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E Currency Exchange, Dxinone Scam ??


I wasn’t going to weigh in the scam articles and angles regarding E Currency Exchange, but I felt I had to because of a couple of emails I received.
One was from a rather frustrated gentleman regarding the DXinOne system that is promoted and utilized via the many E-Currency Exchange learning programs on-line. This guy is certain that the DX system is a scam and that the well known e-currency guru with whom he signed on to learn the system, basically jerked him around. I won’t use the term he used…. I really felt this guy’s frustration, and completely understand it! Many of us just want to find what works, build it, and make some money. The money is, after all, out there to be made! And, E-Currency exchanging makes sense; as the E-Commerce industry is burgeoning globally, so goes E-Currency trading, right?
Another gentleman sent this email to me:
“Sweetie, I have seen this before and also read an article that it was a SCAM! Why do you portray it to be legal? I will be praying for you.”
While I don’t believe this man is genuinely concerned for me, I do get the sense that he got caught up in all of the back and forth hype about E-Currency. All you have to do is just Google E Currency and jump into the rabbit hole. There’s a never ending stream of information, much of it contradictory. You can read one review, believe it’s a scam and walk away satisfied that you didn’t buy in. Or, you can read another, feel positive and buy into it.
The problem with some of these “Learn E-Currency Exchange” opportunities is that they present the trading of E-Currencies as an easy, quick “investment” opportunity, a sure thing… and the more you can invest, the more you can make. But the DX system claims to be a “credit and storage system” not an “investment scheme” - their words. The money is always in your account and the DX simply uses it in the daily trading of E-Currencies. The only profits the DX makes is on the premiums they charge. With the after effect of the recent DX internal changes, premiums are now taken up front and newcomers don’t see profits right away, like you did prior to these changes. Still, you are “investing” your hard earned dollars into a profit building portfolio. Otherwise, why would you do it???
DX initially grew too quickly and has had to re-organize from being drained by quick-profit seekers who found holes in the system and benefited financially. DX is going through growing pains and would buckle under if they didn’t re-organize. They have had to fill in the holes in order to grow and prosper as an organization.
DX knows they have a good thing going and are growing and shifting accordingly. The many get-rich-quick people who abused the system will have been weeded out and moved on. This is actually one of the many benefits of the re-organization. DX needed to clean up and weed out. This creates a healthier organization.
It’s important to view E-Currency Exchange on the whole as a long term opportunity. As with all trading systems, there are profit-up days and profits-down days. The DX system’s internal reorganization will make them even stronger in the long haul. Those who honestly teach and inform about the system will have evolved with the changes and instruct accordingly. Those looking for a quick buck will have moved on. DX Synergy is simply another viable way in which to build a profitable portfolio over time, while participating in the on-going E-Currency trend.
When it’s your money, it’s always important to do your own due diligence in order to make informed decisions. Decide for yourself if E Currency Exchange is right for you. But make sure you’re not getting caught up in the hype.

North Finance Reviews


North Finance has been on the market since 2001. North Finance addressed at Lymasol Cyprus; however, North Finance registered at Belize. Like two sides of coin, this forex broker has two different sides, bad and good side. North Finance’s good side is competitive spread, easy new account opening, small minimal capital, easy deposit and withdrawal operation, interesting leverage, free Meta trader trading platform, good customer support, bank guarantee, swap free policy, IB business opportunity, trading varieties. North Finance is not good at news matter, no news tab in this broker’s Meta trader, and busy server at news release.In this forex broker, the spread is quite interesting; begin from 2 up to 10 pips in the news time and no commission. It is very easy to begin trading in North Finance, you can open account within 10 minutes from all over the world through the internet. The minimum capital to start forex trading in North Finance is $100; moreover, no minimal deposit and withdrawal at this forex broker, you also do not have to pay charge in deposit and withdrawal operation in North Finance. This forex broker accepts deposit via wire and electronic payment (e-gold). Credit leverage in this forex broker is very attractive, especially for low capital trader; begin from 1:1 up to 1:500.This forex broker use Meta trader, instant execution and quotation system with eleven different languages. However, regrettably, North Finance’s Meta trader does not support news that is one of important factor in forex trading. North Finance also support mobile trading; you can download Meta trader mobile freely at this forex broker. North Finance is very good in customer support; you can access customer support 24 hours 5 business days lively on North Finance live chat.Furthermore, this forex broker’s customer supports is very friendly and helpful. Not only good in customer support, this forex broker is also good in deposit and withdrawal operation time via e-gold. Deposit and withdrawal operation in this forex broker is very fast, almost finished in only five minutes. If you deposit $5000 or more at North Finance, you get free Visa Electron card that you can use to withdraw or shopping in any places in the world that have Visa Electron logo. You don’t have to worry putting your money at this forex broker; your deposit above $100,000 is bank guarantees. However, you have to becareful when trading in North Finance at big news is released, this forex broker’s server frequently very busy during big news time. North Finance has the good policy for Moslem trader; swap free for Moslem trader in this forex broker. This forex broker offers excellent opportunity to join a profitable business with them as IB (internet broker). North Finance has had IB forex brokers in more than twenty different countries, some of them are at Russia, China, Malaysia, South Africa, etc. In North Finance, you not only can trade forex, you also can trade CFD on futures, stocks, metals.In conclusion, North Finance can be very considered as a good forex broker. This forex broker can be one of good choice when you decide to start forex trading.

Trading Forex Online - A Beginners Guide

Forex is derived from the words Foreign Exchange and is also occasionally referred to as ‘Spot FX’ or simply ‘FX’. As a simple definition, Forex trading is the exchange of currencies at varying exchange rates, which result in profit (or loss) for those who participate as traders.
Established in 1971 when floating exchange rates began to materialize, the Forex market has enjoyed huge growth, particularly since the Internet advanced to a level that enables trade to be made easily 24 hours a day. More recently, the minimum deposit level for an account has fallen below the $100 mark meaning currency trading is now possible by people from all walks of life.
Historically, the FOREX interbank market was not available for small speculators. With a previous minimum transaction size and often-stringent financial requirements, the small trader was excluded from participation in this market. But today market maker brokers are allowed to break down the large interbank units and offer small traders the opportunity to buy or sell any number of these smaller units (lots).
Commercial banks play two roles in the FOREX market:(1) They facilitate transactions between two parties, such as companies wishing to exchange currencies (consumers), and(2) They speculate by buying and selling currencies. The banks take positions in certain currencies because they believe they will be worth more (if “buying long”) or less (if “selling short”) in the future. It has been estimated that international banks generate up to 70% of their revenues from currency speculation. Other speculators include many of the worlds’ most successful traders, such as George Soros.
The Forex market is so large and is composed of so many participants, that no one player, even the government central banks, can control the market. In comparison to the daily trading volume averages of the $300 billion in the U.S. Treasury Bond market and the approximately $100 billion exchanged in the U.S. stock markets, the FOREX is huge, and has grown in excess of $1.5 trillion daily. It is easy to see why trading Forex online has become such an attractive prospect for those ‘would be’ professional investors.
If we are being honest the word ‘market’ is not entirely true for Foreign Exchange since there is no one central location for trading activity. Whilst most of the trade volume is performed through around 300 large international banks, there are millions of trades being executed all around the globe both online and over the telephone.
There are numerous advantages for parties wishing to trade in the FOREX. They include:
Liquidity: In the FOREX market there is always a buyer and a seller! The FOREX absorbs trading volumes and per trade sizes which dwarfs the capacity of any other market. On the simplest level, liquidity is a powerful attraction to any investor as it suggests the freedom to open or close a position at will 24 hours a day.
Access: The FOREX is open 24 hours a day, any individual trader can react to news when it breaks, rather than waiting for the opening bell of other markets when everyone else-has the same information. This allows traders to take positions before the news details are fully factored into the exchange rates.
Two-Way Market: Currencies are traded in pairs, for example dollar/yen, or dollar/Swiss franc. Every position involves the selling of one currency and the buying of another. If a trader believes the Swiss franc will appreciate against the dollar, the trader can sell dollars and buy francs (“selling short’). If one holds the opposite belief, that trader can buy dollars and sell Swiss francs (“buying long”). The potential for profit exists because there is always movement in the exchange rates (prices).
This is what helps make the Forex unique since it is possible to profit from both rises or falls in the price of any given currency!
_ Trends: Over long and short historical periods, currencies have demonstrated substantial and identifiable trends. Each individual currency has its own “personality,” and each offers a unique historical pattern of trends, providing diversified trading opportunities within the spot FOREX market.
There are many, many other advantages of trading the Forex and we recommend that you choose your broker wisely since the broker you choose can be critical in determining your success (or otherwise) when trading currencies online.
The first step is to open a Forex account, our website can advise you on the best broker to get you started. Once you have done this take time to study the market and learn as much as you can (you may find a strategy service or training course useful) and most importantly of all, invest wisely

Look Before You Leap - Why A Trading Education Is Necessary

Money can be made or lost on the Forex (foreign exchange) market, just like the stock exchange. With the proper trading education, the investor learns how to buy and sell at the right times, using various methods to achieve one’s goals.
The investor is, in most instances, looking for higher interest rates to receive a greater rate of return on their investment, and adjusting the interest rate is a method used by a central bank to ensure continued interest to trade by investors.
The following are brief explanations of different types of currency trading:
* * * * * *
Forward transaction: To decrease risk, forward transactions are often sought on the Forext trading market. In this type of transaction, money changes hands at a predetermined future date. Transactions are set up by the buyer and seller in terms of days, months, or even years. Regardless of the circumstances on that future date, the transaction closes.
Futures: Similar to forward transactions, foreign currency futures also involve standard contract sizes and maturity dates. Standardized and traded on an exchange for this purpose, the average contract is roughly three months. Interest amounts are usually included in these types of transactions.
Swap: The swap is probably the most common type of forward transaction. Two parties exchange currencies for a predetermined length of time. They also reach an agreement on when that swap will reverse - at a later date. Swaps are not contracts and the transaction does not take place through an exchange.
The most common type of forward transaction is the currency swap. In a swap, two parties exchange currencies for a certain length of time and agree to reverse the transaction at a later date. These are not contracts and are not traded through an exchange.
Spot: As indicated by its name, a spot transaction is for a much shorter duration - two days. A “direct exchange” between two currencies, spot transactions involve cash rather than contracts. Interest is not included.
* * * * * *
Though easy to understand in theory, it is most advisable that the potential investor learn everything there is to know about trading prior to making their first successful trade.
The world currency market is a highly fluid market. Conditions, positive and negative, within countries has impact on the rate of exchange for that given currency at any given time. Learning to properly trade in any exchange market helps increase the odds of the investor’s success. Forex trading education should be of the highest quality, with ongoing support and mentoring. Practicing one’s trading skills in a safe environment provides an excellent training education ground before one decides to jump into any trading arena.
As evidenced around the world, trading in the world currency market can be very lucrative, but as this article demonstrates the different choices and methods must be learned to offset financial risk.

Trading Forex Online - Market Makers


A Market Maker is the counterparty to the client. The Market Maker does not operate as an intermediate or trustee.
A Market Maker performs the hedging of its clients’ positions according to its policy, which includes offsetting various clients’ positions, hedging via liquidity providers (banks) and its equity capital, at its discretion.
Who are the Market Makers in the Forex industry?Banks, for example, or trading platforms, who buy and sell financial instruments at the market. That is contrary to intermediates, which represent clients, basing their income on commission.
Do Market Makers go against a client’s position?By definition, a Market Maker is the counterparty to all its clients’ positions, and he always offers a two-sided quote (two rates: BUY and SELL). Therefore, there is nothing personal with the trading conduct between the Market Maker and the customer.
Market Makers regard the total positions of their clients as a whole, same goes for banks and other market makers in the Forex market. They offset between clients’ opposite positions, and hedge their net exposure according to authorities’ guidelines and their risk management policies.
Do market makers and clients have a conflict of interest?Market makers are not intermediates, neither portfolio managers, nor advisors who represent customers (while earning commission), but rather they buy and sell goods to the customer. By definition, the Market Maker always provides a two-sided quote (the sell and the buy price), hence maintains neutrality as for the client.
Banks do that, same with merchants in the markets, who buy goods and sell it to customers. The relationship between the trader (the customer) and the Market Maker (the bank; the trading platform; etc.) is simply based on fundamental market forces: supply and demand.
Can a Market Maker influence market prices against clients’ position?Definitely not, because the Forex market is the nearest to being a “perfect market” (as defined by economics theory).
This is the biggest market today, reaching a daily volume of 3 trillion dollars throughout the globe. That means that there is no single participant in the market, banks and governments included, who can consistently push the price in a certain direction.
How do Market Makers manage their exposure?The way most Market Makers hedge their exposure is to hedge on bulk. They aggregate all clients’ positions and pass some, or all, of their net risk to their liquidity providers.

