The vast majority of Forex education organizations fail to address the only true characteristic of a market place, the human nature.
You can easily find loads of charts, pivot points, moving averages, trend lines and all sorts of Fibonacci ratios, together with the latest in trading automation. Any Forex website publishes some or all of these data, along with myriads of other details, interviews and opinions.
You may even get entry and exit signals, support and resistance levels, all of which could appear as sufficient in the decision making process.
I was under the same impression as a beginner, I was at the same level as an intermediate trader and only heavy losses and low risk/reward decisions made me look for a different approach to trading.
If you are aware of the importance of having a trading plan for each trade you plan to initiate, then you must be familiar with moments of doubt, when following the opening of the trade, the market goes awry, together with your emotions and self-esteem.
Do you feel frustrated? Join the vast club of frustrated professional Forex traders.
When you see the market moving against all odds and logic, your emotional self cries for an immediate position reversal (SHORT from LONG and vice-versa), in a complete disregard of your own trading plan.
On the other hand, all your training books, videos and mentors have pumped the "trading plan supremacy" into your brain.
While the viable solution seems to reside in the robotic way of trading the plan, a professional operator must learn to listen to his or her "hidden partner", the subconscious.
Our brain is capable of storing immense quantities of data, without us being aware of it. Our five senses perceptions are in constant use and they permanently add to our overall life experience. While our subconscious is capable of dealing with all this seamlessly, the conscious mind has only a very limited operational capacity, primarily used to help us dealing with our daily tasks.
As we trade, ALL our experiences are deposited deep within our brain, slowly building up what I call the unseen analyst. This is what you may call the sixth sense or the instinct traders develop as they progress.
As the name of the game with Forex trading is VOLATILITY and 80% of all trades do not last more than 2-3 days, with the vast majority of them being daytrades, it is easy to accept that conditions can and will change in a heartbeat, rendering most trade plans obsolete.
The only way to alleviate the contradictions between your emotional self and the heavily trained brain is to learn how to give them priority over time.
As a beginner, you simply cannot have the emotional experience to "feel" anything related to the market processes and therefore it is advisable to rely completely on the mechanisms of a trading plan.
At this stage, take your time to learn how to interpret the charts, prepare yourself according to the daily economic calendar and how to construct a comprehensive trading plan. Once you took a trading decision, stick with it, no matter what. At this stage, you are a robot, implementing a trading strategy.
Your emotional weight should be nonexistent in the economy of the trade.
As you progress along the path of becoming a professional Forex operator, your unseen analyst will start adjusting your trading decisions, silently participating in your trading decision process.
It is now the time to make room to your "feel", to accommodate your growing sentiment of "feeling the market".
Your emotional weight should now become an accepted presence.
You will soon learn how to adjust this "mix" in a way to achieve the optimal trading performance.
Saturday, November 20, 2010
FOREX trading psychology: Learn to see the line between the trading plan and your emotional impulses
The vast majority of Forex education organizations fail to address the only true characteristic of a market place, the human nature.
You can easily find loads of charts, pivot points, moving averages, trend lines and all sorts of Fibonacci ratios, together with the latest in trading automation. Any Forex website publishes some or all of these data, along with myriads of other details, interviews and opinions.
You may even get entry and exit signals, support and resistance levels, all of which could appear as sufficient in the decision making process.
I was under the same impression as a beginner, I was at the same level as an intermediate trader and only heavy losses and low risk/reward decisions made me look for a different approach to trading.
If you are aware of the importance of having a trading plan for each trade you plan to initiate, then you must be familiar with moments of doubt, when following the opening of the trade, the market goes awry, together with your emotions and self-esteem.
Do you feel frustrated? Join the vast club of frustrated professional Forex traders.
When you see the market moving against all odds and logic, your emotional self cries for an immediate position reversal (SHORT from LONG and vice-versa), in a complete disregard of your own trading plan.
On the other hand, all your training books, videos and mentors have pumped the "trading plan supremacy" into your brain.
While the viable solution seems to reside in the robotic way of trading the plan, a professional operator must learn to listen to his or her "hidden partner", the subconscious.
Our brain is capable of storing immense quantities of data, without us being aware of it. Our five senses perceptions are in constant use and they permanently add to our overall life experience. While our subconscious is capable of dealing with all this seamlessly, the conscious mind has only a very limited operational capacity, primarily used to help us dealing with our daily tasks.
As we trade, ALL our experiences are deposited deep within our brain, slowly building up what I call the unseen analyst. This is what you may call the sixth sense or the instinct traders develop as they progress.
As the name of the game with Forex trading is VOLATILITY and 80% of all trades do not last more than 2-3 days, with the vast majority of them being daytrades, it is easy to accept that conditions can and will change in a heartbeat, rendering most trade plans obsolete.
The only way to alleviate the contradictions between your emotional self and the heavily trained brain is to learn how to give them priority over time.
As a beginner, you simply cannot have the emotional experience to "feel" anything related to the market processes and therefore it is advisable to rely completely on the mechanisms of a trading plan.
At this stage, take your time to learn how to interpret the charts, prepare yourself according to the daily economic calendar and how to construct a comprehensive trading plan. Once you took a trading decision, stick with it, no matter what. At this stage, you are a robot, implementing a trading strategy.
Your emotional weight should be nonexistent in the economy of the trade.
As you progress along the path of becoming a professional Forex operator, your unseen analyst will start adjusting your trading decisions, silently participating in your trading decision process.
It is now the time to make room to your "feel", to accommodate your growing sentiment of "feeling the market".
Your emotional weight should now become an accepted presence.
You will soon learn how to adjust this "mix" in a way to achieve the optimal trading performance.
You can easily find loads of charts, pivot points, moving averages, trend lines and all sorts of Fibonacci ratios, together with the latest in trading automation. Any Forex website publishes some or all of these data, along with myriads of other details, interviews and opinions.
You may even get entry and exit signals, support and resistance levels, all of which could appear as sufficient in the decision making process.
I was under the same impression as a beginner, I was at the same level as an intermediate trader and only heavy losses and low risk/reward decisions made me look for a different approach to trading.
If you are aware of the importance of having a trading plan for each trade you plan to initiate, then you must be familiar with moments of doubt, when following the opening of the trade, the market goes awry, together with your emotions and self-esteem.
Do you feel frustrated? Join the vast club of frustrated professional Forex traders.
When you see the market moving against all odds and logic, your emotional self cries for an immediate position reversal (SHORT from LONG and vice-versa), in a complete disregard of your own trading plan.
On the other hand, all your training books, videos and mentors have pumped the "trading plan supremacy" into your brain.
While the viable solution seems to reside in the robotic way of trading the plan, a professional operator must learn to listen to his or her "hidden partner", the subconscious.
Our brain is capable of storing immense quantities of data, without us being aware of it. Our five senses perceptions are in constant use and they permanently add to our overall life experience. While our subconscious is capable of dealing with all this seamlessly, the conscious mind has only a very limited operational capacity, primarily used to help us dealing with our daily tasks.
As we trade, ALL our experiences are deposited deep within our brain, slowly building up what I call the unseen analyst. This is what you may call the sixth sense or the instinct traders develop as they progress.
As the name of the game with Forex trading is VOLATILITY and 80% of all trades do not last more than 2-3 days, with the vast majority of them being daytrades, it is easy to accept that conditions can and will change in a heartbeat, rendering most trade plans obsolete.
The only way to alleviate the contradictions between your emotional self and the heavily trained brain is to learn how to give them priority over time.
