of the most successful and famous traders of their generation and may are still trading successfully today.

How did they do it?

Getting the RIGHT Information

Dennis set out to teach them a simple method; they could have confidence in and this was the key to the experiment.

The method had to be simple and logical so the traders could apply strict money management rules with discipline to achieve long term success.

Of course, if a method is not applied with discipline the method is doomed to fail

There was no filler in the material he taught them just what they needed to know to achieve success - he taught them to work smart not hard and this can be seen in how quickly he did it just 14 days!

Trading is relatively simple about 95% of traders lose all their money - and they fail not because they cant learn currency trading, it's a fact anyone can but they either have methods that don't work but more often than not, its their mindset that sees them fail.

Dennis focused on keeping the method simple and easy to understand and gave them the mindset to succeed. He taught them to follow the method with discipline and run their profits and cut their losses.

The experiment was a success of course but the question you may ask yourself is:

Is it really that easy to learn forex trading?

Its not easy of course, nothing ever is if there are big profits to be made - but it's not hard either - ANYONE can do it as the experiment proved.

You simply need to get the right forex education and get the right mindset to succeed.

Anyone can learn trading - it's a specifically learned skill not a natural born gift.

Most traders of course don't succeed but this is down to them, no one else is to blame.

Trading is hard to master because its hard to get the right mindset but there is a big difference between something being hard and not being achievable at all.

You can succeed just as the turtles did if you accept:

Trading success is a combination of the right mindset and the right knowledge.

Most traders learn the wrong type of forex trading information or are lazy and expect some mentor to give them success and they lose. Wining in trading comes from within and you need to take charge of your own destiny success rests on your shoulders.

Most of the systems and e-books sold on the net are junk not from traders at all but from marketing companies who never traded in their lives!

They make their money making claims that have no substantiation and the gullible novice traders fall for it.

There are good courses out there but there few and far between but if you can find a good one then it can be very valuable especially if the people teaching are traders themselves

The Challenge

If you have the desire to succeed and are prepared to learn the right knowledge, then you can achieve currency trading success.

The question is:

Are you up for the challenge, do you have desire and will you work hard?

If you are, forex trading can offer you the opportunity to make big consistent gains

Be inspired by the turtles and set yourself on the road to currency trading success - there is nothing to stop you achieving success - accept the challenge today!

NEW! PROFESSIONAL FOREX COURSE AND FREE TRADING PDF's For free trading guides and an exclusive Forex Trading Course visit our website at: http://www.learncurrencytradingonline.com/index.html

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Basic Money Management for Forex Trading

Basic Money Management for Forex Trading

By: Marcus Masters

There can be and are whole books written on the topic of money management, but I like to keep things simple so I will just give you a few simple rules that you can follow to implement successful money management in your forex trading.

Actually, to make it even simpler, I believe that money management when it comes to the currency markets can really be summed up in a nice way with just one sentence:

......(wait for it)......

Make sure that you always trade the same number of lots on every trade that you make!

Ok, that's it, end of article. Just kidding, but if you were to walk away and remember just that one sentence you would probably end up making your trading more profitable on the whole.

I will let you in on a few some other aspects of good money management, but CONSISTENCY is a very important part that you should never neglect.

First off, forex traders are able to take advantage of large amounts of leverage, which greatly magnifies any profits or losses. Because of this, doubling your trading account balance is just as easy as completely wiping out your account.

The first simple rule of proper forex money management is to always fund your live trading account with RISK CAPITAL. Simply put, risk capital is just money that you do not need to survive or pay the bills.

When you only fund your account with risk capital, you will feel much more emotionally detached from that money and it will be easier for you to adhere to the rules of your trading strategy.

Something else that many novice forex traders fall victim to is over-trading their account. This will usually happen in a rage after a losing series of trades, and it is very reminiscent of a losing gambler trying to double his bets to recoup his losses, but only ends up losing more.

The second simple rule of money management is not to over-trade your account, and only enter the market when you have SUFFICIENT REASON or justification for entering.

Also realize that it is pretty unrealistic to believe that you can have winning trades 100% of the time. Losing trades just happen sometimes, so deal with it! Because even the best forex traders will still have losing trades occasionally, it is wise to make sure that you always trade with a stop loss in order to minimize your losses (that is rule #3).

But more than anything else, it is important to be consistent in the amount of money that you place on each trade. Do not trade 1 lot, and then later that day trade 8 lots, as this is a sure-fire indication that you are not confident in the rate of success of your trading system.

So remember, be consistent and trade the same number of lots each time!

My name is Marcus Masters, and I have gathered a large collection of free forex ebooks and reports at http://TheForexSurfer.com/reports . You can also learn about my personal profitable forex trading strategy called Forex Surfing. Just go to http://TheForexSurfer.com

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Forex trading tools

Forex trading tools

By: Ac Markets

Forex is the largest and most happening financial market of the world. It is the venue where one currency is traded for the other. The market place is distinguished from the rest because of its high trading volume and geographical dispersion. A trader with sound knowledge of currency trading can earn substantial profit in forex market. Along with the knowledge of trading, he should have access to a few tools of forex trading. These tools are made to strengthen the confidence of a trader and can prove out to be a great help for a winning currency trading in forex.

Being an awakened trader of forex market, you should remain aware about every latest happening of currency trading. Therefore, it’s important for you to have access to daily forex trading summary for important currencies and currency pairs. Add to this, a weekly forex trading summary is also beneficial as it will encompass detailed analysis of your sought subject. Tools that help you to access and monitor the interest rates, financial calendar, glossary database are also worthwhile.

Apart from the above, there are several other tools of currency trading available around you. Several software containing detailed analysis and information about currency trading are also available at your disposal. All these tools and software packs are important for a successful forex trading. With access to such tools, a trader can easily execute his trading. Now, how to get these tools easily and satisfactorily? Well, it’s easy.

With the availability of internet, you need not to get out of your home to access these tools and software packs. Just a single click and you can access valuable information and tools regarding currency trading in forex. Several online forex firms have been established only to offer you tools and software packs for forex trading. Some of them may charge money from you to download or access the software packs and tools. If you are not at all interested to cut your pocket, go for those forex firms, who offer free download facility.

Online forex firms are beneficial in many ways. They not only offer you currency trading tools and software but also keen to give you an insight into the latest incidents of forex market. They also publish economic reports and influential topics on their websites with an aim to update a trader about what matter in currency trading. You can also access live charts of the forex market and trading secrets from such online firms. These forex firms are usually run by experienced professional, who own years of experience in currency trading. So, you can trust them.

Thus trading in forex market has become easy with the availability of tools and software packs. And the advent of internet has made it easier. Today any one from any corner of the world can access forex trading tools for simplifying his currency trading.

Forex is the largest market place of Forex Trading. While currency trading in Forex Market or dwelling over currency market, one should mull over the present scenario and future prospects of the country, currency of which he is trading.

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Benefits and Pitfalls of a Java-Based Forex Trading Platform

Benefits and Pitfalls of a Java-Based Forex Trading Platform

By: Marcus Masters

Many forex brokers today offer a Java-based platform to traders as opposed to the traditional software that needs to be installed on your computer.

If you are considering using a broker that offers this type of web-based trading platform, it is important for you to understand what makes this option good, as well as its potential downfalls.

First off, Java is a programming language that can make dynamic programs available through just your web browser. So understand that with Java-based tradin, your forex trading platform will load within your internet browser (such as Internet Explorer or Firefox).

One of the potential upsides of a Java-based trading environment is that because there is no need to install any software, you can use nearly any computer to access your forex trading account. With a downloadable trading platform, you will usually be tied to a single computer for your trading because any other computer that you would use would need to have this software installed as well.

A potential downside of a Java-based forex platform is that downloadable platforms tend to have many more features, such as a newsfeed, advanced charting, and possibly even trading signals. A Java-based platform will likely have not much more than you need in order to place trades, and you will need to use some external charting program in order to view price data.

FX trading platforms that you have to download and install onto your computer tend to be highly refined to the point that they will very rarely, if ever, crash. Brokers know that they could lose many customers if they use a software which is prone to crashing, so they will put significant resources into making sure that their software will be stable.

Your internet browser is much more prone to crashing than is your trading software (usually), especially if you are surfing other web pages or checking your email at the same time. If your browser does happen to crash or shut down, and you have trades open, it is hard to predict what will happen.

Either way, it is always a good idea to keep the phone number of your broker on hand just in case you should have trouble with your trading platform. If for some reason your Java-based trading environment were to crash while you had trades open and you were unable to bring that data back up on your screen, it would be wise to call your broker and close all open positions.

Ideally, you would want to choose a forex broker that offered both a Java-based trading environment as well as downloadable software. That way, you could enjoy the stability and features of the downloadable software, but also be able to log into your trading account from a computer that does not have the software installed.