Trading Forex Online - Technical Analysis


Technical analysis is a method of predicting price movements and future market trends by studying what has occurred in the past using charts. As the Forex market is said to follow trends this is obviously a very advantageous activity.
Technical analysis is concerned with what has actually happened in the market, rather than what should happen, and takes into account the price of instruments and the volume of trading, and creates charts from that data as a primary tool.
One major advantage of technical analysis is that experienced analysts can follow many markets and market instruments simultaneously.
Successful technical analysis is built on three essential principles:
1. Market action discounts everything! This means that the actual price is a reflection of everything that is known to the market that could affect it.
Some of these factors are: fundamentals (inflation, interest rates, etc.), supply and demand, political factors and market sentiment. However, the pure technical analyst is only concerned with price movements, not with the reasons for any changes.
2. Prices move in trends. Technical analysis is used to identify patterns of market behavior that have long been recognized as significant. For many given patterns there is a high probability that they will produce the expected results. There are also recognized patterns that repeat themselves on a consistent basis. This means the trader who can correctly identify the next move of a given currency is the trader who can limit their losses and maximise their profits.
3. History repeats itself. Forex chart patterns have been recognized and categorized for over 100 years, and the manner in which many patterns are repeated leads to the conclusion that human psychology changes little over time. Since patterns have worked well in the past, it is assumed that they will continue to work well into the future.
Disadvantages of Technical Analysis
• Some critics claim that the Dow approach (“prices are not random”) is quite weak, since today’s prices do not necessarily project future prices
• The critics claim that signals about the changing of a trend appear too late, often after the change had already taken place. Therefore, traders who rely on technical analysis react too late, hence losing about 1/3 of the fluctuations
• Analysis made in short time intervals may be exposed to “noise”, and may result in a misreading of market directions
• The use of most patterns has been widely publicized in the last several years. Many traders are quite familiar with these patterns and often act on them in concern. This creates a self-fulfilling prophecy, as waves of buying or selling are created in response to “bullish” or “bearish” patterns.
Advantages of Technical Analysis
• Technical analysis can be used to project movements of any asset (which is priced under demand/supply forces) available for trade in the capital market
• Technical analysis focuses on what is happening, as opposed to what has previously happened, and is therefore valid at any price level
• The technical approach concentrates on prices, which neutralizes external factors. Pure technical analysis is based on objective tools (charts, tables) while disregarding emotions and other factors
• Signaling indicators sometimes point to the imminent end of a trend, before it shows in the actual market. Accordingly, the trader can maintain profit or Minimize losses.

Trading Forex Online - What’s It All About?


Online foreign exchange trading occurs in real time. Exchange rates are constantly changing, in intervals of seconds. This is what makes Forex trading such an exciting ride.
Quotes are accurate for the time they are displayed only. At any moment, a different rate may be quoted.When a trader locks in a rate and executes a transaction, that transaction is processed with immediate effect and the trade is completed for whatever profit (or loss) the user has made.
As rates change so rapidly, any Forex software must display the most up-to date rates otherwise the user may not achieve the level of profit they were expecting. To accomplish this, the Forex software is continuously communicating with a remote server that provides the most current rates.
The rates quoted, unlike traditional bank exchange rates, are actual tradable rates. A trader may choose to “lock in” to a rate (called the “freeze rate”) only as long as it is displayed. This means that if you see a rate on-screen that you want to trade at, once you hit the button to commence the transaction you will recieve that very rate that was on-screen.
The Internet revolution caused a major change in the way Forex trading is conducted throughout the world.
Until the advent of the internet-Forex age at the end of the 1990’s, Forex trading was conducted via phone orders (or fax, or in-person), posted to brokers or banks. Most of the trading could be executed only during business hours. Additionally it was only major players such as banks and governements that were able to get involved, it was a highly lucrative but highly time-consuming business.
The Internet has radically altered the Forex market, enabling around the clock trading and conveniences such as the use of credit cards for fund deposits. The Internet has also opened the door for the average person to be able to join in the fun. Previously it took thousands of dollars just to open an account, not it needs less than $100 to start trading.
In general, the individual Forex trader is required to fulfill two steps prior to trading:• Register at the trading platform (Click here for the best broker reviews)• Deposit funds to facilitate trading
However, many online Forex market makers require the download and installation of software specific to their own trading platform. Consequently, accessibility is limited to those terminals that have the software. Since Forex trading is borderless, and may be performed at any given time, it is obviously advantageous to have access to trading from as many locations as possible.
Certain Forex Brokers have a completely online system that can be used from any PC with an Internet connection. This means that you never need miss an opportunity to trade Forex. Opening a Forex account has never been easier and trading has become second nature to many thanks to the various strategy and training services available.

Trading Forex Online - Starters Guide

Whilst the Forex market can be a huge money maker there are also many pitfalls out there from lacking in self control to falling prey to a scam or less than professional website or service. This is why we have put together a review of our top recommended Forex related products and services on our website.
The first thing you need to do to start is open an online Forex account. There are many brokers out there and it can often be a daunting decision, after all, the broker you choose is going to be the most important part of your Forex career.
The Forex broker is where all your trades will take place and the difference between using a good broker and a poor one can be the difference between making substantial profit to making disasterous losses! Look for the ones who offer good customer support and managed accounts, a low minimum deposit is also a must if you are just starting our in Foreign Exchange and have a low budget.
Secondly, and particularly if you are new to online Forex currency trading, is to make sure your strategy is right. This is where a good strategy service can come in extremely handy! The best services take the hard work out of Forex for you and will alert you to and ‘must-trade’ opportunities. Again this is vital to making money with Forex trading and avoiding being on the end of a financial hammering!
Thirdly, you may want to consider enrolling on a training course. If you prefer you can spend the time finding a local course and attending in person. However, if you are like the majority of Forex traders you will find an online course far more economic.
Our website will tell you more about online courses and which course we believe is the best and the most likely to allow you to become a Forex expert in double quick time! A course with video tutorials is well worth the investment and a must have for the virgin Forex trader but may also be useful to even the most experienced traders!
Finally you may want to install some analysis software to help you pre-empt the next market moves and stay one step ahead of the game. We recommend that you completely familiarize yourself with the Forex market before using analysis software so make sure you have your strategy right and have done all the training before taking your trading to the next level
Once you have opened a Forex account you must use caution until you are fully confident in what you are doing. This is why the above mentioned areas such as strategy services and training guides are a cool investment that can pay dividends.

Why Choose Forex Trading Over Stocks Trading


Forex trading holds significant differences to stocks trading. Understanding these differences will aid a trader in deciding the right market to enter. Forex trading itself has several advantages over stocks trading and is ideal for the beginner and individual small investors.
1. Low Transaction Costs for Forex Trading.There are no hidden fees for forex brokers as they are not paid by the traditional commission based fees. The fee paid to the forex broker is calculated directly from the trade in the form of the bid ask spread. In forex trading, the spread is the difference in how much you pay for a currency and how much you sell it for. This spread is commonly expressed in “pips” or points.
2. Forex Trading is a 24 Hour Market.Forex trading can be done anytime of the day, the forex market is open for business twenty-four hours a day. This is considered a huge advantage for individual small investors who are just starting out forex trading in their spare time. This allows forex traders to juggle their schedule around their trading opportunities; they can schedule their forex trading when it is convenient for them.
For those of you who are night owls and prefer to trade at 1am, then forex trading is just right for you. Depending on where you stay, there are banks opposite the globe open for you to trade.
3. Fast Trade Execution and High Liquidity in Forex TradingTrading forex means that you are trading in cash. No other form of investment has more liquidity than cash and as such, trades are executed almost instantly. There is no lag time in forex trading.
4. Having Leverage and Margin in Forex TradingOne of the significant advantages that forex traders have is the ability to trade on margin. This gives them a huge leverage in their trading and presents the potential for extraordinary profits with relative small investments. Let’s take for example; with a forex broker that allows a margin of 100:1, you can buy $100,000 in currency with only a small $1,000 deposit. A word of caution for the uninitiated, leverage can go both ways and may lead to large losses if you are not careful.
5. Forex Trading Requires Only a Small Sample to Study.Stocks trading present thousands upon thousands of stocks to trade. Small and large companies, international companies, newly issued IPOs etc. It is highly impossible to follow them all.
Forex trading, on the other hand, presents only seven major currencies to follow so that you can devote more time to each of them. Many successful forex traders do not even trade in all seven major currencies; they just choose three or four and master them to achieve success in forex trading.
6. No Bear Markets in Forex Trading.In forex trading, since you can trade either short or long, you will be able to make money whether the prices go up or down, that is if your predictions are accurate of course.
7. Forex Market is Not Easily Influenced.The forex market is so amazingly huge that no one individual, bank, fund or government body can influence it for a long period of time. Forex trading is the opposite of stocks trading where one negative television appraisal of a company’s stock could possibly send it into a tailspin.
Based on the above advantages, forex trading is a clear winner for the beginner and individual small investors. If you are deciding on a form of trading to enter and master, then forex trading is the choice for you.

Online Currency Trading - It’s Not For Everyone


If you are a beginner to online currency trading, then you will have to do some research into what online currency trading is all about. Online currency trading is not gambling but you need to know what the investment is and how it works before you consider trading. But don’t misinterpret this and think that online currency trading is a get-rich scheme. Online currency trading is not a difficult process if you take your time, do your research and understand the market. Getting started investing in online currency trading is easy and painless.
The online currency trading market is a relatively new venture in the financial world with over three trillion dollars worth of transactions taking place everyday in the currency market. Online currency trading is now available to everyone, and is without a doubt, the fastest growing market. Online currency trading is all done through the Foreign Exchange or FOREX. Online currency trading is becoming a popular way for investors to broaden their horizons; however, the competition to dominate online currency trading is intense. Online currency trading is the future of the Forex trading market and is available to everybody these days. The Forex trading market has become the biggest financial market in the world today and online currency trading is now one of the fastest growing.
Since Forex is based on the Internet, you can make use of online currency trading services to operate within the market 24 hours a day. Try a free Forex trading demo for 30 days with a reputable Forex broker to see if this is something that you want to get into. Some Forex brokers even offer free day trading training on their award-winning, online currency trading system. Forex trading has become increasingly popular in the last few years, and companies that offer Forex trading software and foreign currency exchange services that emphasize Forex trading strategies, are the key to successful online currency trading. But how do you know which strategies to use and when to use them? Again, many reputable Forex brokers offer free guides to Forex online currency trading charts, products and services, with all the latest news. Take advantage of this!
Forex Currency Trading, Forex Trading, Forex, Online Currency Trading brokers offer 24 hour online currency trading for institutions and professional traders as well as for the average investor. One of the more recent paths to capital is currency trading online, but be aware, there are no guarantees or a sure thing. You need to do your homework and understand completely what you are doing. There are many helpful links on the internet that are available for you to learn what currency trading is all about. There are over 60 currency pairs for you to trade on; however, usually four major currency pairs are used for investment purposes.
Most brokers and brokerage houses now offer online trading to their clients and you can discover the POWERFUL POTENTIAL of FOREX Trading. Be advised that trading currency on a forward basis is not permissible. Currency trading has grown dramatically over the past 10 years and that then paved the way for companies to set up online currency trading known as Forex trading.
Online Currency Trading is not a difficult process if you take your time, do your research and understand the market. Online currency trading is not taking a chance, but you have to know what the investment is all about and how it operates before you look at doing any trading. The online currency trading market is a relatively new venture for the financial world and the book “What you get out of Insider Secrets of Online Currency Trading” can be very helpful if you apply the principles set forth. Of course another way to learn Forex online currency trading is through a course or workshop; however, ”Insider Secrets of Online Currency Trading” is one of the most valuable resources you may ever find for Forex trading. But if you’re interested in learning a new skill and making some money from it, maybe online currency trading is for you.