As a beginner, you simply cannot have the emotional experience to "feel" anything related to the market processes and therefore it is advisable to rely completely on the mechanisms of a trading plan.
At this stage, take your time to learn how to interpret the charts, prepare yourself according to the daily economic calendar and how to construct a comprehensive trading plan. Once you took a trading decision, stick with it, no matter what. At this stage, you are a robot, implementing a trading strategy.
Your emotional weight should be nonexistent in the economy of the trade.
As you progress along the path of becoming a professional Forex operator, your unseen analyst will start adjusting your trading decisions, silently participating in your trading decision process.
It is now the time to make room to your "feel", to accommodate your growing sentiment of "feeling the market".
Your emotional weight should now become an accepted presence.
You will soon learn how to adjust this "mix" in a way to achieve the optimal trading performance.
Forex Trading
So what is is Forex trading you may ask? Forex is the exchange you can buy and sell currencies. For example, you might buy British pounds (by exchanging them to the dollars you had), then, after pounds / dollar ratio goes up, you sell pounds and buy dollars again. At the end of this operation you are going to have more dollars, then you had at the beginning.
The Forex market has much higher liquidity, then the stock market, as much more money is being exchanged. Forex is spread between banks all over the planet and as a result it means 24 hour trading.
Unlike stocks, Forex trades are performed with high leverage, usually it is 100. It means that by investing $1000 you can control $100,000, and increase potential profits accordingly. Some brokers provide also so called mini-Forex, where the size of minimum deposit equals $100. It makes possible for individuals to enter this market easily.
The name convention. In Forex, the name of a "symbol" is composed of two parts — one for first currency, and another for the second currency. For example, the symbol usdjpy stands for US dollars (usd) to Japanese yen (jpy).
As with stocks, you can apply tools of the technical analysis to Forex charts. Trader's indexes can be optimized for Forex "symbols", allowing you to find winning strategy.
Example Forex transaction
Assume you have a trading account of $25,000 and you are trading with a 1% margin requirement. The current quote for EUR/USD is 1.3225/28 and you place a market order to buy 1 lot of 100,000 Euros at 1.3228, expecting the euro to rise against the dollar. At the same time you place a stop-loss order at 1.3178 representing a maximum loss of 2% of your account equity if the trade goes against you, 50 pips below your order price, and a limit order at 1.3378, 150 pips above your order price. For this trade, you are risking 50 pips to gain 150 pips, giving you a risk/reward ratio of 1 part risk to 3 parts reward. This means that you only need to be right one third of the time to remain profitable.
The Forex market has much higher liquidity, then the stock market, as much more money is being exchanged. Forex is spread between banks all over the planet and as a result it means 24 hour trading.
Unlike stocks, Forex trades are performed with high leverage, usually it is 100. It means that by investing $1000 you can control $100,000, and increase potential profits accordingly. Some brokers provide also so called mini-Forex, where the size of minimum deposit equals $100. It makes possible for individuals to enter this market easily.
The name convention. In Forex, the name of a "symbol" is composed of two parts — one for first currency, and another for the second currency. For example, the symbol usdjpy stands for US dollars (usd) to Japanese yen (jpy).
As with stocks, you can apply tools of the technical analysis to Forex charts. Trader's indexes can be optimized for Forex "symbols", allowing you to find winning strategy.
Example Forex transaction
Assume you have a trading account of $25,000 and you are trading with a 1% margin requirement. The current quote for EUR/USD is 1.3225/28 and you place a market order to buy 1 lot of 100,000 Euros at 1.3228, expecting the euro to rise against the dollar. At the same time you place a stop-loss order at 1.3178 representing a maximum loss of 2% of your account equity if the trade goes against you, 50 pips below your order price, and a limit order at 1.3378, 150 pips above your order price. For this trade, you are risking 50 pips to gain 150 pips, giving you a risk/reward ratio of 1 part risk to 3 parts reward. This means that you only need to be right one third of the time to remain profitable.
Investing in Forex
Investing in foreign currencies is a relatively new avenue of investing. There are considerably fewer people are aware of this market than there are people aware of several other avenues of investing. Trading foreign currency, also known as forex, is the most lucrative investment market that exists. There are several factors that make this true among which, successful forex traders earn realistic profits of one hundred plus percent each month. Compared to some of the better known investment markets such as corporate stocks, this is an unheard of return on investment. It's very necessary to mention here that a person who invests in forex must, without exception, make it a point to learn the detailed, but simple strategies and information surrounding the market. This very fact is what makes the difference between successful forex traders and other traders
Forecasting Forex Trading
What is Forex or Foreign Exchange: It is the largest financial market in the world, with a volume of more than $1.5 trillion daily, dealing in currencies. Unlike other financial markets, the Forex market has no physical location, no central exchange. It operates through an electronic network of banks, corporations and individuals trading one currency for another.
What about Forecasting: Predicting current and future market trends using existing data and facts. Analysts rely on technical and fundamental statistics to predict the directions of the economy, stock market and individual securities.
For those who trade using the Forex, or foreign currency exchange, knowing how to forecast the Forex can make the difference between trading successfully and losing money. When you begin learning about Forex trading, it is vital that you understand how to forecast the Forex trading market.
There are a few methods that are used when forecasting the Forex. Each system is used to understand how the Forex works and how the fluctuations in the market can affect traders and currency rates. The two methods that are most often used are called technical analysis and fundamental analysis. Both methods differ in their own ways, but each one can help the Forex trader understand how the rates are affecting the currency trade. Most of the time, experienced traders and brokers know each method and use a mixture of the two to trade on the Forex.
One method used in forecasting foreign currency exchange is called technical analysis. This method uses predictions by looking at trends in charts and graphs from past Forex market happenings. This system is based on solid events that have actually taken place in the Forex in the past. Many experience Forex traders and brokers rely on this system because it follows actual trends and can be quite reliable.
When looking at the technical analysis in the Forex, there are three basic principles that are used to make projections. These principles are based on the market action in relation to current events, trends in price movements and past Forex history. When the market action is looked at, everything from supply and demand, current politics and the current state of the market are taken into consideration. It is usually agreed that the actual price of the Forex is a direct reflection of current events.
The trends in price movement are another factor when using technical analysis. This means that there are patterns in the market behavior that have been known to be a contributing factor in the Forex. These patterns are usually repeating over time and can often be a consistent factor when forecasting the Forex market. Another factor that is taken into consideration when forecasting the Forex is history. There are definite patterns in the market and these are usually reliable factors. There are several charts that are taken into consideration when forecasting the Forex market using technical analysis. The five categories that are look at include indicators, number theory, waves, gaps and trends.
Most of these can be quite complicated for those who are inexperienced using the Forex. Most professional Forex brokers understand these charts and have the ability to offer their clients well-informed advice about Forex trading.
Another way that experienced brokers and traders in the Forex use to forecast the trends is called fundamental analysis. This method is used to forecast the future of price movements based on events that have not taken place yet. This can range from political changes, environmental factors and even natural disasters. Important factors and statistics are used to predict how it will affect supply and demand and the rates of the Forex. Most of the time, this method is not a reliable factor on its own, but is used in conjunction with technical analysis to form opinion about the changes in the Forex market.
For those interesting in being involved with Forex trading, a basic understanding of how the system works is essential. Understanding both forecasting systems and how they can predict the market trends will help Forex traders be successful with their trading. Most experienced traders and brokers involved with the Forex use a system of both technical and fundamental information when making decisions about the Forex market. When used together, they can provide the trader with invaluable information about where the currency trends are headed.