Get more free education and ebooks about the forex market at http://TheForexSurfer.com/ebooks , and also learn about a highly profitable trading strategy called Forex Surfing. Ride the Waves of the Global Economy ~ http://TheForexSurfer.com

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Dollar in the Doldrums

Dollar in the Doldrums

By: Mike Wright

The Dollar again grabbed the headlines last week as it hit all time lows against the Euro and levels not seen in generations against the Pound & Canadian Dollar.

The reason for this drop in the medium term has been the gradual weakening of the US economy as it tries to fight the effects of the credit crunch and a housing slump. Recent Case-Schiller data showed that US house prices fell for the eighth consecutive month with most of the country’s regions posting declines. On Thursday, banking stocks suffering their worse fall for years as US giant Citigroup was battered by analysts down grades. This comes on top of a recent 57% drop in third quarter profits compared to last year. Citigroup are now in danger of dropping out of the top 10 US companies by market capitalisation. Top of the list Exxon Mobil also disappointed with below estimate earnings despite record oil prices. To cap all this negative data, former Fed chairman Alan Greenspan went on record as saying that the US trade gap implied dollar erosion and with an accelerating decline.

Of course the short term reason for the drop in the dollar last week was the widely expected quarter point cut in interest rates by the FOMC. Notable however, was the unusually hawkish language that accompanied the statement. One economist called the wording as "subtle as a sledge hammer" because of the bold way it indicated that this was the last cut for a while. Hawkish comments from the MPC combined to send the USD/ GBP exchange rate within touching distance of $2.09 to the pound.

Equity markets initially greeted the FOMC decision positively, pushing the S&P 500 past last week’s high and the Nasdaq to fresh new highs for 2007. On Thursday, however all the good work was undone as earnings fears and the reduced probability of further cuts brought out the sellers in force. The fall was of the same magnitude as the mauling on the 19th of October which brought out lots of shock headlines in the mainstream press. This time it was hardly reported. When the press gets hold of something, it may pay to go the other way. When the same thing is met with silence it could be time to get genuinely worried.

Notable announcements next week are UK industrial production figures on Monday, US Non-farm productivity figures on Wednesday, trade balance numbers and consumer sentiment data on Friday. In all it looks a data heavy week and we haven’t even mentioned the MPC and ECB interest rate decisions on Thursday. The consensus estimate is that both central banks will announce no change statements, but as ever it is the reading between the lines on the next decision that will cause the excitement. ECB president Trichet is speaking after the statement.

Last week’s German PMI figures were well below estimates, which might call into question the widely held view that the next ECB move will be up. Friday’s payroll numbers indicated that there may be life in the US economy yet. The dollar may have further to fall, but perhaps Greenspan’s accelerated decline may not come to fruition, particularly against the Euro. If the ECB keep rates on hold over the coming months, or even cuts them, as some now think they might, then the dollar’s decline could become more measured.

Therefore, a long term trade that picks up on the possibility of a slower Dollar decline might be attractive. Traders ar BetOnMarkets.com predicts that a no touch trade on the EUR/ USD with the trigger set to 1.50 over 180 days pays a 78% return. If the dollar falls only a little bit more, stays still or strengthens against the Euro then the trade wins. The trade is not without its risks, but that is reflected in the price.

- THE END -

Contact Details:

Email: editor@my.regentmarkets.com Tel: +44 1624 678 883 Url: Betonmarkets.com & Betonmarkets.co.uk

Address: Regent Markets (IOM) Limited 3rd Floor, 1-5 Church Street Douglas, Isle of Man IM1 2AG

Betonmarkets.com is the leading fixed-odds financial betting website. The website has processed over 10 million bets since inception in 2000, and generates annual turnover in excess of US$ 100 million. Betonmarkets offers a wide range of fixed-odds financial bets on forex rates, stock indices, and international stocks.

Betonmarkets is operated by the Regent Mark-ets Group of companies. Regent Markets is affiliated to the Regent Pacific Group, a Hong Kong-listed investment group. Regent Markets has offices in three countries, and holds bookmakers licenses in the Isle of Man, the UK, and Malta.

Name: Mike Wright Address: Regent Markets (IOM) Limited 3rd Floor, 1-5 Church Street, Douglas, Isle of Man IM1 2AG, British Isles. Phone: +44 1624 678 883 Email: editor@my.regentmarkets.com URL: http://www.betonmarkets.com & http://www.betonmarkets.co.uk

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More cuts and the dollar’s goose is cooked

More cuts and the dollar’s goose is cooked

By: Fat Prophets

The US Federal Reserve’s higher than expected 50 basis point rate cut recently instilled some confidence to stockmarkets worldwide. But while Bernanke’s monetary easing may have applied a little grease to a creaky credit system, the implications of the central bank’s actions are more far-reaching than just a bounce in shares.

The rate cut pushed the US dollar down and we believe it has more to fall. The question now really revolves around whether the Fed’s rate cut is enough to spark US economy growth – or less optimistically - prevent a recession. If not, further rate cuts will be likely and this will of course lead to deeper dollar misery.

These risks stem from the main culprit for the recent sag in the markets - the subprime housing sector. Housing still forms the biggest weakness in the US economy and we believe hold further economic pain.

The prospects certainly look bleak. Starts and permits are at the lowest level for over 20 years and building confidence is at an all time low. Existing home sales have also dropped for the 13th consecutive month and inventory of new housing stands at a staggering record 10 months worth of sales.

And to make matters worse, a disturbingly large amount of low rate introductory mortgages are scheduled to re-set at higher rates in the first six months of 2008. This is very likely to result in rising mortgage strain for US households.

Defaults on payments will drive further foreclosures and as these continue, no doubt there will be more pressure on house prices. Pricing trends are deteriorating and the emerging data is starting to look concerning - prices in ten key US cities show the steepest drop in sixteen years.

This correction in home prices will dismantle the wealth illusion that was created by the housing bubble over the last decade. And as the value of their largest asset shrinks, households will also face a drain on spending power as their ability to draw on housing equity diminishes.

Part of Bernanke’s rate cut was supposed to ease the mortgage burden of homeowners’ facing higher interest rates. It is difficult, however, to see how it will have any immediate effect. Mortgage rates are based on long-term bond yields and not on the overnight cash rate that the Fed controls.

So, as households face a mounting mortgage burden, it looks uncertain whether the Fed’s latest rate cut will be enough to prevent belts being tightened and thus a slowdown in consumer spending cannot be ruled out. The consumer sector makes up about 70 percent of US GDP - its importance should not be underestimated.

Certainly, the consumer confidence indicators are not promising. The Conference Board’s consumer confidence index dropped below 100 for the first time this year and is at its lowest point since November 2005.

So, while the Fed’s monetary policy response to appreciably riskier economic conditions may have provided some relief to stockmarkets, the US economy still faces deeper issues spawned by cheap housing credit. The risk to the consumer could now provide the impetus for even further Fed easing.

The rate cut may prove to be insufficient to provide the necessary medicine to an ailing consumer sector but the effect on the US dollar was near fatal. After the Fed made its announcement, the US dollar plummeted and has continued to fall. If more rate cuts are carried out, and we believe this is inevitable given the reasons outlined above, the US dollar will have little choice but to follow.

This has led to a depreciation of the US dollar relative to other paper currencies. However, those nations with currencies pegged to the dollar continue to face inflationary pressures as they have imported US monetary policy through the exchange rate peg.

So much so that China, with its yuan pegged to the dollar, is now attempting to implement price controls to curb inflation. There is also speculation that the Saudi Arabian riyal’s dollar peg could be broken to curtail further inflationary pressures.

And as global investors flee the dollar, other investments have become increasingly more attractive. So far, commodities in general have shown notable strength. Base metal prices continue to soar and gold, the ultimate competitor to the US dollar, reached a multi-decade high last week.

We have also begun to see prices of other commodities follow suit – most notable the recent rising trends in the price of agricultural products.

Wheat, corn and soybeans have all risen strongly on tightening demand supply dynamics. With global population growth, economic expansion and continual industrialization of emerging countries, food inflation looks set to continue.

So it is becoming increasingly evident that inflationary pressures are mounting and with the continuing devaluation of paper currencies, these trends are likely to persist. As we contemplate the possibility of further Fed rate cuts, the fact is, any more will send the dollar flying further south.

So, sell the dollar, sell bonds and buy commodities, gold and oil in particular.

IMPORTANT: This message, together with the Fat Prophets website (www.fatprophets.com.au) and all its contents have been prepared for general information only, and as such, the specific needs, investment objectives or financial situation of any particular user have not been taken into consideration. Individuals should therefore talk with their financial planner or advisor before acting on any information present on this message or the Fat Prophets website. Performance is hypothetical and based on recommendations made in the Fat Prophets report. The table is updated monthly. Transaction costs have not been taken into account. Past performance is not a reliable guide to future performance, and investors should be aware that returns can be negative. For a full explanation of the performance calculation methodology, please contact Fat Prophets.