What Every Newbie Needs To Know About Forex TradingOver the years, forex trading has rapidly become one of the hottest topics around town as a way for


Over the years, forex trading has rapidly become one of the hottest topics around town as a way for people to invest their money and get rich. But how does a beginner know if forex trading is right for them and that it will be a safe investment? Here are some crucial elements of forex trading that anyone interested should know about even before attempting it.
Forex, also known as “FX” for some, is short for foreign exchange. Forex trading doesn’t get in the big press like stocks, options or commodities trading. However, it is the biggest market in the world and it presents investors with an amazing opportunity for profit.
Simply put, forex trading is just the selling and buying of currencies between different nations. Unlike commodities or stocks trading, money is not used to purchase a certain commodity or stock. You either lose or make money depending on the exchange rate between a pair of currencies in forex trading.
Unlike other forms of trading, forex trading is not investing in any single company or even a group of companies. Forex trading is the investment in the economy of a nation. What you are doing in forex trading is laying a bet that the overall economic wellbeing of the first nation will improve in relation to that of a second nation.
Let us use an example where you are trading between the US Dollar and the Japanese Yen. Your analysis of the situation appears to indicate an increase in the value of the US Dollar and therefore a rise in its price while the Japanese Yen will drop in value. You then decide to execute a trade to buy US Dollars and sell Japanese Yen. If your analysis is accurate and your predictions come true, then the US dollar will rise in value while the Japanese Yen drops and you will make a profit!
Now, you may be asking: “Is forex trading really that simple?” In actual fact, it is not as simple as that. The prices of different currencies are amazingly difficult to forecast because there are a lot of factors that can contribute to a change in exchange rates. One of the most important aspects to remember in forex trading is that you always trade in pairs of currencies. You will always buy one currency and sell another, so in order to make an accurate decision, you can not just look at one nation’s economy; you need to look at both.
Of course, there is no need to restrict yourself to trading only one pair of currencies in forex trading. The forex market offers dozens of currencies to choose from, but if you are just beginning in forex trading has only started out, it is highly recommended that you trade the seven major currencies first:


USD - US Dollar


GBP - British Pound


EUR - the Euro


CHF - Swiss Franc


JPY - Japanese Yen


CAD - Canadian Dollar


AUD - Australian Dollar


It is highly advisable for small investors to concentrate their forex trading on just these seven major currencies. Gain a good understanding and knowledge of the economy of these nations and their currency movements and you are well on your way to forex trading success.


Choosing A Forex Trading System

Forex market or Foreign Currency Exchange market is one of the biggest trading market in the world with over USD 1.3 Trillion traded in a day. It is drawing attention ever since it is open to Online trading. Forex trading can be very profitable if you take your time to do a proper research, understanding various options and choose a system that works for you. The most used Forex trading system may not be the most suitable for your needs.
There are many different kinds of Forex Trading Systems and you need to know a few facts as mentioned below, before choosing and funding a system.
1. Testimonials: Is there anyone out there who is trying to sell a system and show you testimonials from the people who actually didn’t like the system? Highly unlikely. You should do proper research before indulging into a system that is completely new to you.
2. Impression: Do not be over impressed from high percentage of winning forex trades because a 90-95% winning trades with with average value $10 gets you $900. If you have 10% losing trade and unfortunately average losing trade is $200, then your account is reduced by $2000. This is an explanation that people often tend to ignore while doing Forex Trading or any trading in general.
3. Profit: Do you want to work with a Forex Trading system that breaks even? Why? If you keep the money in your home, you will still break even, then why take all the hassles of setting up an Forex Trading account and do all the work. Really speaking, you should always do some research on how profitable a particular trading system is?
4. Drawdown: The maximum drawdown of trading system is defined as the greatest peak-to-valley drawdown in a trading system’s equity. Maximum drawdown gives us a measure of the survivability of the trading system.
5. Time to profit: The actual time it takes to achieve the results with a particular trading system. You should plan to have a long and profitable relationship with your trading system.

Forex Trading Education: Jump Start Your Financial Future

Any investment involves an element of risk - in fact, it may even be essential to the proper function of world commerce. Foreign exchange, which relies upon the fluctuation of currency and conversion to generate profit, also has the politics and economy of the day to contend with, since a mild change in current affairs can translate drastically to the price and or liquidity of a share. So how can you avoid falling prey to the rigors of such sensitive information and dangerous fluctuation? Initially, you must endow yourself with a comprehensive Forex trading education. With the right training, you can confidently embark on what ought to be a lifelong relationship with foreign exchange, and avoid many of the problems which face - and often defeat - a first time investor.
A good place to begin your trading education is with a practice run. This can take many forms, and perhaps the most obvious is a ‘demo account’. You can also accompany friends online or discuss the trading habits of colleagues and monitor those of your friends and fellow investors. Once you’ve learned the basics, it is easy to be tempted straight out onto the market floor, but the idiom ‘practice makes perfect’ was never truer than with Forex.
Once you have begun to see a return on your efforts, a Forex trading education will equip you with the skills you need to protect your earnings. Using a moving stop-loss, you can keep your successful position and go some way to capping your current profits. Many newcomers to Forex find that those fluctuations mentioned above can move them swiftly from a winning to a losing position under the first changeable conditions, so guarding your profits is an essential first move. A stop-loss will also help you to limit those unavoidable losses when they do occur.
A good trading education will also help you to monitor the difference between your risk and reward. This ratio is fundamental to the process of understanding and gaining from Forex trading. Calculating it successfully, and making sure you always start with around 2-to-1 or greater, is perhaps the number one difference between a continually successful investor and a brash newcomer who is destined for a fall.
With a sound Forex trading education you’ll also become a guru with the interplay between bid price and ask price, the details of the ’spread’ and the two business days of reckoning which constitute the interest rollover!

Expect Success With Your Forex Software

Advances in foreign exchange technology have dramatically influenced various trends in the market. And with the arrival of improved computer systems, real-time streaming and better business service, currency trading is increasing at a rapidly growing pace.Multinational corporations, global money changers and an increase in private speculators give evidence that involvement in foreign exchange is not what it was even a decade ago.
FOREX is a twenty-four hour market that allows you to trade any time of the day or week and anywhere in the world. This obviously contributes to the booming effect FOREX has had on the market. To attract traders and gain their trust, FOREX websites must be reputable and abide by Foreign Exchange regulations. FOREX utilizes foreign exchange trading software that assures compliance. As such, dreadful information is uncovered to avoid any discrepancies.
Using software for foreign currency trading should not be overlooked. This software plays an important role in building up the trading endeavor and establishes trust in a website. A foreign exchange website must have everything necessary to obtain the information that traders are searching. The information must be accurate and factual.
With foreign exchange software, information is always accessible. There is no need for a trader to be burdened down when vital information is needed. No matter what information needs to be discovered, the information will be right at the searcher’s fingertips. When visitors find an exchange website to have a solid reputation, is informative with services paramount, they will stay with you.
Traffic is highly important to your venture. The more visitors you have, the better the possibility of trading and therefore you will have a greater gain. There are numerous search engines available on them internet. Make sure you know how to get visitors to the site by using significant key words and tags.
FOREX can be a venture that is very rewarding and exciting. Yoursuccess depends a great deal on planning and strategy. Among the best strategies is to obtain reliable currency trading software. This can be your venture’s leading edge for success.

Jedi Mind Games For The Forex

“Your worst opponent is yourself Young Jedi”
When it comes to marketing on the forex exchange, victory is a matter of the mind instead than mind atop matter. Any dealer wh’s been in the game for any extent of time shall recount you that psychology has a lot to do with both your own execution on the trading floor and with the way that the exchange is progressing. Playing a superior hand depends on understanding your own shrewdness and comprehending the way that psychology moves the exchange.
Studying the psychology of the exchange is not anything new. It doesn’t require a genius to be aware that any arena that rides and falls on decisions made by folks is bound to be thoroughly bested by the minds of folks. Few individuals take into account all the different levels of intellect games that galvanize the exchange, albeit. If you keep your eye on the way that psychology influences others including the mass psychology of the folks that use the currency on a regular period but overlook to comprehend what moves you, you’re eventually to end up hurting your own stance. The superior forex coaches shall relate you that before you can genuinely become a well-heeled dealer, you have to grasp yourself and the triggers that control you. Understanding those will aid you suppress them or use them. Are you saying Huh? about now? Believe me, I recognize. I felt the selfsame way the first time that some person tried to elucidate how the mind games we frolic with ourselves control the trades and decisions that we contrive. Let me split it down into other teachable pieces for you.
Anything involving winning or losing big sums of currency becomes emotionally electrifying.
All precise. You’ve heard that playing the exchange is a mathematical sport. Plug in the fitting numbers, devise the perfect calculations and you’ll advance out ahead. So why is it that so innumerable traders end up on the ungainful end of the exchange? After all, every tom has entry to the same numbers, the same information, the same rumour ! if it’s math, there’s just one precise answer, isn’t it so?
The rejoinder lies in diagnosis. The numbers don’t lie, but your intellect does. Your hopes and fears can contrive you see things that simply aren’t there. When you sink in a currency, you’re investing more than just savings you forge an emotional investment.
Being accurate becomes significant. Being wrong doesn’t simply cost you currency when you let yourself be ruled by your feelings it costs you self-esteem. Why else would you let a loser fly in the hope that it shall leap back? It’s that minuscule object inside your head that says, I KNOW I’m correct on this, dammit!
Bottom line: You can’t push feelings out of the scenario, but you can discover not to let them govern your decisions.
To many folks, being correct is more significant than making revenues.Here’s the deal. The way to rake in real currency in the forex exchange is to cut your losses short and let your winners ride. In order to do that, you must GOT to accept that various of your trades are going to fail, cut them free and advance on to supplemental trade. You’ve got to allow that picking a lemon is NOT an implication of your competence-worth, it’s not a image on who you are. It’s merely a loss, and the superior way to deal with it is to refrain losing currency by moving on and really progress on. Moving on implies you don’t keep a running aggregate of how numerous losses you’ve had that’s the way to paralyze yourself. This brings us to the following mark:
Profitless traders see loss as failure. Victorious traders see loss as erudition.Not too long ago, my twelve year old son told me that previously Thomas Edison conjured a working light bulb, he crafted 100 light bulbs that didn’t function. But he didn’t surrender because he knew that creating a birthing light from current was feasible. He stood by in his complete concept so when one pattern didn’t work, he merely knew that he’d eliminated one plausibility. Keep skipping possibilities long enough, and you’ll ultimately detect the possibility that works.
Victorious traders see loss in the same way. They haven’ succumbed, they’ve mastered something novel about the manner that they and the exchange functions.
Excelling dealers can look at the overall tapestry while playing in the small field.Suppose I told you that previously, I launched 70 trades that lost big time, and 30 that brouight me the rocks. In the eyes of folks, that would make me a pathetic dealer. I’m failing 70% of the time.
Now what if I shared with you that my average loss was $10000, yet my average gain on a winning trade was $100,000? That means that I failed $70,000 on exchange yet I gaimed $250,000, making my final bottom line $170,000.
Yes, it is a pretty clear numbers game but how do you keep on playing when you are failing in trade after trade after trade? Merely remember that one trade does not make or break a dealer. Focus on the exchange on the table, thenfollow the triggers that you’ve set up but clarify to yourself by what really matters : the overall record and bottomline profit.

Forex Trader Forum, Where Forex Traders Talk About Forex

Forex Trading Strategies in Timing

Savvy forex traders often pinpoint the opportunities in forex trading and persist to time the industry so they know precisely when the right time is to trade, or buy. The problem is many traders buy at the wrong time, although they have monitored, explored, and checked the quotes daily. In addition, these people tend to bank on the notion that buying in forex is best when the market is low and the traders are pulling back.

At the entry level in forex, many traders erroneously time forex marketing without realizing how to fittingly, utilize pullback and the level of support.

Forex marketing has a strategy that many traders overlook. The prime strategy, which many forex traders believe is the key to profiting in the forex industry is the buying low and selling high strategy. Unfortunately, these traders are wrong, since it is a key to loosing instead.
Support in forex industry is when chronological value or pricing comes in from traders who “Buy.”
The mission behind buying is to provide support for the forex market exchange, as well as to analyze, examine, experiment, investigate, etc, the markets in forex currencies and exchange. Each time the traders test forex, it authenticates support.
Resistance becomes sizeable in the forex industry only when the levels of “resistance” is charted, i.e. at what time the levels of forex value, or pricing refuses to give in to jumping to a higher listing.
For this reason, at what time forex traders venture on buying low and selling high, they are making a big mistake. Traders who delay in forex trading markets will often recoil, or retract at the time some of the biggest deals transpire in the forex industry.

