Getting Started In Forex - The Proven Best Strategy For Getting Started In Forex

The proven strategy for getting started in Forex trading - thousands of people every year get started in Forex trading. Thousands of people new to Forex trading every year make critical mistakes because they've cut corners and not followed the best strategy for getting started in Forex. This article will discuss the best proven strategy for getting started in Forex - what you need to do and what you have to know. Keep reading to get a FREE Forex trading lesson plus access to a $100,000.00 Forex demo account to get you getting started in Forex.

Getting Started in Forex Strategy One - when you are getting started in Forex trading it's important to a realistic Forex trading strategy. To do this you need to know (and stick to how much money you are willing to risk.

Getting Started in Forex Strategy Two - when you are getting started in Forex trading it's important to choose the best Forex trader. It is an ABSOLUTE MUST that your Forex broker is registered with the Commodity Futures Trading Commission.

Getting Started in Forex Strategy Three - when you are getting started in Forex trading be sure to have access to the most up to date and most important Forex tools to help you getting started in Forex. Various brokers have access to various tools. Only choose a Forex broker that has the best and most up to date Forex tools at his fingertips. The more access to Forex information that he has the better your chance at winning Forex trades.

Getting Started In Forex Strategy Four - getting started in Forex trading involves learning two different ways of Forex trading (technical and fundamental) and becoming as efficient as you possible can in the Forex trading strategy that works best for you.

Getting Started In Forex Strategy Five - when getting started in Forex trading it's absolutely critical that you build a solid Forex foundation with a comprehensive understanding of the basic building blocks. Taking shortcuts here is not an option and will only result in Forex losses.

Getting Started In Forex Strategy Six - every Forex trader, even ones not getting started in Forex trading, should have a reasonable understanding of interest rates, international trade and the economy in order to predict movements in the current market.

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Beware of Forex Scams

Forex (foreign currency exchange) is a relatively unregulated market with high potential for gains as well as high potential for loss. These two factors, high potential for gain and soft regulation, have attracted swindlers from all over the world. These scam artists use the allure of Forex to steal millions from unsuspecting investors. Let me start by showing an example of a current Forex scam.

All it takes is a couple minutes on Google and I quickly find a few Forex scams. Take this one for example: The company has bought Google ad space and their site shows on the first page of my search. The website reads "Guaranteed 200% Interest Per Month", Minimum Deposit: $5000, Maximum Deposit: $999,999, Investment Length: 30 days; Fast Withdrawals!" To the novice Forex trader it sounds great. All I have to do is send them my money and I will soon be making 200% per month - wow!

If you continue reading you find that they use a lot of flowery verbiage to explain HOW they trade. They talk about "security" of funds and the "stability" of their company. On the 'About Us' page they have headlines like "Professionalism", "Reliability", "Trust", and my personal favorite "Process Ability". Under 'Process Ability" they write: "Correct prediction of reversal of exchange rates outflow by using timely analysis of our department, received news, their processing, and also positions' control during technical and fundamental analysis;". It only takes 5 seconds of reading this site for a REAL Forex trader to see the scam. But to the unsuspecting person, who has heard of the huge potential in Forex, this sounds like a dream come true.

So how does the Forex newbie avoid Forex scams and find real Forex products?


First off, remember the saying "If it sounds too good to be true, it probably is." There is NO such thing as guaranteed returns in Forex let alone a guaranteed 200% per month. Forex can be VERY profitable but it is NOT easy and there is rarely weekly consistency. If you see a Forex company including automated Forex systems making such claims - beware.

Two. Research the company presenting the opportunity. In the case we discussed a moment ago, it only takes a quick look at the company's website registration to find out there are inconsistencies in the story. The website was registered in July of this year but the company claims to have started in June. Also, they provide false business contact information in their site registration.

Never give up control of your money. In Forex, you NEVER should have to send your money to someone other than a fully regulated Forex broker. If you decide to have someone manage your funds for you, you still maintain control of your funds and your Forex account.

Speak to the people behind the Forex opportunity. Many Forex opportunities are completely legitimate. If an opportunity is legitimate the company will be more than willing to speak with you directly. Never invest in any Forex product without having contact with the individuals responsible for that product.

Does the company disclose the risks involved with trading Forex? Forex is a risky investment. If a company refuses to acknowledge that, they are misleading you. It doesn't matter whether you are considering a Forex managed account, an automated Forex trading system, Forex education, Forex trade signals, or any other Forex product. If they are offering you something to do with Forex, they MUST disclose the risks of trading Forex to you.

Don't let emotion get the best of you. There is something exciting about the possibility of making 200% per month guaranteed. This excitement often blinds people from reality. They want to believe SO bad that something is real that they overlook the obvious.

Forex is a legitimate investment opportunity. Thousands of Forex traders make a significant living trading the Forex market everyday. However, don't let yourself get sucked into the Forex scams that seem to be too good to be true. Because they are. Use common sense and the tips I've provided above to avoid being the next victim of a Forex scam.

Echo FX prides itself on being an experienced, honest, disciplined, and emotion-free Forex Account Manager and quality Forex Trading Education provider. For more information about the company, their Managed Forex Account Programs, or Forex Trading preparation solutions - visit http://www.echocurrency.com (Forex Managed Account) and http://www.AcademyofForex.com (Forex Education)

Forex Guide: Things That Every Beginner Traders Should Know Before They Start Trading in Forex

It's a fact that forex trading became a highly preferable investment method in the last decade. Combined with the internet as a global 24/7 network forex is reachable to everyone. I'll not give you about the basic explanation of forex trading in this article. I'm sure that i don't have to tell what forex trading is. People which familiar or have an interest in an investment know forex already. Don't they?

Forex trading is basically just an investment

As any other investment, there are always benefits and risks beyond forex trading. Many people/organization, especially forex brokers, its affiliate and those who earn their income by providing some forex related services says that forex trading have so much advantages compared to other investments; Forex is easy, with its non-stop 24 hours market, its wide range adjustable leverage, its automated trading platform, its offered better opportunity for income resource, and many more -- you name it as much as you want to...

Blinded by its 'beautiful dream imagination', many small/personal traders, especially for the new ones forgot that forex trading is basically still an investment program. Traders should never have a thought that forex trading is an income resource.

Common Beginner Traders Scenario

Beginner forex traders are usually follow the trend of forex trading without preparing and providing them self with an adequate understanding about what's inside forex trading. Their common scenarios are:

1. Know about forex trading

2. Have an interest in forex trading

3. Looking for an easy and profitable forex services

(Usually by looking for some services with less margin, high leverage, automated trading platform, and less risk? - which is too good to be true)

4. Start gambling with their trades

5. Unable to achieve profits as what their imagination

6. Repeating scenarios 3, 4 and 5

7. Repeating scenarios 3, 4 and 5 again... and again...

8. Realizing that they are loosing too much or that their imagination along these days/weeks/months is wrong (i doubt that it would reach years)

9. Give up and quit their trading for good.

Where did they do wrong in above scenario? Is that wrong to always searching for a better service to back up our trade? In my point of view, there are no mistakes in that scenario at all. But it's just incomplete, and that's the most dangerous mistakes made by most beginner traders.

How to Overcome Traders Mistakes and Begin to Make Some Profits in Forex

The facts are, there are just 5% of forex traders which successes with their trading. To become as they are, we should insert step 2.5 in scenario above. This step will simplify above scenarios by eliminating the fourth and eighth and changing ninth step became TRADERS GOAL ACHIEVED.

2.5 Preparing yourself with a solid basic knowledge of forex trading

- Know about the fundamental of forex trading

- Learn about what and how forex market really is

- Train yourself to getting familiar with the technical analysis in forex trading

- Learn how psychological factor affecting in the trading and define our best trading personality

- Be aware in our risk and money management

- Develop your most effective unique trading system based on your knowledge.

We should keep in mind deeply that forex trading is an investment. There is no way that we could be a master in some investment that we've just dive in to for days or weeks. We have to do it by the right way, and don't forget to eliminate your rush in the goal achievement. You will surely find your best trading system that suits you, I guarantee that. But it would cost you some time for several trial and error system testing while you developing your experience in forex trading.

By using an analogical approach as a computer, forex broker is the application programs and operating system. We do need them to make sure that all we need its done, served and executed properly. But, how good the computerization execution speed and its performance are depends on the basic computer specification, which analogically as you.

How to Get Yourself Completely Forex Prepared

Learning and education materials are world widely spreading around us.

1. The first and the most value added a resource of forex trading is through book reading. Forex and investing categorized books are availabe in countless numbers in many bookstore and online bookstore. You should pick some of them to educate yourself with valuable knowledge of the theory beyond forex trading.

2. Try to get into some traders forum to know more about forex trading and the markets. Forex forum also a place to give you an information for forecasting the crowd psychological factor to forecast the currency price movement by examining on how do other traders react in some financial forex related world events.

3. Get a forex course. An expert forex traders or forex broker are offering this kind of forex educational method. The course are usually about the basic knowledge of forex, technical analysis technique usage and its tools, an expert trading advice or maybe in how to develop a particular tested forex trading system which profitable (if done right and backed by your forex basic knowledge).

4. Forex magazine subscription. Some forex magazines are published weekly, monthly and others might be yearly. These materials usually give you information about the updated forex market behavior overview and analysis which can be use for the input of the fundamental analysis of your forex trading.

Octa is a private investor, an online writer and the owner of a forex trading blog [http://forexocta.blogspot.com]. She owns an online bookstore with a numerous collection of investment related books. Octa also a contributor in some finance categorized blogs.

Forex Trading Strategies and the Trader's Fallacy

The Trader's Fallacy

The Trader's Fallacy is one of the most familiar yet treacherous ways a Forex traders can go wrong. This is a huge pitfall when using any manual Forex trading system. Commonly called the "gambler's fallacy" or "Monte Carlo fallacy" from gaming theory and also called the "maturity of chances fallacy".

The Trader's Fallacy is a powerful temptation that takes many different forms for the Forex trader. Any experienced gambler or Forex trader will recognize this feeling. It is that absolute conviction that because the roulette table has just had 5 red wins in a row that the next spin is more likely to come up black. The way trader's fallacy really sucks in a trader or gambler is when the trader starts believing that because the "table is ripe" for a black, the trader then also raises his bet to take advantage of the "increased odds" of success. This is a leap into the black hole of "negative expectancy" and a step down the road to "Trader's Ruin".