Fat Prophets are leading independent stock market advisors. Our aim is to be transparent, accountable, objective and ethical. We believe integrity is the central characteristic of every successful investor. Our independence in financial markets is derived from the fact that we do not execute share transactions or provide investment banking services. fatprophets.com.au

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Sunday, January 27, 2008

Automatic Forex Trading Software

Automatic Forex Trading Software

By: Paul Bryan

Forex trading has gained tremendously in interest and popularity in recent years mostly due to the introduction of automatic and automated forex trading systems. The market that was open to banks and similar big financial institutions is now luring medium and even small investors.

Forex market is the place where currency of one country is traded for currency of another country. These trades happen round the clock with transactions of billions or perhaps trillion of dollars everyday, making it one of the largest and most active financial markets.

With the advent of the internet, network, communication technologies, and sophisticated automated forex trading systems, participating in the forex market is now open to virtually anyone having a computer, an internet connection, a forex brokerage account and a good trading platform.

But staying on top of a forex position requires constant monitoring, as this global market is practically open round the clock. Automatic and automated forex trading systems is a tool that lets you specify a currency, an asking price, and a selling price beforehand. With a small seed amount and with the help of a broker, your purchase and sell orders will be executed instantly.

An automatic and automated forex trading system allows you to benefit from the profitability of the forex market without having to become an expert in trading. In automated trading through managed accounts, the trading program or human experts executes the trades for you.

With a reliable auto trading platform, you are not required to do the actual trading yourself and therefore you save your time. And if you can watch the market constantly, you can mange multiple accounts from your trading platforms, simultaneously, which was never possible with manual trading. Automated forex trading systems present advantage of trading multiple systems and multiple markets.

An automatic and automated forex trading allow your trades to be made at any time of the day or night, regardless of your presence. You do not miss a single profitable trade even if you are not present in front of your computer terminal.

An automatic and automated forex trading helps you in taking advantage of multiple forex strategies and different systems. Because different systems are designed to be triggered by different trade indicators, you can diversify your investment as well as your risk.

An automatic and automated forex trading also eliminates human emotions and psychology that can often affect proper and profitable trading decisions. With an automatic and automated forex trading system, you will be capable of monitoring many currency pairs at a time and you can follow and execute all of them.

But, even with automatic forex trading systems, you will have to learn the basics of the forex trading, methods of fundamental and technical analysis, market indicators, etc. for enjoying consistent profits.

Just being automated, the trading system never guarantees you success as the market is influenced by many variables and parameters. The forex automated system is not just mechanical, but is fully programmable and you can customize them according to your needs.

To learn how to automate your Forex trading visit Automated Forex Trading Software

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Oil/Gold Move

Oil/Gold Move

By: Fat Prophets

Crude oil climbed above $98 a barrel for the first time and gold headed past $US840 an ounce and bound for a new high.

A combination of demand, short covering and supply factors pushed oil higher, while a new low for the US dollar against the euro again added upward pressure to the prices of both gold and oil.

But despite lower oil stocks in the US, oil sank to under $US96 a barrel on selling by funds taking profits, and gold eased from around $US842 to finish a little lower at $US835 an ounce.

A storm disrupting output in the North Sea and fears of a third weekly decline in US oil stocks, helped push oil prices above $98 a barrel in after hours trading in Nymex. The stock figures came and were a bit of an ati climax as sellers appeared around $US98 and then $US97 a barrel.

BP and ConocoPhillips evacuated oil rig workers, adding to supply concern before a U.S. Energy Department report that may show inventories fell for a third week. The dollar slumped on expectations the U.S. Federal Reserve may cut interest rates, boosting commodities prices in the currency.

December crude oil jumped as much as $US1.33 a barrel to $US98.03 in after-hours electronic trading, the highest since trading began in 1983. It eased back to $US97.85 Oil prices have climbed an incredible 66% in the past year.

On Tuesday oil jumped $US2.72 to settle at $US96.70 a barrel, a record close.

Gold soared by more than $US13 an ounce to hit $836.70 an ounce in after hours trading in Asia, that's another 27 year high. Silver jumped as well. Both metals then firmed in Europe and the US before easing.

The US dollar weakened to $1.4666 per euro, and the Aussie dollar climbed past 93 USc again.

Dealers said reaching the $US100 a barrel mark might be a little tough.

In the US petrol topped $US3 a gallon this week, which is not a period of peak demand. Petrol in the UK though isn't as high as it should be because oil prices in local currency terms, is only up 50%.

The disruption in the North sea could go away very quickly, relieving pressure on prices, but traders say some non trade investors have been caught shorting oil and have had to scramble to cover their positions as the price climbed above $US95 a barrel. If the North Sea cuts stay in place and other tensions remain, oil may reach $US100 by the end of the week.

The US Energy Information Administration has highlighted the risk to winter supply on Tuesday saying stocks in industrialized nations would drop some 20 million barrels below the five-year average by the end of this year amid solid demand and continued caps on output from OPEC.

That’s a warning that the International Energy Agency has also been making now for some months and made again will make in a new study of future demand in a day or so.

The EIA, which is part of the US Department of Energy, also raised its forecast for US oil prices in 2008 to near $US80 a barrel from its prior projection of $US73.50.

The Organization of the Petroleum Exporting countries, source of more than a third of the world's oil, has agreed to raise production by 500,000 bpd from last Thursday and shrugged off calls to expand on that, blaming the rally on speculators and politics.

Analysts have also said that big options positions in the $US90 to $US100 range may also be forcing investors to cover short positions, contributing to the rise in prices at the moment.

Helping drive the dollar lower (and the Aussie dollar higher) were comments from a senior Chinese official that China will continue moving its reserves out of the US dollar.

The US dollar fell to a record low against the euro and gold and oil rose yesterday after a Chinese official said the government will favor stronger currencies as it diversifies $1.43 trillion of foreign-exchange reserves.

The currency declined a series of lows against other currencies besides the euro: the lowest level against the Canadian dollar since it started trading freely, a 26-year low against the pound and a 23-year low against the Australian dollar.

"We will favor stronger currencies over weaker ones, and will readjust accordingly,'' Cheng Siwei, vice chairman of China's National People's Congress, told a conference in Beijing and quoted by Bloomberg.

Chinese investors have reduced their holdings of U.S. Treasuries by 5% to $US400 billion in the five months to August. China Investment Corp., which manages the nation's $US200 billion sovereign wealth fund, said last month it may get more of the nation's reserves to invest to improve returns.

But Hong Kong analysts say Mr Cheng has a history of speaking out on issues like this, but his comments don't always match the reality.

And copper prices went against a generally firmer trend for metals: US prices are now down around $US3.26 a pound and looking weak. Not good news for the local market when you look behind oil and gold headlines.

IMPORTANT: AIR reports about financial markets and investment products in the widest sense possible. The AIR website and all its contents is prepared for general information only, and as such, the specific needs, investment objectives or financial situation of any particular user have not been taken into consideration. Individuals should therefore talk with their financial planner or advisor before making any investment decisions.

Australasian Investment Review (AIR) is a free daily news service with a weekly online magazine covering global financial markets with a focus on Australia, New Zealand and Asia. Each day our team of experienced journalists presents you with a concise digest of expert opinions and analysis on trends and backgrounds that matter in these markets. Subscriptions are free at aireview.com.au

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Where has the U.S. Dollar gone?

Where has the U.S. Dollar gone?

By: Monty Guild

I don’t know if any of you know the old blues song from the 1930’s that goes "Once I lived the life of a millionaire…spending my money...I didn’t care. Taking my friends out for a mighty good time...buying bootleg liquor, champagne and wine. But then ooh...I fell so low...Had no friends and had no place to go..."

Today, it is as if the same song is being sung by the U.S. dollar. The U.S. dollar is being deserted one friend after another. One would expect the dollar to rally after its big decline, but it doesn't. WHY?

More and more countries that have aligned their currencies to the U.S. dollar are re-examining the so called U.S. dollar peg.

China is being forced to do so by European and U.S. pressure. Hong Kong speculators are attacking the Hong Kong dollar peg to the U.S. dollar and forcing the Hong Kong government to defend it at great expense.

The six Middle East countries pegged to the U.S. dollar (Saudi Arabia, Kuwait, UAE, Bahrain, Oman and Qatar) that export a lot of oil and have historically tied their currencies to the U.S. dollar. This group has decided to institute a single currency by 2010.

Many other oil exporting nations have been interested in being paid Euros for their energy.

The new rich nations of the world that sell raw materials, or manufactured goods, are all wondering about the big buildup in dollars in their portfolios, and what they will do to diversify their risk. In addition to causing a decline in the value of their holdings, having too many dollars causes other problems.