In short, the trends are what traders want to stay aware to, yet most traders will resist. Why, because the traders often feel uneasy at the times when other traders resisting buying and selling in forex.
Now, if you want to get ahead in forex trading and use strategies to win, I recommend you read the book on emotions, or the keys to success. No, these are not actual titles, yet visit your library to find relating material because what you are going to have to do to win in forex trading, is become friends to your discomfort.
Most people feel discomfort will experience distress, anxiety, and often it is because they fear embarrassment. The disadvantage of this way of thinking is that, most times the fears are exaggerated and the one fearing is the one who looses at the end.
Another big failure in life is that most people feel that if they are not on the normal level of thinking, they are not accepted and are set apart from the world. Read your history because you will find that the vast majority of those who succeeding in life, where different. That is they did not think on the terms of normal society. These people often win also in forex trading, since they set strategies apart from the rest.
In short, fear is the mechanism behind all failures. Now to sum up the best times to buy in forex trading. The best times to buy in trading industries, such as forex is when the market is “high” and traders are not resisting, or pulling back. In summary, when you use strategies in forex trading such as buying “high” and selling “higher,” you are off to a grand start in winning in the forex industry. As well, you have setup forex trading strategies that set you apart from the rest, which means your chances of winning are higher

Learn Forex Trading - Even The Experts Start Somewhere!


Forex Trading can be a mystery even for experts. One thing is clear, if you want to have a chance to trade profitably you have to learn the basics.
Remember to start off small, then grow as your success grows! Keep in the back of your mind that almost anybody has to lose sometime. The winners in Forex Trading are those who win most of the time, whether that be ‘the big one’ infrequently or lots of consistent small wins.

There are people flying around in expensive jets without the money for their next refuel, and there are those looking to buy their next executive plaything. Then of course there’s the teenager down the street working on his first million and grandma who mysteriously just bought a new car. So watch your head, mind your wallet and be keep in your thoughts that this Forex trading stuff is not a game to be taken lightly unless you know how to play.

Do it right and Forex Trading can buy you almost anything, even if you start out with just enough bucks to buy your first e-book on the subject. Get it wrong… well, the big boys use big calculators.

So where do you start to learn about Forex Trading? There are hundreds of websites, e-books and tutorials dedicated to the subject that can help get you started.

A number of the big online trading houses offer ‘trial’ accounts where you get to play with ‘dummy-money’ and see actual results over the trial period. When I tried it, I lost my shirt, but then, I didn’t do any reading and to be fair, I had in the back of my mind all the time that it wasn’t real money I was betting with. I must say, for a while there, I was hooked and one day I’ll give the matter serious attention (when I feel brave and have read enough.

There are lots of variables involved with Forex that you need to keep in mind. In my own experiment, I realized that a good understanding of basic economic factors (like budget announcements) have a big affect on the markets. Seasonal changes, corporate announcements, big-mergers, war, terrorism are just some of other important variables that effect FOREX.


I figured that I could have increased my chances if I had a plan, one that included my target currencies and a thorough history of trading over the last five years or more. In my view, I would want to know when government budgets are announced, and have an understanding of previous movements at similar times. I would also want a clear history of exchange movements affected by top corporate announcements and world plot correlations with past profit announcements. You will also need to have a good ‘feel’ for the abnormal, like droughts, hurricanes, forest fires, violent episodes like war, massive infrastructure building projects etc. You also want to be alert to new discoveries that might bring prosperity on a national scale to your target currency, like oil finds, medical breakthroughs, even hosting the Olympics can be a major currency mover.

Remember that little movements mean massive sums of money have changed hands. Don’t be fooled into thinking that a half pip isn’t much. If you have a chance to make money – take it and move on to your next trade. Don’t get all head-strong and greedy.

Above all, read what the experts have to say. Your best ever investment will be in your own understanding on the subject, so buy the books, read them all and then you will have a little of what you need to succeed in FOREX.

Forex Online Currency Trading




FOREX is an international online currency exchange that was established in 1971. It is now the premier foreign currency exchange market in the world, with an average daily trading volume reaching as high as one and a half trillion. Three types of traders make use of FOREX-banks, individuals, and corporations. When they have need to exchange currency online, FOREX is the number one place to do it.


There are two basic reasons to do your online currency trading with FOREX. First and foremost, FOREX trading is done to make a profit. Depending on the market, a bank, corporation, or individual can make a windfall profit through FOREX trading. Another reason to do currency trading is to get into a secured position by eliminating trading risks arising from foreign exchange rate movement. In other words, FOREX online trading can help a bank, corporation, or individual to weather changes in foreign exchange rates by already having the foreign currency they need on hand.


FOREX is unique in terms of trading exchanges. Rather than the typical exchange like Wall Street or the Tokyo Exchange, FOREX is an entirely digital foreign currency exchange system. The rate of foreign exchange changes so quickly that traders must be able to react to market shifts within seconds. Online FOREX trading makes this possible by eliminating the classic stock broker. Rather than trading telephone calls and trying to catch a great deal by shouting and waving papers, FOREX trading is accomplished with a touch of a button on the computer.


The ease of online FOREX trading appeals to many, both businesses and individuals alike. All the information one needs to get started with FOREX trading is available online. FOREX exchange rates are continually updated on many websites. It is simple to buy one currency when it is low and sell it when it is high. However, what goes up can also come down, and new traders on the FOREX online markets must be prepared for losses. Still, despite the risks, more and more people are participating in online FOREX trading every day.


Keeping updated with the world market is the best way to prevent losses with currency trading. Learning which countries are experiencing economic growth or recession is essential to make the best currency trading decisions. It is always good to invest in currency from nations who are experiencing growth. Likewise, avoiding countries that are historically unstable or are experiencing war or international economic sanctions is only wise. FOREX online trading is not for everyone, but with some knowledge and skill, it can be very lucrative.


Forex Trading Course - Currency Exchange Made Easy

The Forex trading market is a massively demanding setting with potentially massive returns available to the right investor. But even the most seasoned, well-practiced and daring traders still generate losses when they cease to adhere to the principles of Forex success. So where to begin? Before you start this potentially lifelong relationship with one of the most buoyant markets in the world, you must take time out to assess your financial goals and your keenness to speculate. Beyond this, you will need a sound grounding in the rules of play. This is where a Forex trading course can help.
A trading course allows you to make the right trade decisions and to build up the kind of dealing strategy which is central to any investor’s success. There has been a great deal of research in to this kind of investment and a fair amount of technical information is available to help you proceed. While much of it may be second-nature to the most experienced and educated, it is essential for a beginner to take note.
A good Forex trading course will mentor your progress at every step through the expansion and developmentof your trading knowledge. It will equip you with the practical skills and intellectual prowess you need before making those first moves into the Forex marketplace. It will also introduce you to the foreign exchange trading software, which will giveyou a taste of how your Forex trading account will operate and allow you to gain the right level of self-belief before starting out. Investment should, at least in the early part of your career, be a relatively simple painless experience.
Some courses offer a ‘virtual-money’ trial run, in order for consumers to put their new-found skills into practise as soon as they complete the course. Some even boast of home-from-home training centres with every amenity you might require. This is to help you make a move into investment which feels as simple and comfortable as possible. Essentially, however, a good trading course never loses sight of the most important tools of investment.
Essentially, you must know your market. A jungle to most newcomers, your market must become your best friend if you are to succeed. Secondly, the principles of currency trading must become second-nature. From there, you should be able to carry out basic analysis of any fluctuation and act accordingly. Of course, a Forex course will also help you to implement successful money management plans, all part of the skill-set of the best investors. In addition to every tool and resource you could hope for, a course will introduce you to the psychological aspects of the business, how to ‘read’ an opposing investor and hold your nerve for best results.

The Best Forex Trading System

Let me first say there isn’t one best Forex trading system that works for everyone. There are lots of great Forex trading strategies and Forex trading systems but to say there’s only one, would not be a true statement.
Forex trading systems can be as individual as the person using the system. One Forex trader will find a trading system that works perfectly for them and another currency exchange trader will say it’s not worth the paper it’s printed on. If you know anything about trading in the foreign exchange market, you know there are certain times of the day to trade specific Forex currency pairs to increase your odds of making a winning trade. Trading off hours, using the best Forex trading system could be a losing strategy. Try to stay out of the market during the slow times.
Every experienced Forex trader knows the best times to trade in the Forex market. The most active times are between the hours of 2:00am and 11:00am EST. At 2:00am EST the European markets are starting to open and at 3:00am EST the London session starts to kick in. At 7:00am to 8:00am EST the New Your sessions start to come alive. At 8:30am EST there are many news releases (mostly USD) that can cause market volatility. This is when the market moves and can move big. These are the times most Forex trader love and this is where the money is made, and lost. The London session starts to close around 11:00am EST and the Forex market tends to slow down until the Asian market start up again around 7:00pm EST. And everything starts all over again for the next trading day. That’s why a Forex trading system is so important to every Forex trader.
To make the most out of any Forex trading system, you need to have one Forex trading strategy for trading at news times and another one to trade during the rest of the day. A good strategy for trading the news in the Forex market is to do your homework up front. Know what key news releases are coming out and find out what the consensus numbers are for each report. There are many different Forex news sites, so I recommend looking at no less than 3 news sites to make sure the consensus numbers are the same or very close to each other. Sometimes Forex news sites get the numbers wrong, so doing your homework up front, you will quickly know if the forecast numbers are on the mark or not. At news release time, what you’re looking for are numbers with a shock value associated with them. Numbers that do not meet the consensus but exceed or fall far shot of expectations. These are the news events you want to trade. You need to know beforehand what these shock value numbers are, and take action when they’re released.

When news is out of the way or it’s a very slow news day, that’s when you need a Technical Forex trading system. Forex technical trading is when you use charts and price action. Tools such as Forex chart patterns, trendlines (trendline analysis), Fibonacci (Fibonacci numbers/Fibonacci studies) and a host of other Forex trading tools can be used. The best advice I can give here is to keep it simple. Do not go overboard with the tools you decide to use. I suggest picking two or three at the most and work with them at all times. Give each one at least a months time to decide if it’s working for you before you decide to move on to another. Some folks may find they don’t like using Fibonacci retracements for example, while other traders like myself, couldn’t imagine not using them. Forex traders are all different so you need to find the tools and Forex trading system that’s right for you.
There are lots of great online Forex training websites available today and most are free. Read all you can about Forex trading before jumping in. Forex trading is a great profession and like any new business venture, it takes time to learn and do it right. Just take your time and remember to find the best Forex trading system that works best for you and stick with it.

Counterfeit Prevention Measures In World Currency Today

Governments all over the world are protecting their currency from counterfeits by revising it frequently. Counterfeiting has become a serious problem in the past few decades.
With technology being cheap and computer equipments available at dirt prices it’s becoming easier for the counterfeiters to duplicate the designs and images of modern currency. The threat of counterfeiting is a serious crime and governments the world over have taken severe steps to curb it. We will discuss a few of the methods that have been deployed against the counterfeiters worldwide.
In the late 80s the United States government issued 20, 50 and 100 dollar denominations that included a “security strip” inside the bill. This security strip is made of fluorescent plastic and is embedded in the bill itself. The strip runs from the top to the bottom of these bills and can be easily read when held under a fluorescent light bulb. The denomination of the bill is clearly written on the strip, which can help prevent counterfeiters from “upgrading” lower denominations of bill to higher denominations by “washing” the ink from the paper and reprinting the graphics of the bill using dye sub or laser printers.

Watermarking is another method that can prevent the counterfeiting of currency. This method is being used in the United States wherein the latest bills issued by the treasury contain images designed into the paper itself. These watermarked images on bills of different denominations match the images of different US Presidents. For example, the $100-bill bears the likeness of the former US President Benjamin Franklin with respect to the standard image as well as the watermark. These images can be seen quite easily when we hold the bills against a source of light.
The image in the watermark should match the image of the president on the bill. The $100 bill has Benjamin Franklin as the standard and the watermark image. Some currency notes such as the $5 bills have been counterfeited to $100 bills. This bill is a carbon copy of the genuine one, but under scrutiny, the watermark image will reveal Lincoln’s face as per the $5 bills and the true colors of the fake currency.
The latest counterfeit prevention technology put into use is the usage of special inks that appear to be different colors at different angles. Viewed from the left it would reveal the color green, and from the right the color would be black. These color-changing inks are very difficult to reproduce as they use a special compound that is next to impossible for the counterfeiters to manufacture.
These are just a few of the new security features built into modern United States currency. Be on the lookout for even more technology to be unveiled in the next few years as the treasury keeps up with the counterfeiters in the battle to maintain the integrity of the almighty dollar.