"Expectancy" is a technical statistics term for a relatively simple concept. For Forex traders it is basically whether or not any given trade or series of trades is likely to make a profit. Positive expectancy defined in its most simple form for Forex traders, is that on the average, over time and many trades, for any give Forex trading system there is a probability that you will make more money than you will lose.

"Traders Ruin" is the statistical certainty in gambling or the Forex market that the player with the larger bankroll is more likely to end up with ALL the money! Since the Forex market has a functionally infinite bankroll the mathematical certainty is that over time the Trader will inevitably lose all his money to the market, EVEN IF THE ODDS ARE IN THE TRADERS FAVOR! Luckily there are steps the Forex trader can take to prevent this! You can read my other articles on Positive Expectancy and Trader's Ruin to get more information on these concepts.

Back To The Trader's Fallacy

If some random or chaotic process, like a roll of dice, the flip of a coin, or the Forex market appears to depart from normal random behavior over a series of normal cycles -- for example if a coin flip comes up 7 heads in a row - the gambler's fallacy is that irresistible feeling that the next flip has a higher chance of coming up tails. In a truly random process, like a coin flip, the odds are always the same. In the case of the coin flip, even after 7 heads in a row, the chances that the next flip will come up heads again are still 50%. The gambler might win the next toss or he might lose, but the odds are still only 50-50.

What often happens is the gambler will compound his error by raising his bet in the expectation that there is a better chance that the next flip will be tails. HE IS WRONG. If a gambler bets consistently like this over time, the statistical probability that he will lose all his money is near certain.The only thing that can save this turkey is an even less probable run of incredible luck.

The Forex market is not really random, but it is chaotic and there are so many variables in the market that true prediction is beyond current technology. What traders can do is stick to the probabilities of known situations. This is where technical analysis of charts and patterns in the market come into play along with studies of other factors that affect the market. Many traders spend thousands of hours and thousands of dollars studying market patterns and charts trying to predict market movements.

Most traders know of the various patterns that are used to help predict Forex market moves. These chart patterns or formations come with often colorful descriptive names like "head and shoulders," "flag," "gap," and other patterns associated with candlestick charts like "engulfing," or "hanging man" formations. Keeping track of these patterns over long periods of time may result in being able to predict a "probable" direction and sometimes even a value that the market will move. A Forex trading system can be devised to take advantage of this situation.

The trick is to use these patterns with strict mathematical discipline, something few traders can do on their own.

A greatly simplified example; after watching the market and it's chart patterns for a long period of time, a trader might figure out that a "bull flag" pattern will end with an upward move in the market 7 out of 10 times (these are "made up numbers" just for this example). So the trader knows that over many trades, he can expect a trade to be profitable 70% of the time if he goes long on a bull flag. This is his Forex trading signal. If he then calculates his expectancy, he can establish an account size, a trade size, and stop loss value that will ensure positive expectancy for this trade.If the trader starts trading this system and follows the rules, over time he will make a profit.

Winning 70% of the time does not mean the trader will win 7 out of every 10 trades. It may happen that the trader gets 10 or more consecutive losses. This where the Forex trader can really get into trouble -- when the system seems to stop working. It doesn't take too many losses to induce frustration or even a little desperation in the average small trader; after all, we are only human and taking losses hurts! Especially if we follow our rules and get stopped out of trades that later would have been profitable.

If the Forex trading signal shows again after a series of losses, a trader can react one of several ways. Bad ways to react: The trader can think that the win is "due" because of the repeated failure and make a larger trade than normal hoping to recover losses from the losing trades on the feeling that his luck is "due for a change." The trader can place the trade and then hold onto the trade even if it moves against him, taking on larger losses hoping that the situation will turn around. These are just two ways of falling for the Trader's Fallacy and they will most likely result in the trader losing money.

There are two correct ways to respond, and both require that "iron willed discipline" that is so rare in traders. One correct response is to "trust the numbers" and merely place the trade on the signal as normal and if it turns against the trader, once again immediately quit the trade and take another small loss, or the trader can merely decided not to trade this pattern and watch the pattern long enough to ensure that with statistical certainty that the pattern has changed probability. These last two Forex trading strategies are the only moves that will over time fill the traders account with winnings.

Forex Trading Robots - A Way To Beat Trader's Fallacy

The Forex market is chaotic and influenced by many factors that also affect the trader's feelings and decisions. One of the easiest ways to avoid the temptation and aggravation of trying to integrate the thousands of variable factors in Forex trading is to adopt a mechanical Forex trading system. Forex trading software systems based on Forex trading signals and currency trading systems with carefully researched automated FX trading rules can take much of the frustration and guesswork out of Forex trading. These automatic Forex trading programs introduce the "discipline" necessary to actually achieve positive expectancy and avoid the pitfalls of Trader's Ruin and the temptations of Trader's Fallacy.

Automated Forex trading systems and mechanical trading software enforce trading discipline. This keeps losses small, and lets winning positions run with built in positive expectancy. It is Forex made easy. There are many excellent Online Forex Reviews of automated Forex trading systems that can do simulated Forex trading online, using Forex demo accounts, where the average trader can test them for up to 60 days without risk. The best of these programs also have 100% money back guarantees. Many will help the trader pick the best Forex broker compatible with their online Forex trading platform. Most offer full support setting up Forex demo accounts. Both beginning and experienced traders, can learn a tremendous amount just from the running the automated Forex trading software on the demo accounts. This experience will help you decide which is the best Forex system trading software for your goals. Let the experts develop winning systems while you just test their work for profitable results. Then relax and watch the Forex autotrading robots make money while you rake in the profits.

About The Author: Ben Theranbak is an avid student of history, economics, statistics and the markets. He has an MBA, an MS in Aeronautical Engineering and is a graduate of the Naval War College. A former Naval Aviator, Ben is a skydiver and world traveler.

Get a FREE report on a SPECIAL new development in FOREX trading at his website at http://trueairspeed.ws/. This site also offers reviews of several of the best available FOREX automatic trading systems that offer fully automated trading capability along with the ability to fully test the systems using Demo accounts or paper trading for a full 60 days along with full, unconditional 100% money back guarantees.

Forex Secrets - Developing the "Anti-Chaos" Trading Strategy and Tactics at Forex Market (Part I)

"Trading chaos": B. Williams's contribution and the reasons why millions of traders all over the world lose their deposits when they work according to the techniques of this author.

The book "Trading Chaos" by B. Williams is the classical edition that deals with giving the technical analysis to Forex. It is of a great interest not only to me but also to millions of B. Williams's admirers all over the world. From the viewpoint of mine as a trader, this book is so popular because B. Williams tried to do the following:

1. To present Forex chaotic market as a system, making use of the chaos theory.

2. To depict his vision of logic of the structural components motion in this chaos: a) the strategy (Elliot's wave theory); b) the tactics (the fractal analysis; the use of fractals and the so-called "key factor" - i.e., financial and economic instruments.

3. To submit 5 levels of the professional training of every trader. Each of these levels is clearly described and specified - as well as the corresponding goals and the instruments that traders must be capable of using at each of these levels.

In particular, the following chapters of the book in question are dedicated to the problems enumerated below:

Chapter 6. The first level - a trader- novice.

Chapter 7. The second level - an advanced beginner.

Chapter 9. The third level - a competent trader.

Chapter 11. The fourth level - a skilful (trading) trader.

Chapter 12. The fifth level - a trader -expert.

4. Besides, B. Williams enumerates 5 "bullets" that can "kill" any trend -i.e., its reversal points (points of reference). Starting from such points, one can develop new strategy and tactics of the work within the trend.

5. B. Williams also recommends making a business plan. In this "control list", one must clearly specify "the working rhythm", the signals from "the big finger" concerning the deal opening, "stop-loss" levels, cushion pads (suspension pillows), etc.

6. As a professional psychotherapist and trader, B. Williams submits practical recommendations to the beginners and skillful (competent) traders - see Chapters 11 and 12 from "Trading Chaos». The essence of his attitude to traders' principal psychological problems can be approximately formulated as the following. We learn how to integrate into the market basic structure and establish contacts with the market via realizing our own prejudices and by the development of our individual trading programs. You should compare this approach with other psychoanalysts' viewpoints. Such "specialists" try to make money at Forex market rather incompetently (see Chapter 23, dedicated to traders' psychological problems that arise during the work at Forex and methods of their "healing").

7. As the logical continuation of "Trading Chaos", B. Williams has written another book - see "New Dimensions in Exchange Trading". In this book, the author presents his business approach - i.e., Profitunity "via the web".

· He has introduced the indicators (AO, AC and Alligator). Now they are regarded as the obligatory) components of the majority of Forex trading systems.

· He tried to "specify (detect) all market signals" and open deals at the moment when such signals coincide simultaneously, which must be confirmed by different indicators.

I would like to keep on complimenting B. Williams for his accomplishments and contribution to Forex theory but for "one snag to it". Several years ago I started to reflect on certain aspects of B. William's theory. That is, as a rule, 95-97% of traders had lost at Forex before the edition of "Trade Chaos 1, -2" and "New dimensions". At the same time, notwithstanding all achievements and discoveries by B. Williams, the number of traders -losers still remains the same even after the editing of these books.

This circumstance forced me to scrutinize many of B. William's positions more impartially and in detail. I have cardinally reconsidered my views on the trading at Forex.

As I see it, one must clearly distinguish domains where techniques by B. William's and other authors are applicable and where they do not work but only accelerate the process of losing money by a trader. Only after having learned how to detect this boundary one can develop one's own trading system that will bring profits at Forex.

Further, I try to submit my views on Forex market. Starting from the theory, I make a transition to its practical application. In this way one can better understand logic of the currency pair movement at Forex market. Consequently, this approach helps us to trace out a general pattern of opening and closing of transactions at Forex.

CHANGES in FOREX MARKET. FOREX CONTROLLABLE SYSTEM instead of CHAOTIC MARKET and ITS CONSEQUENCES for TRADER'S WORK

Previously Forex was a chaotic market. B. Williams tried to find elements of a system, making use of the theory of chaos. At present the system "tries to disguise its goals and plans" with the help of a superficially chaotic character of movements in this market.