When-non dollar nations accumulate large quantities of U.S. dollars, they must sterilize them to avert inflation (this is often done by buying U.S. dollar denominated debt). If the dollars are used to buy goods, it can end up importing inflation (especially if they buy goods from non dollar based countries that are rising in price).

Although the dollar can rally at any time, until the U.S. starts to face its fiscal and trade deficit problems, and the U.S. economy finds a bottom to the credit crisis...the currency will remain ‘Under Pressure’…(a popular 80’s pop song for those readers who may not be familiar with 1930’s blues tunes). CHINA AND SOME OTHER SOVEREIGN WEALTH FUNDS ARE RAMPING UP THEIR STRATEGIC INVESTING IN METALS, ENERGY AND COMPANIES

Their focus is on acquiring mineral resources, energy resources and investments in private equity houses, where they can get big and cheap stakes in companies.

Today, it was announced that China is seeking to make major investments in a large number of private equity firms. This is logical, and it follows the pattern that they have set in the last few years. They have been accumulating MINERAL AND ENERGY assets in Africa and Latin America.

They do not mind investing in countries with corrupt governments or wars going on. They are more than happy to invest in stable African and Latin American countries like Tanzania, Kenya, Uganda, Brazil, Peru and others to secure raw materials. They are after nickel, coal, zinc, copper, iron ore, oil and precious metals.

Political risk is not their big concern. Their big concern is to get the raw materials to allow 300 million more Chinese (in the case of China), and countless more in other countries make the transition from countryside subsistence farming to urban dwelling and its blue and white collar jobs.

No wonder precious metals, base metals and energy continue to rise...the demand continues to grow. We estimate that there will be continued demand for years to come.

BETTER LATE THAN NEVER

The IEA (International Energy Agency) hints that its new crude oil forecast (to be announced soon) will be much higher than the previous price forecasts have been. Failing to buy the peak oil thesis for a long time, the IEA has been making low-ball estimates of global energy prices for the whole five years we have been shouting about higher oil prices. This was because they believed what the oil producing countries told them. Of course, the oil producing countries had a vested interest in trying to sell the world that they could increase production and keep oil prices down so consumption would stay high.

Now even the IEA has seen through this paper thin argument, and will announce that oil prices can go much higher because the amount of oil which can be produced in the world has PEAKED.

OUR THEMES

We remain gratified that our themes have worked out so well, and we continue to see most of them working in future months.

Energy-We are certain that energy which we predicted years ago could go to $100 by 2008 will get there soon. What then? At this juncture we believe that alternative energy and foreign energy companies may be more attractive than U.S. energy providers. We have investments in energy companies operating in Australia, Canada, India, Africa, the North Sea, Norway, South America and the Mid East. We continue to own oil, natural gas, uranium and renewable energy investments in the energy sector.

Base Metals-Although we remain bullish on base metals long term, for the short term we are concerned that a weak U.S. economy will cause base metals stocks to move sideways. We will not emphasize base metals stocks for the next few months for this reason.

Precious Metals and Currencies-The weakness in the U.S. dollar mentioned above is extremely salutary for gold and non U.S. currencies, and we remain very positive on them for the coming months. We own both gold royalty companies and the metal itself. We own several non-U.S. currencies, including the Canadian Dollar, British Pound, among others.

India-India has recently changed the investment regime for foreign investors. This may cause a short-term decline in Indian stocks, which we would be delighted to see. We believe that India holds huge promise over the long-term and we would like a lower price at which to add to our Indian positions.

China-China is best played through Hong Kong, and this has been a very successful area for us. We will use any market corrections (which usually appear at least once a year) to add to our Hong Kong based positions in Chinese companies.

Singapore and other fast growing countries-Here again we plan to wait and add on market corrections.

We look forward to your comments and we thank you for listening.

These articles are for informational purposes only and are not intended to be a solicitation, offering or recommendation of any security. Guild Investment Management does not represent that the securities, products, or services discussed in this web site are suitable or appropriate for all investors. Any market analysis constitutes an opinion that may not be correct. Readers must make their own independent investment decisions.

The information in this article is not intended for distribution to, or use by, any person or entity in any jurisdiction or country where such distribution or use would be contrary to law or regulation, or which would subject Guild Investment Management to any registration requirement within such jurisdiction or country.

Any opinions expressed herein, are subject to change without notice. In addition, there are many market, currency, economic, political, business, technological and other risks that are beyond our control. We make reasonable efforts to provide accurate content in these articles; however, some content and some of the assumptions, formulas, algorithms and other data that impact the content may be inaccurate, outdated, or otherwise inappropriate. In addition, we may have conflicts of interest with respect to any investments mentioned. Our principals and our clients may hold positions in investments mentioned on the site or we may take positions contrary to investments mentioned.

Guild’s current and past market commentaries are protected by copyright. Apart from any use permitted under the Copyright Act, you must not copy, frame, modify, transmit or distribute the market commentaries, without seeking the prior consent of Guild.

Monty Guild - CEO and Chief Investment Officer Mr. Guild founded Guild Investment Management in 1971. Mr. Guild is a recognized expert in the areas of international investing and economics. He has been a writer and speaker on economic issues for 30 plus years and has been widely quoted in the world media. Mr. Guild supervises the investment and research functions at Guild Investment Management. He holds a BA in economics and an MBA with highest honors. http://www.guildinvestment.com

Article Source: http://www.ArticleBiz.com

Thursday, January 24, 2008

Introduction to the Foreign Exchange of India

Introduction to the Foreign Exchange of India

By: Ramesh Singh

Foreign exchange has always been one of the most closely regulated aspects of the Indian economy and financial infrastructure. The most notorious foreign exchange act India had has ever 'suffered' through was the Foreign Exchange Regulation Act which was imposed in 1973. The Act provided for criminal proceedings against people who were found to be handling foreign exchange in contravention to the provision of the said Act.

With the opening up of India economy and the elimination of licensing scheme, this law became a big roadblock in the process of economic development of the country. In the year 2000, the Government of India repealed the Foreign Exchange Regulation Act and enacted a new statute in place of it. This new Act, known as the Foreign Exchange Management Act was already passed by the Parliament in Winter Session of the Parliament of India 1999.

The new statute brought foreign exchange regulation procedures in India in accordance with the framework as prescribed by the World Trade Organization. The main change that was brought by this new Act was that instead of the previous Act, which considered all the contraband activities as a criminal offense, this new act considers the contraband activity as a civil wrong.

Similarly the new Act is in more compliance with the principles of natural justice. According to FERA (older Act) the accused was considered guilty and he had the burden to prove his innocence. Similarly under this law, any activity was considered to be prohibited, unless it was specifically allowed by its provisions.

The FEMA (new Act) removes both these restrictions and makes it much simpler and easy to handle the foreign exchange especially that earned from a foreign country.

The Foreign Exchange Management Act gives sweeping power to the Reserve Bank of India to manage the way foreign currency is handled in India. It can issue directives and give out permissions to individuals and institutions to handle foreign exchange. While the Bank can issue permissions on its own accord, it can issue new directives in consultation with the Central Government of India.

The Reserve Bank of India grants a general or special permission to an individual after which he can indulge in transfer of any foreign security or foreign exchange. This transfer can be made to any person outside India who is not considered an "authorized person" according to the relevant sections of this Act. Similarly, the Act also allows RBI to authorize an individual for making payments towards the credit of any person who resides outside the Indian borders.

Apart from this, the new foreign exchange Act of India also discusses the limitations that the Reserve Bank of India and the Government of India can impose. The Act regulates the complete flow of foreign exchange in India.

Ramesh Singh is the editor of http://indiaforex.net, a site dedicated to information about the India Forex Markets.

Article Source: http://www.ArticleBiz.com

Why You Need to be Trading Online

Why You Need to be Trading Online

By: Jack Green

Despite the growing availability of cheap or free resources for online trading, many investors, particularly older generations, still cling to the notion that they ought to interact directly with a stock broker in order to make a trade. "Call my broker" is the phrase they use. But why? What exactly is it that a live broker gets for you?

It certainly isn't saved money. Trades executed live via a broker cost a great deal more than self-directed trades in just about every context. It isn't speed, either. Executing online trades is much faster than calling, waiting to get a human on the horn, chatting about the weather, then making sure your broker hears your order type, number of shares, and all the other details correctly. It isn't quality of execution, either. Most live brokers use the exact same system to execute their trades that Web trades are executed on.

Some may say that advice and guidance are the primary benefit. They should take care, however. A broker at a full-service house is essentially a sales position. Their income has absolutely nothing to do with your investment success. Rather, they make money primarily based on how often you trade. It always pays to question the advice of one who has a conflict of interests of this sort.

So if it isn't quality, price, speed, or good advice that's keeping you away from online trading, what is it? I think for many it boils down to discomfort with the technology. This can be remedied, however. Most online trading sites offer virtual online trading where you can learn the platform without risk. So ask yourself, why not give virtual online trading a try?