Always leave the forecasting to the pros unless you are playing the Forex as a hobby and don't have a lot of money invested...Or like most people you will learn the hard way.
What about Forecasting: Predicting current and future market trends using existing data and facts. Analysts rely on technical and fundamental statistics to predict the directions of the economy, stock market and individual securities.
For those who trade using the Forex, or foreign currency exchange, knowing how to forecast the Forex can make the difference between trading successfully and losing money. When you begin learning about Forex trading, it is vital that you understand how to forecast the Forex trading market.
There are a few methods that are used when forecasting the Forex. Each system is used to understand how the Forex works and how the fluctuations in the market can affect traders and currency rates. The two methods that are most often used are called technical analysis and fundamental analysis. Both methods differ in their own ways, but each one can help the Forex trader understand how the rates are affecting the currency trade. Most of the time, experienced traders and brokers know each method and use a mixture of the two to trade on the Forex.
One method used in forecasting foreign currency exchange is called technical analysis. This method uses predictions by looking at trends in charts and graphs from past Forex market happenings. This system is based on solid events that have actually taken place in the Forex in the past. Many experience Forex traders and brokers rely on this system because it follows actual trends and can be quite reliable.
When looking at the technical analysis in the Forex, there are three basic principles that are used to make projections. These principles are based on the market action in relation to current events, trends in price movements and past Forex history. When the market action is looked at, everything from supply and demand, current politics and the current state of the market are taken into consideration. It is usually agreed that the actual price of the Forex is a direct reflection of current events.
The trends in price movement are another factor when using technical analysis. This means that there are patterns in the market behavior that have been known to be a contributing factor in the Forex. These patterns are usually repeating over time and can often be a consistent factor when forecasting the Forex market. Another factor that is taken into consideration when forecasting the Forex is history. There are definite patterns in the market and these are usually reliable factors. There are several charts that are taken into consideration when forecasting the Forex market using technical analysis. The five categories that are look at include indicators, number theory, waves, gaps and trends.
Most of these can be quite complicated for those who are inexperienced using the Forex. Most professional Forex brokers understand these charts and have the ability to offer their clients well-informed advice about Forex trading.
Another way that experienced brokers and traders in the Forex use to forecast the trends is called fundamental analysis. This method is used to forecast the future of price movements based on events that have not taken place yet. This can range from political changes, environmental factors and even natural disasters. Important factors and statistics are used to predict how it will affect supply and demand and the rates of the Forex. Most of the time, this method is not a reliable factor on its own, but is used in conjunction with technical analysis to form opinion about the changes in the Forex market.
For those interesting in being involved with Forex trading, a basic understanding of how the system works is essential. Understanding both forecasting systems and how they can predict the market trends will help Forex traders be successful with their trading. Most experienced traders and brokers involved with the Forex use a system of both technical and fundamental information when making decisions about the Forex market. When used together, they can provide the trader with invaluable information about where the currency trends are headed.
Always leave the forecasting to the pros unless you are playing the Forex as a hobby and don't have a lot of money invested...Or like most people you will learn the hard way.
An Introduction to Domain Names
Simply put, a domain name is a "front" - they are word sequences users enter in their browser’s location bar to visit your site, but are not a Web site's true address.
Domain names are attached to DNS (Domain Naming System) servers, which are used to translate numeric addresses (known as IP, or Internet Protocol, addresses) into words. Each site you visit on the net has a numeric IP address behind its name, which represents the site's true address on the Internet.
Domain names are typically categorized by their extension, which is their identifying code. The three most popular types of Top Level Domains (TLDs), which are domains that are not
associated with a country, are:
.COM: Short for .commercial. Domain names with the .com extension are by far the most popular, and can be purchased by any individual or business. .
.NET: Short for .network, this domain extension was originally designed to be used by technical Web sites. However, domains using this extension can be registered by anyone.
.ORG: Short for .organization. Originally designated for non-profit firms and any other organizations that did not fit under the .com or .net extension, any individual or business may now register a .org domain name.
Country Level Domains
Domain names can also be assigned using country extensions. Each country has its own domain extension; Canada, for example, is .ca, while Japan has been assigned .jp. Most countries have specific rules surrounding exactly who can register domains using their extension and for what purpose; it’s therefore important to look before you leap.
Alternative Domain Names
The Internet Corporation for Assigned Names and Numbers (ICANN), the organization responsible for the administration of TLDs worldwide, recently approved several new extensions that are not specific to any country. These are:
* .areo
* .biz
* .coop
* .info
* .museum
* .name
* .pro
Each has been designed for a specific use, and is accompanied by certain restrictions. You can find more information about these TLDs here: http://www.icann.org/tlds/
Other Domain Extensions
In searching for your domain name, you may encounter Web sites offering extensions like .xxx, .free and .mp3. These are not true extensions endorsed by ICANN; rather, they rely on software solutions to guarantee their accessibility to users. Because ICANN has not approved any of these extensions, however, users that do not have the correct software cannot access sites using these names; therefore, they should be used for supplemental purposes only.
Although .com, .net and .org are typically the most visible and talked-about extensions, they are not the only ones available for use. From a functional perspective, country-level domains work just as well as any TLDs, and alternative extensions work just as well. Therefore, don’t necessarily settle for a mediocre TLD when you can get a better one using a different extension.
Read More......
Label: Domain Name
What are the DNS records?
The DNS records contain various lists for specific domain name settings. A records are used to direct the web traffic of a website to another location, usually a remote server. They are stored in the form of IP addresses. The MX records affect the mail exchange of a domain name. They point the e-mail traffic to a concrete mail server, which handles the delivery of the messages
Domain names are attached to DNS (Domain Naming System) servers, which are used to translate numeric addresses (known as IP, or Internet Protocol, addresses) into words. Each site you visit on the net has a numeric IP address behind its name, which represents the site's true address on the Internet.
Domain names are typically categorized by their extension, which is their identifying code. The three most popular types of Top Level Domains (TLDs), which are domains that are not
associated with a country, are:
.COM: Short for .commercial. Domain names with the .com extension are by far the most popular, and can be purchased by any individual or business. .
.NET: Short for .network, this domain extension was originally designed to be used by technical Web sites. However, domains using this extension can be registered by anyone.
.ORG: Short for .organization. Originally designated for non-profit firms and any other organizations that did not fit under the .com or .net extension, any individual or business may now register a .org domain name.
Country Level Domains
Domain names can also be assigned using country extensions. Each country has its own domain extension; Canada, for example, is .ca, while Japan has been assigned .jp. Most countries have specific rules surrounding exactly who can register domains using their extension and for what purpose; it’s therefore important to look before you leap.
Alternative Domain Names
The Internet Corporation for Assigned Names and Numbers (ICANN), the organization responsible for the administration of TLDs worldwide, recently approved several new extensions that are not specific to any country. These are:
* .areo
* .biz
* .coop
* .info
* .museum
* .name
* .pro
Each has been designed for a specific use, and is accompanied by certain restrictions. You can find more information about these TLDs here: http://www.icann.org/tlds/
Other Domain Extensions
In searching for your domain name, you may encounter Web sites offering extensions like .xxx, .free and .mp3. These are not true extensions endorsed by ICANN; rather, they rely on software solutions to guarantee their accessibility to users. Because ICANN has not approved any of these extensions, however, users that do not have the correct software cannot access sites using these names; therefore, they should be used for supplemental purposes only.