As regards Consortium, the PRINCIPAL CONCLUSION that a trader must make after reading this chapter is the following. This market has ceased to be spontaneous. Now it is organized and controllable. At present volumes of transactions, opened by traders, have ceased being of great influence. Somebody's interest "to push" a currency towards this or that direction has become much more important. Often this interest aims at usurping an N- transaction volume and a number of traders' orders. The primary goal has become to reverse all currency pairs into the opposite direction. This is why the currency often "moves" against the volume, news and the common sense. The charts on April 1, 2005 perfectly illustrate these tendencies. I sincerely hope that everybody sees that these graphs do make exceptions but they don't confirm the rules of Forex.

This is why the techniques of working at Forex, written by those classicists who dealt with the spontaneous market, will more and more diverge from the currency real (true) quotations. It is necessary to mention that at the spontaneous market the direction of the trend and its intensity coincide with the trading volume. At present the base of Forex market is changed in its essence. Now it's being driven by INTEREST of a certain grouping but not by spontaneous forces. This grouping prescribes the currency quotations to us at the market. It is ready to reverse currency pairs against any volume of traders' orders.

The reader should recall one of A. Elder's principal ideas - this author is the classicist of the stock market technical analysis, a trader and the professional psychotherapist. He states that the market is being driven by a crowd (flock), which opens the deals towards one direction. This results in the trade formation.

It is justified when one deals with the chaotic market.

But what does happen at Forex market at present?

Let us again return to the example of USD trend reversal from the "bear" type to "bull" one.

The charts on April 1, 2005 are depicted below.

Chart 8.1. EUR/USD movement (For view picture see notes in end of article)

Chart 8.2. GBP/USD pair movement. (For view picture see notes in end of article)

Let us scrutinize GBP/USD pair behavior on April 1, 2005 after issuing of positive data on GBP and negative ones concerning USA economics. During March, in Great Britain CIPS manufacturing index made 52.0 (the previous value had been reconsidered from 51.8 down to 51.6). In New York, the oil price heightened by $ 2.40 - up to $ 57.70 per barrel. It was the new record-breaking high price in 21 years. During March in USA Nonfarm payrolls were minimal to start from July of the previous year. Its previous value was revised towards its diminution. Michigan sentiment index was 92.6 in March (the forecast had been 92.9 - it had coincided with the previous value). All USA indexes had fallen down.

I hope you take on trust that at the same moment all other currency pairs were adjusted for benefit of USD rate rise against other national currencies. Those who do not believe can check it - these data are public and open to general use.

There arise the questions.

1. Can traders all over the world open transactions in USD "bear" trend almost at the same moment (from M1 to H4 and D1). That is, under the condition of the issue of negative news on USA economy, all traders simultaneously started to buy USD and sell all national currencies. Consequently, USD rate began to sky-rocket. Clearly, this situation contradicts the news, logic and common sense.

2. One should pay attention to the synchronous character of motion of all national currency pairs. The difference in time makes from a fraction of a second to a minute.

The charts on April 29, 2005 serve as another example.

Chart 8.3. EUR/USD pair movement (For view picture see notes in end of article)

Chart 8.4. GBP/USD pair movement (For view picture see notes in end of article)

Analysts attract our attention to the following facts. In the European session EURO/USD pair rate had increased up to the point 1.2976. In the American session it fell down to 1.2852, minimal to start from April 15. The rate fell more than by 120 points. Analysts emphasize the fact that high values of several other USA indices (CIPS and Chicago PMI) pegged USD rate.

In USA in March the personal income index was +0.5%. At the same time, the prognostication had been +0.4%, which had coincided with the previous value. In USA in March the personal spending index made +0.6%. The prognostication and the previous value had been +0.5% and +0.7%, respectively. In April Chicago PMI made 65.6. The prognostication had been 63.0, whereas the prognostication and the previous value had had been 63.0 and 69.2, respectively.

As the consequence of this second "fortuitous" reversal of currencies, USD trend at H4 was changed - from April till the end September, 2005 - i.e., during half a year (at least when his chapter was being written).

As the result of this reversal, national currencies were depreciated with respect to USD. The corresponding indicators (gauges) are the following:

· EURO fell by 1100 points (from 1.2972 down to 1.1865);

· GBP fell by 1900 points (from 1.9164 down to 1.7271);

· CHF fell by 1600 points (from 1.1882 down to 1.3484);

· AUD fell almost by 500 points (from 1.7844 down to 1.7365).

It is an absurd joke, isn't it?

That is, the trend has reversed synchronously with respect to all national currencies by 1000-1900 points for half a year just because of the following events in USA on March, 2005:

- Chicago PMI index was +0.5% instead of +0.4%;

- personal spending index made +0.6% in place of the previous value +0.7%.

Were these events stimulated by traders' wishes and expectations? That is, does it look like all traders simultaneously were being staking wrong over and over again during half a year!

Giving analysis to all the events of those two days, one can see a striking alternative:

1. Either we assume an absurd possibility that there does exist "a world-wide plot of traders" - big gamblers at Forex " included. That is, traders can always act synchronously, whereas National Banks of all countries keep on remaining oddly passive.

2. Otherwise, proceeding from these and hundreds of thousands of the analogous examples, we must admit that Forex is not a spontaneous, unpredictable and chaotic market any more. Now it is replaced by a market, controlled by somebody. In terms of Financial Times and the journal "Currency profiteer (speculator)", this parent group (the organizer of Forex ), is called "Consortium". Below I use this term as well. Consortium is capable of the following:

a). in a fraction of a second to reverse USD trend more than by thousand of points with respect to all national currencies of the world;

b). not to give any chance to National Banks of all countries in the world to prevent the steep fall (or rise) of their national currency rates with respect to USD. Surely, it is assumable that National Banks closely collaborate with this Consortium. However, in this context another statement is important. That is, USD rate reversal occurs simultaneously with respect to exchange rates of all national currencies. However, it looks rather dubious that this very day wishes of all National Banks' suddenly coincided with the purposes of Consortium. Probably, another situation is more realistic. At least some of National Banks were forced to obey Consortium's resolution - i.e., to reverse USD trend with respect to other currencies, their own included.

Thus, there emerges a completely different model. One must not follow "the crowd" ("the flock"), trading volumes and postponed orders at Forex. Giving analysis to a series of factors (the trading volume included), it is necessary to understand the interests and aims of those who give quotations at Forex. Our goal is "to trade together with those individuals". Very often it is against the "crowd" and "volume" of transactions opened by traders. It is illustrated by the example of the charts on April 1, 2005.

Let's dwell on the difference between the goals of Organizer and common participants of any of financial games.

Imagine yourself in the position of an organizer of any financial game, the game of " Forex " included. In the shoes of Organizer, first of all you must determine your goals and principles, opposite to those of other participants of this "game".

1. For the game organizer it is to gain profit regularly and stably.

2. For this purpose, Organizer tries to establish the game rules as simple and "impartial" as possible. His goal is to make this game attractive for all other participants. In this way Organizer collects a large audience of traders, independently of their age, profession and other differences between them.

And now one should look at the familiar aspects from this viewpoint.

a). The fundamental and technical analysis; the army of economists-analysts and other "specialists" who teach all participants to work at Forex "as all do".

b). The classical version of notions of the support and resistance levels (indicators, advisers, etc.), intended for placing all suspended orders and stop-losses approximately at the same points.

c). An abundance of news and factors that influence the currency quotation behavior. As the result, one can readily explain the movement of any currency pair in any way one likes - however, such explanations are submitted post factum.

In case of logical gaps in "impartiality" of the currency pair movement explanation after the issue of news, "foul (forbidden)" methods are always "at service". It is just impossible to refute this reasoning! There are the examples: "the market is unpredictable", "the currency has already finished "working for" the given news before its publication", "the participants have noticed a negative aspect of the index high values, which for sure will manifest itself in future", "an unknown clearing bank has placed an order for buying a given currency in a large amount - under the condition of the "bear" trend (when all trader stake on "sell")", etc. Can you prove the opposite? Surely, you cannot.

You should compare the behavior of the controllable and spontaneous currency markets under the condition of force major.

Only the force major factor is totally unpredictable by Organizer. Such circumstances impartially and clearly indicate the difference between the spontaneous and organized (controllable) markets.

In any area, extremities always play the role of the moment of absolute truth. That is, such extreme situations indicate weak and strong points of any system. It relates to politicians' behavior at crucial periods in a State, to putting on trial equipment and to the situation at the currency market under force major circumstances.

The Episode #1. The force major circumstances in USA on September 11, 2001. There is the difference in the behavior of spontaneous and controllable money-markets.

Chart 8.5. EUR/USD pair movement (For view picture see notes in end of article)

Chart 8.6. GBP/USD pair movement (For view picture see notes in end of article)

The results of trading at Forex on September 11, 2001 ( Forexite Ltd.) are the following. The dollar rate sweepingly fell as compared with the principal national currencies. EURO/USD rate increased more than by 200 points (from 0.8965 up to 0.99167). GBP/USD rate increased more than by 210 points (from 1.4559 up to 1.4773). USD/JPY rate fell almost by 330 points (from 121.84 down to 118.58).

The reason for drop in USD rate was the terrorists' attacks on New-York and Washington. According to news agencies, terrorists had had high-jacked passenger planes. The latter were directed at Trading Center in New-York and Department of Defense (Pentagon) in Washington. The planes had fallen down, which caused the subsequent conflagration and collapse of Trading Center two sky-scrapers. As the result, the trading at New-York Stock Exchange did not take place that day. It was suspended for a not fixed period of time.

The events in USA stimulated the drastic strengthening of CHF rate. In American session USD/CHF rate fell more than by 530 points (from 1.6895 down to 1.6365). EURO/CHF rate fell more than by 200 points and came down lower than the level of the strong psychological support - 1.5 CHF for 1 EURO - to the point 1.4950. The matter is that CHF is considered saving (salutary) currency under the conditions of various world crises. Consequently, investors were anxious to buy CHF as many as possible in such an uncertain situation, induced by the act of terrorism in USA.

