Forex Education - A Lesson from History for Forex Success

Forex Education - A Lesson from History for Forex Success

By: Kelly Price

Here we are going to look at the story of "the turtles". If you don't know who they were, then you should study this group of traders, as learned to trade in just 14 days and made $100 million, in just 4 years! There is much to learn and it's an inspiring story, so let's look at it.

The story begins in 1983, when trading legend Richard Dennis decided to prove that anyone could be a trader, if they had the right mindset, the right education and the right trading system.

He picked a group of people who had never traded before.

This group consisted of both sexes, various ages and various levels of academic achievement and variety of occupations from a security guard to a boy fresh from school.

He then set about teaching them to trade in 14 days.

He set them up with trading accounts and the results were astounding:

This group of traders went on to make $100 million in four years and many went on to become trading legends.

So what can you learn from the experiment?

The first lesson is, anyone has the potential to be a successful trader and every thing about currency trading can be learned.

Secondly, if you have the right forex education you can do it quickly, 14 days is not a long time to learn any trade!

Hang on! - You maybe saying:

If everyone can learn to trade, why do 95% of forex traders wipe out their accounts?

When Dennis taught the turtles, he used a simple method - but he rammed home two:

1. You need to have mental discipline to follow any system because if you don't, you have no method at all. He made sure that the traders knew exactly how and why the system worked, to give them the confidence and discipline to follow it.

Most traders simply never get confidence in what their doing, as they follow others or simply have no well thought out forex trading strategy and trade with their emotions.

2. Dennis also taught the traders to play great defence first. This meant strict money management to protect their equity above all else.

Just like any great football team you build from the back.

There is no point in having a great offensive line, if your backs can't protect you and it's the same in trading.

The Key Combination

Dennis essentially knew that you can teach anyone a trading system - but that's not enough, you need to combine this with mental discipline.

A lot is written about discipline in trading yet, few new traders really understand how hard it is to maintain it.

To keep executing a trading system when it's losing is tough!

Of course all systems will lose and you have to have the confidence, discipline and money management in place to ride the period out.

Could You Be Successful?

The story of the turtles actually inspired me to trade back in the eighties.

The reason it's so inspiring is because it shows anyone can make money with the right mindset and the right education.

Sure not everyone is going to become as rich as "the turtles" - but the opportunity exists and everyone can earn an income that more than compensates for the effort.

So the moral of the story is work smart, get a simple system, have confidence in it and apply it with discipline - if you can do that your on the road to currency trading success and a life changing income.

NEW! 2 X FREE ESSENTIAL TRADER PDFS For free 2 x trading Pdf's with 90 of pages of essential info and an exclusive currency trading course visit our website at: http://www.learncurrencytradingonline.com

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5 Forex Trading Myths

5 Forex Trading Myths

By: John Baker

1 – If I trade stocks successfully, I will make money in Forex

Despite the fact you are successful in the stock market, this does not imply that you’ll be successful in the Forex market. There are a lot of differences between the stock market and the Forex market. First of all, the Forex market is open 24 hours a day. This requires a lot more complexity and work. As you know, you cannot be in front of your computer 24 hours a day. You’ll have to figure out the best time periods to trade so that you can be successful. Also, you need volatility. And here’s another problem with the Forex market. There are periods of very high volatility and very low volatility. This difference is much higher in this market than on stocks. You may think that as the Forex market is open 24 hours a day, you can day trade whenever you want. You just need to turn on your computer and there it is… a trade just for you. Well, that’s not even close to the reality. This may happen from time to time but it’s not frequent. You need to develop a good strategy. The last point I need to focus is a real important one. If you want to trade Forex you need to find a good forex broker. Well, this isn’t a simple task as in the stock market because this market is not regulated. This means that there are a lot of brokers that don’t act in the best interest of their clients. Be ready to spend quite some time finding a solid broker that fits your needs.

2 – If the Forex market is open 24 hours a day, I can make a profit whenever I want

Well, not quite… As you know, to make a trade, a trader needs volatility. The volatility can appear anywhere within the 24 hours. As you cannot be in front of your computer all the time, this makes your work harder. First of all, you need to figure out the best time to trade (where volatility usually appears) and you also need to adjust your strategy to this period.

3 – I don’t have to pay commissions in the Forex market

You don’t have to pay commissions but you have to pay the spread. The spread is the difference between the bid and the ask of the currency pair you want to trade. Sometimes, these fees are not so cheap. If you plan to be day trading, you’ll see a major part of your profits to be left for the broker.

4 – In order to be profitable in the Forex market, I need to predict what will happen

As Forex is a complex market, you need to constantly learn and evolve as a trader. This does not mean you have to predict; this means you have to react and react fast. As a trader, you need to access charts but also need to access to all the information you can. The more information you have, the better your response will be when something, good or bad, happens in the market.

