Forex Trading Techniques

If you are looking at Forex trading techniques and which are the best to make profits then there are actually quite a few different ways of making money but before we look at some proven Forex techniques, lets look at one technique in terms of making profits, ALL good Forex trading strategies have and that’s sound Forex money management.
Any strategy which doesn’t protect equity and deal with leverage correctly is destined to lose and you need to have through understanding of it to win. Like any great football team, success is built on sound defence first. If you keep your equity intact, you will get opportunities to get into some big profitable trades. Forex trading is first and foremost all about taking your losses with discipline and keeping them small. Now what strategies should you use to make money?
As a general rule, the big profits come from trend following and hitting and holding these big trends. The best Forex trading technique to use for doing this is to trade breakouts; simply buy breaks to new chart highs and sell breaks to new chart lows. It’s a simple, timeless, strategy which works and will continue to work, as long as markets trend.
You can also trade overbought and oversold levels and Forex swing trading can be very profitable. This method is ideal for novices, as it’s exciting, fun, profitable and doesn’t require as much discipline as long term trend following.
There are of course many Forex trading techniques you can use to make profits and the ones outlined are some of the best so get some Forex education and learn them, get confidence and trade with discipline and you could soon be making some great profits in global Forex markets.

Forex Broker with Simple Trading Platform

10Pips is a new Forex broker that was added to the list on my site today. Its main stated advantage is the simplicity of the trading platform and the overall process of starting Forex trading even for the complete newbies. I don’t know why did they give their broker such a name but, in my opinion, 10 pips is too much for a spread and too low for a profit :-). Of course, their spreads are quite below 10 pips (EUR/USD spread is only 2 pips, which is the current industry’s average). It should also be said that they are not a purely Forex broker since they offer CFD, stocks, commodities and index trading as well. Other features of 10Pips include:

• Multilingual traders’ support
• Real account bonuses
• Deposit via WebMoney, wire transfer or credit cards
• $100 to start trading
• Leverage — up to 1:200

Forex Trading Training: The Principles To Success!

Currency trading experts understand the power of maximizing every dollar they invest into the forex market. Their approach to investing stems from a heavy set of fundamentals and principles gathered through a solid forex education. This is one of the keys to succeeding in the forex market.

There are plenty of software programs that all claim to yield a high return on the dollar but the safest approach to using software to forecast market trends and swings is to use a proven system. For this reason, it is always good to look for a system that has already been proven by a wide group of investors. Successful traders would not continue to use a particular program if they were losing money.

Automated software bots have been gaining momentum for many years. Savvy investors and traders use these programs to help them track and monitor key pieces of information such as trading start and stop signals. They are an essential tool to an investor.

With many new investors hitting the market, they can attest to the power of using bots to help them look for key market indicators and signals. The biggest advantage of using these bots is that they facilitate the monitoring of signals without the need of the trader?s constant involvement. The signals alerting the trader is in real time and therefore keeps the investor on the edge for making profits and issuing stop loss orders.

Becoming a success in trading does not mean that you have to use bots. There is a human element involved too. While using bots can be a good idea, it cannot replace the intuitive nature of the human experience. Those who reply heavily on bots never sharpen their intuitive investing strategies. As you gain experience in learning to interpret market signals, you will know when to stop or enter a trade.

The trading strategies you use will play a vital part of your success. There are several strategies that you will want to study and learn. They not only serve as entry and exit guides, but they help you stay on course depending on your preference for trading. These strategies can be easily learned online or under the training of a broker.

As an example, many traders use the leverage based strategy. This type of strategy gives you access to more money to make trades above the amount you initially invested. The amount you can use is normally determined by your broker and is subject to specific terms. See a currency exchange broker to get more information.

With the right forex education, you can learn to trade in currency exchange market. If you do not have any experience, this training can be gained by working closely with a broker. Their knowledge, insight and experience will shorten your learning curve and accelerate your success. The key to success is to find a broker with a proven track record for investors.