Do you get it? Panic captured the whole world - in the first place, USA itself. At the same time, USD rate fell with respect to

- EURO by 2%;

- GBP by 1.47%;

- JPY by 2.7%.

Now let us determine the real fall in USD rate all over the world. As the starting point we take Special Decision by National Bank of Ukraine.

The board of directors of National Bank of Ukraine adopted the resolution, in accordance to which National Bank of Ukraine could fix a rate without taking into account demand and supply. After the act of terrorism in USA on September 11, currency exchange centers in Ukraine raided USD buying rate from 5.25 down to 3.0-2.5 hrivnia (Ukrainian national money) per $1. USD selling rate was being maintained at 5, 35 hrivnia per $1. National Bank of Ukraine stipulated that USD exchange rate had not to deviate from the official rate more than by 10%. Only after threatening to cancel the license to work at the currency cash payments market (Available Funds), currency exchange centers return to buying of USD in cash according to the rate that had been in force before September 11, 2001.

That is, in contrast to the controllable market, the spontaneous one reacted to one day of the force major of September 11 by the double fall in USD rate and more!

Thus, the difference between the reactions of the currency exchange spontaneous and controllable markets makes 50 times and more.

Is it a pure accident? Thus, it looks as at that day the traders, one and all, deciding to stand by USD - so that in their transactions they did not stake on USD rate slump? Or, probably, some of traders bought USD against other national currencies, even not knowing whether USA economics will retain the leading positions in the world or it will level with undeveloped countries (e.g., such as Ukraine). Is it possible? You just imagine what would happen if another plane or two were fallen on reactors of nuclear power plants in USA so that the major part of America would turn into "Chernobyl zone"!

See continuation of this article under name Forex Secrets - Developing the "anti-chaos" trading strategy and tactics at Forex market (Part II)

Note: Full text of this article and pictures of examples Article

If you wish to be trained on Trading System Masterforex-V - one of new and most effective techniques of trade on Forex in the world visit Masterforex-V Academy

Vyacheslav Vasilevich (Masterforex-V)
Professional Trader from 2000 year.
President of Masterforex-V Trading Academy.
Author of Books:

1. Trade secrets by a professional trader or what B. Williams, A. Elder and J. Schwager not told about Forex to traders.
2. Technical analyses in Trading System MasterForex-V.
3. Entry and Exit Points at Forex Market

Free Books Website:
Masterforex-V Trading Academy

Learning to Trade Forex in Seven Steps

If you are interested in learning to trade forex successfully, then the most common path for an aspiring trader these days is to search the Internet for information to apply immediately to their live forex trading account. The problem is that their search often leads them to destinations where there are plenty of false promises, bad ideas, negativity and an obsession with indicators.  Many of the EBooks on sale today are filled with recycled concepts or incomplete strategies which the authors themselves do not use.  Many authors do not earn money from forex trading but they earn their living by selling these EBooks to the novice forex trader.

 

This easy access to forex guru's who fuel the idea that forex trading is the holy grail of easy money, then financially feed off those same people they have sold this idea to. At the end of the day what many of these forex guru's sell is a gross misrepresentation of what it takes to trade forex for a living. 

 

Forex Trading is not easy.  You can become a good forex trader though dedication and by treating forex trading as you would any other skill.  The reality is that it is hard work and must be treated with the same amount of seriousness as you would any other career.

 

The effect of all these gurus is that many forex traders start off overly optimistic with unrealistic goals.  Whilst there is nothing wrong with a positive mental attitude but this positivity must be built on strong foundations and realistic expectations.

 

New forex traders normally start their career by purchasing some secret set of indicators and they are quickly punished for their naivety.  Many of these forex traders then purchase a different set of secret indicators until they become disillusioned and then quit trading.

 

In fact, many forex traders that are now successful went through this learning process, including myself.  This is only a problem if you refuse to learn from your mistakes.  You need to break from this cycle of reliance on secret indicators and guru methods to be successful.

 

You help yourself in the beginning; by learning to think for yourself and understanding that whilst anyone can trade forex, to be successful, you must learn to BE a forex trader.

To BE A Forex Trader

 

To trade forex is easy, all you need is a forex trading account with money in it and then you enter the foreign exchange market and start trading. 

 

To be a forex trader is more work. You need to grow from the starting point of having very little knowledge to the stage where you have a trading plan, understand the concepts and behaviour of the forex market and be able to trade with a cool head and understand that wins and losses are all part of being a Forex Trader.

 

Learning How to Trade Forex by thinking like a Forex Trader in Seven Steps.

 

 

1. Understand your place in the Forex Market

 

This is very important you must understand that you are very small fish in a big ocean. 

 

 In the Foreign Exchange Market the majority of the liquidity is coming from big banks and experienced institutional traders. These are the big fish.   The big fish will happily enjoy you as a little snack.

 

You are only fooling yourself if you think it will be easy to take money off these big forex traders.  

 

You have to learn to swim alongside these big fish and catch the same currents they do.  Swimming against them just marks you as prey and sooner or later you will be eaten. 

 

 

2. Learn to read the Forex Charts and Understand the Foreign Exchange Market.

 

Many novice forex traders believe that these big forex traders have access to some secret forex trading strategy or use a secret set of indicators, but the truth is this is just not the case.

 

These major forex players are using simple, but proven technical analysis techniques - most commonly horizontal support/resistance, identification of trading ranges, Fibonacci these are then coupled with fundamental themes. 

 

Begin by accepting that the other major participants are highly experienced in the market and they make money because of experience and by a complete understanding of the core skills and not because they hold a holy grail of secret indicators.

 

3. Money Management

 

It is crucial that you understand as a novice forex trader the emphasis is not on how much you can make from forex trading but on how you manage what you have.

 

This is the most common downfall of all novice traders.  It is common place to see a starting trader risk the majority of their account on one or two positions. 

 

This style of trading is not sustainable and professional traders do not trade in this manner.  Everyone sometime in their career will have a string of bad trades.  A typical number might be 10 losing trades in a row.  The question is do you have a money management plan in place that enables you to survive this?

 

4. Focus on the Market

 

Many novice forex traders open their forex charting software and activate their latest hot indicator or tool and proceed to place their trades as per the tools recommendations. This style of forex trading is unlikely to have much long term success.

 

When these indicators fail to generate the required profits then these traders then move rapidly on to another set of indicators.

 

You must focus on the forex market and understand what the indicators are telling you so that you can pick the forex trades which have the best probability of being winners.

 

Successful forex traders use indicators and tools as Fibonacci, Pivot points, price channels, MACD, RSI etc.  These tools by themselves do not make a successful trader.  There are many successful traders and unsuccessful traders who use the exact same indicators.

 

The key is that successful traders understands how the market behaves around the indicators and understands what the signals actually mean.   

 

The best way to achieve this is to stop swapping between tools and select those that compliment your trading plan, understand how they work, and then spend time in the market experiencing them.

5. Plan your trade and trade your plan.

 

This is a common saying that seems to get lost on novice traders.  It should be every trader's goal to make pips on each forex trade as per their trading plan.  Forex Traders must treat each trade as a business decision by calculating their risk and defining their entries and exits points, those that do not   open themselves to big losses when a trade goes bad.

 

Many novice traders seem to lack the discipline to follow a plan for each trade.  So what happens is typically the following; a novice trader will see a potential set-up, they decide on some arbitrary sum to buy or sell with a quick guesstimate, then place the trade without analyzing any risk and having an exit strategy. 

 

Of course this way of trading can be profitable over the short term, more down to luck than skill.  But eventually the luck runs out and the trader is caught napping and a common result is a wiped out account.

 

The first question novice traders tend to ask themselves how much will I make on this forex trade?

The first question experience traders tend to ask themselves is how much is my potential loss / risk?

6. Your mind is your strongest asset and weakest link.

 

Entire books have been dedicated to the subject of psychology and its role in trading. That doesn't mean they are all going to help you, but you should take this as a sign that the subject is not to be ignored. 

 

First you must understand the role psychology plays in trading.  You must learn to understand your personality traits and how they might affect your trading style.  

 

A trader I know is a bad loser and when he has a bad trade, he had a habit of going straight back and trying to win those pips back with even worse results.  But he understands this as a weakness and when he has a bad trade, he takes a break of 20 minutes before he goes back to trading so that his emotions do not affect his trading decisions.

 

Second you must make it your aim to never stop learning. You cannot get yourself to a certain level and then become complacent. Every day is a learning experience in some way or other and you must be prepared to learn lessons and invest time in improving your skills and experience. The day you stop learning is the day you should stop trading.

 

7. Understand The Forex Market is always right or Expect the Unexpected.

 

The forex market is an interesting place, but there is one thing every trader needs to learn.   Always expect the unexpected and do not get wrapped up in past successes.   No matter what your charts or indicators tell you; sometimes the forex market will just do the opposite.  

 

Whatever happens in the market you must maintain an objective outlook on your strategy and the forex market and ensure that bubbles and crashes do not derail you in the long term.

By following these steps and learning to become a forex trader rather than just trading the forex market, you will put you on the path to ultimate success as a profitable forex trader.  This is something that 90% of all novice traders fail to achieve.

Want to read more reviews of forex trading systems, forex brokers and learn more about forex trading by a currency trader? Then be sure to check out http://www.currency-exchange-reviews.com

If you want the latest Forex news then subscribe to our RSS feed at my forex news blog at [http://forex-market-news.currency-exchange-reviews.com/].

Forex Signals - How to Instantly Trade Like You Have Decades of Forex Trading Experience

Seriously consider forex signals if you are not yet trading profitably, have limited experience, or just don't have much time to devote to your forex trading.

From the simple one email a day variety to the forex mentor who sits with you all day holding your hand as you trade, a portfolio of forex trade alerts can be virtually free and can transform you into a profitable trader instantly.

If like us you've ever analysed a chart and placed your own trades, you will almost certainly have also sat in front of your screen wondering if you were doing the right thing.

Questions like "have I entered this trade too late ?" and "am I trading in the right direction (long when I should be short)" will certainly have entered your mind.

How many times have you wished you had an expert trader with decades of experience guiding your trades, keeping you out of dangerous trades, and pointing you towards trades with a higher probability of success ?