You can start off by mirroring the trades you're making with your live broker. Track the difference in commissions you'd pay with an online trading platform. Many traders are surprised at just how big a difference trading online can make in their overall returns.

If you're still clinging stubbornly to your live brokerage service, you really would be better served taking the plunge and giving online trading a try. It really is a much better value for most investors.

You can find a thorough introduction to online trading at http://www.onlinebrokertrading.com . Jack Green is an attorney and published financial author.

Article Source: http://www.ArticleBiz.com

Some Important Tips about the Forex Trading

Some Important Tips about the Forex Trading

By: Ac Markets

Forex stand for Foreign Exchange Market (FX) which is always marked for its geographical dispersion. Currencies from all over the world are bought and sold for profit in the forex market. Investors are the real players in forex trading. Forex market welcomes the investors of all income size and any background. If you are thinking to make profit in the forex market you should have a sound knowledge of the currency market.

To start your global Forex trading you need to open a Forex account first. Just fill in the application form and sign the margin agreement which let’s the broker intervene at any time. Here are some tips one must know before dealing with the forex trading or forex exchange

• Know your forex trading market

Know about the currencies that you want to trade with. Try to get the details about the country whose currency you’re trading in the forex market. The more you know about the country more profit you can make, currency you are trading with. With the knowledge of the country you can better understands the strategies of the market and will be able to predict the movement of the money.

• Pick a forex trading system – and stick with it

The better strategy to win the forex trading game is picking a forex trading system and sticking to it. Being a forex trader one should analyze the market and certain calculated risks associated with the market. Market analysis is based on technical analysis which is the interpretation of facts and data based on the data generated by the market. Fundamental analysis seeks to trace out the factors and conditions which influence the market economy and play a pivotal role in altering opinions. Several economic, political, social events affect the forex and its workings. A perfect trader in forex is one who can understand these factors and feel the pulse of the market before striking gold.

• Practice makes one perfect

Practice makes one perfect whether it is forex trading or some other field. Take some time to be a smart player of the currency trading game. If you are not making profit initially, never make a rush.

• Keep your eye on the margin

If you are not properly aware of the margin trading try to keep away. It is often said to be a great way to lose a lot of money quickly. Stay away from forex margin trading until you are not properly aware of it. In forex trading, the bottom line is how much money you made at the end of the day.

• One should try to start with Micro Forex

Micro forex is a boon for the beginners in the forex trading. With the help of micro forex trading, a novice with limited knowledge can make profit in the forex trading market.

• Try to Keep the Trading System Simple and look for Long Term Trends

Your trading must be as simple as possible. Try to follow the guide lines and look for long term trends in the currency market. Analyze the market efficiently and then invest.

Forex is the largest market place of Currency trading. While currency trading in Forex Market or dwelling over currency market, one should mull over the present scenario and future prospects of the country, currency of which he is trading.

Article Source: http://www.ArticleBiz.com

Sunday, January 20, 2008

Martingale Systems and Why They Don't Work In Stock Trading

Martingale Systems and Why They Don't Work In Stock Trading

By: Sachin Asher

The Martingale system is one of the oldest known strategies of betting.

It was initially developed for games like roulette, where there can be an equal chance of winning and losing. It can be used for other games with similar 50-50 chances and also can be modified for stock trading.

Consider a case of a coin toss, in which you have to correctly guess the result to win. You can either lose all the money that you bet, or double it, if your guess is right.

Your chance of a right guess are 1 in 2; or 50%.

In the Martingale system, the player doubles his bet every time he loses.

Suppose he bets 1$ on heads in his first bet. The outcome is tails. The next bet is for 2$ and is again wrong. Then the player bets 4$ and wins. In such a sequence the player's net winnings = (-1$-2$-4$+8$) = 1$.

The system will produce a net profit after a winning bet; no matter how many bets were lost prior to the winning bet.

Seems easy money - doesn't it?

Actually it is a recipe for a betting disaster.

Firstly, it is based on a fallacy that past events will affect outcome of future events in case of random events.

For example, what are the odds of getting 4 heads in four tosses of a coin?

1 in 16.

What are the odds of getting a head in a coin toss if earlier three outcomes were heads?

1 in 2.

Thus we cannot say that getting a head is less probable when the earlier three outcomes were heads. However Martingale system works on the fallacy that if a player was wrong on earlier occasions, his probability of being right increases with each bet and thus he should keep doubling his bet.

The second drawback is that the bet reaches mammoth sizes after the first few bets. The bets in a losing run would look like 1$, 2$, 4$, 8$, 16$, 32$, 64$, 128$, 256$, 512$, 1024$ and so on.

A player starting with 10$ bet would be betting 5120$ in the tenth bet. This may be greater than the permitted limits in some cases.

Third disadvantage is the risk - reward ratio. A player using the Martingale system keeps betting higher amounts with every loss. However his final profit would be 1$ - no matter how many bets he makes before the winning bet. In the long run his final loss will take away all his profits and much more.

The Martingale system can also be implemented in Stock trading. The trader would keep doubling his position size till he makes a winning trade. This system has the same drawbacks as mentioned above. There is no way one can predict the number of successive losing trades that will take place - which means the risk, will keep increasing with each trade, but possible reward is limited to the position size of the first trade.

A Martingale system in stock trading faces certain practical problems.

1. There are costs involved with every trade. There is a brokerage to be paid and in certain markets there are taxes on each transaction too.

2. There is an impact cost involved with every trade. You may not get all shares at the best offer rate and you may have to increase your bid. Similarly you may not be able to sell all your shares at the best bid rate and you may have to decrease your offer. Thus the profit (loss) in each trade is less (more) than theoretical one.

The impact cost keeps going up as you increase you lot size.

3. There are limits placed by exchanges on exposures of individual traders and brokers. Thus a trader using Martingale system is not allowed an infinite number of chances for doubling his trading lot - violating the basic requirement of Martingale system.

The Martingale system is an illusion. The player (or trader) keeps taking bigger and bigger risks in search of a winning turn; disregarding the fact that his net win is always going to be an amount equal to his first bet.

Article Source: ABC Article Directory

Sachin A. is a freelance writer. Find more on trading systems and finance at www.articlemanual.com

Friday, January 18, 2008

Major Forex Currency Pairs

Major Forex Currency Pairs

By: Andrew Daigle

Forex currencies are always traded in pairs. For example, EUR/USD, which means Euro over US dollars, would be a typical pair. In this case, the Euro, being the first currency can be called the base currency. The second currency, by default USD, is called the counter or quote currency. As mentioned, the first currency is the base, therefore in a pair you can refer the amount of that currency as being the amount required to purchase one unit of the second currency. So, if you want to buy the currency pair, you have to buy the EURO and sell the USD simultaneously. On the other hand, if you are looking to sell the currency pair, you have to sell the EURO and buy the USD. As a part of forex trading strategies the most important thing is to understand the currency pairs, or more precisely in a Forex transaction, what currency you will be selling or buying. Having good knowledge of major currencies of the world is important while learning forex trading.

Major currencies US Dollar - The United States dollar is the world's main currency - a universal measure to evaluate any other currency traded on Forex. All currencies are generally quoted in US dollar terms. Under conditions of international economic and political unrest, the US dollar is the main secure currency, which was proven particularly well throughout the past Southeast Asian crisis. As it was indicated, the US dollar became the leading currency toward the end of the World War II, as the other currencies were almost pegged against it.

Euro - The Euro was designed to become the premier currency in forex trading by simply being quoted in American terms. Like the US dollar, the Euro has a strong international presence stemming from members of the European Monetary Union. The currency stays plagued by inadequate growth, high unemployment, and government resistance to structural changes. The pair was also weighed in 1999 and 2000 by outflows from foreign investors, particularly Japanese, who were forced to liquidate their losing investments in euro-denominated assets.

Japanese Yen - The Japanese Yen is the third most traded currency in the world; it has a much smaller international presence than the US dollar or the Euro. The Yen is very liquid around the world.

British Pound - Until the end of the Second World War, the Pound was the currency of reference. The currency is heavily traded against the Euro and the US dollar, but has a spotty presence against the other currencies.

Swiss Franc - The Swiss Franc is the currency of a major European country that belongs neither to the European Monetary Union nor the G-7 countries. Although the Swiss economy is relatively small, the Swiss Franc is one of the four major currencies, closely resembling the strength and quality of the Swiss economy and finance. Typically, it is believed that the Swiss Franc is a stable currency.

Canadian Dollar - Canada decided to use the dollar instead of a Pound Sterling system because of the ubiquity of Spanish dollars in North America in the 18th century and early 19th century and because of the standardization of the American dollar. The Province of Canada declared that all accounts would be kept in dollars as of January 1, 1858, and ordered the issue of the first official Canadian dollars in the same year.