Discover more information relating to forex broker and stay informed

Forms and Types of Forex Options

In forex trading as in stocks trading, there are two basic forms of options: the call and the put option. A call option gives the holder (buyer) the right to purchase a certain amount of the underlying currency at a specified price (the strike price) and date. A put option gives the holder the right to sell a certain amount of the underlying currency at the strike price. Forex options are divided into two major categories, both available on the Finotec Trading Platform: vanilla and exotic options. The major difference between those categories lies in the variables that they integrate. Each category contains several Options Types:. Vanilla options: these are the simplest types of options. The origin of the name is not clear. They refer to standard CALL and PUT forex options contracts. Please note that "put" and "call" forex options contracts are note the opposite of the same transaction but two separate transactions. This means that for every forex call option buyer there is a call seller and for every forex put option buyer there is a put seller. Under our platform's Vanilla options, you will also find both straddle and strangle options strategies. These last options types are actually defined as options strategies. Exotic options: Unlike plain vanilla options with single strike prices and standard expiration dates, exotic options are based on more complex conditional time and price scenarios. Exotic options include different types if options including "barrier" options (knock-in, knock-out, reverse knock-in, reverse knock out) and "binary" options (one-touch, no-touch, double one touch, double no touch). In general, options can be either American-style or European-style. American-style options may be exercised at any point until the expiration date. European-style options may only be exercised at the time of the expiration date. Options trading with Finotec is facilitated by a complete set of tools designed to help traders make considered trading decisions.

The Seven Most Traded Currencies in forex

Currencies are traded in dollar amounts called “lots”. One lot is equal to $1,000, which controls $100,000 in currency. This is what is known as the "margin". You can control $100,000 worth of currency for only 1,000 dollars. This is what is called “High Leverage”.

Currencies are always traded in pairs in the FOREX. The pairs have a unique notation that expresses what currencies are being traded. The symbol for a currency pair will always be in the form ABC/DEF. ABC/DEF is not a real currency pair, it is an example of a symbol for a currency pair. In this example ABC is the symbol for one countries currency and DEF is the symbol for another countries currency.

Here are some of the common symbols used in the Forex:

USD - The US Dollar EUR - The currency of the European Union "EURO" GBP - The British Pound JPN - The Japanese Yen CHF - The Swiss Franc AUD - The Australian Dollar CAD - The Canadian Dollar

There are symbols for other currencies as well, but these are the most commonly traded ones.

A currency can never be traded by itself. So you can not ever trade a EUR by itself. You always need to compare one currency with another currency to make a trade possible.

Some of the common PAIRS are:

EUR/USD Euro / US Dollar "Euro"

USD/JPY US Dollar / Japanese Yen "Dollar Yen"

GBP/USD British Pound / US Dollar "Cable"

USD/CAD US Dollar / Canadian Dollar "Dollar Canada"

AUD/USD Australian Dollar/US Dollar "Aussie Dollar"

USD/CHF US Dollar / Swiss Franc "Swissy"

EUR/JPY Euro / Japanese Yen "Euro Yen"

The listed currency pairs above look like a fraction. The numerator (top of the fraction or "left" of the / however you want to SEE it) is called the base currency. The denominator (bottom of the fraction or "right" of the /however you want to SEE it) is called the counter currency. When you place an order to buy the EUR/USD, for instance, you are actually buying the EUR and selling the USD. If you were to sell the pair, you would be selling the EUR and buying the USD. So if you buy or sell a currency PAIR, you are buying/selling the base currency. You are always doing the opposite of what you did with to base currency with the counter currency.

If this seems confusing then you’re in luck. You can always get by with just thinking of the entire pair as one item. Then you are just buying or selling that one item. Thinking like this will still enable you to place trades. You only need to be aware of the base/counter concept for Fundamental Analysis issues.

So why is it important to know about the base/counter currency? The base/counter currency concept illustrates what is actually taking place in a Forex transaction. Some of you reading this, know that short-selling was restricted in the stock market *(Short-selling is where you sell a stock/currency/option/commodity first and then try to buy it back at a lower price later). But in the FOREX you are always buying one currency (base) and selling another (counter). If you sell the pair you are simply flipping which one you buy and which one you sell. The transaction is essentially the same. This allows you to short-sell with no restrictions.