We were certainly in that position many times in the early days, but always imagined the cost of having an expert on hand would far outweigh any extra profits we might make. It turns out we were quite wrong.

There are numerous services available, known variously as forex signals, forex alerts, or forex tips.

Trading signals come in a variety of formats, suited to how much of your day you can devote to trading. And yes beware, there are loads of scams out there too, but we'll show you how to avoid them, and we'll direct you towards the better ones.

Forex Trading Signals - many varieties

The main characteristics of forex trading signals to be aware of are as follows;


Cost: Free OR monthly subscription
Complexity: Simple "one email a day" OR Full-Service
Control: You keep full control OR the signal provider trades your a/c for you
Trading style: e.g. frequent scalper OR low volume swing trader
A free forex signal may at first seem like a fabulous idea, but as we will reveal here, you may very well prefer to pay for a free subscription service (yes, we know that doesn't make sense - but read on)

Most forex trade signals charge a very modest subscription fee, usually in the region of USD $80 - $400 per month (although happily most are at the lower end of this range), while there are also websites which provide forex signals for no charge.

In their simplest form a forex trading signal will send you a forex alert email once a day listing trade set ups for the next 24 hours.

Some of these are purely computer generated, some are computer generated and then audited by a human expert, and some are completely researched and generated exclusively by a human expert trader who may add some market commentary to their forex forecast.

Some forex trading signals are high volume scalpers, calling many trades in a day aiming to profit a handful of pips on each. Others only call a few trades a day, aiming to profit 20 - 80 pips on each single trade.

At the more full-service end of the market is the type of forex signal service which provides you with an almost 24 hour a day live online broadcast calling forex trading tips as they occur, explaining the logic of the proposed trade and backing it up with an email or even a video clip.

Some forex trading signals will even trade their signals in your own account for you, leaving you to just sit back and watch.

This is similar to what a robot does by using forex signal software, but with the added reassurance that it's being done by an experienced intelligent human trader rather than a dumb machine following an algorithm.

Think of full-service forex trading signals like a forex TV station, which you have running in the background on your pc or internet connected laptop throughout your day. The broadcast remains quiet when there is nothing to do, freeing your time for the other priorities in your day, then calls for your attention when there is a trade to place or manage.

You may be surprised, as we were, to discover that the prices charged by full-service providers are usually very similar to those charged by the one email a day providers.

This type of service usually also includes an interactive facility, enabling you to send a message to your forex mentor if you have a question.

Many forex signal services have very loyal memberships, and some even limit the number of members they will accept.

Free forex signals (virtually)

On the basis that time is money, in our opinion the amount of time we can now devote to other activities by not slaving over our charts for hours searching for the perfect trade set up, not to mention the improvement in our trading results, has more than paid for the very modest cost of the forex signal subscriptions.

Indeed if you apply this logic, subscription based services can effectively be free when you take into account the improvement in your trading profits, and the freeing of your time for other profitable activities.

If you think about it, a subscription based forex signal service has a built-in incentive to call profitable forex trading tips, as its subscriber base would soon evaporate if it failed to provide profitable currency trading tips. "Free" non subscription signals do not have this incentive.

Manage your risk

In any aspect of forex trading your primary goal is to manage your risk. Choosing, and trading a forex trade alert should be no different.

Even the best most experienced provider of forex signals will regularly have losing trades. However taken with all of their winning currency trade signals the overall result should still be profitable, but not all systems work all of the time. Some forex alerts may even have a completely losing week or month.

However, we have found through our own experience that the best way of making consistent profits with forex signals is to subscribe to several different currency trading signals and trade all of their signals. If one of them is having a particularly bad week, the others should compensate and still net you a profitable week, or break even at worst.

Always do your due diligence before trading a provider's forex alerts. Good forex signal services will publish their last 6 - 12 months results on their website. Some will even show you details of the actual trades they took. Expect to see losses as well as winners - that's just the nature of trading. Indeed, if the results show only winners, or the provider is unwilling to show you any results, or to provide contact details of some of their clients willing to give a reference be on your guard.

Most will offer you some sort of free trial or discounted special offer. Make sure that you clearly understand the terms of this offer and know the deadline by which you need to give notice to terminate if you're not happy with the service provided.

If you compare the last 6 month's results of all the forex signal service providers you intend to use, you should find that taken as a whole they delivered a profit.

Past performance is no guarantee of future results, but we have found that if you have a good combination of trading styles in your trading signals portfolio you are in with a fighting chance of consistent profits whatever the market conditions.

Again, think about the cashflow logic of what you will be doing here - the subscription costs of each forex signals service are already very modest, and by combining them you are increasing your probability of consistent profits. They can't all get it wrong all of the time, and remember they are all incentivised by their membership to get it right as often as possible.

Even with experienced traders calling your trades, it's prudent risk management to never ever risk more than 3% of your initial capital on any one trade, preferably only 1%. So, if for example your initial capital, (or to put it another way, the maximum you can afford to lose) is let's say 5,000, the position size you take on each trade should be such that if the trade hit your stop loss, your maximum loss would be no more than 1% x 5,000 = 50.

Using forex signals as trade ideas

Even if you prefer not to follow forex tips to the letter, you can still profit from their trade idea.

For example, if you receive a forex tip trading the GBP/USD long with a 40 pip stop loss, but on analysing the charts (following your attendance on a forex training course) you feel more comfortable placing the stop loss let's say 63 pips below entry, giving the stop protection below a visible area of recent and prior support, which happens also to be below the weekly pivot point, and in doing so are happy to have a longer range target - then go right ahead and do so.

We were surprised to find that when we did exactly this with one of our forex signals' tips our trades actually performed better than theirs did. Two heads better than one maybe.

The point is though, that without the forex market forecast drawing our attention to that particular chart at that particular time we would never have seen that trade idea.

This also makes the point that while it may at first seem temping to let a signal provider trade your account for you, if you have the time you may actually prefer to control it yourself.

If you have been through a good forex training course and understand the concepts of support, resistance, pivot points, trends etc you should always use this knowledge to perform your own due diligence on forex alerts. You may well find as we did that you can enhance the overall performance of your portfolio of forex trade recommendations.

Free forex signals

This section would not be complete without mention of forex signals providers who don't charge any subscription fee.

As we mentioned above even subscription charging services should be effectively free to you by virtue of calling enough profitable trades to more than cover the subscription cost.

In addition we prefer to use subscription based forex signals as they have an incentive to consistently call profitable trades, in that their subscribers won't stay with them for very long if they don't.

Free signals by comparison have no such incentive, so be warned and trade them at your own risk.

The http://www.profitable-fx-trading.com website provides access to free signals providers as well as details of some of the better subscription services, along with free training videos and many other free tools, strategies and useful contacts to make your forex trading as profitable as possible.

Free Forex Trading Tip - Forex Global Trading Tips For The Forex Currency Trading System

As the Forex global currency trading system has the highest volatility of any investment market today, it's absolutely vital that you get access to as many Forex global trading tips to fast track your Forex education and to lock in faster Forex profits. This article will reveal free Forex global trading tips for the volatile Forex currency trading market.

The beauty of the internet is that Forex global traders can now go online pretty much anywhere in the world at any time of day or night and get access to free Forex trading tips. With the right Forex currency trading system, Forex traders can reap large profits with Forex global trading.

There are some qualities that a Forex trader should have to become the best Forex trader he or she can be and to lock in faster Forex profits.

It is absolutely vital that you use proven strategies when buying or selling in the Forex global currency trading system. The best way of achieving this is by consulting reputable Forex charts and graphs that are known to be proven indicators and pivot points to follow when investing in Forex global trading.

Contrary to stock trading, as the global Forex market trades in every currency there is never a threat of insider trading. What separates a successful Forex trader and a consistent Forex loser is the level of their Forex trading education and the fundamentals that they follow in their individual Forex currency trading system.

The more that you can educate yourself about the currencies you are trading in the global Forex market the more accurately you will be able to predict the way these currencies will move and the more profits you will be able to reap.

The most savvy Forex traders understand that the best Forex currency trading system is the one that they have perfected and stuck to, with no exceptions. By creating your very own individual Forex currency trading system and sticking to it you will be virtually able to put your Forex global trades on autopilot as you simply follow the Forex currency trading system that you have already created and that has been proven to work.

Margin trading is a very easy way for Forex beginners to lose their money fast. Don't even venture into this Forex currency trading system until you have perfected your own strategies and know exactly what you are doing.

Forex currency trading is not risk free. It is critical that you bear in mind the volatility of the Forex global currency market in combination with what is going on politically and economically in many countries around the world.

Check out the website below to fast track your Forex education and learn the best Forex business system online with free Forex video tutorials.

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A Beginner Forex Trading Education - How to Get the Best Beginner Education In Forex Trading

How to get the best beginner education in Forex is a question Forex beginners consistently ask. Forex trading can be an extremely daunting task. This article will discuss how to get the best beginner education in Forex trading including special Forex tips used by the professionals plus how you the best beginner education in Forex Trading could be learnt in the comfort and privacy of your own home. Keep reading to get access to a Forex demo account of $100,000.00.

Beginner Forex traders frequently become confused and often disheartened when they get started in Forex currency trading. However, there are some very simple Forex tips that will help you on your path to becoming a successful Forex trader.

One of the most important Forex decisions you will ever make is choosing the right Forex broker. There is a lot of competition between Forex brokers and their service is as varied as are their prices. Here are a few tips to follow when deciding on which Forex broker to use. It is a must that the Forex broker that you choose is registered with the Commodity Futures Trading Commission. If they aren't, and make excuses for why they aren't, look elsewhere. There is absolutely no excuse for a Forex broker not being registered with the CFTC. It is important to choose a Forex broker that belongs to a reputable company that has been established in the field for a long period of time. If they have some sort of ties to a financial institution like a bank that is even more preferable.

Another important part of your beginner education in Forex Trading is having access to the best and most up to date research tools with real time quotes, charts and reports. Be sure to choose a Forex broker that makes it easy as possible for you to successfully trade as a Forex broker, and also has access to the best and most up to date Forex information at his fingertips. You should also try and choose a Forex broker that has a reasonable spread which is the difference between a Forex buying price and selling price.