Although .com, .net and .org are typically the most visible and talked-about extensions, they are not the only ones available for use. From a functional perspective, country-level domains work just as well as any TLDs, and alternative extensions work just as well. Therefore, don’t necessarily settle for a mediocre TLD when you can get a better one using a different extension.
Read More......
Label: Domain Name
What are the DNS records?
The DNS records contain various lists for specific domain name settings. A records are used to direct the web traffic of a website to another location, usually a remote server. They are stored in the form of IP addresses. The MX records affect the mail exchange of a domain name. They point the e-mail traffic to a concrete mail server, which handles the delivery of the messages
godady review
With the 2009 SuperBowl just around the corner I decided to review the web hosting services of GoDaddy.com. As you may or may not know in the last several years GoDaddy has participated in a number of Superbowl commercials. (Which by the way you can preview on their website)
GoDaddy was started in 1997 by Bob Parsons, who is still the founder and CEO of the company.
They remain the largest ICANN domain registrar in the world with over 32 million domains currently under their management. GoDaddy has been included in the top 500 list of the fastest- growing, privately held companies in the nation for the last 3 years. They also participate in a list of charities too long to mention, but found under "Go Daddy Cares" on their website.
Besides domain registry GoDaddy also supplies:
Domain - purchase, management, renewals, transferring, auctions, and enhancements.
Hosting - plans, management, enhancements, and server plans.
Email - plans, management, enhancements, and marketing for your business.
SiteBuilders - enhancements, do it yourself plans, and build it for you plans.
Business - tools, reseller programs, ecommerce products, marketing tools, and gift cards.
SSL Certificates - purchase and management.
Reseller - Opportunities and management.
Unlike many webhosting companies that offer one or a few web hosting package options GoDaddy provides enough products to fit the needs of just about anyone wanting to design or start a website. Go Daddy does not provide "toll free" phone support. However, they have a ton of options to provide support such as (not outsourced) phone, email, FAQ, Knowledgebase, help guides, tutorials, glossary, and forum.
In our GoDaddy review we found their website to be very comprehensive yet easy to find the information you need, and fun stuff too(like their commercials) . Another advantage to GoDaddy is they do not require any long term contracts, they offer 12, 24, and 26 month discounts but do not require you to do so.
GoDaddy was started in 1997 by Bob Parsons, who is still the founder and CEO of the company.
They remain the largest ICANN domain registrar in the world with over 32 million domains currently under their management. GoDaddy has been included in the top 500 list of the fastest- growing, privately held companies in the nation for the last 3 years. They also participate in a list of charities too long to mention, but found under "Go Daddy Cares" on their website.
Besides domain registry GoDaddy also supplies:
Domain - purchase, management, renewals, transferring, auctions, and enhancements.
Hosting - plans, management, enhancements, and server plans.
Email - plans, management, enhancements, and marketing for your business.
SiteBuilders - enhancements, do it yourself plans, and build it for you plans.
Business - tools, reseller programs, ecommerce products, marketing tools, and gift cards.
SSL Certificates - purchase and management.
Reseller - Opportunities and management.
Unlike many webhosting companies that offer one or a few web hosting package options GoDaddy provides enough products to fit the needs of just about anyone wanting to design or start a website. Go Daddy does not provide "toll free" phone support. However, they have a ton of options to provide support such as (not outsourced) phone, email, FAQ, Knowledgebase, help guides, tutorials, glossary, and forum.
In our GoDaddy review we found their website to be very comprehensive yet easy to find the information you need, and fun stuff too(like their commercials) . Another advantage to GoDaddy is they do not require any long term contracts, they offer 12, 24, and 26 month discounts but do not require you to do so.
godady review
With the 2009 SuperBowl just around the corner I decided to review the web hosting services of GoDaddy.com. As you may or may not know in the last several years GoDaddy has participated in a number of Superbowl commercials. (Which by the way you can preview on their website)
GoDaddy was started in 1997 by Bob Parsons, who is still the founder and CEO of the company.
They remain the largest ICANN domain registrar in the world with over 32 million domains currently under their management. GoDaddy has been included in the top 500 list of the fastest- growing, privately held companies in the nation for the last 3 years. They also participate in a list of charities too long to mention, but found under "Go Daddy Cares" on their website.
Besides domain registry GoDaddy also supplies:
Domain - purchase, management, renewals, transferring, auctions, and enhancements.
Hosting - plans, management, enhancements, and server plans.
Email - plans, management, enhancements, and marketing for your business.
SiteBuilders - enhancements, do it yourself plans, and build it for you plans.
Business - tools, reseller programs, ecommerce products, marketing tools, and gift cards.
SSL Certificates - purchase and management.
Reseller - Opportunities and management.
Unlike many webhosting companies that offer one or a few web hosting package options GoDaddy provides enough products to fit the needs of just about anyone wanting to design or start a website. Go Daddy does not provide "toll free" phone support. However, they have a ton of options to provide support such as (not outsourced) phone, email, FAQ, Knowledgebase, help guides, tutorials, glossary, and forum.
In our GoDaddy review we found their website to be very comprehensive yet easy to find the information you need, and fun stuff too(like their commercials) . Another advantage to GoDaddy is they do not require any long term contracts, they offer 12, 24, and 26 month discounts but do not require you to do so.
GoDaddy was started in 1997 by Bob Parsons, who is still the founder and CEO of the company.
They remain the largest ICANN domain registrar in the world with over 32 million domains currently under their management. GoDaddy has been included in the top 500 list of the fastest- growing, privately held companies in the nation for the last 3 years. They also participate in a list of charities too long to mention, but found under "Go Daddy Cares" on their website.
Besides domain registry GoDaddy also supplies:
Domain - purchase, management, renewals, transferring, auctions, and enhancements.
Hosting - plans, management, enhancements, and server plans.
Email - plans, management, enhancements, and marketing for your business.
SiteBuilders - enhancements, do it yourself plans, and build it for you plans.
Business - tools, reseller programs, ecommerce products, marketing tools, and gift cards.
SSL Certificates - purchase and management.
Reseller - Opportunities and management.
Unlike many webhosting companies that offer one or a few web hosting package options GoDaddy provides enough products to fit the needs of just about anyone wanting to design or start a website. Go Daddy does not provide "toll free" phone support. However, they have a ton of options to provide support such as (not outsourced) phone, email, FAQ, Knowledgebase, help guides, tutorials, glossary, and forum.
In our GoDaddy review we found their website to be very comprehensive yet easy to find the information you need, and fun stuff too(like their commercials) . Another advantage to GoDaddy is they do not require any long term contracts, they offer 12, 24, and 26 month discounts but do not require you to do so.
Understanding Forex Risk
Forex risk is a subject that deserves careful consideration. Individuals who have found the key to trading Forex have probably lost all the funds in their trading account... more than twice.
You can make money trading Forex, but there are no guarantees you will make money.
It is generally accepted that a new Forex trader
will lose their trading funds five times before
they begin to show consistent profits.
There are a HUGE number of traps, any one of which is capable of swallowing your trading account whole! Do yourself a favor... pay very close attention to the risk statements which most brokerage firms have you sign. Not only is there a risk of you "trading away" all your capital, but there is also a danger the brokerage operation themselves may go under, taking your money with them.
There are ways to reduce your exposure to Forex risk... but you can never completely eliminate it. Do not, for even an instant, believe claims of guaranteed success from "system sellers" out there.
There are, however, many things you can do as part of your risk management to swing the "odds" of success in your favor.
