Thursday, August 6, 2009

FOREX is the foreign exchange market that is also referred to as Retail forex or FX or just spot. It is the largest financial market in the world. It trades about $2 trillion a day which is far more than the New York stock exchange which trades about $25 billion a day. fx is traded in pairs e.g. euro dollar and the us dollar, it is simultaneously buying one currency and selling the other. It is an OTC (over the counter) or inter-bank market due to the fact that the entire transactions are done electronically, where buyers and sellers conduct business continuously over 24hr period. The buyers and sellers include banks, big corporations and private investors.
A well trained trader can make hug profits every month; conversely a poorly trained trader can suffer hug losses as well.

DIFFERENCE BETWEEN FOREX AND STOCKS

There are so many things that forex is and stock is not. To start with the forex market is a steady 24 hrs market that runs from Sundays to Fridays, this is made possible by the three different trading sessions available, which are the Asian, London and us session. On the contrary the stock market opens and closes each day. Secondly, the forex market is commission free, so you do not have to pay any commission or transaction fee before placing any trade. On the contrary in the stock market you have to pay commissions for transactions made. Thirdly, the forex market is an instant executionable market whereby we make transactions just by the click of the mouse. This gives you the advantage of entering at the price you choose if all market conditions remain normal. But in the stock market you do not have that privilege there is always a delayed entry and this affects entry price. These are just a few reasons why forex is better than stocks.


DEFINATION OF TERMS

BASE CURRENCY: The base currency is the reason for the buy or selling of a currency pair. It is usually the first currency in any currency pair.

COUNTER CURRENCY: This is sometimes called quote or pip currency. It is the second currency in any pair. Profits and loses are expressed in this currency.

LEVERAGE: This is a situation in which a small margin deposit can control a much larger contract value. Leverage give the trader the possibility of making hug profits with very little invested capital called the margin.

LIQUIDITY: Because of the colossal nature of this market, it is extremely liquid. This implies that with just a click on a button you are out on a trade.

MARGIN REQUIREMENT: This is the required amount needed by your broker in order to open an account with them and have the advantage of using their leverage.

BID PRICE: The bid price is the price that the dealer is willing to buy the base currency in exchange for the counter currency. This means the trader should be ready to sell at the bid price if an order should be closed.

ASK PRICE: The ask price is the price that the dealer is willing to sell the base currency in exchange for the counter currency. So the trader should be ready to buy at this price if an entry has to be made.

TAKE PROFIT: This is the point when you give order to your broker to closes an open position only if the trade is in your favor. This is the price at which you are willing to take your profit.

STOP LOSS: This is an order given to your broker to close an open order if the trade is going against you. That is the lowest price you are willing to accept your loss.
If you have any question please do not hesitate to drop it in the question segment, I will do my best to resolve it.

It might interest you to know that our next topic is on “traits of successful trading” find out how you need to tune yourself to be successful in forex.
This is a step by step training course that might take up to four months to complete, but if you want to obtain the complete e-book that teaches the following:
How to take advantage of the market moves
How to setup a trading plan
How to setup your own trading strategy
How to determine the direction of your trade
The best time to trade
The best market to trade
Finding the strength of the trend
Trade strictly on technical analysis
How to avoid whipsaws
Risk management
Money management
And so on
I assure you my e-book is going to offer a 12 years research by 10 different top forex traders, their ideas about forex and how to beat the market. This e-book is the product of 3 years work of finding the top 10 forex traders and what they know about the market. I learnt one very important thing in my research; if you take two baby traders put them on the same trade, the same opportunities and have them trade in different direction, both would probably lose money but on the other hand if you take two professional traders have them trade on opposite direction with the same conditions as the first, both will definitely end up making money. Does this makes any sense to you, being successful in trading is not in the direction you chose but knowing how and when. My e-book talks in detail with respect to this angle. I assure you once again, this is what you have been looking for, for years.

Make your order and make it now!
Pay the sum of #3,000 (three thousand naira only) into the account bellow, send the teller details and your email address to 08065481617 and the complete e-book will be sent to your mail.

Account Name: Abolodje Onajit
Bank: Oceanic Bank

Bonanza: The first 100 persons to make a purchase get a free e-book of their choice. Go to the home page to view the available list of books to choose from.

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