Australian Dollar - The Australian Dollar was introduced in February 14, 1966, not only replacing the Australian Pound but also introducing a decimal system. Following the introduction of the Australian Dollar in 1966, the value of the national currency continued to be managed in accord with the Bretton Woods gold standard as it had been since 1954. Essentially the value of the Australian Dollar was dealt with reference to gold, although in practice the US dollar was used.

Andrew Daigle is the owner, creator and author of many successful websites including ForexBoost at http://www.ForexBoost.com and http://forex-trading-system.typepad.com , Free Forex Training Resource for the Novice and Advanced Forex trader.

Article Source: http://www.ArticleBiz.com

With Market Uncertainty Comes Market Volatility

With Market Uncertainty Comes Market Volatility

By: Mike Wright

Last week world stock markets made a decent stab at recovering from the previous week’s rout. The strongest market was again the Nasdaq, with the new economy shrugging off the previous Friday’s wobble to finish near its highs. Interest rate rumours thrust the market higher, as whispers of another 50 base point cut did the rounds. Few people wanted to be short going into what is expected to be another obliging FOMC meeting on Wednesday.

One survey showed that despite the attempted recovery, investors are still nervous. The AAII (American Association of Individual Investors) sentiment survey indicated that individual investors are feeling extremely bearish as the anniversary of 1987 passes. The news feeds continue to indicate that there is much to worry about, especially with the sub prime implosion still drawing out bad news and losses.

Merrill Lynch was forced to write down $7.9b in losses due to its sub prime exposure and the Federal Reserve added substantial liquidity to the slowly recovering credit markets. Oil prices topped $92 a barrel on supply and Iran concerns and even the rampant Chinese bull pulled back for breath.

However, it wasn’t all doom and gloom last week as Microsoft beat analyst’s estimates. The granddad of tech stocks rose on strong demand for its Vista operating system and sales of the Xbox 360. News also emerged that Microsoft had beaten Google to a 1.6% stake in Facebook. The price paid for the stake indicates that the social networking site is now valued at more than the UK supermarket Sainsburys.

The AAII sentiment survey can be a useful contrarian indicator, as the last time it reached readings of extreme optimism; the recent mini wobble wasn’t far off. It sometimes pays to go in the opposite direction to the herd. In addition, according to the stock traders Almanac, November starts the best 6 months of the year historically. The average return on the Dow from May to October is 0.3%, but the average return from November to April is 7.9%. In addition next week displays significant seasonal strength with an average return of 3.3% in similar periods throughout history according to www.sentimentrader.com.

The currency markets were dominated by news flow on the Dollar last week. Despite a rally on Monday, the Greenback quickly flipped and fell to record lows against the Euro, Australian Dollar and Canadian Dollar. The next target for the Dollar/ Euro exchange rate could be the synthetic all time high of 1.4585 (Generated using USD/ Deutschmark data). Increased speculation of a rate cut fuelled much of the selling.

Next week is full of heavy hitting US economic announcements. Top of the list is of course the interest rate statement at 18.15 GMT. A quarter point cut is widely expected to be the more likely option, but there is still the possibility of a ‘no change’ or half point cut verdict. With uncertainty comes volatility, and that could be available in spades next week, with GDP data, and Non-farm employment figures on Wednesday.

Therefore a volatility play may be the best option for next week. With Betonmarkets.com an ‘up or down’ trade compensates you if the market hits one of two triggers that you set. It doesn’t matter if it hits the higher or lower trigger, the market just has to move in either direction for you to win. An up or down trade with triggers set to roughly 2715 and 2850 on the Nasdaq returns 10% over 10 days. You may wish to wait until Wednesday before placing a similar trade to maximise your time.

- THE END -

Contact Details:

Email: editor@my.regentmarkets.com Tel: +44 1624 678 883 Url: Betonmarkets.com & Betonmarkets.co.uk

Address: Regent Markets (IOM) Limited 3rd Floor, 1-5 Church Street Douglas, Isle of Man IM1 2AG

Betonmarkets.com is the leading fixed-odds financial betting website. The website has processed over 10 million bets since inception in 2000, and generates annual turnover in excess of US$ 100 million. Betonmarkets offers a wide range of fixed-odds financial bets on forex rates, stock indices, and international stocks.

Betonmarkets is operated by the Regent Mark-ets Group of companies. Regent Markets is affiliated to the Regent Pacific Group, a Hong Kong-listed investment group. Regent Markets has offices in three countries, and holds bookmakers licenses in the Isle of Man, the UK, and Malta.

Name: Mike Wright Address: Regent Markets (IOM) Limited 3rd Floor, 1-5 Church Street, Douglas, Isle of Man IM1 2AG, British Isles. Phone: +44 1624 678 883 Email: editor@my.regentmarkets.com URL: http://www.betonmarkets.com & http://www.betonmarkets.co.uk

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Understanding Exchange Traded Funds ETF

Understanding Exchange Traded Funds ETF

By: Gerry Wollert

A few years ago there were only a handful of Exchange Traded Funds. Today there are over 500 ETFs covering many different segments of both the domestic and foreign markets. Understanding the differences in Exchange Traded Funds and Mutual Funds will help you in your long term investment strategy.

Exchange Traded Funds:
  • Are listed on the various stock exchanges and trade just like a stock
  • They are priced continuously throughout the trading day
  • ETFs can be sold short
  • You pay a commission when buying and selling just like when buying an individual stock.

ETFs offer all of the advantages of a mutual fund without some of the disadvantages:
  • Diversification: A typical ETF will hold many individual stocks within its portfolio.
  • Professional Management: ETFs are managed by highly professional investment specialist that make the buy and sell decisions for their individual ETF portfolios.
  • Economies of Scale: ETFs take advantage of their size to minimize transaction cost associated with buying and selling individual stocks within their respective portfolios.
  • Advantages over Mutual Funds: With ETFs there are no minimum holding periods and no early redemption fees.
Types of Exchange Traded Funds:
  • Growth oriented (Smaller growth stocks)
  • Value oriented (Large cap value stocks)
  • Income oriented (Bond funds or dividend paying stocks)
  • Specific country focused (China, Singapore, Germany, etc.)
  • Regional focused (Latin America, Europe, Asia, etc)
  • Foreign exchange (Forex related vs. the U.S. Dollar)
  • Specific market segments (energy, healthcare, consumer products, etc.)
  • Precious Metals (Gold, silver, etc.)
Rebound Trading Systems

With so many diverse ETFs to choose from it is important to have a sound system for building a portfolio of Exchange Traded Funds. The Rebound trading systems I have developed consistently out-perform the S&P 500 by a wide margin. Learn more about Understanding Exchange Traded Funds at: http://www.reboundtrading.com .

Learn more about Understanding Exchange Traded Funds at: www.reboundtrading.com. Gerry Wollert is a graduate of Purdue University and was once listed in "Who's Who in America." During most of his 31 year career, his favorite hobby was investing in the markets with the support of various computer systems.

Article Source: http://www.ArticleBiz.com

5 Reasons Why Emerging Markets are So Dynamic Revealed

5 Reasons Why Emerging Markets are So Dynamic Revealed

By: Josephine Jenno

Printo Document Receives $6.2Mn from Sequoia Capital

Sequoia Capital India, a VC firm, has invested USD 6.25 million in Printo Document Services Pvt Ltd, a Bangalore-based print and document services retail chain.

The company provides Internet-based printing services of marketing collateral, business cards, brochures, posters, invitations, dairies, timetables, calendars, personalized greeting cards, etc. Currently, it operates six stores across Bangalore, and plans to open 250 retail outlets over the next three years across India.

Global Finance’s Fund Acquires Stake in Tipo Print

Global Bulgaria Fund and Romania Growth Fund, part of Global Finance, have bought a stake in Tipo Print, a format digital print company based in Latvia, through a management-buyout deal. The financial details of the deal were not disclosed.

According to Zlati Hristov, the Investment Manager at Global Finance, the total investment, including the price of the purchase and final investments, would be USD 1.42 million.

3i Acquires Minority Stake in Adani Power for $227Mn

3i India Infrastructure Ltd, an Indian investment arm of 3i, has acquired a 10 percent minority stake in Ahmedabad-based Adani Power, a fully owned subsidiary of Adani Enterprises, for USD 227 million. The deal was signed between Baroness Hogg (3i group Chairperson) and Gautam Adani (Adani group Chairman).This is the first investment by 3i Infrastructure Fund, which announced its first close at USD 500 million early this month.

Adani Power is developing a 2,640 MW, imported coal-based thermal power plant in Gujarat. The project, launched in June 2006, is expected to become operational by 2009 and achieve full capacity by end-2010.

According to Anil Ahuja, the MD and Co-head of 3i Asia, India is witnessing phenomenal growth in the power sector, specifically power generation. Through this transaction, the company has invested in a landmark power generation asset.

Century 21 Real Estate China Receives $52Mn from Avenue Capital

Century 21 Real Estate China has received USD 52 million from Avenue Capital Group. This is the largest private equity deal to date in the Chinese real estate sector.