You want to be able to short-sell with no restrictions so you can make money when the market drops as well as when it rises. The problem with traditional stock market trading is that the market has to go up for you to make money. With FOREX trading you can make money in all directions.

Great Trading

Provided you decide to start trading it would be a great idea to invest in some software to help you keep up with your investments. The CMS Forex website recommends the VT Trader 2.0 Some of it’s key features are chart based trading, customizable interface, 100+ technical indicators, custom indicators, risk management tools, pattern recognition technology, customer alerts, Forex autopilot, stability and Dow Jones News. They also suggest the VT Trader Mobile device which can be taken wherever you go so you can trade anywhere.

Forex Home Business

The more you understand about any subject, the more interesting it becomes. As you read this article you’ll find that the subject of forex home business is certainly no exception.When running a forex home business, a person quickly gains knowledge of how the business world works. Whether it be selling crafts, doing a home delivery business, or selling real-estate, after investing a lot of time and effort into a home or small business, a person quickly becomes aware of the few basic business truths that govern business.One of those truths is that you have to have time and money to start a small business or any business for that matter. More often than not, the people that have the time dont have the money to invest in a home-based business and the people that have the money dont have the time. With Forex home business, it is quite possible to generate an income with a small time investment per day, after studying FOREX for a few months, and a very small investment as little as $50 in some cases.The second truth, and these are probably quite obvious to most people, is that in order to make money a business has to have some sort of product to sell or perform some type of service. In the FOREX world, nothing is being sold and no service is being performed, but rather money is being exchanged. You are making a profit based on the actual exchange value of one currency against another currency. This eliminates the need for employees, such as customer service personnel and human resource people if your company were to become that big.Is everything making sense so far? If not, I’m sure that with just a little more reading, all the facts will fall into place.Also, because of the huge size of the FOREX market, trading nearly $1.5 trillion dollars a day, such things as social events, bad publicity, and changes in political climate will have no effect on your business. In fact, after studying FOREX, you will be able to see how these things will actually benefit your FOREX home business.The third and last classical business truth is that most people are prevented from starting a home-based business because they dont feel good enough about themselves. They dont feel like theyre educated enough. I read stories all of the time about people that feel passionate about something or they just pick something that they are relatively good at or have done before and start a business. They just take a chance. If you want to do it, step out. Take that first step. Dont drop any huge sums of money, of course, but do a little research, make a small investment and start your adventure down to the road to FOREX trading.You dont need a doctorite degree to get involved with FOREX trading, but after a couple of months of good study, its quite possible to generate a significant source of cash from FOREX trading. Forex traders study the political and economic trends in the economically important countries, including USA, Japan, England or the European Union, and make an assessment of the present or future purchase values of these currencies in comparison with each other. Again, the process of sale and purchase is like any other market activity, except that the time period varies. Blindly trade. Forex home business is not about gambling. Consider a situation where you think that the price of a given commodity, say, silver, gold, or wheat, will increase in the near future.You can’t predict when knowing something extra about forex home business will come in handy. If you learned anything new about forex home business in this article, you should file the article where you can find it again.

Top Forex Brokers of Pakistan

H & H EXCHANGE CO. (PVT) LTD.

(KARACHI)H & H - Pakistan's first Exchange Company. Granted license by the State Bank of Pakistan to carry out foreign exchange business. We also deal in cash currencies, foreign remittance

DOLLAR EAST EXCHANGE COMPANY(LAHORE)Dollar East Exchange Company (Pvt.) Limited is a leading exchange company in Pakistan. The company is one of the pioneers to start currency exchange business in the country. It was

EMIRATES GLOBAL ISLAMIC BANK LIMITED (EGIBL) (KARACHI)

Alhamdolillah, Emirates Global Islamic Bank Limited, a dedicated Islamic Commercial Bank, commenced operations in February 2007. Presently the Bank has ten branches in Pakistan .

GLAXY EXCHANGE (PVT.) LTD (KARACHI)

ZARCO EXCHANGE COMPANY (PVT) LTD(LAHORE)

The ZARCO Exchange Company is a respected financial institution that provides dependable Exchange and Transfer services to satisfied customers throughout Pakistan.