It goes without saying that a [http://www.best-forex-trading-system-course.com/]> beginner education in Forex trading can be costly. Your beginner education in Forex trading is not something that you should skimp on. There are many other ways of cutting costs as a Forex trader but your beginner education in Forex trading will create a solid foundation for you and your Forex trading business. As with many things, you get what you pay for. While there are some Forex trading courses that cost thousands of dollars, it's possible, with a little research, to find some fantastic, reputable Forex trading system courses for just a few hundreds of dollars. I suggest that you start with that introduction to beginner education in Forex trading while you are getting your feet wet. Of course, your beginner education in Forex trading may be tax deductible so be sure to check that out with your accountant and keep all your receipts.

A beginner education in Forex trading should not put your money at risk. The best beginner education in Forex trading would simple involve study, practice, trading. It's daunting starting out as a beginner Forex trader so it's best to start out with a demo Forex account. A demo Forex account has a pretend balance that permits the beginner Forex trader practicing the methods learnt and perfecting them, and building your Forex trading confidence, without taking any risks with your own money. This is the ultimate beginner education in Forex trading. You will have plenty of time to gain the Forex experience and confidence you need to make informed decisions and learning how to make lightning-fast Forex trades when you go out into the Forex market on your own.

Copyright 2007. Are you ready to get the best education in Forex trading? “Fast Education For Fast Forex Profits” is what this best Forex trading system course [http://www.best-forex-trading-system-course.com/] is all about. Learn how to start making money trading the Forex market within 30 days. Study, practice, trade – get a 30 day FREE trial to practice Forex trading with your own $100,000.00 Forex account so you never have to risk any of your own money! Start your beginner education in Forex trading at [http://www.best-forex-trading-system-course.com/]

Forex Mentor Course - My Full Story

I began my first forex trade three years ago, at this time, information sources of trading available were very limited, I could not get the the suitable information on online forex course for free trading to allow me to begin a live forex trading successfully, all my sources of information and trading strategies were obtained from forex forums posts and the trial and errors of former forex traders and their trading strategies, which were evolved to suit their needs and their potential financial capabilities.

I had a long time with a forex demo account for several months, I did not dare to enter into a real live forex trading, because my capital was very limited, and there were no free online forex courses which I can get to help me in my trading. But one day I landed on a website which sell a forex training course package, this website claimed that the its strategy results in a profit rate around 80% in all cases, I read more on this course enough to to be motivated to buy it, especially its price was very suitable to me ($99 total for the 5 ebooks). Once I got the ebooks, I began reading every single word in them with voracity, and - for honesty - it was the first time for me to read in details about forex money management and risk management and their vital rule in forex trading, but this was all I had gotten from this course, nothing otherwise.

I tried to contact the author of the forex course to query him about several points regarding his training program, and guess what? I did not get any response from him, I contacted him up to 10 times, however I did not hear one word.

This was the lesson #1 I learned: It is not about the training program, it's about the AUTHOR of this program, is he alive man? is he a real forex trader OR: he's just a teacher of theoretical lectures in forex trading!

The lesson #2 I learnt was: What is degree of the technical support provided after purchasing his forex training program? shall I find him when I need him?

After a whole year, I would have left almost forex trading and preoccupied by other businesses, but one day while surfing on the internet, I found by accident the Forex Mentor website, and once landed on the main page, at the first sight I cynically laughed and said to myself: "Another Scam!!"

However, I started reading all the information on his training program and the main idea behind it: Pivot Points. I began once again thinking seriously to return to forex trading, and decided to purchase this program of Peter Bain, but for the first glance, I was disappointed for its high price ($495 for a hard copy on CDs, or $349 of the digital copy). After a short time of deep thinking and trying to decide whether I'll buy or not, I said to myself, I lost in the forex trading in the past several thousand of dollars, let them be several thousand PLUS $495!!

I read every word on the Forex Mentor Website, I collected every information available about the Author (Peter Bain) and his history in the forex and stocks market, I read many indpendent reviews about this course. Despite of that, The most important factores encouraged me to buy forex mentor course were as the follows:

The Concept of Forex Mentor Trading System

1- The Program Author: Peter Bain, I read a lot more about him on the internet and on his long experience in the area of trading in stocks, currencies, and the large number of successful traders who trained by him who achieved good trading results with the favor of his forex trading advises.

Peater Bain has developed a very successful trading strategy based on Pivot Points, which depends primarily on the concept of support and resistance: When you see price violate a pivot point convincingly, there are automated trading systems out there that automatically kick in and buy or sell, depending upon where price is going. So, in essence, these two factors alone account for why other indicators are left breathing dust. Bar patterns, MACD divergence, different time frame readings, and trendlines are definite precursors to price changing direction but, in the final analysis, where price is in relation to its nearest pivot point, is the big clue. Tie all these indications together, and you are sure to out-fox price's next move.

2- This coach always exists whenever you need him, he provides One-on-one feedback, he believes that every forex trader trainee has different needs and requires special attention, this feature adds high value to his forex training program.

3- Members only forum, where members can talk just about everything related to the Forex market and the Forex training program. This is the most important characteristic of this program, getting in touch with other forex traders add to your learning experiences.

4- Free membership for 6 months ($ 199 value) membership alone equal times the value of this course, after the period of six months, you will be deducting $100 for renewal, through this membership you will receive on a daily basis the following material:

Daily Video Questions and Answers - That's right! I will personally answer your email trading questions via live streaming video. You probably think we've gone off the deep end! But again, we are fully committed to your success!







Daily Trading Examples and Reviews - Success by repetition! Everyday, I will illustrate successful forex trading techniques using the most recent trading markets. These videos streamed to your PC put you right in front of the action! No more reading static charts and text. You can watch these videos any time for as many times as you like.







Daily Pivot Data for the 6 Major Pairs - We calculate the daily pivots for all the major currency pairs & make them available to you. So you don't have to do the work!







Forex Online Pivot Calculator - Fine-tune your forex trading by calculating your own pivot points. Trade other markets using these same pivot point principles.







Meet Local forex traders in your area through one of our dozens of local user groups all over the world.







Member Discussion Forum - Discuss forex trading strategies and tips with thousands of other like-minded traders from around the world in our member discussion forex forum.

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Author: Hatem Serag - For more Tips and Ideas about the Best methods to start trading Forex Successfully please visit my websites: http://www.eforexcourse.com - for more details on the top rated forex training courses please visit: http://www.eforexcourse.com/forexmentorcourse.php

How To Learn Forex Trading Online - How To Learn The Basics Of Forex Trading & Make Faster Profits

You may be surprised to learn how easy it is to learn the basics of Forex trading online and how quickly you can make money with Forex, depending on your Forex trading style. This article will explain how incredibly easy it is to learn the basics of Forex trading and how to make fast Forex profits. Keep reading to get instant access to free Forex video tutorials to help you get started.

You may have heard of the Forex market and you may have heard about a lot of people who make money with the Forex trading system. Forex trading is also commonly called currency trading. Many people are looking for ways to make extra income in their spare time and how they can learn Forex trading online. In order to learn Forex trading online you need to first learn the basics and how to successfully trade the Forex market.

If you are looking to invest your hard earned money into the Forex currency market then it is vital that you learn Forex trading online from experts in the field. Thankfully the internet makes it easy for people to find Forex tips at their fingertips with some very powerful Forex trading courses.

When you are looking at ways to learn Forex trading online there are some excellent Forex tutorials online that will explain many things to a beginner Forex trader like how the Forex foreign exchange market works, what Forex technical indicators are, what economic indicators you need to be aware of as a Forex trader, and the huge variety of Forex trading systems and options that are available to every Forex trader.

If you are just beginning your Forex education then it is vital that you DON'T dabble in any Forex trading until you have learn Forex trading online. Many online Forex trading courses understand the big step you are taking into the Forex market and have made this incredibly easy for you by offering free training, demonstrations, Forex tutorials and simulated Forex trading accounts.

The most significant feature when it comes to forex trading is to learn forex trading online so that you comprehend how to trade quickly and successfully. The more you are able to learn in your forex trading training the more understanding of the basics you will have and the more success will follow as a result of your comprehensive understanding of Forex fundamentals.

Locating a Forex tutorial or finding the best Forex trading course online in order to learn Forex at home is incredibly simple. Check out the website below to fast track your Forex education and learn the best Forex business system online with free Forex video tutorials.

Copyright 2007. Are you ready to learn Forex business online with guaranteed winning results? “Fast Education For Fast Forex Profits” is what this online Forex business tutorial [http://www.Best-Forex-Trading-System-Course.com] is all about. Learn how to start making money trading the Forex market in your first 30 days. Study, practice, trade. Get a FREE trial to practice Forex trading before you risk your own money. Start your beginner Forex education tutorials today in Forex trading at [http://www.Best-Forex-Trading-System-Course.com]

Forex Trading - Getting Started

Forex Trading: a Beginner's Guide

The forex market is the world's largest international currency trading market operating non-stop during the working week. Most forex trading is done by professionals such as bankers. Generally forex trading is done through a forex broker - but there is nothing to stop anyone trading currencies. Forex currency trading allows buyers and sellers to buy the currency they need for their business and sellers who have earned currency to exchange what they have for a more convenient currency. The world's largest banks dominate forex and according to a survey in The Wall Street Journal Europe, the ten most active traders who are engaged in forex trading account for almost 73% of trading volume.

However, a sizeable proportion of the remainder of forex trading is speculative with traders building up an investment which they wish to liquidate at some stage for profit. While a currency may increase or decrease in value relative to a wide range of currencies, all forex trading transactions are based upon currency pairs. So, although the Euro may be 'strong' against a basket of currencies, traders will be trading in just one currency pair and may simply concern themselves with the Euro/US Dollar ( EUR/USD) ratio. Changes in relative values of currencies may be gradual or triggered by specific events such as are unfolding at the time of writing this - the toxic debt crisis.