Top 7 Mistakes Beginners Make

Learning to master Forex day trading online for someone who has no background in the financial markets can be intimidating. Generally, much patience and time are needed.
However, by looking at the most common mistakes we can at least shorten the learning curve and get past the first few hurdles as quickly and painlessly as possible. The financial rewards once the skills are learned are certainly worth it.
Mistake -1
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Thinking they can generate huge amounts of money in a short time. This is not a get-rich-quick scheme. An individual approaching day trading online with that mindset best look somewhere else.
Mistake -2
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Going by gut feeling instead of calmly assessing market conditions using technical indicators and selecting high probability trades.
Mistake -3
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Chasing the market.
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A typical scenario: The new trader feels certain price is going up so puts in a long position. Unexpectedly price pulls back. The new trader gets nervous and doesn’t want to lose too heavily so comes out with a -15 loss.
Shortly after that price resumes the uptrend. The new trader thinks, “I was right in the first place” and puts in a second long position to try and make up for the -15 pip loss and make a profit on top.
Low and behold, price doesn’t go where the new trader was expecting, pulls back, and takes out the position at a -25 pip loss. Score for the day: -40 pips.
Chasing the market is one of the surest ways to blow your account.
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Mistake-4
Lack of thorough preparation before the start of a new trading session.
It is crucial a trader examines the charts from a higher time frame down to a small time frame (e.g. weekly, daily, 4 hour, 1 hour) to pick up significant candle or chart patterns and understand the direction of the overall trend.
Additionally, consulting the daily calendar for Fundamental Announcements will ensure the trader is not caught off-guard by sudden market moves at news time.
Mistake -5
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Poor or non-existent equity management.
New traders often fail to educate themselves on how much they can risk on any one trade according to how much capital they have in their account. Many are tempted to trade multiple lots far too early only to get wiped out.
Multiple lots can result in big profits. They can also eat you alive when a trade goes against you. Only strict, almost paranoid, tight equity management will ensure the account survives and grows.
Mistake -6
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Floating from one system to the next, trying indicator after indicator, becoming a ‘jack of all trades, but master of none.’
Find a proven system that fits with your trading personality and style and stick with it until you make it work for you.
Mistake -7
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Thinking they can learn by themselves, find the secret code and ‘crack the system.’
Most successful traders learned from someone who is a professional successful trader themselves. It is so important to have a mentor or tutoring program to get up to speed more quickly.

E-currency Exchange Trading For A Living

e-Currency Exchange Trading is a growing business because it solves several problems with buying and selling on the net.

Difference in currency is always a problem, and how do I pay and receive without having any fear that my information will be misused, or that I will actually receive what I have bought.

By using DXCynergy all those problems are solved as no matter what your normal currency is then it can be used at DXCynergy.

You simply go in and open an account and fund it. You can then pay anyone through the system and in a way so you are always in control.

It has another great advantage. It is also a real good investment as you portfolio grows each and every day without you have to do anything. If you ad just a few minutes (5 Minutes) every day you can even grow your portfolio more.

That was just payment and investment part of the system, but you have access to same type advertising as you have with Advords and Adsense, just here you are in better control and earns more and pays less. The system have several other great business opportunities.

One of the real great ones are the Trading Console, where you earn from servicing other people that want to exchange currencies. It can actually alone work as a real job you can earn a living from.

You can take advantage of a single option or those you prefer, but one thing is sure you have solved your currency problem once and for all.

Currency Trading On A Margin

The overall sucess of the FOREX market is made possible today because of margin. Without this important principle, the average investor would not be able to participate in FOREX at all. So what is margin exactly?

1. Trading On A Margin
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In order to trade on a margin, you must set up a margin account. With a relatively small deposit you can start trading large amounts of currency. Establishing a margin account with a FOREX broker enables you to borrow money from the broker to control currency lots that are usually worth $100,000. The amount of borrowing power your margin account gives you is the leverage. 100 - 1 means that with a single dollar you can control $100 worth of currency.
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2. Increased Profits Also, Losses
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As you might be able to extrapolate, you will be able to control $100,000 with just a $1,000 investment. Of course, you are borrowing money from the broker in order to do this, and any slip ups can end up costing you bigtime. The potential exists for the trader to lose more than his original deposit. Usually brokers will terminate a transaction that extends beyond the margin deposit.
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3. The Benefits Of Margin Trading
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With exponential buying power, your potential for more profits exists. FOREX currencies are traded in much smaller units than cash. The American dollar, for example, is traded in units down to 4 decimal places. Instead of $1.32 FOREX quotes are seen as $1.3256. The smallest unit in FOREX currencies is called the pip. Even a small change from 1.3256 to 1.3356 represents a difference of $100.
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4. Wipeout!
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You have to be extremely careful when working on a 1% margin account. A currency change in even a penny can lose your entire $1,000 investment, but if the opposite is true you can stand to make $10,000 dollars from one penny.
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5. Limiting Your Losses
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To limit your losses, you might want to set up a stop loss order. Stop loss orders automatically close your position if the value of the currency crosses a pre-determined point. One risk that is often overlooked is your broker closing your account on you. This can be potentially disasterous if the currency you invested in suddenly rises in price and you are unable to sell.

Forex Trading Rules

Knowing the rules that govern how trades and investments are made is advisable before you begin trading in the Forex. Some of this rules and strategy tactics can be a bit overwhelming to a beginner trader.
Some can be learnt along the way, such as price limits but the most basic ones required of a new trader are outlined below. They should help you maneouver successfully in the Forex.Don’t Over Leverage Your Portfolio.
One good thing about leverage is that it can generate good profits for you even if you don’t invest as much as the “big boys”. Keeping your leverage low is the way to go as it lowers potential losses. Over leveraging your portfolio is a risky move and may leave you with a lot of debt. Your leverage should always be within your portfolio, especially if you are a beginner trader.
Know when to quit
Probably the most important rule of them all. What many traders fail to do is recognize that bad trades are exactly that-bad trades. They hang on to them hoping for an upward turn and in the process incur even more losses. Knowing when to quit also means knowing when to hold on to your trades. Remember that even the most successful of traders also occassionaly lose money off of the Forex. The trick is to minimize your losses, and maximize your winnings.
Knowing when to fold on a deal can be the difference between minimal loss or massive loss. Keep close watch on your trades so you can get out when you should. If you have researched the trade before, you will know what the breaking points likely are and be able to make this decision easily.

Research trades
As they say, knowledge is power. Knowing every thing about a trade prepares you for what might happen in the future. The whole process of researching a trade might seem very boring, but is worth the time.
Simply beginning to trade with no idea on the issues that influence a trade is asking for trouble. Such an approach guarantees that you will lose money. o, take the time to do a little research before you begin.
Place Stop Loss Orders
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The stop loss order is something that should be placed right along with your entry order. This type of order protects you from a potential loss getting out of hand. If the market takes a dive, you will be protected with the stop loss order. You must figure out however, before placing the order, at what point you would want to cut your losses.
These basic rules should guide you if you intend to begin trading on the Forex market. Follow them to the letter to ensure that you profit off of the Market.

Leap Right Into The Forex Game With The Basics

The forex, or foreign money exchange, is all about currency. Money from all over the globe is bought, sold and traded. On the forex, anyone can buy and transfer currency and could maybe come out ahead in the end. When dealing with the foreign currency exchange, it is conceivable to buy the currency of one state, sell it and make a gain. For instance, a broker might buy a Japanese yen when the yen to dollar ratio increases, hitherto trade the yens and buy invest in American dollars for a yield.
The forex and the stock market possess varied similarities, in that it involves buying and trading to make a gain, but there are some differences. Unlike the stock market, the forex has a much high liquidity. This means, much more money is shifting hands day-to-day. Another key distinction when comparing the forex to the stock market is that the forex has no place where it is exchanged and it never closes. The forex involved trading between banks and brokers all over the world and provides twenty-four hour admittance during the business week.
Other variation between the stock market and the forex is that forex transaction has much higher leverage that the stock market. When some person decides to put in in the forex, they can anticipate much higher yield when they are competent and recognize how it works. There can also be the possibility for bleeding much more money as well.
For those who are just getting started in the forex, myriad brokers supply the utility of exchange using the mini-forex system. This has a paltry minimum deposit, customarily $100. This makes it easier for those learning how to trade on the forex to suffer less of a fate of bleeding a lot of savings and to discover how the system goes.
There is a lot of jargon when dealing with the forex. Learning to exchange on the forex can be fairly daedalian for the apprentice trader. When anticipating at the names utilized in the forex, a symbol is composed of two parts. The first one that is used is one It is important to learn what currency symbols imply when mastering about the forex. There are many books and websites dedicated on teaching traders about using the forex.
For those using the forex, a stockbroker is normally a commendable idea. Brokers are professionals when it comes to trading on the forex and their familiarity is priceless, markedly to the new dealer. When it is time to find a broker, there are some factors to ruminate. One thing to scrutinize for when choosing a forex broker is to go with some person that offers low spreads. The spread is designed in pips, or the variation between the valuation at which currency can be purchased and the appraisal it can be sold at any set time. Because forex brokers do not charge a fee, they will make their money off of the spreads, or the difference. When picking a broker, look at this info and refer that with different brokers.
Furthermore, when looking at a forex broker, pay attention for one that is backed by a well known financial organization. forex bankers are generally attached with big banks or other types of financial institutions. If a broker is not with a big bank, keep searching. In addition, look for a broker that is registered with the Futures Commission Merchant (FCM) and that is regulated by the Commodity Futures Trading Commission (CFTC). Making sure that the broker is properly registered and backed by a large bank or institution ensures that you are getting a reliable broker that is experienced in trading on the forex.
When looking for a broker, check to be certain that the broker has access to the latest research tools and data. It is important that brokers understand and have access to charts, graphs, news and data that are in real time. This will ensure that the broker is making wise decisions based on accurate forex forecasting. Also, look for a broker that can propose a extensive range of account options. They have to offer mini-accounts with a negligible minimum deposit as well as a standard account. This will allow anyone keen in the forex the possibility to barter at a level where they perceive most at ease.
The information you just read was pulled from many different resources. You should continue searching for information until you believe you have a firm grasp of the subject. I do want to thank you for visiting and good luck.

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Forex Scalping













FOREX SCALPING —Tiny Trades For Terrific Profits“ eBook By Robert Bo rowski © 2005 Evergreen Forex Inc. Read Legal Info & Disclaimers at end of Document Use of this material is subject to the legal terms, conditions, and understanding of the statements at the end of this document. Unauthorized redistribution of this material is illegal, strictly forbidden, and will be punished to the fullest extent of the law. Read the legal text provided at the end of this document.

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This eBook has been formatted for easier on-screen reading I dedicate this eBook to Brian. Little did I expect when small coincidences introduced us that you would become such a huge part of my life. You are far more than my business partner and best friend œ you are a kindred spirit. Yo u have enriched my life and exponentially added to my own b oundless enthusiasm. I cannot express my immense gratitude for getting to kno w yo u, and can‘t fathom the marvelous journey yet ahead of us.