Established in 1995 and headquartered at New York, the group focuses on distressed and undervalued credit-related securities, bank loans, trade claims, and private investments.

US-based Century 21 Real Estate is a franchisor of the world’s largest residential real estate sales organization. The company entered China in March 2000 and expanded to 35 cities by December 2006.

For more information on emerging markets, sign up for our newsletter at www.marketsensus.com

Marketing Manager www.marketsensus.com The research you want, when you want it.

Article Source: http://www.ArticleBiz.com

Learn Forex Currency Trading Online And Get Ahead Of The Game

Learn Forex Currency Trading Online And Get Ahead Of The Game

By: Donald Saunders

Today's business world is cut-throat and it is critical to know your way around. As far as Forex trading in concerned this means knowing the players, the market and the stakes. You need to understand things like the value of the currency that you are working with, the things that affect the value of your currency and strategies for trading and market trends.

As a novice to the world of Forex trading this also means that you have to start with some form of Forex trading education. A Forex trading course will show you how to predict and chart the movements in the market together with the best time to buy or sell a commodity and will aquaint you with basic terminologies and the trading process.

As Forex trading is done in real time and decisions normally have to be made quickly, a trader should also be emotionally equipped and prepared to cope with the stress, challenges and demands of the marketplace and these too will be included in a good Forex trading course.

So what should you be looking for in a Forex trading course?

All Forex trading courses has to cover the basics on things like types of orders, margins and leverage which are essential in Forex market transactions. It should also teach basic terminologies, analysis and the software available.

Analysis forms the the foundation of profitable trading and any Forex course has got to look in reasonable detail at both technical and fundamental analysis including the tools used and the advantages and disadvantages of both.

But the basics and theories of trading are not enough and good Forex course also has to cover proper money management and the development of a sound trading psychology and temperament. It is far too simple for traders to become overly involved emotionally in trading and it is crucial to success that traders learn the importance of things like patience, commitment and discipline.

Possibly the most important part of a good Forex trading course however is the provision of an apprenticeship program allowing you to gain real-life experience. There can be no better way to discover how to trade foreign currencies than experience gained in actual trading. Forex education courses should therefore offer an opportunity to trade in a simulated environment which is as close as possible to live trading. It is also necessary that students are given the the opportunity to discuss their trading with their fellow students and to receive one-to-one feedback as they trade.

For people who wish to discover the rules of the game and to get a good grip on the market there are a variety of Internet sites which offer courses and workshops on Forex trading. These sites offer courses on software and trading tools, networking, fundamental analysis, trading strategies, market trends and much more.

Today the Internet not only provides an ideal forum for learning to trade Forex but also lets you trade from the comfort of your home and allows both corporations and private individuals to join the game and make their fortune in this virtual realm.

Online Forex trading has opened up the world of Forex trading and provides the opportunity for everybody to make significant profits today. But, it is vitally important to get the knowledge that you need before you leap in.

LearningForexTradingOnline.com provides additional information about the mini Forex trading system and is the ideal place to go about learning to trade Forex

Article Source: http://www.ArticleBiz.com

6 Things You Should Know About Emerging Markets

6 Things You Should Know About Emerging Markets

By: Josephine Jenno

Pantheon Ventures, Carlyle Group Invest $15Mn in A&W (Shanghai) Woods

Pantheon Ventures and the Carlyle Group have invested USD 12.5 million and USD 2.5 million, respectively, in A&W (Shanghai) Woods Co Ltd., a Chinese flooring manufacturer. In May 2006, Carlyle invested USD 27.50 million in A&W. The company received another USD 8.57 million in VC funds last month from Strong Media, a private equity fund.

Established in 1994, A&W offers hardwood flooring, antique flooring, square decking, decking, and engineered flooring products.

Pantheon Ventures is a subsidiary of Russell Investments, a private equity fund of funds manager.

China Health Media Receives $35Mn from VC players

Four venture capital firms including Orchid Asia, China-based CRCI, Investor Growth Capital Asia (IGC Asia), and HSBC have jointly invested USD 35 million in Beijing-based China Health Media.

Established in 2005, China Health Media is the country’s largest in-hospital TV network owner. Orchid Asia Group Management, Ltd. is a China focused investment group that invests in expanding enterprises with good growth prospects.

IGC Asia is a wholly owned venture capital arm of Investor AB, which is the largest listed industrial holding company in the Nordic region. IGC Asia mainly invests in expansion-stage technology companies in the Asian region.

Intel Capital Invests in Tag Media Network

Intel Capital, the investment arm of Intel Corporation, has invested in Tag Media Network, which operates India's first in-store television network. The financial details of the deal were not disclosed.

Tag Media will use the funding amount for its expansion plans which include employing new staff and strengthening sales and marketing initiatives. Tag Media Network has a customer base of over 10 million shoppers across 250 stores. It works with well known retail companies, such as Spencers, Trinethra, Foodworld, and Trumart.

MSK Projects Raises $8.5Mn from Subhkam Ventures

Subhkam Ventures, an Indian PE fund, has invested USD 8.5 million in MSK Projects India Ltd, an Indian infrastructure company.

MSK had issued 4 million shares to Subhkam Holding Pvt Ltd (SHPL), Subhkam’s investment entity, at USD 2.12 each, raising Subhkam’s stake in the company to 24.26 percent. The company will make an open offer for another 20 percent at the same price.

The Baroda-based construction firm has entered into toll road and water distribution projects and is also developing a number of bus terminals.

Europa Capital Sells City Point Distribution Park to CEIF

Europa Capital, an independent real estate investment management group, has sold City Point Distribution Park to Morley's Central European Industrial Fund (CEIF), for USD 102.2 million. Based in Poland, City comprises 118, 000 m² of warehouse and office space and is the largest metropolitan distribution park in Central Europe.

Europa Capital was advised in the sale by DTZ, and Teesland IOG/Morley by Savills. CEIF is a fund of Morley Fund Management (Morley), Europe's largest property fund manager.

TPG to Invest in Shanghai ChemPartner’s Stake

TPG, a private equity investment firm, is making investment in Shanghai ChemPartner Co., Ltd., a wholly owned subsidiary of ChemExplorer company Ltd.

The deal value is expected to surpass USD 30 million. ChemPartner has been approached by others interested in investing about USD 30–USD 50 million for around 20–25 percent share in the company.

Pallinghurst Resources Intends to Invest in Faberge Brand

A group of investors, led by Pallinghurst Resources, a specialist PE fund for the mining and metal sectors, is planning to invest USD 450 million in the production of gem stones and luxury goods under the Faberge brand. Pallinghurst has teamed up with American Metals & Coal International Inc., South Africa-based bank Investec Ltd and Texas-based private-equity fund NGP Midstream & Resources LP, to embark on the projects.

The House of Fabergé is a jewelry firm established in Russia in 1842 by Gustav Faberge, a jeweler. In January 2007, Fabergé Limited acquired the Faberge brand from Unilever.

Pallinghurst Resources LLP is an advisor to the Pallinghurst Resources Fund, a specialist vehicle which pursues strategic investments and partnerships in the natural resources sector.

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Recession: Are You Prepared?

Recession: Are You Prepared?

By: S. Michael Windsor

Oil prices have been surging. Housing markets have been dropping. Interest rates keep getting cut by the Fed in order to help curb the negative effects of possible recession. What happens if all of the current economic activity sends the US into an economic recession? Would you be prepared? Included in this article are several helpful tips and advice on ways to potentially avoid some of the pitfalls that occur as a result of a recession. But, as we all know, a recession is something that no one can ever be completely prepared for as it effects nearly everything that has anything to do with finance. That is, except for the few local towns that seem unaffected by the US economy, which is unusually rare.

Let’s say you are not an individual living in one of the local communities seemingly on a different route than the rest of the country such as the state of Idaho, which, in the government’s recent state-by-state GDP data, Idaho showed a 7.5% growth in GDP last year. How will you know when to be prepared? The answer is actually rather vague as no one can really predict precisely when and even if a recession will take place. In fact, many times we don’t even realize we are even in one until it has already set in. this uncertainty is exactly the reason why families and individuals should begin saving money today. Not a whole lot, but just enough money to get everyone through a good 6 months or so in case there should ever be any illness or job losses during these times, or any time in that matter.

Currently, in California one of the unions will be going on strike soon and everyone in the industry will soon be unable to work. What alternatives do they have, right? The suggestions I have heard right now in reference to those in need to financial advice are told: "make sure you have at least 6 months of money supply saved up." Ok. That would be great, but, they just realized they were going to strike a couple of days ago. Now what? Damage control. This could all be prevented if the unprepared ones put together some sort of recession plan leading with a nest-egg of savings just to help stay afloat. This is obviously one of the most important factors. But, what if you are so strapped that it is nearly impossible to save that much at this time?