5 – I’ll be more successful if I use a more complex strategy

This is clearly a myth. Simple things work better in life as well in Forex. If when you’re defining your strategy you use 3 indicators, I bet most of the times there will be one that goes against the others. Try do define a good but also a simple strategy.

John Baker is the editor at http://www.ForexTopTen.com. By visiting the website http://www.forextopten.com you can read forex traders reviews about forex trading systems, trading courses, ebooks, softwares and brokers.

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Seeking Support As A Stock, Options And Forex Trader

Seeking Support As A Stock, Options And Forex Trader

By: Dean Whittingham

It's been said many a time, trading is a lonely business. The truth to this statement lies in the support you seek. For many, trading will be a lonely business, but it may also be a frustrating one.

Seeking support from others is actually a natural process, and also a reciprocating affair. You should seek others support with the intention of having a mutual friendship, but also to make yourself accountable.

If you know what you're supposed to be doing with your trading but you aren't because you lack discipline, then you may need to find a few people to make you accountable. In other words, you list 10 things you're supposed to do this week, and tell them. If you break any of your rules, or don't do these 10 things, then you must confess. A forum is a great place to find these sorts of people, but do bear in mind, you must know what you want. Those that float aimlessly in trading can also bring other traders down with them.

Floating aimlessly in trading is the same as floating aimlessly through life. If you don't know what you want, where on earth are you going to go? Nowhere, you just float with no direction. This is a terrible curse to have, especially in the field of business.

Trading is a business and as such must be treated like one. If you decide to go into business for yourself, I would assume that you would put a lot of planning into it. You're probably going to try and seek help from professionals such as accountants and so on, but you also should seek support.

If you have family to support you, all good. If you don't then get out there and find people with similar ambitions. It's not hard, every major city throughout the world has groups of people who get together and discuss trading. Meeting with such people on a regular basis can aid you greatly in your planning and execution.

But most of all, have fun. I meet up with several groups and sometimes we don't even discuss trading. We'll start talking about something else, and before we know it, it's late. It's the bonding between a group of people that can have an uplifting effect on each individual....

Dean Thomas Whittingham created A Traders Universe - Trading System Development in 2005 as a resource site for traders of all levels, with eduction, courses, brokers, tips, free videos, newsletters, trading systems, simulations and a free 7 step process for building a profitable stock, futures or forex trading system.

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Gold is a Timeless Investment

Gold is a Timeless Investment

By: Gary Giardina

In 1974 President Gerald Ford lifted a forty year ban where it was illegal to own hoards of gold. This ban was put in place by Franklin D. Rossevelt in 1933.People were able to buy gold and trade gold as a commodity.

This all happened after the great depression. Foreign banks, who were afraid of the failing economy, were turning in their paper money in exchange for gold. The gold supply was being depleted in the US.S. Reserve. Up until then the United States had been on the gold standard. Many dollar bills, like the fifty, were printed with a yellow back which indicated it could be turned in for the gold rate.

The Executive Order 6102 made it illegal for anyone to own more than $100 worth of gold. Citizens had to turn in their gold in exchange for paper money. The gold coins were melted down into bars by the U.S. Treasury department. This was done to keep the U.S. Overseas market avoid panic and keep the dollar afloat. The tactic worked.

However, not everyone turned in their gold coins. Private collections still have a few. Sought after by collectors these coins are considered rare. Certain $20 gold coins can range in value from $500 to over $20,000 depending on the marks and condition of the coin.

Gold is a timeless investment. The value has gone up considerably more and more over the years. Supply and demand law is the reason why. The mines are not producing enough gold to satisfy the demand. The prices were stable because the banks were selling their reserves. Now that they are holding on to the gold and the demand has increased, the prices are climbing. It is expected to peak at about $1,000 per troy ounce by mid summer of 2008.

The U.S. Treasury is producing the gold eagle coin. This 1 troy ounce coin has a face value of $50. This is enabling anyone who wants to invest in gold to do so. The coins are also available in the ½ ounce, ¼ ounce, and 1/10 ounce varieties as well. Being able to invest in the gold market has finally become possible for the middle class. Many people are finding it worth the investment.

Investing in gold is a wise choice. Going up is the direction of the price. The demand is also growing. The ability to have it with you and easily transport it is a benefit. The fact that it is a tangible product that never loses value is the best reason to invest in gold. Now that the U.S. Treasury has made the coins available on the open market, anyone who ever thought of investing in gold can do so.