You cannot buy a "system" that will
guarantee trading profits
Never Trade with Money You Can't Afford to Lose!
Here is something to think about...
When trading, prices either move up or down. They never stay the same. Your goal, as a trader, is to speculate which way the price is likely to move, trade in that direction and then exit your trade with a profit. Sounds simple enough!
Professional traders generally agree on the following - give 2 new traders an equal amount of money, have them trade a position in opposite directions, and they are likely to both lose money. Try this same tactic on 2 experienced traders, and they are likely to both make money!
A Conclusion? You have your work cut out for you to become a trader who takes profits from the market. Read and understand everything I offer you on this website... it will help you become a better trader, which in itself will help reduce your Forex risk.
Disclaimer
Forex trading is not appropriate for everyone. There is a substantial risk of loss associated with trading this market. There has been no system or method developed that can guarantee profits or ensure freedom from losses. Losses can and will occur. No representation or implication is being made that using the information on this website or any of the material available for download will generate profits or ensure freedom from losses. This material is for informational purposes only.
You can make money trading Forex, but there are no guarantees you will make money.
It is generally accepted that a new Forex trader
will lose their trading funds five times before
they begin to show consistent profits.
There are a HUGE number of traps, any one of which is capable of swallowing your trading account whole! Do yourself a favor... pay very close attention to the risk statements which most brokerage firms have you sign. Not only is there a risk of you "trading away" all your capital, but there is also a danger the brokerage operation themselves may go under, taking your money with them.
There are ways to reduce your exposure to Forex risk... but you can never completely eliminate it. Do not, for even an instant, believe claims of guaranteed success from "system sellers" out there.
There are, however, many things you can do as part of your risk management to swing the "odds" of success in your favor.
You cannot buy a "system" that will
guarantee trading profits
Never Trade with Money You Can't Afford to Lose!
Here is something to think about...
When trading, prices either move up or down. They never stay the same. Your goal, as a trader, is to speculate which way the price is likely to move, trade in that direction and then exit your trade with a profit. Sounds simple enough!
Professional traders generally agree on the following - give 2 new traders an equal amount of money, have them trade a position in opposite directions, and they are likely to both lose money. Try this same tactic on 2 experienced traders, and they are likely to both make money!
A Conclusion? You have your work cut out for you to become a trader who takes profits from the market. Read and understand everything I offer you on this website... it will help you become a better trader, which in itself will help reduce your Forex risk.
Disclaimer
Forex trading is not appropriate for everyone. There is a substantial risk of loss associated with trading this market. There has been no system or method developed that can guarantee profits or ensure freedom from losses. Losses can and will occur. No representation or implication is being made that using the information on this website or any of the material available for download will generate profits or ensure freedom from losses. This material is for informational purposes only.
Understanding Forex Risk
Forex risk is a subject that deserves careful consideration. Individuals who have found the key to trading Forex have probably lost all the funds in their trading account... more than twice.
You can make money trading Forex, but there are no guarantees you will make money.
It is generally accepted that a new Forex trader
will lose their trading funds five times before
they begin to show consistent profits.
There are a HUGE number of traps, any one of which is capable of swallowing your trading account whole! Do yourself a favor... pay very close attention to the risk statements which most brokerage firms have you sign. Not only is there a risk of you "trading away" all your capital, but there is also a danger the brokerage operation themselves may go under, taking your money with them.
There are ways to reduce your exposure to Forex risk... but you can never completely eliminate it. Do not, for even an instant, believe claims of guaranteed success from "system sellers" out there.
There are, however, many things you can do as part of your risk management to swing the "odds" of success in your favor.
You cannot buy a "system" that will
guarantee trading profits
Never Trade with Money You Can't Afford to Lose!
Here is something to think about...
When trading, prices either move up or down. They never stay the same. Your goal, as a trader, is to speculate which way the price is likely to move, trade in that direction and then exit your trade with a profit. Sounds simple enough!
Professional traders generally agree on the following - give 2 new traders an equal amount of money, have them trade a position in opposite directions, and they are likely to both lose money. Try this same tactic on 2 experienced traders, and they are likely to both make money!
A Conclusion? You have your work cut out for you to become a trader who takes profits from the market. Read and understand everything I offer you on this website... it will help you become a better trader, which in itself will help reduce your Forex risk.
Disclaimer
Forex trading is not appropriate for everyone. There is a substantial risk of loss associated with trading this market. There has been no system or method developed that can guarantee profits or ensure freedom from losses. Losses can and will occur. No representation or implication is being made that using the information on this website or any of the material available for download will generate profits or ensure freedom from losses. This material is for informational purposes only.
You can make money trading Forex, but there are no guarantees you will make money.
It is generally accepted that a new Forex trader
will lose their trading funds five times before
they begin to show consistent profits.
There are a HUGE number of traps, any one of which is capable of swallowing your trading account whole! Do yourself a favor... pay very close attention to the risk statements which most brokerage firms have you sign. Not only is there a risk of you "trading away" all your capital, but there is also a danger the brokerage operation themselves may go under, taking your money with them.
There are ways to reduce your exposure to Forex risk... but you can never completely eliminate it. Do not, for even an instant, believe claims of guaranteed success from "system sellers" out there.
There are, however, many things you can do as part of your risk management to swing the "odds" of success in your favor.
You cannot buy a "system" that will
guarantee trading profits
Never Trade with Money You Can't Afford to Lose!
Here is something to think about...
When trading, prices either move up or down. They never stay the same. Your goal, as a trader, is to speculate which way the price is likely to move, trade in that direction and then exit your trade with a profit. Sounds simple enough!
Professional traders generally agree on the following - give 2 new traders an equal amount of money, have them trade a position in opposite directions, and they are likely to both lose money. Try this same tactic on 2 experienced traders, and they are likely to both make money!
A Conclusion? You have your work cut out for you to become a trader who takes profits from the market. Read and understand everything I offer you on this website... it will help you become a better trader, which in itself will help reduce your Forex risk.
Disclaimer
Forex trading is not appropriate for everyone. There is a substantial risk of loss associated with trading this market. There has been no system or method developed that can guarantee profits or ensure freedom from losses. Losses can and will occur. No representation or implication is being made that using the information on this website or any of the material available for download will generate profits or ensure freedom from losses. This material is for informational purposes only.
Forex Trading Education Basics -The "Need to Knows"
A basic Forex trading education is necessary to understand how this giant financial market works. Many Forex trading courses won't deal with all the realities of trading.
My intention is to share with you, with as much honesty as possible, my perspective. Nothing to gain or lose by tricking or misleading you in any way, goal is simply stated, is to help you become a better trader.
You have to understand all the players, as well as the tools and methods they use to trade successfully.
Start with learning about The Market. You need to have a clear understanding of what comprises Forex. This knowledge will give you the "big" picture of why the market works the way it does and who the regulars are in this game.
Knowing the Market Players will help to give you the correct perspective as to how you fit into the market. You need to appreciate that your account is more likely to be affected by the Bank of Japan (BoJ) selling $10 billion worth of Yen, than the BoJ is going to be affected by your selling of a $100,000 lot.
You also need to understand the Common Terms used to describe the items, actions and transactions used in the trading process. If there is talk of "something" going on... you'd best understand what "something" is and what it's implications are.
The extreme size of Forex, as well as it's necessity as a component of international trade, make it one of the most Volatile and liquid financial instruments on the planet. The loose translation of this is prices can and do change drastically in very short periods of time.