A KHANANI AND KALIA MONEY EXCHANGE(ISLAMABAD)

Since a last decade, Khanani & Kalia International (Pvt) Ltd. has been known by its customers for its best quality services at the national level.

Difference Between Forex and Stock

The Forex market has a lot of advantages compare to stock market: A Forex trader could make profit through the market no matter if it is bearish and bullish which is different from the capital market, Forex has no strict regulation in speculation, no matter whether it is a long-term or a short-term transaction there is still a hidden profit, moreover, Forex market is a double-transaction market which means Forex traders could make profit through both upward and downward trend.2. Forex traders could obtain a much larger transaction compared to the stock market, through the Forex trading, Forex traders could obtain 100 times larger transaction compared to the stock market. According to the present US situation, if a Forex trader invests $1,000 in the stock market, the trader may obtain $2,000 of stock domination property with a proportion of 2:1, but through Forex trading, a Forex trader can do transaction with a proportion up to 100:1.Forex trader may make profit from the ordinary news, like the interest rate change, Forex market is closely related to various countries' politic, economy and culture, Forex traders could also obtain profit from other kinds of news, for example interest rate level change, will influence the interest of the Forex deposit.3. Forex traders could do 24 hours trading. The stock market can only be traded during daytime at a specific time, generally from 9:30a.m. to 4:00p.m.. If you too have your own full time job, then you will face the dilemma - either to give up your full time job or forgo the trading opportunity. But Forex market can be traded 5 days a week and 24 hours a day, Forex traders can trade during their free time which is normally at night after working hour.4. If a trader analyze based on technical analysis, Forex trading would be much more suitable for such traders because the Forex market has a very large trading volume. Currently the Forex market has daily trading volume of 190 billion Dollar, such giant market will completely digest a fore trader's transaction cash, under such situation the accuracy of the technical analysis would be much higher then any financial market, the chances of using technical analysis to make profit would be much more higher.5. In the stock market there are hundred and thousand kinds of stocks, then choosing stock will be a very difficult matter. But in the Forex market, the currency combination is extremely limited, this may enable Forex traders to concentrate on these currencies combination, and could follow the trend quickly.

Benifits of Forex Trading

The only market that is world’s largest and most liquid is forex trading market. This is also recognized as one and only absolute home busiess. But this would confusing for a layman that is new to the market. Many questions that arises – Why do people go for online trading and how do they buck up their bank account? Every day more number of investors and traders are moving in to forex trading market because of several advantages available in the market. It is just that there are few things you need to know and learn appropriately. Most traders keep their trading simple. Just little bit of market information and research helps them. But when looking high and high achievement, you need to work hard and smart.Following are advantage of forex trading.• The margin requirement to trade in forex is just 5% of total value of holding. So you can keep your margin as low as possible to trade risk free. You get the ability to manage large amount with lower margin.• Forex trading market is commission fee. If you act as an individual trader then you do not pay any commission fee. However, if you trade with forex broker he might charge you a low value share from the trade.• Bid and ask rates are very flexible. Most of the online forex trading brokers provide a spread of 4 pips on USD/EUR as it is the most traded currency pair. It may fluctuate between 4 to 9 pips. • Considered the largest and most flexible market in the world. • Trade execution is almost instant, enabling traders and investors to respond to rising or falling situations or trends rapidly.• This market is usually known as a free market even though the dealings of major dealers, such as commercial banks in money centers, are controlled under certain banking laws.• It is a 24 hour seamless market and can trade any time except the weekends. So it becomes comfortable for all types of trader and investors to deal with forex trading.• The standard forex trading volume is huge, and inclinations could be simple to spot. • No various exchange listings to the same currency and no average size to trade.• Forex trading brokers provide very limiting short selling margin needs to trader and investors. That simply means a customer do not have the liquidity to be capable to sell stock before he buys.• Forex trading is done “OTC” (Over the Counter). So there is no clearing house or central exchange to match the orders. Deal takes place on the reputation basis of the participants.• Widen options available of small traders as well. Lately forex trading is becoming increasingly popular among small brokers and traders.