Because the markets for currencies are global, the volumes traded every day are vast. For the large corporate investors, the great benefits of trading on Forex are:

Enormous liquidity - over $4 trillion per day, that's $4,000,000,000. This means that there's always someone ready to trade with you
Every one of the world's free currencies are traded - this means that you may trade the currency you want at any time
Twenty four - hour trading during the 5-day working week
Operations are global which mean that you can trade with any part of the world at any time

From the point of view of the smaller trader there's lots of benefits too, such as:

A rapidly-changing market - that's one which is always changing and offering the chance to make money
Very well developed mechanisms for controlling risk
Ability to go long or short - this means that you can make money either in rising or falling markets
Leverage trading - meaning that you can benefit from large-volume trading while having a relatively-low capital base
Lots of options for zero-commission trading

How the forex Market Works

As forex is all about foreign exchange, all transactions are made up from a currency pair - say, for instance, the Euro and the US Dollar. The basic tool for trading forex is the exchange rate which is expressed as a ratio between the values of the two currencies such as EUR/USD = 1.4086. This value, which is referred to as the 'forex rate' means that, at that particular time, one Euro would be worth 1.4086 US Dollars. This ratio is always expressed to 4 decimal places which means that you could see a forex rate of EUR/USD = 1.4086 or EUR/USD = 1.4087 but never EUR/USD = 1.40865. The rightmost digit of this ratio is referred to as a 'pip'. So, a change from EUR/USD = 1.4086 to EUR/USD = 1.4088 would be referred to as a change of 2 pips. One pip, therefore is the smallest unit of trade.

With the forex rate at EUR/USD = 1.4086, an investor purchasing 1000 Euros using dollars would pay $1,408.60. If the forex rate then changed to EUR/USD = 1.5020, the investor could sell their 1000 Euros for $1,502.00 and bank the $93.40 as profit. If this doesn't seem to be large amount to you, you have to put the sum into context. With a rising or falling market, the forex rate does not simply change in a uniform way but oscillates and profits can be taken many times per day as a rate oscillates around a trend.

When you're expecting the value EUR/USD to fall, you might trade the other way by selling Euros for dollars and buying then back when the forex rate has changed to your advantage.

Is forex Risky?

When you trade on forex as in any form of currency trading, you're in the business of currency speculation and it is just that - speculation. This means that there is some risk involved in forex currency trading as in any business but you might and should, take steps to minimise this. You can always set a limit to the downside of any trade, that means to define the maximum loss that you are prepared to accept if the market goes against you - and it will on occasions.

The best insurance against losing your shirt on the forex market is to set out to understand what you're doing totally. Search the internet for a good forex trading tutorial and study it in detail- a bit of good forex education can go a long way!. When there's bits you don't understand, look for a good forex trading forum and ask lots and lots of questions. Many of the people who habitually answer your queries on this will have a good forex trading blog and this will probably not only give you answers to your questions but also provide lots of links to good sites. Be vigilant, however, watch out for forex trading scams. Don't be too quick to part with your money and investigate anything very well before you shell out any hard-earned!

The forex Trading Systems

While you may be right in being cautious about any forex trading system that's advertised, there are some good ones around. Most of them either utilise forex charts and by means of these, identify forex trading signals which tell the trader when to buy or sell. These signals will be made up of a particular change in a forex rate or a trend and these will have been devised by a forex trader who has studied long-term trends in the market so as to identify valid signals when they occur. Many of the systems will use forex trading software which identifies such signals from data inputs which are gathered automatically from market information sources. Some utilise automated forex trading software which can trigger trades automatically when the signals tell it to do so. If these sound too good to be true to you, look around for online forex trading systems which will allow you undertake some dummy trading to test them out. by doing this you can get some forex trading training by giving them a spin before you put real money on the table.

How Much do you Need to Start off with?

This is a bit of a 'How long is a piece of string?' question but there are ways for to be beginner to dip a toe into the water without needing a fortune to start with. The minimum trading size for most trades on forex is usually 100,000 units of any currency and this volume is referred to as a standard "lot". However, there are many firms which offer the facility to purchase in dramatically-smaller lots than this and a bit of internet searching will soon locate these. There's many adverts quoting only a couple of hundred dollars to get going! You will often see the term acciones trading forex and this is just a general term which covers the small guy trading forex. Small-scale trading facilities such as these are often called as forex mini trading.

Where do You Start?

The single most obvious answer is of course - on the internet! Online forex trading gives you direct access to the forex market and there's lots and lots of companies out there who are in business just to deal with you online. Be vigilant, do spend the time to get some good forex trading education, again this can be provided online and set up your dummy account to trade before you attempt to go live. If you take care and take your time, there's no reason why you shouldn't be successful in forex trading so, have patience and stick at it!

For access to a mass of articles on forex and a large number of videos, please visit my site on forex trading.

Hi, I'm Philippa Holmes (Pippa to my friends) and I have been involved in education and training and the forex market for a considerable time. I have written extensively on the subject and can count a considerable number of successful business people among my many past students. My many reviews all emphasize the clarity of my writing and the ease with which absolute beginners can get to grips with the subjects I present.

My web site http://www.master-forex-trading.com carries thousands of articles on forex trading and a very large number of videos on the subject. As these are constantly changed it's well-worth a regular visit - just to see what's new.

Remember, your success is my success so please do drop in and take a look.

Happy Trading,

Pippa

Forex Currency Trading System Education - The Best Forex Plan For The Forex Currency Trading System

When entering the Forex currency trading system it is imperative that you devise the best Forex plan. This includes getting the best Forex education training you possibly can before jumping headfirst into the Forex currency trading system. This article will give you a guideline for devising the best Forex plan for fast profits with a proven Forex currency trading system that really works.

The Forex market is the largest trading market in the world. The Forex market is said to turn over more than $1.5 trillion dollars each and every day.

When stepping into the Forex arena it is critical that you have an effective and proven Forex plan to follow to help you perfect the Forex currency trading system and to get the best Forex education as you possibly can.

Step one of any Forex plan is becoming as informed and education as you possibly can on how the Forex currency trading system actually operates. There are many fundamentals and strategies involved with the Forex currency trading system. In order to begin and expand your Forex education you need to enrol in a reputable Forex trading system course online and familarize yourself with the Forex currency market with a Forex simulated trading account.

A Forex simulated trading account does not require any investment of capital. What it does do though is train Forex beginners in the strategies and fundamentals of consistent and profitable Forex trading.

Step two involves expanding your Forex education. A Forex currency trading beginner must learn not to be too greedy too soon. By analysing world and political news and taking all the clues from Forex pivot points a Forex currency trading beginner can learn to minimize his losses with stop loss orders and to maximize his profits.

Step three of the Forex plan involves learning sound Forex investment strategies including the buy signals that the Forex charts frequently give Forex traders.

Step four of the Forex plan involves knowing when the rally for the Euro begins. The busiest hours in the Forex are the London hours which are after 2am New York time.

Step five of the Forex plan for beginners is to actually select that amount that you are willing to make on every Forex trade before you begin trading. This amount ought to be more than or equal to the earnings that you are willing to lose in the Forex trade.

It is tempting to dive into the Forex currency trading market headfirst and make trading decisions without any experience or sound strategies in place. If you want to join the ranks of 90 percent of Forex traders who are consistently unsuccessful then I suggest you ditch this Forex plan and dive right in.

On the other hand, if you want to learn to be a successful trader with a proven and effective Forex currency trading system in place and an almost fool-proof Forex plan then check out the website below where we can help you become the successful Forex trader you long to be.

Copyright 2007. Are you ready to learn Forex business online with guaranteed winning results? “Fast Education For Fast Forex Profits” is what this online Forex business tutorial [http://www.Best-Forex-Trading-System-Course.com] is all about. Learn how to start making money trading the Forex market in your first 30 days. Study, practice, trade. Get a FREE trial to practice Forex trading before you risk your own money.

Start your beginner Forex education tutorials today in Forex trading at [http://www.Best-Forex-Trading-System-Course.com]

Forex Secrets - Delusion Number 2 - Who Prompts Forex Quotation to Traders?

The delusion conceptually propounds that traders operate at a spontaneous FOREX market (as stipulated by B. Williams, A. Elder, E. Nayman, etc.). But it is not the case. Traders do their job inside a well-organized and controlled currency exchange market, governed by the Consortium of the world's largest banks.

Hence, who is pushing the currencies up and down, who defines trends, corrective actions and flats?

And, who, ultimately, places a trend at a point, where the majority of traders are happy to think they have saddled the wave and are about to win an enormous profit! Now! Not to be scared! Not to close the position! Not to be satisfied with a minor profit! Later on we will discuss that sort of stupidity. Thus, one persists to continue long in spite of more and more degrading profit. Shortly, the loss starts growing with light velocity! Are you familiar with the situation?

Well, who has reversed the rate?

And who generally tugs currency rates?

Tugging is surely centralized. Compare on-line quotes of several Dealers or banks to find out that they are per second coincident. Do each bank's traders act in such synchronism, that even not seeing each other, they place identical orders so that quotation is in 100% agreement? NOTHING IS A MIRACLE HERE!

But prior to further explanation, we will listen to Bill Williams, the FOREX scholar (Trading Chaos, Ch. 6): "...let us trace a trend formation process. Earlier, the market and the market trading venue did constitute a single physical space. Majority of large grain traders were concentrated on the "floor". Their orders involved amounts, sufficient to move the market; they enjoyed better control over the market than at present. During the latest 20 years markets have grown worldwide. Now, not only "Purina Ralstone", "Kellog" and other prominent commercial associations seek hedging their cash assets transactions. So do millions of the world's minor profiteers and farmers, competing with them in anticipation of perspective grain price fluctuations? This fact also implies strong potential for traders with nowadays, trends not being constructed on the floor. The latter mainly ensures the market liquidity by way of tackling "outer orders".

The fact, that today's trends are formed rather "outside the floor" than "on the floor", as before, enables one to trace further market tendencies with trade volume being the key thereto. Our only on-line information is restricted to tick volume, time and price. Tick volume constitutes a number of price changes per a certain time period. It is not at all a number of traded contracts. Multiple researches revealed no significant difference between actual and tick volume. Using a tick volume, we may suppose, that it represents actual volume. It is a real-time volume, thus being our key to what's going on in "trading pits".

Two basic elements are organic to FOREX trading: brokers on the floor and remote traders. Local brokers constitute staff, executing orders, thus earning their salaries and/or commissions. They don't possess money to be at their disposal. They are order executors. Their prospects are not burdened by prices, they getting for the orders management.