A big part of your Forex trading education is you must be able to anticipate when these spurts of volatility are likely to occur, or you'll probably get run over in the stampede.
The other side of the "double edged sword" of volatility is Leverage. The ease of falling into an over-leveraged position leaves you very vulnerable to the disastrous combination of having too much money on the table while prices are wildly changing. This has destroyed more trading accounts than you can imagine.
Price movements or changes are the result of various factors. The spot price at any point in time is a reflection of what the overall market believes is fair value. Buyers and sellers "agree" on the transaction price, albeit on an instantaneous basis through their online systems. One thing is for certain, prices never stand still in the foreign exchange business.
The Human Factor is a big unknown that you are forced to deal with. There is a portion of it rolled into all the other aspects of trading. It's effect is exactly why the market can never be predicted.
Human emotion is the ultimate driving factor. Knowing how to control yours, while witnessing that of the others, will ultimately determine your success or failure in this game.
Like any other profession, there are tools to assist you in making your decisions. The main tool should be your Trading Plan. You need to have this in place to aid you in making your trading decisions. In the heat of the action it's good to have a reference to refer to.
You can't emphasize enough the reality of risk in trading. Even with a "perfect" system, there is real and possibly even likely chance something will not go as you expected. If you haven't already visited the risk page, take a moment and review Your Forex education is crucial to your success as a trader.
My intention is to share with you, with as much honesty as possible, my perspective. Nothing to gain or lose by tricking or misleading you in any way, goal is simply stated, is to help you become a better trader.
You have to understand all the players, as well as the tools and methods they use to trade successfully.
Start with learning about The Market. You need to have a clear understanding of what comprises Forex. This knowledge will give you the "big" picture of why the market works the way it does and who the regulars are in this game.
Knowing the Market Players will help to give you the correct perspective as to how you fit into the market. You need to appreciate that your account is more likely to be affected by the Bank of Japan (BoJ) selling $10 billion worth of Yen, than the BoJ is going to be affected by your selling of a $100,000 lot.
You also need to understand the Common Terms used to describe the items, actions and transactions used in the trading process. If there is talk of "something" going on... you'd best understand what "something" is and what it's implications are.
The extreme size of Forex, as well as it's necessity as a component of international trade, make it one of the most Volatile and liquid financial instruments on the planet. The loose translation of this is prices can and do change drastically in very short periods of time.
A big part of your Forex trading education is you must be able to anticipate when these spurts of volatility are likely to occur, or you'll probably get run over in the stampede.
The other side of the "double edged sword" of volatility is Leverage. The ease of falling into an over-leveraged position leaves you very vulnerable to the disastrous combination of having too much money on the table while prices are wildly changing. This has destroyed more trading accounts than you can imagine.
Price movements or changes are the result of various factors. The spot price at any point in time is a reflection of what the overall market believes is fair value. Buyers and sellers "agree" on the transaction price, albeit on an instantaneous basis through their online systems. One thing is for certain, prices never stand still in the foreign exchange business.
The Human Factor is a big unknown that you are forced to deal with. There is a portion of it rolled into all the other aspects of trading. It's effect is exactly why the market can never be predicted.
Human emotion is the ultimate driving factor. Knowing how to control yours, while witnessing that of the others, will ultimately determine your success or failure in this game.
Like any other profession, there are tools to assist you in making your decisions. The main tool should be your Trading Plan. You need to have this in place to aid you in making your trading decisions. In the heat of the action it's good to have a reference to refer to.
You can't emphasize enough the reality of risk in trading. Even with a "perfect" system, there is real and possibly even likely chance something will not go as you expected. If you haven't already visited the risk page, take a moment and review Your Forex education is crucial to your success as a trader.
Forex Trading Education Basics -The "Need to Knows"
A basic Forex trading education is necessary to understand how this giant financial market works. Many Forex trading courses won't deal with all the realities of trading.
My intention is to share with you, with as much honesty as possible, my perspective. Nothing to gain or lose by tricking or misleading you in any way, goal is simply stated, is to help you become a better trader.
You have to understand all the players, as well as the tools and methods they use to trade successfully.
Start with learning about The Market. You need to have a clear understanding of what comprises Forex. This knowledge will give you the "big" picture of why the market works the way it does and who the regulars are in this game.
Knowing the Market Players will help to give you the correct perspective as to how you fit into the market. You need to appreciate that your account is more likely to be affected by the Bank of Japan (BoJ) selling $10 billion worth of Yen, than the BoJ is going to be affected by your selling of a $100,000 lot.
You also need to understand the Common Terms used to describe the items, actions and transactions used in the trading process. If there is talk of "something" going on... you'd best understand what "something" is and what it's implications are.
The extreme size of Forex, as well as it's necessity as a component of international trade, make it one of the most Volatile and liquid financial instruments on the planet. The loose translation of this is prices can and do change drastically in very short periods of time.
A big part of your Forex trading education is you must be able to anticipate when these spurts of volatility are likely to occur, or you'll probably get run over in the stampede.
The other side of the "double edged sword" of volatility is Leverage. The ease of falling into an over-leveraged position leaves you very vulnerable to the disastrous combination of having too much money on the table while prices are wildly changing. This has destroyed more trading accounts than you can imagine.
Price movements or changes are the result of various factors. The spot price at any point in time is a reflection of what the overall market believes is fair value. Buyers and sellers "agree" on the transaction price, albeit on an instantaneous basis through their online systems. One thing is for certain, prices never stand still in the foreign exchange business.
The Human Factor is a big unknown that you are forced to deal with. There is a portion of it rolled into all the other aspects of trading. It's effect is exactly why the market can never be predicted.
Human emotion is the ultimate driving factor. Knowing how to control yours, while witnessing that of the others, will ultimately determine your success or failure in this game.
Like any other profession, there are tools to assist you in making your decisions. The main tool should be your Trading Plan. You need to have this in place to aid you in making your trading decisions. In the heat of the action it's good to have a reference to refer to.
You can't emphasize enough the reality of risk in trading. Even with a "perfect" system, there is real and possibly even likely chance something will not go as you expected. If you haven't already visited the risk page, take a moment and review Your Forex education is crucial to your success as a trader.
My intention is to share with you, with as much honesty as possible, my perspective. Nothing to gain or lose by tricking or misleading you in any way, goal is simply stated, is to help you become a better trader.
You have to understand all the players, as well as the tools and methods they use to trade successfully.
Start with learning about The Market. You need to have a clear understanding of what comprises Forex. This knowledge will give you the "big" picture of why the market works the way it does and who the regulars are in this game.
Knowing the Market Players will help to give you the correct perspective as to how you fit into the market. You need to appreciate that your account is more likely to be affected by the Bank of Japan (BoJ) selling $10 billion worth of Yen, than the BoJ is going to be affected by your selling of a $100,000 lot.
You also need to understand the Common Terms used to describe the items, actions and transactions used in the trading process. If there is talk of "something" going on... you'd best understand what "something" is and what it's implications are.
The extreme size of Forex, as well as it's necessity as a component of international trade, make it one of the most Volatile and liquid financial instruments on the planet. The loose translation of this is prices can and do change drastically in very short periods of time.
A big part of your Forex trading education is you must be able to anticipate when these spurts of volatility are likely to occur, or you'll probably get run over in the stampede.
The other side of the "double edged sword" of volatility is Leverage. The ease of falling into an over-leveraged position leaves you very vulnerable to the disastrous combination of having too much money on the table while prices are wildly changing. This has destroyed more trading accounts than you can imagine.