For more information please visit http://goldinvestingsite.com/ Gary Giardina

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How To Pick The Best Stocks To Buy

How To Pick The Best Stocks To Buy

By: Anna Coulling

Learning how to pick the best stocks to buy can be a daunting process, even for those who have been trading for some time, but this need not be the case, and the first question we need to ask ourselves is 'why we are buying?' For example an investor looking to buy and hold for 5 to 10 years would have a very different selection criteria to a short term day trader, or an equity option writer. So before rushing in to buy our stocks we need to have a very clear idea of our goals and objectives for the stocks we are proposing to buy. For the purposes of this article I am assuming that we are looking for stocks for a medium to longer term buy and hold strategy.

As a full time, mainly technical trader, I have found over the years that the simpler the system for selecting suitable stocks the better, and the good news is that virtually all the information needed to select the best stocks to buy is now freely available on the internet. All that is required is some effort, a bit of hard work and lots of practice. The approach I use to identify good stocks to buy is largely a technical one, but does also include elements of fundamental analysis at the macro level. The process is fully explained on my websites but the principals are as follows:

The first step to consider is the economy of the country where you are investing, as some stocks and sectors perform better in recession, than in expansion, and vice versa. As an example, utility stocks generally perform well in early recession as the professional money is looking for safe stocks with guaranteed income streams. Having done this the next stage is to look at the main indices of the country and to establish a long term view from the charts. In the US this would be the S&P500 or Dow Jones 30, and in the UK the FTSE100, 250 or 350. We then start to drill down into the sectors, looking for stocks that are performing well and in a long term uptrend. The only indicators I use at this stage are volume, and simple moving averages. I am looking for unusual volume patterns, in combination with specific candlestick formations, as well as lines of support and resistance for signs of a breakout.

Having identified some possible prospects I then filter these on a daily basis looking for a 2% increase in price on the day. This 2% movement helps me to identify stocks which are active. The buying process has still not arrived as there are still a number of other factors which need to be investigated. These include earnings and dividend dates, and details of directors' dealings, as these may give clues or warning signals. Once I am satisfied I will then buy the number according to my money management rules (these details too are on my website). The final step is placing a stop loss in case the price trend reverses. In the early days of any stock purchase the number one priority is preseveration of capital.

In essence the whole process can be summed up as starting at the macro level and moving down to the micro in a series of stages, using both technical and fundamental data. It is an uncomplicated system but one which I have found to be extremely successful. For a novice investor or trader an excellent and risk free way to try out this strategy, as well as the quickest way to learn about the stock market, is by using a free online stock market game. These provide an excellent introduction to the world of stock trading, but without risking any real money when you start - it will however teach you how to manage and place trades, both long and short, as well as allowing you to place stop loss orders to manage your trades safely. Signing up is free, and best of all some of the games even offer prizes on a daily or weekly basis for the best performing stock portfolios - so you have nothing to lose (unlike the real markets!!)

Anna Coulling is a full time trader and investor, with a number of websites offering free information on how to trade and invest in a variety of financial markets. http://www.stock-market-games-free.com

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Forex Online Trading Platforms

Forex Online Trading Platforms

By: Andrew Daigle

Unlike the stock market, the Forex market is generally an unregulated market with no central location for trading. Traders use the services of a Forex broker to participate in the market. In the U.S., legitimate Forex brokers are registered with one of the various regulatory agencies. If you are new to Forex trading systems, you must be careful to seek a registered broker and avoid off-exchange currency dealers and the scams that have evolved around the Forex market. Legitimate brokers may be found online and your chosen Forex broker should provide an online platform for you to trade on. Online platforms provide Forex trading systems with less costly trades and better accuracy in the pricing of currency pairs than conventional trading systems.

Technological advances in computers and the Internet are responsible to create a market of online Forex trading opportunities. The Internet has provided for market knowledge to be disseminated to the global Internet community. This information was traditionally limited to banks and other financial institutions. With the advances in online, real-time and near real-time information flows, you have access to market information in line with the banks and financial institutions. Even during periods of market volatility, online platforms are able to provide a consistent flow of quotes. However, many online platforms are disguised as Forex trading platforms when they are really frauds.

Some of the fraudulent online platforms that you should be careful to avoid, particularly if you are a new or inexperienced trader are fraudulent brokers, bookmakers and bucket shops. Fraudulent broker practices may include offering outrageous bid/ask spreads and requiring unreasonable commissions. They may promise profits and never deliver them or claim to be trading your money when, in reality, they have used the money for personal interests. They may also provide you with phony accounting statements that indicate profits they never made or they may attempt to lure you with phony stories of successful business relationships using fake customer names. The onus is on you to invest time and resources in locating a reputable broker.