Remote traders use their own money. They have to pay the price out of their own pockets, unless they are getting a good one. Traders have to be much superior in skill to brokers since they independently take their own decisions, while the broker's job is to follow the others' orders.

Remote traders are supposed to support the market by way of taking its opposite side. As a rule, they are not at all crazy about any long-term transactions. Quite a few remote traders have been participants to our private training programs, and it is to be admitted that a 10-minute long transaction may seem quite a long-term one for some of them.

Think back to the fact that trends are built up of orders, delivered to the floor from outside, but not of long-term positions entered by remote traders. Since the traders' job is to take the side opposite to the orders arriving from outside, they have no prospects of trading in between themselves. They follow your money. We are emphasizing again, that tick volume is our key to understanding what's going on in the Forex Market. Remote traders do not contribute any significant volume to trading, which might result from dealing with similar traders on the floor. Trends emerge from incoming orders. That is why we are to be certain about when and in what amount the outer order is supplied to the floor. It is presented via a tick volume change".

So, we, traders, turn out to be price locomotives, don't we? And brokers on the floor just allocate and execute order, incoming from us, don't they? And on April, 1, 2005 they all (meaning: we all) together decided to swivel the trend and to stay short against all the rules, news and common sense... I wonder if the scholar ashamed or not?

As regards the above quotation, I have chanced to hear a single argument in favor of Bill Williams (I guess you understood for what sake I've cited it in detail): it all pertains to the futures markets; we neither read nor use the above at Forex. Strange enough, these are the arguments of Williams's advocates, but not of Williams himself.

This book is actually intended for both: futures markets and Forex Market. That's why pictures taken from both the markets are so mixed up and the author never differentiates between the Technical Analysis methods thereof. Thus, either the author does not trace any difference between the two markets, or he is not eager to reveal it to the reader.

And neither in the foreword, nor in the remarks did Williams and his publishers refer to the fact that something of "Trading Chaos" is inapplicable to FOREX, and thus should not be made use of by a trader at FOREX.

I have repeatedly come through this peculiarity of Williams (correct specific case method definition being extended to a wider coordinates scale) and it actually induced me to write this book. In all and all, the methods and advice, absolutely true and correct for a PART of Forex Market are claimed by Williams to be universal for the WHOLE of Forex Market without being demonstrated where the above is effective and where it isn't.

The same is being done by Williams's opponents and advocates, who visualize the portion of Forex where his methods are operable only. As different from analysts and Williams's bibliographers, TRADERS require much stronger to realize a demarcation with pro-Williams trading to the one side thereof and with counter-Williams trading to the other one.

Logically there comes a question: what might be added to Williams's indicators in order to turn them effective at the point where they are presently ineffective (see details in chapter on the Williams Alligator).

And now we are getting back to the issue of who supplies traders with FOREX rates quotation, bearing in mind that it's us, traders, who exercise rates movement in accordance with Williams's standpoint. Millions of traders have actually been studying FOREX by virtue of the "Trading House" and it is really worth studying. This is one of the most interesting and instructive editions whose repeated reading each time brings about something new and useful.

However, in some passages it smells being custom tailored. Is Williams ignorant of the fact that there is no single FOREX exchange and there's no single trading venue or floor? And that Pacific, Asian, European and American session classification is arbitrary?

Did You see currency rates move, while there's a day off in the USA with the banks closed? So did I. So, who has made up his mind in the USA to trade on the floor on a day off?

Then, who prompts rates, who formulates trends and turns them with no objective reason for the rate to swivel and to rush in a direction, not being requisite at all?

Here is the answer, as provided by No. 11, 2002 "FOREX Profiteer" magazine's article by Nadezhda Larina "Electronic Broker Systems at FOREX market", reading: "... an FOREX dealing "Electronic Broking Service (EBS)" enjoys wide popularity with the extra-exchange inter-bank FOREX market. It has been developed by the Consortium of largest FOREX trading participant banks in association with "Quotron" informatics expert company and launched in 1993. Presently EBS incorporates 13 world's largest market-maker banks, viz,: BN AMRO Bank, Bank of America, Barclays Capital, Citibank, Commerzbank, Credit Suisse First Boston, HSBC Bank PLC, J.P. Morgan Chase and Co.Lehman Brothers, Royal Bank of Scotland, S-E Banken, UBS AG along with Japanese Minex Corp., established by a Consortium of Japanese Banks in a joint manner with KDD Japanese telecommunications company and Dow Jones Telerate.

EBS offers a completely integrated range of dealing services for the professional inter-bank market, being a leading anonymous inter-bank FOREX trading electronic dealer. It is currently used by over 2500 dealers in 850 world banks and yields a trade turnover of about USD80 billion daily.

See there also: "Three greatest FOREX dealers - Citibank, J.P. Morgan Chase and Deutsche Bank, together with Reuters Group PLC) have started Atriax system in June, 2001.The latter terminated the operations in spring, 2002 after having failed to stand the competition.

Can you imagine a monster machine, capable of forcing three world's largest banks - Citibank, J.P. Morgan Chase and Deutsche Bank to abandon their business plans! Or capable of reversing the EURUSD from 1.3660 to 1.1865 and thus instantaneously executing orders of all the world's traders, going and standing short! And thus within, April-June, 2005, buying the EUR from traders at USD1.36, 1.29, 1.20, 1.19, etc.

Do you see the loss? Watching the EUR slip 1700 pts after having bought it at 1.36... But, possibly, there is no loss at all?

All of Larina's basic provisions have actually found confirmation 2 years later in the UK "Financial Times" article by Jennifer Hughes: "A PC occupying trading floor" (see it on Financial Times 2004).

It underlines that during the precedent 2 years the Consortiums turnover has grown by extra daily USD20 billion thus currently stretching to USD100 billion, whereas the most prominent internet-based trading platforms ensure the average of USD15-20 billion daily turnover.

So, let's jump to some conclusions:

1. The FOREX market is not the same as it used to be earlier, say 11 years ago.

2. There is in fact "a price fluctuation relative uniformity", otherwise, practical quotations similarity with all the world's brokers and traders.

3. The reason for the above uniformity has been honestly disclosed from technological standpoint, being the "flourish of electronic exchange technologies".

4. There is no mention of other reasons for similar rates at absolutely different FOREX trading platforms the world over what links together the above platform and FOREX rates at them from financial, organizational, contractual viewpoints, etc).

5. The great interest is the remark from "Financial Times" reiterating the changes at FOREX during the latest years as narrated by an anonymous ex-dealer (?) who compares the FOREX market as of those 11 years ago: "It used to be a hell noisy and a hell splendid!"

In his opinion the market has lost a significant portion of its individuality with rise of technology. A very interesting phrase: "It used to be a hell splendid". I would add:" It used to be a hell volatile", with reference to the fact that the daily rates travel went as far 400 to 500 pips. And there's nothing of the kind now.

6. Now, why has "The Financial Times" only interviewed the EBS Consortium official?

J. Jeffrey and the currency transactions department director, Fabian Shey Why wasn't it desirous to interview the Reuters representatives (UK)? What's the reason for such kind of disrespect to the compatriots?

Or were they hard to be contacted in London, where The Financial Times and Reuters HQs are located, moreover after maintaining that presently both, EBS Consortium and Reuters are dominant at the inter-bank market? Or The Financial Times possesses enough information on compatriots from Reuters to hold that the EBS Consortium official's interview is sufficient without any Reuters?

7. Please, pay attention to the following from The Financial Times: "Anyway, other opinions are available. According to Justin Trenner, the current volume of on-line trading is turnover amounts to USD100 billion daily with the steep growth observed". The Financial Times thus turns out to recognize its complete inability to trace not only FOREX cash flows, but even the trading volumes at those platforms.

The principal difference between stocks and FOREX is, by the way, readily apparent from the above. Those, writing about similar Fundamental and Technical Analysis methods for both the markets, are either ignorant as to fundamental difference of these markets, or they are deliberately swindling millions of traders.

When pointing out, that, besides the above Banks Consortium, there exist other electronic dealing facilities (e.g. Electronic Broker Service, Reuters Dealing 2000-2, etc.), N. Larina has overlooked their interrelations aspect. And there are a lot of questions: how and why there is coincidence of trends, corrections, historical highs and lows in the course of a single day, etc.

And what is the way to reconcile the statement on shunt operation of EBS and Reuters Dealing facilities with the information that Citibank, J.P. Morgan Chase and Deutsche Bank together with Reuters Group Plc have failed to stand the competition? Is it attributable to the fact that the Consortium has actually acquired Reuters, maintaining its formal sovereignty in order to support traders' opinion that FOREX market is free and independent? If affirmative, then it's fairly clear why the Consortium was not scared to buy the EUR on its dip from 1.36 to 1.1860, since there nothing to be afraid of with one's knowledge of the point, below which one will not drop the rate as well as the point to stage the EUR rally to in several months with no one to interfere with Your so doing.

Hopefully, it's now understandable who swivels trends at FOREX! The world's largest banks Consortium does have power to reverse rates, whenever desirous, overthrowing fundamental laws, news releases, trends and common sense, just the way we witnessed on 01.04.2005 charts. But it's not at all, traders, as claimed by Williams.

That's why there is obvious ineffectiveness of the Williams's Market Facilitation Index (MFI) based on fluctuations of traded volumes; to be more precise, sometimes the indicator tells the truth, whereas sometimes it lies in a barefaced manner.

The reasons are stated above: the banks Consortium pushes rates to where it needs, but not to where traders going into deals, thus accumulating the volumes, indicated on the screen. That's why traders turn losers when making use of the Williams's MFI indicator.

Full text of this article and pictures of examples Article

If you wish to be trained on Trading System Masterforex-V - one of new and most effective techniques of trade on Forex in the world visit Masterforex-V Academy

Professional Trader from 2000 year.
President of Masterforex-V Trading Academy.

Author of Books:

1. Trade secrets by a professional trader or what B. Williams, A. Elder and J. Schwager not told about Forex to traders.

2. Technical analyses in Trading System MasterForex-V.

3. Entry and Exit Points at Forex Market

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