Price movements or changes are the result of various factors. The spot price at any point in time is a reflection of what the overall market believes is fair value. Buyers and sellers "agree" on the transaction price, albeit on an instantaneous basis through their online systems. One thing is for certain, prices never stand still in the foreign exchange business.
The Human Factor is a big unknown that you are forced to deal with. There is a portion of it rolled into all the other aspects of trading. It's effect is exactly why the market can never be predicted.
Human emotion is the ultimate driving factor. Knowing how to control yours, while witnessing that of the others, will ultimately determine your success or failure in this game.
Like any other profession, there are tools to assist you in making your decisions. The main tool should be your Trading Plan. You need to have this in place to aid you in making your trading decisions. In the heat of the action it's good to have a reference to refer to.
You can't emphasize enough the reality of risk in trading. Even with a "perfect" system, there is real and possibly even likely chance something will not go as you expected. If you haven't already visited the risk page, take a moment and review Your Forex education is crucial to your success as a trader.
Start Trading Forex
To start trading Forex, there is a quick way to get you going... Many peoples asking how they can get trading on a limited budget and it's very easy.
Essentially you need to open an account with a reliable broker such as Alpari, IBFX or Forex.com and get yourself a robot, such as the Forex MegaDroid and away you go.
The robot costs $100 and the rest goes into your trading account. Keep your risk settings at a sensible level and you will make money.
Some people currently run this robot on live accounts and the results show consistent growth of the trading account, even in the current choppy trading conditions.
Essentially you need to open an account with a reliable broker such as Alpari, IBFX or Forex.com and get yourself a robot, such as the Forex MegaDroid and away you go.
The robot costs $100 and the rest goes into your trading account. Keep your risk settings at a sensible level and you will make money.
Some people currently run this robot on live accounts and the results show consistent growth of the trading account, even in the current choppy trading conditions.
Start Trading Forex
To start trading Forex, there is a quick way to get you going... Many peoples asking how they can get trading on a limited budget and it's very easy.
Essentially you need to open an account with a reliable broker such as Alpari, IBFX or Forex.com and get yourself a robot, such as the Forex MegaDroid and away you go.
The robot costs $100 and the rest goes into your trading account. Keep your risk settings at a sensible level and you will make money.
Some people currently run this robot on live accounts and the results show consistent growth of the trading account, even in the current choppy trading conditions.
Essentially you need to open an account with a reliable broker such as Alpari, IBFX or Forex.com and get yourself a robot, such as the Forex MegaDroid and away you go.
The robot costs $100 and the rest goes into your trading account. Keep your risk settings at a sensible level and you will make money.
Some people currently run this robot on live accounts and the results show consistent growth of the trading account, even in the current choppy trading conditions.
Forex Market History
Forex Market History
This brief Forex market history will give you some insight into how this market has evolved.
The Forex market, as we know it, was established in 1971 when floating exchange rates for currencies began to appear. Prior to that, international agreements, including the gold exchange standard of 1876 and the Bretton Woods Agreement of 1945 prevented speculation in the currency markets.
With international trade expanding rapidly after the second world war and the massive movements of capital across international borders, the foreign exchange rates established by the Bretton Woods Agreement became unstable and the agreement was finally abandoned in 1971.
By 1973, international currencies began to float in value, driven mainly by the forces of supply and demand. The ensuing deregulation resulted in much more open trade and led to an increase in currency speculators.
With the growth of the computer age in the 1980's, currency movement across borders became a 24 hour-per-day business, trading through the various time zones. Major banks created dealing rooms where massive amounts of the world's various currencies could be traded in a matter of minutes.
Today, electronic brokers trade the Forex market. Single trades of tens of millions of dollars are carried out within seconds. Most of these transactions are conducted to speculate on the market, with the aim of making money from money. These brokers, or Market Makers, are allowed to divide the large inter-bank units into smaller lots and allow private investors, smaller banks, hedge funds, etc. to buy and sell into the market. These brokers negotiate buy/sell prices between each other, thereby having the ability to set market prices for the rest of us.
Generally, the market is divided into the Asian, European and American sessions. The trading week begins in Asia on their Monday morning, and continues until the close of the American market on it's Friday afternoon. 24 hours a day, 5-1/2 days per week.
Because there is no central exchange for Forex, exact figures on any aspect of it are hard to come by, but it is estimated by the Bank for International Settlements (or BIS) that the average daily turnover of the Forex market in April 2006 was $2.7 trillion USD. This figure includes the spot market (the one we trade), swap market, futures and options. In other words, the Forex market is more than 10 times the size of the daily turnover of all the world’s stock markets combined.
Forex is a group of interconnected marketplaces where currency instruments are traded. Each marketplace is at liberty to set it's own exchange rate, which means that your dealer may be showing you different prices than the guy up the street would. The reality is, the prices are usually very close from broker to broker.
Inside information in the foreign exchange markets is virtually non existent. Changes in exchange rates are usually caused by actual money flows. Expectations of changes in this flow, caused by changes in GDP growth, inflation, interest rates, budget and trade deficits or surpluses, etc. are major price drivers. This information is released publicly, usually on specific dates at specific times. Since so many people have access to the same news at the same time, any "insider advantage" is unlikely. The large banks do have an important advantage though, they can see their customer's order flow.
Currencies are traded against one another. Therefore, a trade will consist of two currencies, or a pair, such as EUR/USD, USD/JPY, GBP/USD, etc. The first currency of the pair is the base, and the second is known as the counter currency. Prices are expressed in terms of how much of the second, or counter, currency is needed to make up one unit of the base currency. For example, if the price quoted for EUR/USD is 1.3145, this is the price of one Euro expressed in US dollars, ie. 1 Euro=1.3145 US dollar.
We buy or sell the pair, at the market price, with an expectation the price will move higher or lower, towards our target.
The Forex market, as we know it, was established in 1971 when floating exchange rates for currencies began to appear. Prior to that, international agreements, including the gold exchange standard of 1876 and the Bretton Woods Agreement of 1945 prevented speculation in the currency markets.
With international trade expanding rapidly after the second world war and the massive movements of capital across international borders, the foreign exchange rates established by the Bretton Woods Agreement became unstable and the agreement was finally abandoned in 1971.
By 1973, international currencies began to float in value, driven mainly by the forces of supply and demand. The ensuing deregulation resulted in much more open trade and led to an increase in currency speculators.
With the growth of the computer age in the 1980's, currency movement across borders became a 24 hour-per-day business, trading through the various time zones. Major banks created dealing rooms where massive amounts of the world's various currencies could be traded in a matter of minutes.
Today, electronic brokers trade the Forex market. Single trades of tens of millions of dollars are carried out within seconds. Most of these transactions are conducted to speculate on the market, with the aim of making money from money. These brokers, or Market Makers, are allowed to divide the large inter-bank units into smaller lots and allow private investors, smaller banks, hedge funds, etc. to buy and sell into the market. These brokers negotiate buy/sell prices between each other, thereby having the ability to set market prices for the rest of us.
Generally, the market is divided into the Asian, European and American sessions. The trading week begins in Asia on their Monday morning, and continues until the close of the American market on it's Friday afternoon. 24 hours a day, 5-1/2 days per week.
Because there is no central exchange for Forex, exact figures on any aspect of it are hard to come by, but it is estimated by the Bank for International Settlements (or BIS) that the average daily turnover of the Forex market in April 2006 was $2.7 trillion USD. This figure includes the spot market (the one we trade), swap market, futures and options. In other words, the Forex market is more than 10 times the size of the daily turnover of all the world’s stock markets combined.