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TABLE OF CONTENTS Prerequisite Reading Introduction Welcome What is —Scalping“? The Joy of Scalping Great Expectations Use with —Forex Freedom“? Warning Basic Consid erations Practice Makes Wisdom Tools of the Trade Your Computer Serious Trading Computer Broker Charts Practice Account Broker Spreads & Tradable Currencies Pip Padding Overview of the Techniques Stop Frequency Equity Management Kamikaze Scalpers Currency Pair Choice The Techniques Trading Mechanics Premises of Scalping Picking Tops & Bottoms (Part A) Petit Trends Stagnations Sharp Reversals Caffeinated Market Secure Your Entry Bi-Directional In-Wave Entry Safer Stops Fibonacci Guidance Specialized Fibonacci Observances Adding S.E.X. Lines

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Exit / Enter Reverse Thinking Picking Tops & Bottoms (Part B) Co mpounding Gains Watching Mu ltiple Charts Bigger Perspectives The Opportunities The Four Main Opp ortunities Micro Trends & Trends Pattern Breakouts After FA Within Ranges Additional Tips Modified Slanted Channel Surf Zones Day Running Scalp Creative Combinations Scale Shifting Sunday Trading Quick Trends FA Considerations Wine & Cheese Extra Examples The Beginning PREREQUISITE READING This eBook assumes that you have already read the following eBooks: • Forex Surfing • Explosive Profits (revised edition) The above are prerequisites as this eBook assumes that you already understand a lot of the concepts originally taught there and those concepts will be referen ced but not repeated here.

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INTRODUCTION WELCOME Is it possible to score hundreds or even thousands of dollars (euro, pounds, yen, whatever) of profits in just a few minutes in the Forex markets? Yes it is! In this eBook we explore the fun & wildly pro fitable technique of —scalping“ in the Forex markets. It is amazingly simple to learn and you‘ll probably be able to proficiently start using these ideas today! Here we shall look at a few variations of how to accomplish —scalps“. We‘ll discuss the pros and cons of this style of trading, and how to be well on your way to success with these techniques. WHAT IS —SCALPING“? —Scalping“ can have various descriptions depending on whom you ask. Some folks would say that some —Forex Surfing“ techniques are considered —scalps“ due to the small size and duration of the trades. Different traders have differen t techniques for scalping, but one thing that can be universally agreed upon is that scalping involves tiny trades (both in amplitude and duration). Typically, —scalping“ is a specialized technique that involves making a tiny trade to cap ture a very small movement in the market. Whereas a —position trader“ may engage in trades th at are intended to last for multiple days to months (aiming for targets of hundreds to thousands o f pips), and a —day trader“ typically engages in trades that are intended to last for less than a day (aiming for targets ranging from 20 to 100 pips), a —scalper“ engages in trades that might only last a few minutes aiming for targets of 5+ pips. A scalper typically trades multiple Forex lots (mini or regular lots dep ending on the size of the account and risk to lerance), often more lots than one would normally trade if trading as either a —day trader“ or a —p osition trader“ (simply due to the fact that those styles typically require larger stops thus shrinking the amount of lots one can safely trade according to equity management principles). By trading more lots a scalper can achieve significant gains comparable to the gains expected by day & position traders in the same time span even though the scalper engages in much smaller individual trades. For example, a scalper that succeeds in capturing just 5 pips could have made $500 in under a minute if he traded 10 regular lots. In some circumstances

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(that you‘ll learn later in this eBook) the scalper could successfully capture 10, 20, 30 or even more pips that (assuming he traded 10 regular lots) would result in profits of $1,000, $2,000, or even $3 ,000 in a very short amount of time. Some scalp attempts can occasionally yield over 100 pips (ov er $10,000 trading 10 lots) œ and YES, set ups like that happen several times each month! Scalping is often considered to be an advanced trading style. Though scalping is quite simple in concept many consider it to be advanced because it requires very quick decision making, very quick reflexes to react when set ups are spotted, and the scalper must be skilled at quickly executing a trade. The keyword for the scalper is —speed“. What makes —scalping“ an advanced skill isn‘t that it‘s complicated; it is just that one must be both skillful and fast. Drinking coffee or energy drinks while scalping is a good idea. This style of trading certainly isn‘t for slow minded or slow moving people (please don‘t interpret this comment as being insulting for certain groups of people). Scalpers often engage in multiple trades a day. Some scalp ers execute dozens and dozens of trades each day, but don‘t worry; I‘ll teach you to do fewer. Scalps are executed in the direction of the current trend, usually taking little bites of the market movement, but can also be an entry technique into long er day trades to capture even larger profits. Skillfully scalping one can literally buy very close to the actual low and sell very close to the actual top of market movements; much closer than day traders, and certainly position traders, would normally accomplish. Scalping is suited for some people & p ersonalities better than others. Some traders love it, making it their primary trading style, wh ereas some traders hate it for their own personal reasons. Scalping is best reserved for traders after they are already familiar with other trad ing styles, but if this is your first exposure to trading Forex don‘t worry about it œ you can easily learn everything you need to know to make some HUGE profits by scalping just by reading this eBook (however I strongly suggest you first read my other eBook —Forex Surfing“ as there you‘ll learn many basics that I won‘t be covering here in this eBook). —Scalping“ seems to me to have a slightly negative perception in the minds of traders in general. I believe it is simply due to the name of the technique, as —ticket scalpers“, peo ple selling over priced tickets for concerts or spo rting events, are commonly thought of as being sleazy. It seams to me that some —advanced / experienced“ traders look down upon —scalping“ techniques as being beneath them, or even unethical (perhaps this is from the days when floor traders at stock exchanges would sometimes scalp stocks). It‘s funny

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that even FXCM clearly doesn‘t like scalping for whatever reason (at the time of this writing FXCM has been hostin g a mini trading contest called —King of the Mini“. If you read th e contest rules it is stated as rule #8, —NO SCALPING œ At FXCM‘s discretion, entrants may be removed from the contest for employing trading techniques resembling ”scalping‘ or ”picking‘“. This doesn‘t make logical sense to me since they profit for the pip spreads of each executed trade, so while writing this eBook I decided to ask FXCM why this is a rule. They responded saying that scalping is generally —frowned upon“, and though they permit traders to employ such techniques (since they profit from each trade entered) they simply disallow it for the contest b ecause they feel it is an unacceptable practice for their trading contest. ). I don‘t really know why there appears to be some kind of negative stigma to scalping, and I don‘t think it is justified. As far as I am concerned a profit is a profit regardless of what trading technique used, and as a trader all that matters is the profits. Here is a link to an article on the web titled —Scalping: Small Quick Profits Can Add Up“. I have included it here for your reference to be able to read a third party‘s definition of scalping. (Note: This is an external link. You need to be connected to the Internet to view this page. As I have no control over the content of their website this link may become inactive at some point in the future.) THE JOY OF SCALPING Why be a Forex Scalper? Simply put, it is both fun AND profitable! Th e concepts are easy to learn, easy to do (once you‘re skilled at it), provides you with an adrenaline rush, and can fatten your bank account. Personally, I think that of all Forex trading methods that scalping is simply the most fun. The trading style is mentally stimulating, and it‘s exciting to watch your profits grow. If you are a chronic trader, someon e who enjoys doing frequent trades, you‘ll find that here you‘ll have the chance to b e —trigger-happy“. Day traders often have to wait for hours before a g ood trading opportunity comes along (sometimes they don‘t even trade that day if nothing seems to happen), position traders often have to wait for days or even weeks before a suitable trading opportunity presents itself, but a scalper can be joyfully raking in fantastic profits while the other traders are bored out of their minds! For these reasons experienced Forex traders can also add scalping to their trading

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toolbox; so that they have another tool to work with. I‘ll elaborate up on when traders employing other styles o f trading might switch to scalping. Generally speaking when a cu rrency pair goes into a tight range or consolidation in the time frame view one is normally looking at, if you were to zoom in even closer it would be apparent that there is plenty of market move on a tiny scale. A trader could then scalp the tiny movements when otherwise they couldn‘t trade at all. Often times it is generally best for most Forex traders to restrict trading activity to only the times when two markets overlap (typically 2am to 6am and 8am to 12noon EST (New York time)), however even outside of those times a trad er can engage in scalping, thus a scalper can trade virtually at any time 2 4 hours a day. Because many people are simply part-time traders, trading as a hobby, due to having to go to work at some job, scalping is a method that may allow those people to trade who might not be able to otherwise participate in trading during the optimum times mentioned above. Scalping professionally sure beats going to work at some J.O.B. (Just Over Broke œ ever notice that you‘re still broke soon after getting paid?) that you hate everyday. As a scalper you can hang around your computer for a few hours, make say 5+ trades, and profit as much or more than you might earn all week going to a job working for a grueling 40 hours. If you have a job then don‘t despair… after some time your —hobby“ of Forex Scalping can p ossibly save y ou from a lifetime of being a slave working to make some company rich. All hype aside, I think that scalping is a useful skill for all traders to have for various reasons. As mentioned above, it allows a trader to trade during times when other styles of tradin g would make you sit on the sidelines (not trading), so you can engage in profit making activities when you otherwise couldn‘t. Scalping is best used in conjunction with, as a supplement, to other styles of trading œ so keep trading your primary methods and add scalping to your trading toolbox. The down side of scalpin g is that it is the most labor-intensive style of trading. Whereas longer-term styles of trading might only require minimal —work“ each day (as some of the techniques presented in the eBook —Forex Sailing“), and some kinds of day trading (as taught in the eBook —Forex Surfing“) may only requ ire period ic checking of charts during a trading session, scalping however requires that you spend more time paying attention to charts throughout a trading session, and active concentration while en gaged in a

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trade (you can‘t leave your computer to grab a coffee as easily). Despite the fact th at it is the style of trading that most resembles —work“ you shou ld still take the time to learn this style regardless of whether you intend to trade it often or sparingly as it is a useful skill that can help improve your other trading methods in a variety of ways. Remember also that you don‘t have to scalp everyday, but you can treat it as an occasional sport or game (best —played“ in a demo account) for the shear joy, thrill, and instant gratification that this style of trading offers. GREAT EXPECTATIONS Whenever I start teaching someo ne how to trade the Forex the most common question they ask is —how much $ can I make each day doing this?“. I always smile and shake my head once they inevitably ask this question. Everyone always asks this question (I remember ask ing this question too when I first started), and when you start teaching your friends (if you haven‘t already) then you too will get asked this question. Pay attention to how I answer it so that you too can give your protégés the correct answer. It is first of all incorrect and inappropriate to state wh at can be expected in terms of dollars earned. Dollars (or whatever currency you are accustomed to) is by no means a relevant measuring unit to make comparisons with. If I told y ou that ”John‘ scored $50 today whereas ”Simon‘ scored $500 it would be understandable that at first glance you would more impressed with Simon‘s results. But hold one, what if I then told you that Simon just scored a single 5 pip scalp tradin g 10 regular lots, but John made three trades scoring 10 + 17 + 23 pips trading just one mini lot for each. With whom would you now be more impressed with? Your answer should now be John. He score 10 times more pips than simple Simon. Pips, as you should now understand, are absolutely relative (meaning that you can make comparisons) but dollars are not because dollars are contingent upon how many lots you can afford to trade. So now here is the answer you are looking for. A conservative scalper should be able to consistently (and by now from reading my o ther eBooks you should understand the significance of the word —consistently“) average 2 0 to 60 pips a day (depending on how skillful you are, and how aggressively you trade). For the following examples we‘ll use a realistic 40 p ips. (Actually you could do much better than what I just suggested, but I‘d rather you start off with a low expectation and then let you find what your average is œ which could be much

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higher.) Ok, so how many dollars can this mean to you? Well here is where you write your own paycheck. It all depends on your account size. If using proper equity management principles all you can afford to trade is one mini lot then if you were to hypothetically capture 40 pips on average on EUR/USD then you would have made an impressive forty bucks. Ok, it‘s nothing to get excited over but assuming you kept up that average for a full month (20 trading days) then you might hav e captured 800 p ips for an $800 profit (surely it sounds better now œ and an 800 pip month is impressive by anyo ne‘s standards). Con tinuing the above hypothetical scenario, if you were to trade 5 mini lots then you‘d be averaging $200 daily or $4,000 monthly - - 1 regular lot (equal to 10 mini lots) would be $400 daily or $8,000 monthly - - 5 regular lots would be $2,000 daily or $40,00 0 monthly - - 1 0 regular lots would be $4,000 daily or $80,000 monthly. You get the idea. I could seriously answer you that you that you could expect to earn $40 a day and you‘d immediately lose interest (too bad for you because you‘d miss a great opportunity) or I could casually state that you could expect $4,000 a day which might blow your mind (depending on what your current income level is œ if you are Donald Trump then this chump change would bore you) and you‘d probably start suspecting that I smoke crack (I don‘t, it‘s just a derogatory slang expression implying absurdity). So now do you understand why it is completely pointless to ask how much $ you can be making each day (on average)? As a beginner assume that you‘ll only average 20 pips daily (yes, it‘s realistic) and then calculate your own —paycheck“ based on the account size you expect that you‘ll be trading with (applying proper equity management principles). —Why do you talk about the money you can make earlier in the eBook and on your website rather than talk about pips?“ Simply put, most people wouldn‘t understand the significance of potential pip gains, but they sure can recognize the meaning of dollar figure examples. Any dollar amounts ever quoted on my website or in any of my writing is simply a realistic —carrot“ to g et people to realize that trading Forex can be a very profitable activity. So stated dollar amounts (always hypothetical of course) is just so that people who wouldn‘t otherwise understand the opportunity can start realizing that this could