Bookmakers are platforms established to bet on currencies. While this type of betting is perfectly legitimate in some states, it is not to be confused with Forex trading systems. In many cases, bucket shops are fraudulent platforms designed to cheat you out of money. Though they will claim to engage Forex trading, they have no connection to Forex. Their fraudulent schemes usually involve convincing you to invest in currency futures and options rather than the spot trading market that is Forex. Since the methods of futures and options trading provide for a broker to contractually engage in transactions over a period time, this scheme allows the frauds to collect more of your investment dollars for a longer period of time. The spot Forex market, on the other hand, is designed to provide simplicity and allow investors to enter and exit the market at will. There is no contractual obligation or lengthy time constraints.

Most online platforms are designed to run with Windows and most web browsers. In general, an online platform provides access to an order entry process and should have a method of displaying currently held positions, charts of monitored currency pairs and some itemized form of account data. You should also seek a platform that offers some method of backup and communication in the case of loss of access to the Internet.

Andrew Daigle is the 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.

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Forex Online Trading – What NOT To Believe

Forex Online Trading – What NOT To Believe

By: Harold Hsu

Learning to trade Forex is not difficult at all. In my experience, it takes the average person about 10 days to learn enough to begin trading.

However, it’s a fact that almost 95% of all Forex traders fail to make any money!

One of the reasons, I believe, why so many retail traders lose money is because they buy into all the hype and unrealistic expectations that some unscrupulous Forex marketers want them to believe. This results in many traders not getting the right education and information in order to trade profitably.

The marketers want you to believe that there’s a "hidden secret" to profitable Forex trading. They want you to believe that there are top-level "underground" traders out there that hold the "holy grail" of Forex trading… and that they’re willing to sell it to you at a low price of under two hundred dollars.

Come on, who are they trying to kid? No one would possibly buy into this hogwash, would they?

Unfortunately, as much as common sense tells them this is probably too good to be true, thousands of people every month buy into these scam trading "systems". It’s sad, but it’s the truth.

In all honesty, there are no hidden secrets to successful Forex trading. Good trading involves logical, rational thinking coupled with hard work and discipline. That’s pretty much all you’ll need – not some super "black hat", mysterious "underground" trading system that will make you an instant millionaire.

But many people don’t like to hear about this truth because it just doesn’t sound sexy or exciting. They like to think that trading is like being in a casino – you just have to strike it rich once, and you’ll be set for life! Yeah, right.

So please, don’t fall into this way of thinking. Just put in the hard work, and be persistent. The rewards will pay off handsomely.

To learn more, download my free 26-page guide here: "Forex Trading Traps!" Harold Hsu is the owner of ForexSystemProfits.com where he provides premium Forex trading information and resources.

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Forex Trading Education - Trading The News

Forex Trading Education - Trading The News

By: Harold Hsu

News trading is a popular tactic that many Forex retail traders will try sometime in their trading careers. However, not many people are aware of what it takes to trade the news successfully. In this short article, I will discuss the implications of news trading for retail traders like you and me.

What is news trading?

News trading (also known as ‘trading the news’) involves the entering into trades just before, or immediately after the release of important economic news announcements. Traders ‘trade the news’ because market prices tend to move up on good news, and move down on bad news. Important economic news announcements typically affect currency prices directly.

Why is news trading so popular?

The biggest reason for the popularity of news trading is the potential for large price movements in a very short period of time. Prices can move up to 100 pips (or more) in under a minute just after certain news is released.

The large profit potential is what lures most traders to take part in news trading. You can make a lot of money in a very short period of time.

But! News trading is dangerous

Indeed, with the large profit potential comes the possibility of a large loss. News trading is dangerous because if you’re caught on the wrong side of a trade, you can lose money so quickly that you won’t even have enough time to manually close your trades. Even stop loss orders are unreliable during news trading because of the high probability of suffering from slippage.

Should you news trade?

Honesty, I wouldn’t recommend anyone to news trade unless they’re absolutely sure about what they’re doing. Successful news trading requires one to first have superior (faster) news feeds and second to have uncanny reaction speeds to quickly enter your trades the moment news is announced.

Any other form of news trading such as placing limit orders on either above or below the market price is simply guessing. And if you’re guessing, you won’t survive very long in the market.

My advice for most retail traders would be to avoid news trading altogether.

To learn more, download my free 26-page guide here: "Forex Trading Traps!" Harold Hsu is the owner of www.ForexSystemProfits.com where he provides premium Forex trading tips and resources.

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Forex Basics - Why Trade Forex?

Forex Basics - Why Trade Forex?

By: Harold Hsu

Many people wonder if they should be interested in the foreign exchange (currency) market. They ask, "Isn’t Forex something that only the big banks and hedge fund managers pay attention to?"