There are several other things a person can do in order to prepare for a downturn in the economy or industry. One very useful thing to do is to always keep your resume fresh. You really never know when you will need it. Also, try to always keep an eye on the job market even when you are indeed employed. Just this knowledge alone will help you find a job for yourself if the need ever should arise. In addition, this information will be extremely helpful to those just entering the industry or friends who need a hand in finding a job. This will only help you in the future if and when you should ever need a big favor from them. I have seen this situation occur many times in my industry and it is quite amazing what a little help towards others will do for your career. If you are investing currently, maybe consider taking some of the funds out of the stock market and into something like bonds. The reason is that bonds have always performed much better than stocks during a recessions in the past. This can be attributed to the lower amount of funds being borrowed during a recession leading to lower interest rates. And with lower interest rates come higher bond prices.

As I mentioned earlier, predicting a recession has always been a hazy subject. No one really knows if and when one will actually hit. This is why we all need to prepare for such occurrences. These days it seems to be quite a challenge to keep everything stable for a long period of time and keeping the things in this article in mind when considering options will help prevent the need for damage control if the event should ever arise. If you decide to get into more investment tools such as bonds and annuities, make sure you know all of the facts involved before paying any money. Many cases show that you could be paying the company much more than you think when you have money in such tools as annuities. Always do your research and compare all the different plans. The salesmen know all about them, so why shouldn’t you if it is your money going into owning them? So, always know your facts when planning for the future and try to become even more prepared than you were the day before even if it just means knowing what jobs are out there and keeping in the ‘loop’. Planting seeds will always eventually result in a harvest. For more information on Preparing for Recession, please visit http://www.SquarePeak.com.

S. Michael Windsor is currently publisher and a writer for The Windsor Express Daily, which features daily exclusive articles based on improving the things which matter most in our daily lives. Visit us today at http://www.TheWindsorExpress.com and subscribe for free!

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Wednesday, January 16, 2008

Forex Trading Courses on DVD

Forex Trading Courses on DVD

By: Paul Bryant

Forex trading courses on DVDs, offered by professional traders help you in understanding the exciting marketplace of forex. As for learning a language, you need to master the basics, to trade forex you must know the basics of trading.

A forex trading course on DVD is an exciting learning tool which is preferred over text based tutorials or conventional books because of the dynamic features it offers. Learning forex currency trading is easy when you have a good forex trading course on DVD with you. Forex trading course on DVD outlines the advantages of forex trading and provides insight into how to get started.

Most of the forex trading courses on DVDs have extensive tutorial library with video tutorials, which you can play as many times you want. You can plan your leaning sessions according to your convenience. For online DVD courses, you can access the site according to your free time. Forex Trading Courses on DVDs help you to start trading part-time.

It is a step-by-step learning process. You can start trading with as low as $300 account. The DVD course may offer you free subscription to some online brokers who facilitate your transition from a part-time to a full-time trader.

Home based Forex trading courses on DVDs are easy to understand and does not require any special skill or educational background. These DVDs are with colorful three-dimensional charts, bars, and other modes of graphical representations with audio support and therefore interesting and interactive.

The courses introduce you to all the essential aspects of foreign exchange in an easy-to-understand manner and you can learn them with your own learning pace and curve. It may take 5-10 days to learn the basics of trading.

Forex trading courses are available for learners at different levels. There are courses for beginners, mid-level, or experts. You can choose your module accordingly. It also introduces you to different methods of fundamental and technical analysis.

A typical forex trading courses include DVDs with live instructions, CDs with core system strategies, audio and video manual, library of video tutorials, member forum, daily video trading examples, trading tips from other members, common questions and answers, and tele-support for first few months.

Before buying a forex trading courses on DVD, look for features like:
  • More than one detailed technical trading strategies
  • Color charts and graphs
  • Complete coverage of fundamental and technical analysis
  • Professional risk management techniques
  • Strategy to identify profitable charts and trendline and technical market pointer
  • Real trading example reinforcing every trading concept
  • Free forex trading tips

To find out more about how you can learn to trade currencies visit Forex Trading Courses on DVD

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Foreign Exchange (Forex) Risk Management

Foreign Exchange (Forex) Risk Management

By: Paul Bryan

The foreign exchange or forex market is one of the largest and most liquid financial markets in the world with a daily transaction of almost 1.5 trillion U.S. dollars. Banks, financial institutions and individual investors, therefore, have huge potential of economic gain as well as losses.

Foreign exchange risk is a potential gain or loss that occurs as a result of a change in exchange rate. In order to minimize the possibility of financial loss, every investor needs to adopt some forex risk management measures.

For minimizing forex risk, one must remember few basic points: (1) value of a currency changes frequently affecting firms and individuals engaged in international transactions; (2) assets, liabilities, and cash flows are affected through changes in the exchange rates.

So the forex market presents risks involving accounting and translation exposure, economic exposure, transaction exposure and real operating exposure.

Transactional exposures involve quite high risk for foreign exchange. Impact of exchange rate fluctuations on present cash flows, export and import, borrowing and lending in foreign currency, all can cause fluctuation in currency rates which should be considered while developing risk management features.

In most currencies there are futures or forward exchange contracts whose prices give indication on expected market prices of the currencies. These contracts can lock in the anticipated change. So the foreign exchange risk arises due to unanticipated exchange rate changes.

Foreign currency risk management involves managing two types of risk: systematic and unsystematic risk. Systematic risk affects all investments, such as the market risk, inflation risk and interest rate risk. Unsystematic risk relates to individual events that affect a particular investment, such as the business risk and financial risk. Unsystematic risk can be hedged.

If you are a trader or an investor engaged in day or intra-day trading, you must have a trading strategy at place. Your online broker or trading platform should incorporate risk management features in their trading strategies.

The signals and indicator to be generated must be based on risk analysis. You can join some professional workshop or course on foreign exchange risk management where you can learn the basics. The course should be interactive and customized where you can get your specific queries answered.

It is important that foreign currency risk management begins before the risk exposures and not after it has developed. The risk management course should include practical examples from real life incidents on basis of which you can learn the techniques of decision-making.

For calculating foreign exchange risk factors, you can find many advanced project management software that has integrated risk analysis. You can seek help from financial advisers who monitor, assess and hedge the risk in particular investments and in overall portfolios, depending on the investment objectives of the investor.

The foreign exchange risk management should use market indexes and averages in market analysis. It should consider theories of forex market behavior, including technical fundamental analysis. The risk management methods should periodically review investment objectives like safety, growth, speculation, and should always inform the investor about his or her investments.

Learn how to reduce your Forex trading losses by visiting Foreign Exchange Risk Management

Article Source: http://www.ArticleBiz.com

Forex online platform trading

Forex online platform trading

By: Nick Schultz

Talking to a person one on one is any day more interesting than doing the same across a room filled with people. Something similar to this is what Forex online platform trading is, there are no offices and there is not a central place where people interested in trading meet up. The interested parties interact with each other either through telephone or emails and they are the only two who are involved in the transactions. The data exchange and trading in foreign exchange is privy to the parties involved only. These days' people carry out business deals online and so it is easy for them to understand the intricate details and how the web world operates. So it is advisable for them to go in for online Forex trading Vis a vie manual.

There are many websites that offer information and the opportunity to trade online, but it's better to try out a demo on a site before signing up with it. This will help you get comfortable, learn your way around and see if it suits your style of working. Forex is all about currencies of countries across the globe, and so the website needs to be updated and provide the latest rates and any other additional information being published about the same. Also the conversion rates will be specified in some websites, which makes it easier for you to calculate what your returns are likely to be or how much of a difference it will make if you lose some. Most of the websites offering Forex online platform trading don't charge any fee, and if they do, make sure to gather information pertaining to what the fee is for. Unless they offer professional guidance, or any value added service, do not go in for a site that asks you to pay a fee.

In Forex online platform trading, the Forex charts are the most valuable, as they provide concise information pertaining to the markets. If the chart is can be generated in your website, then make use of it, and if any additional software does need to be downloaded , check with a specialist before registering for the same. In addition to the same, an analysis of the data must also be carried out and automatically generated at regular intervals. If in case you don't have the necessary time to monitor your investments, seek the help of a brokerage firm who will do the needful and keep you posted on the results. For those who are new to Forex trading, check if the site allows you to start at a minimum investment, as this will give you an idea as to what happens and how to go about the whole system. Another important factor to note is the time taken to show results, it has to be instantaneous with no re-quoting or adjustments. And most investors are advised to have two accounts, wherein they can use one for trial purposes and gain some learning from them, other for actual trading.

Nick Schultz is a Forex Trading expert who recently developed an eCourse that details a step by step process for success Forex investing. If you are interested in learning more about his "9 Steps to Better Forex Investing" eCourse and learning how to make greater profits from your Forex Trading, please go here: http://www.forexinvestingcourse.com

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