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possibly be for them. Let‘s face it, everyone, surely including you (and me too), first gets attracted to Forex for the income possibilities. So when people initially ask you how much money one can earn trading Forex you can simply give them some dollar examples to spark their interest, then when you start teaching them y ou then explain that the d ollars are irrelevant and that only pips really matter. USE WITH —FOREX FREEDOM“? Can you combine scalping techniques with the exponential growth plan presented in the eBook —Forex Freedom“? Absolutely! Most scalping techniques initially rely upon a 10 pip stop (elaborated upon later in this eBook) however the plan as laid out in —Forex Freedom“ assumes you are using 20 pip stops. As scalping is somewhat —riskier“ don‘t double your lots, but just follow along with the suggested amount of lots as described in that eBook. If you do intend to scalp your way through the —Forex Freedom“ plan I wou ld strongly recommend that you have plenty of practice in a demo account (and have demonstrated profit) before scalping in your real money mini account. WARNING Before we proceed any further I want you to b e aware that these methods can be —High-Risk / High-Reward“. I don‘t want to be a wet rag on your learning enthusiasm but I‘ve placed a —Warning“ for you to read . Please consider the —warning“ which I am stating for your protection, but don‘t let it scare you off from reading the rest of this eBook… and from attempting these techniques. Yes, there are some risks (as with any trading system), but for the most part you‘ll find that the risks are easy to swallow and the profits gained by these methods are quite lucrative. BASIC CONSIDERATIONS PRACTICE MAKES WISDOM Have you ever watched a game of some professional sport such as footb all,

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hockey, baseball, soccer or basketball? Surely you wo uld agree that the athletes have spent man y hours (actually years) practicing and honing their athletic skills before they ran out onto the field for the big game (the real game). Before you trade with real mo ney you too should practice practice practice with fake money in a —demo trading account“. By the time you finish reading this eBook you‘ll likely feel confident that you can su ccessfully scalp trade. Chances are that you‘ll probably be able to, but just becau se you can do something doesn‘t mean you should do something. You really do need to practice to gain proficiency as a scalp trader. You can read this entire eBook, study all the tradin g rules and trading set ups presented, however there is simply something that I can‘t teach you that you can only learn by your own practicing. Being able to read the charts in real time and being able to decipher & to make the decision whether to trade or exit a trade requires what can seem like intuition. Once you are skilled at scalping you almost appear to be psychic to someone sittin g next to you. The only way to develop this —intuition“ is by extensive practicing. Once you‘ve watched your real-time charts long enough and have witnessed many micro trends as they happen you‘ll begin to get a —feel“ for what th e market is doing based on the behavior of the real-time price action. Again, this isn‘t something I (or anyone) can possibly teach you within a book such as this; you can only cultivate this —intuitive“ skill by observing the live market. This eBook will teach you the knowledge you n eed to know to be able to able to scalp trade the Forex market, but, as any athlete can tell you, you need to practice to develop proficiency. Many people have —knowledge“, but few people have —wisdom“ œ wisdom is the result of the marriage o f —knowledge“ and —experience“. Reading this eBook will provide you with easy knowledge, but to develop the wisdom is completely up to you (clue: practice practice practice). TOOLS OF THE TRADE (pun in tended) The next few sections will discuss some of the tools you will need to scalp trade. YOUR COMPUTER

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Obviously you‘ll need the standard tools such as a trading account and charts (we‘ll get to those shortly), but here is a topic I haven‘t previously discussed in my other eBooks œ your compu ter. With most Forex trading techniques you can make do with a lame computer and slow Internet (dial up), however with the fast paced world of Forex scalping you really do need a reliably quick computer. As a Forex scalper you need your charts to display the most up to date price possible, and you need your brokerage software to execute a trade promptly. Even with the best computer and a screaming fast Internet connection you‘ll still have some lag time (not to mention ho w long it takes for you to physically move your mouse and click to enter a trade). Often as a scalper you‘ll experience missing out on a few pips (of lost profit) because of slight inefficiencies (somewhat frustrating at times), but if you have to deal with a painfully slow computer and a molasses Internet connectio n speed then you‘ll soon be tempted to introduce your computer to a sledge hammer. For a scalper lost seconds means lost pips which means lost profits. Even in a single day of trading this can add up to HUNDREDS of dollars, even thousands, of missed profits. The first thing to do to ensure that your computer is running your trading tools smoothly is to NOT have other programs running on your computer while trading. Having many programs open eats up your computer‘s resources, which can mean that your charts aren‘t refreshing as fast, and it may take longer to execute a trade. If you must listen to music then please turn on the radio, don‘t listen to MP3s on your computer, or God forbid, DON‘T be streaming music off of the Internet unless you have a very fast computer with High-Speed Internet (even then it‘s still better not to). Chances are your computer itself is good enough to scalp trade with (unless you are using something that is 10 years old), however you may find that it starts running slower over time. If you ever find that your computer is running like molasses, or much slower than you remember from the past then it may be time to reformat your compu ter. It is generally a good idea to reformat your computer every 6 months (kind of like going to the dentist) to keep it running smoothly. If you don‘t know how to do this then invite a tech-savvy friend over for a few beers to help you out with this. If you think that your compu ter sucks then perhaps you should consider buying a new one. You don‘t have to spend a fortune buying the best computer available, as generally the cheapest computer y ou can buy at your

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favorite high-tech toy store is more than adequate for the purpose of scalping with. You can alway s justify the expense by the profits it‘ll make for you . Your Internet connection is also important. Folks, I can‘t understand why anyone would still use dial-up for Internet access (unless it is all that is available in your area) when High-Speed is not that much more expensive (typically around 2 to 3 times the p rice of dial-up). Just the thought of surfing the web on dial-up stresses me out let alone trading with it. If it is all you have available then it‘ll work for you, but seriously , if yo u can have high speed Internet available then just pay the extra $20 or $30 per month. After a few days of surfing the web you‘ll wonder how you‘ve ever d one without it, and surely each month you‘ll catch at least an extra couple of pips that‘ll more than pay for it. SERIOUS TRADING COMPUTER I wasn‘t going to add this topic (as it isn‘t specific to scalping techniques) but decided to include these thoughts here fo r you as it can give you a solution to the problems that I‘ve faced for a while before figuring it out myself. These ideas are useful for you regardless of what style of Forex trading you do, however for a scalper these ideas can be of immense value due to the fact that you want to keep a more constant pulse on the market. I have an —office“ in my home where theoretically I am supposed to do most of my work, however I actually spend about 99% of my time —working“ (trading & doing all the other things I do) in my living room (actually on my sofa œ yo u should see the —butt print“ there œ my chiropractor considers me a —valued client“). I have a nice setup in my home office, including multiple screens, but I‘ve fo und that I don‘t hang around in that room most of the time, thus I can‘t be watching what is happening in the markets throughout the day. The solution that I‘m about to present isn‘t for everyone, as it does cost some money, but if you are a serious trader making nice $$$ by trading, especially with scalping, then you should consider this idea for yourself. Buy a laptop computer th at is exclusively dedicated to trading. Don‘t use it for anything other than for trading. If you need to use a computer then use another one, but this laptop comp uter is your dedicated trading machine. The reason for having this laptop is that it is portable, so you can be lugging it around your home (or elsewhere). What you want to do is to have it turned on

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and situated wherever yo u are so y ou can frequently glance at the charts to see what the market is doing, scanning regularly for potential scalp trading opportunities. If you are in the living room watching television then have it sitting on your coffee table, or on a pedestal next to the sofa, where you can just look at it from time to time. If you are hanging out elsewhere like the kitchen, family room, bedroom (provided that your spouse allows this distraction), backyard, or elsewhere then y ou can take it with you and place it somewhere you can glance at it periodically. If you are a doctor, lawyer, business owner, or some other professional (if you are an employee your boss might not approve, but if you are the —big kahuna“ then you can do whatever you want) then you can also take this laptop computer to your office to scan the markets throughout the day (heck, you might score more profits than what you do at work all week). You don‘t need to buy an expensive laptop computer; the cheapest one available from a large —high-tech toy store“ will be far more than adequate. Get a laptop with a —wide screen“ (the screen is the dimensions of a wide screen DVD movie). I‘d suggest that you talk to the sales agent about which laptop has a q uiet fan (as I find the hum of the fan annoying), and you might want to splurge on having a smaller lighter laptop (but these usually cost more, which is not necessary œ my personal preference is for tiny computers). I‘m a laptop computer addict (my wife rolls her eyes at me because I buy a new one every several months) so I usually don‘t buy the extended warrantees that they try to sell (I think that they‘re a big rip off), but because of how you‘ll be using this computer you might want to consider getting it (it‘ll be on for extended periods and so it is possible that it may breakdown from —wear & tear“). The reason you want a wide screen is because you can have multiple windows open and arranged so that different areas o f your screen shows different charts (for visual scanning purposes), and then when you‘ll be trading you can have your trading software on one side with the chart on the other side. Here are some useful accessories that you might want to consider getting. You might want to get an optical wireless mouse. A wireless mouse is great because you can man ipulate your computer with out having to move the computer from the convenient place where it is resting, and if the mouse is optical (not a track ball inside) then you can use it o n just about any surface, such as a coffee table, sofa, magazine, or anything (no mou se pad required). Your laptop computer should come with a WiFi wireless device inside that

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allows you to connect to the Internet wirelessly (obviously you‘ll need a wireless router on your Internet connection). I have found that for most purposes the wireless wo rks great, but o ccasionally I lose the wireless connection. What I did is I bough t a —Powerline Ethernet Bridge“ (—HomePlug“ from IOGear). I simply plug one of the devices (you get two) into the electrical outlet near my Internet router (and plug in the network cable connecting it to the Internet router), and the other device I plug into the electrical outlet near where I intend to work (next to my sofa in my living room). I then connect that device to my computer with a network cable. This ingenious pair of devices uses your home‘s electrical wiring to make a direct physical connection from your computer (anywhere in your house) to the Internet. The advantage of using this is that you have a constant connectio n to the Internet, whereas using wireless is prone to loosing your connection (which can be bad for your trading). A few more thoughts for you. If your laptop is plugged into your power outlet then remove the battery (as the battery will get weaker over time of constant use). Keep your battery fully charged and use it when you need to move the computer (without turning it off) to another location. Over hours and hours of being turned on your laptop will tend to get quite hot. Don‘t place it on surfaces that might get damaged from the heat. Wh en you are not paying attention to the markets then simply turn your computer off (giving it a rest and a chance to cool off). Turn your —screen saver“ off. A screen saver is there to prevent damage to your screen due to images burning into the screen, but you need to have your charts display ed at all times, so you‘ll want to disable this feature (another reason to buy the extended warrantee). Right-click o n your desktop (assuming you have a Windows computer œ I hope you didn‘t buy a Mac computer (sorry to any die-hard Mac users for this offense, but u nless you‘re a graphic designer why the heck would you buy a Mac in a predominantly Microsoft world) then ch oose —Properties“ then click on the —Screen Saver“ tab on the top, then set your screen sav er to —None“. To save power and to reduce wear on your computer do the following: In the same place wh ere you made the change to your screensaver y ou should see an option to change your power settings. Click on the button to get there and another window should pop up. Change the following settings for —Wh en computer is PLUGGED IN“ (not when running on batteries). —Turn off