Well, these large market players are definitely interested in the Forex market, but that doesn’t mean that retail traders like you and I should ignore it! In fact, the Forex market gives retail traders significant advantages that many other financial markets can’t.

Diversification

For people who already trade or invest in other financial instruments, the currency market is an obvious choice for diversification purposes. We live in a risky world, and every day we hear about terrorist attacks or the failures of financial markets (such as the sub-prime mortgage crisis). As such, the Forex market provides an excellent alternative asset class to further hedge your overall investment portfolio risk.

High Liquidity

The Forex market is the largest financial market in the world, with an average of 3.2 trillion dollars transacted every single day. Thus, as opposed to stock trading (for example) where a lack of liquidity may pose a problem, the currency market is mostly able to meet your buy and sell orders, no matter the time you are trading at. The high liquidity also enables tighter bid/ask spreads, allowing you to lower your overall cost of trading.

Leverage

Also unlike most other financial markets, the Forex market provides one of the highest levels of leverage for trading. A trader with limited funds may be able to trade tens of thousands of dollars on the market, by staking only a few hundred dollars of his own money. However, it should be noted that leverage is a double-edged sword. While it can provide large winnings using only a small stake, it has the propensity to cause large losses as well.

To learn more, download my free 26-page guide here: "Forex Trading Traps!"

Harold Hsu is the owner of http://ForexSystemProfits.com where he provides premium Forex trading information and resources.

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Forex Education - Know Your Competition

Forex Education - Know Your Competition

By: Harold Hsu

Forex trading is a zero-sum game. For every dollar won by a trader, there is a dollar lost by another trader. It’s a sad reality, but it’s still nonetheless a reality.

Taking from others is the only way wealth is created in the Forex market. It’s not like the stock market where almost all investors can benefit from rising stock prices. The Forex market does not provide a win/win situation, but rather a win/lose situation. You can thus imagine the importance of understanding your competitors… you must "know thy enemy".

Who Are Your ‘Enemies’?

Before you can study and understand your competitors’ trading tendencies, you’ll first have to know who they are.

So who are the major players in the Forex market?

Multinational corporations (MNCs), banks and hedge funds are just some of the big players you should be mindful about. These are the ‘sharks’ of the market. They prey on retail traders like you and me all the time.

And don’t forget everyday retail traders. They’re your competitors too! Of course, retail traders will have different tendencies from the big financial institutions.

Understand Your ‘Enemies’

The big financial institutions trade at all times of the day, and are experienced and resourceful enough to ‘eat’ us retail traders alive. Large market movements are usually due to the actions of financial institutions, so it’s a good idea to follow their lead rather than to trade against them.

On the other end of the spectrum you have retail traders as your competitors. Understanding their tendencies can also give you a better chance at making money at their expense. For example, many retail traders will place their stop-loss orders at obvious support or resistance levels such as previous swing lows or previous swing highs. Knowing this, you can then exploit this tendency and make money out of it.

To learn more, download my free 26-page guide here: "Forex Trading Traps!" Harold Hsu is the owner of http://ForexSystemProfits.com where he provides premium Forex trading information and resources.

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Choose Your Forex Broker With Care

Choose Your Forex Broker With Care

By: Anna Coulling

So you've finally made the decision to trade the forex market and want to open an account with a broker, but where do you start? If you don't already know the forex market is still largely unregulated although new guidelines laid down by the National Futures Association in the US about capitalization, finally came into effect on 21st December 2007. They are an attempt to force out brokers with insufficient funds and to offer traders better protection. However, here is my own personal checklist of questions you need to ask before parting with any money.

The most important questions are: what is the net capital, where is the brokerage based and who are the regulatory authorities. The quickest way to find answers to these questions is to ask the brokers directly! The NFA requirements are that brokers should have a minimum of $5m dollars plus a percentage of their clients' funds as a safety net. To my knowledge there are only 14 companies in the US which currently meet this criteria. It is unclear what is to happen to those brokers who fail to meet these guidelines but already 4 companies have already been closed down.

Knowing the location of the broker is also very important because if they are offshore they may not be regulated. In the US your broker should both NFA and CFTC (Commodity and Future Trading Commission) registered while in the UK they should be with the FSA. Other countries will have different regulatory bodies so please check - it's your hard earned money.

Once you are satisfied with the broker's financial probity the next issue is what trading style does the broker allow. For example what is the broker's attitude to 'scalping'? I recently spoke to a leading broker at an exhibition where I was told that whilst scalping was allowed, sniping was not! When I asked them to explain the difference there was a great deal of foot shuffling and avoidance of eye contact! Other brokers do not permit long term trading or may even on a minimum number of monthly trades so please read the small print. Also check if telephone support is offered - internet connections do break down and trading platforms do fail. If you are stuck in the middle of a trade with no means of communicating you will not be able to cope with your stress levels.