Forex is a group of interconnected marketplaces where currency instruments are traded. Each marketplace is at liberty to set it's own exchange rate, which means that your dealer may be showing you different prices than the guy up the street would. The reality is, the prices are usually very close from broker to broker.
Inside information in the foreign exchange markets is virtually non existent. Changes in exchange rates are usually caused by actual money flows. Expectations of changes in this flow, caused by changes in GDP growth, inflation, interest rates, budget and trade deficits or surpluses, etc. are major price drivers. This information is released publicly, usually on specific dates at specific times. Since so many people have access to the same news at the same time, any "insider advantage" is unlikely. The large banks do have an important advantage though, they can see their customer's order flow.
Currencies are traded against one another. Therefore, a trade will consist of two currencies, or a pair, such as EUR/USD, USD/JPY, GBP/USD, etc. The first currency of the pair is the base, and the second is known as the counter currency. Prices are expressed in terms of how much of the second, or counter, currency is needed to make up one unit of the base currency. For example, if the price quoted for EUR/USD is 1.3145, this is the price of one Euro expressed in US dollars, ie. 1 Euro=1.3145 US dollar.
We buy or sell the pair, at the market price, with an expectation the price will move higher or lower, towards our target.
Forex Market History
Forex Market History
This brief Forex market history will give you some insight into how this market has evolved.
The Forex market, as we know it, was established in 1971 when floating exchange rates for currencies began to appear. Prior to that, international agreements, including the gold exchange standard of 1876 and the Bretton Woods Agreement of 1945 prevented speculation in the currency markets.
With international trade expanding rapidly after the second world war and the massive movements of capital across international borders, the foreign exchange rates established by the Bretton Woods Agreement became unstable and the agreement was finally abandoned in 1971.
By 1973, international currencies began to float in value, driven mainly by the forces of supply and demand. The ensuing deregulation resulted in much more open trade and led to an increase in currency speculators.
With the growth of the computer age in the 1980's, currency movement across borders became a 24 hour-per-day business, trading through the various time zones. Major banks created dealing rooms where massive amounts of the world's various currencies could be traded in a matter of minutes.
Today, electronic brokers trade the Forex market. Single trades of tens of millions of dollars are carried out within seconds. Most of these transactions are conducted to speculate on the market, with the aim of making money from money. These brokers, or Market Makers, are allowed to divide the large inter-bank units into smaller lots and allow private investors, smaller banks, hedge funds, etc. to buy and sell into the market. These brokers negotiate buy/sell prices between each other, thereby having the ability to set market prices for the rest of us.
Generally, the market is divided into the Asian, European and American sessions. The trading week begins in Asia on their Monday morning, and continues until the close of the American market on it's Friday afternoon. 24 hours a day, 5-1/2 days per week.
Because there is no central exchange for Forex, exact figures on any aspect of it are hard to come by, but it is estimated by the Bank for International Settlements (or BIS) that the average daily turnover of the Forex market in April 2006 was $2.7 trillion USD. This figure includes the spot market (the one we trade), swap market, futures and options. In other words, the Forex market is more than 10 times the size of the daily turnover of all the world’s stock markets combined.
Forex is a group of interconnected marketplaces where currency instruments are traded. Each marketplace is at liberty to set it's own exchange rate, which means that your dealer may be showing you different prices than the guy up the street would. The reality is, the prices are usually very close from broker to broker.
Inside information in the foreign exchange markets is virtually non existent. Changes in exchange rates are usually caused by actual money flows. Expectations of changes in this flow, caused by changes in GDP growth, inflation, interest rates, budget and trade deficits or surpluses, etc. are major price drivers. This information is released publicly, usually on specific dates at specific times. Since so many people have access to the same news at the same time, any "insider advantage" is unlikely. The large banks do have an important advantage though, they can see their customer's order flow.
Currencies are traded against one another. Therefore, a trade will consist of two currencies, or a pair, such as EUR/USD, USD/JPY, GBP/USD, etc. The first currency of the pair is the base, and the second is known as the counter currency. Prices are expressed in terms of how much of the second, or counter, currency is needed to make up one unit of the base currency. For example, if the price quoted for EUR/USD is 1.3145, this is the price of one Euro expressed in US dollars, ie. 1 Euro=1.3145 US dollar.
We buy or sell the pair, at the market price, with an expectation the price will move higher or lower, towards our target.
The Forex market, as we know it, was established in 1971 when floating exchange rates for currencies began to appear. Prior to that, international agreements, including the gold exchange standard of 1876 and the Bretton Woods Agreement of 1945 prevented speculation in the currency markets.
With international trade expanding rapidly after the second world war and the massive movements of capital across international borders, the foreign exchange rates established by the Bretton Woods Agreement became unstable and the agreement was finally abandoned in 1971.
By 1973, international currencies began to float in value, driven mainly by the forces of supply and demand. The ensuing deregulation resulted in much more open trade and led to an increase in currency speculators.
With the growth of the computer age in the 1980's, currency movement across borders became a 24 hour-per-day business, trading through the various time zones. Major banks created dealing rooms where massive amounts of the world's various currencies could be traded in a matter of minutes.
Today, electronic brokers trade the Forex market. Single trades of tens of millions of dollars are carried out within seconds. Most of these transactions are conducted to speculate on the market, with the aim of making money from money. These brokers, or Market Makers, are allowed to divide the large inter-bank units into smaller lots and allow private investors, smaller banks, hedge funds, etc. to buy and sell into the market. These brokers negotiate buy/sell prices between each other, thereby having the ability to set market prices for the rest of us.
Generally, the market is divided into the Asian, European and American sessions. The trading week begins in Asia on their Monday morning, and continues until the close of the American market on it's Friday afternoon. 24 hours a day, 5-1/2 days per week.
Because there is no central exchange for Forex, exact figures on any aspect of it are hard to come by, but it is estimated by the Bank for International Settlements (or BIS) that the average daily turnover of the Forex market in April 2006 was $2.7 trillion USD. This figure includes the spot market (the one we trade), swap market, futures and options. In other words, the Forex market is more than 10 times the size of the daily turnover of all the world’s stock markets combined.
Forex is a group of interconnected marketplaces where currency instruments are traded. Each marketplace is at liberty to set it's own exchange rate, which means that your dealer may be showing you different prices than the guy up the street would. The reality is, the prices are usually very close from broker to broker.
Inside information in the foreign exchange markets is virtually non existent. Changes in exchange rates are usually caused by actual money flows. Expectations of changes in this flow, caused by changes in GDP growth, inflation, interest rates, budget and trade deficits or surpluses, etc. are major price drivers. This information is released publicly, usually on specific dates at specific times. Since so many people have access to the same news at the same time, any "insider advantage" is unlikely. The large banks do have an important advantage though, they can see their customer's order flow.
Currencies are traded against one another. Therefore, a trade will consist of two currencies, or a pair, such as EUR/USD, USD/JPY, GBP/USD, etc. The first currency of the pair is the base, and the second is known as the counter currency. Prices are expressed in terms of how much of the second, or counter, currency is needed to make up one unit of the base currency. For example, if the price quoted for EUR/USD is 1.3145, this is the price of one Euro expressed in US dollars, ie. 1 Euro=1.3145 US dollar.
We buy or sell the pair, at the market price, with an expectation the price will move higher or lower, towards our target.
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