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monitor“ = Never (or —After 2 hours“ incase you‘ve abandoned your computer œ if it shu ts off then just touch the mou se to reactivate the screen). —Turn off hard disks“ = After 5 mins. —System standby“ = Never. —System hibernates“ = Never. If you do n‘t know how to do the above simple steps then ask a teenag er to help you out. If yo u broke your computer following the above steps (highly unlikely, but hey, I need to protect myself legally) then too bad for you; I accept no responsibility for your actions. You are fully responsible for what you do, and don‘t come crying to me. If you are serious as a trader, especially as a scalper, then you‘ll find that having a secondary laptop computer exclusively dedicated to trading will be quite useful, convenient, an d will allow you to catch more trades than you might otherwise. This computer should pay for itself. BROKER For Forex Scalping it is important that you carefully select a suitable Forex broker based on these criteria. Your Forex broker must provide a live data feed for charts (further explained below), must have very competitive spreads for the currency pairs you will be trading on , and the trad ing software must be easy to use & quick to execute trad es with. I have had numerous trading accounts with various brokers (some real money and some just demo) and at the time of this writing would recommen d to my friends to use FXCM or RefcoFX. This isn‘t to claim that they are the best of all brokers, but overall they are the ones I personally most recommend for several reasons. FXCM (and RefcoFX that is pretty much similar) has a very simple user interface (the trading station software), so simple that even a child can be taught to use. However other brokers, such as Forex.com and ACM h ave nice web based trading interfaces that is simply too complicated for a newbie to use with ease, and takes far too long to execute a trade when precious seconds count. In this eBook I show how to place trades on the FXCM system because it is so easy to explain, and easy for you to do. Thus all examples in this eBook are based on FXCM. I have cho sen against explaining the methodologies applicable to such brokers as Forex.com, ACM, and others simply because it

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would take far more time to explain how to place OCO, IF THEN, etc… trades, and the nuances o f stop / limit orders. When you become more advanced as a trader you can figure these out on your own (it took me a while to wrap my brain around those concepts). Different brokers also offer different pip spreads on the various currency pairs. For example, FXCM unfortunately offers 5 pips for GBP/USD (too bad as it is one of my favorite pairs to trade and scalp), so once you become more advanced then you might want to have two or more accounts with various brokers to take advantage of the best that they have to offer. Some brokers have lower pip spreads than others (i.e. you can get 2 pip spreads on some of the majors œ if your account is large enough), but some of those brokers don‘t have their spreads —fixed“, meaning that they can widen during volatility (but is generally not a problem for most of the time). FXCM is fixed (good for you). Some brokers have streaming executable prices, meaning that the price you click on is the price you get (even if the market has already moved), whereas some brokers —request for quote“ meaning that if you are experiencing a shooting market (rapid price changes) then y our trade might fail to be entered (can be frustrating at times). Unfortunately FXCM seems to me to be one of those. There are many brokers to ch oose from. Just to name a few more here are some others: GFTforex, XpressTrade, CMSforex, FXsolutions, etc… (like I said, there are others. Google —forex b roker“, or look through trading magazines if you want to find more.) There are more issues to be aware of in choosing a Forex broker, but what I‘ve covered here present some of the most important considerations. Generally speaking, stick with the bigger, more popular brokers. Befo re dedicating your funds to any in particular it is wise to get demo accounts with several that you might use to give them a test drive. Initially it is best to use one broker (FXCM or RefcoFX is a good choice for your first account), but later (once you‘ve gained some experience) get some more real accounts with other brokers so that you can take advantage of the stuff that is better with them. FXCM isn‘t the absolute b est broker in the world œ nor is an y broker in my opinion (they aren‘t my primary broker, but I wouldn‘t recommend my primary broker to novice traders as they are one of the more —complicated“ ones). Th ey all have their strengths & weaknesses. I have selected FXCM to

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be the broker that all the examples of this eBook use simply because it would be difficult and confusing to write this eBook trying to explain the examples with multiple broker variables. I had to pick one, and FXCM is the one I went with. It is (in my personal opinion) the easiest and best choice for a novice trader to start trading with, an d so that is also wh y I am using FXCM as the broker for all the examples of this eBook. They are, fo r scalp trading techniques, one of the better, and easiest to work with brokers. If you are one of those people that insist on find ing what you prefer then feel free to test out the demo versions of a bunch of brokers, but if you are willing to just take my reco mmen dation then go with FXCM (or RefcoFX) to start with. At the time of this writing it is the broker I would most recommend to the average & beginner trader, however if I later change my mind I‘ll be sure to provide my latest recommendation within the online resources section. Additional Tip: Most brokers don‘t always honor your stop orders during extreme volatility such as around Fundamental Announcements. At the time of this writing there is a broker that is currently honoring stops even in those volatile times, and in the eBook —Forex Sailing“ I‘ll tell yo u who they are. CHARTS For Forex Scalping you‘ll need charts providing a live data feed from the same Forex broker you are trading with (very important!). If you are trading with FXCM then use charts provided by FXCM, if you are trading with RefcoFX then use charts provided by RefcoFX (use this logic for whatever broker you are trading with). It is important that you use charts using a live data feed from the same broker you trade with because there can be slight discrepancies between brokers than can negatively affect your trading. For the purpose of scalping it is fine to use the free charts provided by your broker as the free charts should have everything you need to scalp with. It is however a good idea to subscribe to a paid version of your favorite charts as you‘ll have so me more flexibility (i.e. having multiple charts open simultaneously). The chart view you‘ll be using most fo r scalping is the one-minute candle view over 24 hours. Simply zo om in until y ou can clearly see the individual candles. You will be using other views such as hourly and five-minute candles for other purposes.

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PRACTICE ACCOUNT I would strongly recommend that before you start scalp trading with real money (even if you are already an experienced Forex trader) that you first get a demo account with the broker you intend to trade real money with to practice. I STRONGLY URGE YOU to practice scalping in your demo account for at least a month (accomplishing a minimum of 20 trades, but more is better) before trading with real money. Remember, if you can‘t make money in a demo account you won‘t magically become successful just by transitioning to real money. After you have succeeded in a demo account next trade a small amount of real money in a mini account to continue practicing (as your psychology will change as a result of trading real vs. fake money) before gradually moving up to trading with the full account size you intend to be trading. BROKER SPREADS & TRADABLE CURRENCIES Because of the nature o f scalping (going for the smallest possible trade typically using an initial stop of just 10 pips) you need to trade only on the currency pairs with the smallest pip spread. Here is a screen shot taken of FXCM‘s spreads at the time of this writing (applicable to both mini and regular trading accounts).








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As you can see their fixed spreads range from 3 pips (on EUR/USD & EUR/GBP) all the way up to 15 pips (on EUR/AUD & GBP/CHF). It is best to stick with the currency pairs that are just 3 or 4 pip s (I‘ll explain why shortly). Too bad that GBP/USD has a 5 pip spread as it is generally my favorite currency pair to trade, but generally speaking it is best to stay away from the pairs with 5 pip spreads, and absolutely don‘t trade the higher spread currency pairs. Thus for the above mentioned reasons (at the time of this writing as brokers may change spreads in the future) currently for FXCM the currency pairs that are tradable with these scalping techniques are: Scalpable Currency Pairs EUR/USD EUR/GBP USD/JPY EUR/JPY AUD/USD NZD/USD Why only trade these currency pairs? Allow me to explain. Later in this eBook I will elaborate upon stops used in these trading methods, but I‘ll simply state here that generally you will initially b e using 10 pip stops. What this really means is that the market only has to move 10 pips less your spread against you to get you stopped out. EUR/USD & EUR/GBP has a 3 pip spread thus the market needs to only move 7 pips against your direction from point of entry for you to lo se your full 10 pips. Thus the odds of you scoring a 10 pip gain are actu ally 30% against you from the start. The other currency pairs listed above have a 4 pip spread, thus the market needs only go 6 pips against you on a 10 pip stop for you to lose out (40% against you from the start). The currency pairs with a 5 pip spread can still be traded in special circumstances, but in general it is best to shy away from these for what sh ould now be obvious reasons. All the other currency pairs with higher spreads are absolutely not traded. PIP PADDING In my previous eBook —Forex Surfing“ I extensively discussed the importance of adding pips to entry orders (in the section titled —Broker‘s Pip Spread“). In some resp ects you won‘t need to worry about this for most scalping purposes,

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but it is still important to be aware of especially if you‘ll be using entry orders. In this eBook I won‘t be discussing this topic at all, but I strongly urge you to reread that section from within —Forex Surfing“. OVERVIEW OF THE TECHNIQUES Here is a general overview of what scalping is like. I‘ll talk in generalities here but will certain ly go into specifics later in this eBook. This section is just to giv e you a taste for how a ty pical trade goes. You watch your charts for specific market conditions to occur. Once you see a potential opportunity you begin to watch your charts very closely for the right moment to act. Once the desired circumstance occurs you pounce to enter a trade. Your trade is entered with a stop set at 10 pips below your entry price. If all go es poorly (it happens often when scalping) you‘ll lose your 10 pips. If things go well (as you hope) then ultimately the market will move in your direction (it might h ave first dipped back a bit before proceeding ). Once it moves sufficiently far you promptly replace your stop to your en try price to prevent a loss. Now you are in a —free trade“ so hopefu lly you can make a profit without any further risk. Hopefully the market doesn‘t pull back to stop you out, and once it moves sufficiently far enough you again replace your stop so that you are now secured with a 5 pip p rofit. What comes next will depend on current market factors, and you‘ll have to make a judgment call about how you will proceed with the trade. If by you r assessment of what you see on your charts you think that the market is about to pull back you could simply exit the trade at the current market price to get the most profits out of the small market movement. Alternately, if you believe that the market may retrace a little but is likely to resume in a micro trend then you migh t choose to remain in the trade, trailin g your stops as taught in —Forex Surfing“ and either exiting by getting stopped out for a nice profit o r by scalping your exit (explained later in this eBook) at the appropriate time for an even greater profit. The advantage of letting your trade run (when appropriate) is that you can potentially score some very significant pips in a single session.

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STOP FREQUENCY You‘ve probably guessed by now that getting stopped out is common when scalping. It can get aggravating at times so you need to be mentally prepared for experiencing frequent stops. Sometimes I swear it‘s like I‘m psychic or something for setting my stops to the exact pip to get stopped out just before the market dramatically turns around and soars into the profit zone. When you first start scalping you ‘ll likely find that these stops may drain you emotionally but after a experiencing them quite a few times you‘ll learn to not get upset by getting stopped out for loss. You need to develop the skill of ascertaining when to enter a trade that will likely go in your favor. Then the o bjective is to qu ickly move up your stops to reduce loss and then to secure a profit ASAP. Often you‘ll be stopped out or will volu ntarily exit for small 5 pip profits. What you strive to do is to be cunning and when appropriate leave th e trade enough breathing room (not suffocating it by trailing your stops too closely) to potentially catch some larger pips (for scalping I consid er anything over 20 pips to be a large trade œ scoring 100 pips on a single trade is spectacular). When looking at risk/reward ratios it soon beco mes apparent that on trades that exit with a 5 pip profit your risk/reward is 2:1. Obviously this isn‘t desirable. If all y ou feel you can capture is 5 pips (or you simply get stopped out for 5 pips) then let that be good enough, but what y ou need to strive for are sufficient amounts of larger trades (20+ pips) to account for the bulk of your profits. Needless to say that some days will be better than others (and some days you‘ll even end up a net loser). EQUITY MANAGEMENT I won‘t stress the impo rtance of eq uity management principles here as I have written sufficiently about this subject in my other eBooks. I strongly encourage you to reread those sections in the other eBooks and be sure to adhere to the guidelines presented. In scalping it is best to maintain a maximum risk of 2% on any single trade, however when starting off it would be even better to reduce it to just 1% at least initially while you are still learning. If you are following the —Forex Freedom“ plan your risk levels will be higher, and the justification for this is explained in my eBook —Forex Sailing“.

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To help you quantify this here is a chart of how many lots you could trade depending on h ow much you have in yo ur trading account. If you have already figured out how many lots you can trade doing —Forex Surfing“ techniques (2% at 20 pip stops) then simply use the same amount of lots as it‘ll automatically maintain the proper proportion for your 1% since you are trading with typically half the stop size. This chart shows approp riate lots amounts (based on the 10 pip stop) against various margin account sizes. Keep in mind that once your account surpasses $100k you should scale your maximum down to 1% to even 0.25% (not shown) when you reach a million to preserve your equity from substantial drawdowns. This chart shows the maximum —Amount(K)“ you can trade based on the 10 pip stop. Remember, 10K = 1 mini lot, and 100K = 1 regular lot (or 10 min i lots). Account Size 1% 2% $300 <10k stop =" open" 2="160" surfing =" Easier" scalping =" Bigger" pip =" $1," 3 =" 6.9,">





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