It is also important to establish the broker's policy on spreads and the extent to which they are widened when the market is volatile, especially during major news such as non farm payroll. If you visit any of the many forex forums you will see that this is one of the most hotly discussed topics. Forex forums can also be good places to check a broker's reputation, although do bear in mind that sadly there are many disillusioned traders in this market so opinions can be too subjective. A little research before you start trading and parting with your money will save a lot of disappointment and heartache later on.

Finally, does the broker pay you any interest on your deposit - it is your money in their account, and you can be assured that they will be earning interest on these funds, so why should they keep it for themselves. I know of one broker who pays interest on a second by second basis, so don't be afraid to ask.

Hi my name is Anna Coulling and I am a full time currency trader based in the UK. I have been involved in trading and investing for over 15 years and have now developed a number of free resource sites to help others get started in the exciting, but demanding, world of investing and currency trading. currency brokers

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Forex Charts - Avoid This Common Deadly Mistake or Lose

Forex Charts - Avoid This Common Deadly Mistake or Lose

By: Monica Hendrix

If there is one basic mistake traders make and continue to make it's the one in this article and if you make it you will simply lose all your money and do it quickly, so here is the forex chart mistake to avoid.

The mistake is the forex prices can be predicted on forex charts.

No they can't...

Of course if you are predicting you are hoping and guessing and that won't get you far in any venture in life, let alone forex trading.

Of course there are many vendors who will tell you prices can be predicted with scientific accuracy and the naïve trader swallows it.

The most popular scientific theories are based around the works of - Gann, Elliot wave and Fibonacci.

These guys never made money with their theories and neither will you - because the fact that markets move at all, proves there is no scientific theory... If there were a scientific theory, we would all know the price in advance and there would be no market - common sense really.

Other forex traders predict but they don't believe in scientific theories - their just trying to buy low and sell high and this doesn't work either.

For example - a trader sees the price dip to just above support, assumes it will hold and executes his trading signal. Of course sometimes it works, most of the time it does not.

Rather than hoping guessing or predicting - you need to get the odds in your favour. Forex trading is a game of odds not certainties but get them on your side and you can make a ton of money.

The Way To Win With Forex Charts

Lets say you see prices dip to support you don't buy you wait for momentum to turn up (you can read about momentum oscillators in our other articles) this gives you advance warning of a shift in price velocity and shows the level is likely to hold.

You can also use momentum to follow a break of support and trading breakouts is very profitable.

It's a fact that most big bullish or bearish moves start from new market lows or new highs and by following the breaks with momentum on your side you can catch the biggest trends.

So remember:

The next time you see someone say they can predict market tops or bottoms with 90% market accuracy - you know their lying and that if you try and predict with your forex charts, you simply lose all your money and do it quickly.

Use your forex charts correctly. Trade the odds, confirm each move with momentum and enjoy long term currency trading success.

NEW! 2 X FREE ESSENTIAL TRADER PDFS For free 2 x trading Pdf's with 90 of pages of essential info and an exclusive forex trading system for beginners visit our website at: http://www.learncurrencytradingonline.com

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Forex Broker Scams

Forex Broker Scams

By: John Baker

If you already trade the Forex market, this isn’t new to you. Although, if you are a beginner, please be aware that this is a common thing in Forex.

For trading in any financial market you need a broker. As the Forex market isn’t regulated, you have to make a better due diligence to find a good broker than in any other financial market that is regulated like stocks, futures or options.

I have encountered several things that you should avoid in a broker. All the criteria I’m going to refer have to be accomplished in order for you to have safety of funds.

In the first place, you should avoid forex brokers that are based offshore, in third world countries or brokers that don’t even state where they are based. I’m telling you this because of the safety of your funds. As there are many forex broker scams, you need to pay special attention to this factor. If your present broker or the broker you are thinking of opening an account with has this characteristic, my advice is to look somewhere else.

In the second place, the forex broker you choose can’t trade against you. This may seem new to you but there are a lot of forex brokers out there that are doing this. Of course, as they are stronger than you, a simple trader, they will always win and you will always lose. Please be aware of this situation.

In the third place, you should read reviews about your broker or the broker you are thinking of using. It is always important to read what other traders think about them, their executions, their spreads and even their customer support. You should read their webpage but nothing is better that asking or reading about them from someone that is already using their services.

Finally, don’t let the money and greed talk too loud. If a forex broker allows you to trade with just $100, it’s because they allow you to have a big leverage. Using big leverage is not a good idea because, if you have a small account, you can get ripped off with just a loss. Of course, you can use this leverage in your favor if it is a small percentage of your money. But if you’re trading with just $100, there’s no space for leveraging without incurring in a very high risk of losing your entire account in a single trade.


Don’t get discouraged by the fact that there are so many forex broker scams. There are also good and solid forex brokers. You just have to do a deeper search in order to find one that fits your needs and your security.

John Baker is the editor at http://www.ForexTopTen.com. By visiting the website http://www.forextopten.com you can read forex traders reviews about forex trading systems, trading courses, ebooks, softwares and brokers.

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Learn Currency Exchange the Right Way and Win

Learn Currency Exchange the Right Way and Win

By: Monica Hendrix

Anyone can learn currency exchange - but it's a fact that 95% of traders lose and this is simply down to the fact that traders believe currency trading myths or, simply get the wrong forex education. Let's look at learning currency exchange the right way.

1. Risk Goes With Reward

Risk goes with reward we all know that and the rewards in forex trading are potentially life changing, so don't believe its easy, its not - but currency trading success is achievable and anyone can be a successful trader.

Just keep in mind you must approach currency trading with a desire to succeed and a willingness to work smart and take responsibility.

2. Your on Your Own

If you want to learn from someone else and use their knowledge as a basis for your forex trading strategy that's fine - but do not follow someone blindly, or you will not have confidence in what you are doing.

Understanding what you are doing and having confidence in it, is the key to applying your forex trading strategy with discipline and this is the key to success.

If you do not apply your forex method with discipline, you don't have a system at all.

So learn from others but understand what you're doing.

3. Do not Fall for these currency trading myths

The rise of online forex trading has seen the rise of vendors who are out to make a quick buck, most of them are not traders and they are responsible for spreading several myths of which some of the most popular are outlined below:

- Day trading and scalping is a great way to win at forex - You can predict forex prices in advance - Buy low sell high is a way to make money - A forex trading system sold with simulated track record will work - Forex markets move to a scientific formula

The above are all myths and if you believe any of them you will lose

4. Work Smart Not Hard

You don't need to work hard; you need to work smart when learning currency exchange. You should only learn the information you need to succeed.

One of the best ways to start is to teach yourself forex technical analysis and how to use forex charts. This should only take you a week or so, you can then build your own robust trading system about 2 weeks - that's it.

Once you have your system, its 30 minutes or less a day to execute your trading signals.

Forget all the people who tell you to constantly study and learn - that may help you get a university degree but won't help you in the forex markets. You don't get paid for effort - you get paid for being right and that's it.

5. You Must Acquire This!

All successful forex traders have it and it's a trading edge.

A trading edge is the edge you have over other forex trader's i.e the 95% who lose at forex trading. It doesn't matter what it is - but you must understand it and have confidence in it to give you long term success.

If you don't know what your trading edge is - you need to get back to learning currency trading basics until you do.

6. Mindset

The real key when learning currency exchange is not so much getting a method but learning to apply it with discipline. Learning a currency trading system is easy; applying it with discipline is the hard part.

When you are in the middle of a series of losses, it takes great mental discipline to stay disciplined and not throw in the towel or vary your trading system.

You will understand this feeling better when you come to trade!

To be a successful currency trader you have a combination of learning the right knowledge, which gives you the confidence to apply it with discipline. If you want to learn currency exchange the right way, the above essay will point you in the right direction for long term FX trading success.

PROFESSIONAL FOREX TRADING COURSE and FREE ESSENTIAL TRADER PDFS

For free 2 x trading Pdf's with 90 of pages of essential info and more on how to learn currency exchange visit our website at: http://www.learncurrencytradingonline.com

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Currency Swing Trading For Success

Currency Swing Trading For Success

By: Kelly Price

If you are new to forex trading the best way to get started is swing trading - its simple to learn requires very little discipline and can soon be making you huge profits. Let's look at currency swing trading in more detail.

The Objective

Is to capture moves which will typically last between a couple of days and around a week and will trade short term moves within support and resistance levels - normally from overbought or oversold levels.

Why It Does Not Require Much Discipline

Most traders fail because of lack of discipline. They can't run big profits and trend follow because it takes tremendous patience to wait for the right opportunities and great willpower to hold long term trends if open equity dips.

In forex swing trading, you get a lot of trades and you know if you are right or wrong quickly, it therefore is ideal for novice traders.

Building a Swing Trading System in 2 Simple Steps

If you are learning currency trading and a trading system regardless of time period you need to incorporate two facets into it

1. Support and resistance

You need to look and find areas of support and resistance where prices are likely to hold or break and then move to market timing to confirm the move on your forex chart.

2. Confirmation

If you simply try and swing trade into a level of support and resistance without some indication it will hold you are effectively hoping or guessing and you will lose.

Traders who predict on forex charts lose - it's as simple as that.

You need to act on confirmation and here you need to incorporate momentum oscillators into your forex technical analysis - if you don't know what they are, its time to learn. Good ones to start with are the stochastic, RSI, ADX and MACD. These are plotted on most good forex chart services and are visual ( you don't need to know the calculation) and you will soon be spotting the correct set ups.

They will allow you to check changes in price momentum and indicate whether support or resistance will hold or break. We have discussed these fully in our other articles so look them up.

Once you have confirmation you can execute your trading signal

A few other points you need to keep in mind when currency swing trading are:

Always take your profit early - before the next support or resistance level is hit as prices can soon turn around and wipe out your open profit.

Also you can trade breakouts - this is where levels of support or resistance break and prices go to new lows or highs. It's a fact that breakout trades offer some of the best risk to reward trades you are going to get and if you catch them you can enjoy currency trading success.

With stops place it straightaway as you enter the market and don't exit on a stop exit on a profit taking signal.

You can learn to swing trade and put together a robust simple swing trading system in a few weeks and soon be making some great FX profits.

Currency swing trading as we have said is - simple and easy to learn and can be very profitable, so try it and you will soon be getting some great trades and great profits.

PROFESSIONAL FOREX TRADING COURSE and FREE ESSENTIAL TRADER PDFS

visit our website at: For free 2 x trading Pdf's with 90 of pages of essential info and more on Currency Swing Tradinghttp://www.learncurrencytradingonline.com

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History of the Forex Market

History of the Forex Market

By: Andrew Daigle

Money, in one form or another, has been used by man for centuries. At first it was mainly gold or silver coins. Goods were traded versus other goods or against gold. So, the price of gold got a reference point. But as the trading of goods grew among nations, moving quantities of gold around places to settle payments of trade became cumbersome, risky and time consuming. Therefore, a system was sought by which the payment of trades could be resolved in the seller's local currency. But how much of buyer's local currency should be equal to the seller's local currency?

The answer was simple. The strength of a country's currency depended on the amount of gold reserves the country preserved. So, if country A's gold reserves are double the gold reserves of country B, country A's currency will be twice in value when exchanged with the currency of country B. During the first World War, in order to meet the tremendous financing needs, paper money was created in quantities that far exceeded the gold reserves.

After the cease of World War II the western allied powers tried to resolve the problem at the Bretton Woods Conference in New Hampshire in 1944. In the first three weeks of July 1944, delegates from 45 nations gathered at the United Nations Monetary and Financial Conference in Bretton Woods, New Hampshire. The delegates gathered to discuss the postwar recovery of Europe as well as a number of monetary issues, such as unstable exchange rates and protectionist trade policies. In the early 1940s, the United States and Great Britain developed proposals for the creation of new international financial institutions that would stabilize exchange rates and promote international trade.

The delegates at Bretton Woods arrived at an agreement known as the Bretton Woods Agreement to establish a postwar international monetary system of convertible currencies, fixed exchange rates and free trade. To help these objectives, the agreement created two international institutions: the International Monetary Fund (IMF) and the International Bank for Reconstruction and Development (the World Bank). The aim was to render economic aid for reconstruction of postwar Europe. An initial loan of $250 million to France in 1947 was the World Bank's first act.

Under the Bretton Woods Exchange System, the currencies of active nations could be changed into the US dollar at a fixed rate, and foreign central banks could change the US dollar into gold at a fixed rate. It was similar to forex trading.

The United States, under President Nixon, retaliated in 1971 by devaluing the dollar and pushing realignment of currencies with the dollar. The heading European economies tried to counter the US move by adjusting their currencies in narrow band and then float jointly against the US dollar.

Fortunately, this currency war did not last long and by the first half of the 1970's heading world economies gave up the fixed exchange rate system for good and floated their currencies in the exposed market. The idea was to let the market determine the value of a given currency based on the demand and supply of the currency and the economic wellness of the currency's nation, it sown the forex trading. This market is popularly known as the International Monetary Market or IMM. This IMM is not a single entity. It is the collection of all financial institutions that have any concern in foreign currencies, all over the world. Banks, Brokerages, Fund Managers, Government Central Banks and sometimes individuals, are just a few examples.

Although the currency's value is dependent on the market forces, the central banks still try to keep their currency in a predefined (and highly confidential) fluctuation band as a part of their forex trading strategies. They achieve this by taking several steps.

Andrew Daigle is the owner and author of many successful websites including a free forex training website called ForexBoost at http://www.ForexBoost.com and a forex blog http://forex-trading-system.typepad.com to learn forex trading systems and strategies.

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