Thursday, February 26, 2009

What is Forex from My View ?

In spite of the fact that there are already a lot of people make a huge profit from Forex, There are still some people who do not even know the definition of Forex. It is ashamed as this business has a good prospect in the future. If you browse the net, you will find people offering the Forex education and Forex program. Those are the real fact of the Forex phenomena which happened in the online world.
This article will cover those issues including the definition of Forex and the most basics things about Forex. This discussion can be used as the foundation of your journey to forex learning.

What is Forex? How it is works? I often heard those questions in my daily life. The Forex market is a market which trade currency of nations. Forex market is not a stable market. It can be changed drastically depend on the current market condition. In the other word, it can change any time, no one has the power to control its movement. Forex trading is a 24-hour trading in 5 working days. If you are a global Forex trader, you will have a non-stop access to global Forex dealer. You can also still make profit though the market is raising or falling.
The currency of Forex trading is always done in currency pairs. How to know if you make a good investment? The answer is comparing the investment option to alternative investment. From this point you can look at the number of each investment instrument.

Forex is the combination of sense and luck. You have to do lots of effort in order to be success. You have to learn the trend. You should trade if you see that the value will be increased. From this moment you have to take profit. To master this game you should understand the basic concept about how to get profit. The basic concept is the same as the most business has. It is buy low sell high. In the other business, especially brick and mortal business, you can get profit if you know where to buy the product in the low price and sell it in the high price. Selling in the high price require the knowledge about place and time. You should know the place and the time to sell to sell higher. By having this knowledge, you will able to get profit in Forex trading.

Wednesday, February 25, 2009

currency pair in forex trading

The profit in Forex trading is taking from the currency movements. Forex trading also called as currency trading. It is always done in currency pair. Have you got any idea about the currency pair? What it is exactly? How this term apply to the real Forex trading? These questions often asked by the people who start their journey as the Forex trader. The knowledge about currency pair is important before you go further as the trader. You should learn and understand the basic first before mastering the advance technique of Forex trading. There are some other terms you need to know related to Forex. Moreover, in the concept of this currency pair there is also something called numerator which you will learn in a minute. I want to share about this term and related matter. By reading this article, you can gain insight about How Forex works related to the currency pair.

I will explain the currency pair with and example. Let us watch the market today. The exchange rate of USD/IDR on Jan 28, 2009 is 11,351. USD is the U.S Dollar and the IDR is Indonesian Dollars. This number (11,351) is also called as Forex rate. The people in this field say it by “rate”. Let say that you are an investor who wants to buy the Dollars as you have lots of Indonesian Dollar. You want to convert your currency into U.S. Dollar. In short, you bought the U.S. Dollard currency at 11,351. You wanted to buy 1,000 U.S. Dollar, so you transferred an amount of 11,351,000 Indonesian Dollar on Jan 28, 2009.

On at Feb 4, 2009, the exchange rate of USD/IDR is 11,653. How you suppose to read those numbers in the Forex trading? Let me guide you through. First you have to understand the concept of numerator. In this case, the numerator of the USD/IDR ratio is USD. Therefore, by having the data which say that On at Feb 4, 2009, the exchange rate of USD/IDR is 11,653, we can conclude that the value of U.S Dollar increased from 11,351 to 11,653. If you want to sell you U.S. Dollars, you will receive 11,653,000 Indonesia Dollar. From this transaction, you will get 302,000 Indonesia Dollar profit.

From that example you must have grasped the idea about how the currency pair works and how to make profit in the Forex trading. That is the basic knowledge you should really understand.

Controling the risk of Forex Trading

Forex Trading promises a great opportunity to generate much money. Therefore lots of people want to spend their time learning things about Forex Trading. In spite of the money making opportunity, Forex Trading owns some risks. If you fail to recognize those risk you will lost your money in this trading. The risks of Forex trading are credit risks, interest rate risks, country risk, and exchange rate risk. You should understand this as the basic knowledge about the risk involves in Forex Trading.
You have known the risk, now you should learn how to deal with the risk. In other word, you should know how to control the risk. These are the check point you should understand to deal with the risk in Forex Trading.

1) Understand the basic concept. You should really understand the Forex trading from a to z. Try to think that you are the full timer Forex trader. It means you have to master every single little thing about Forex Trading. You might say that you are the investor not the technical broker. That is the wrong concept of mind. Never think that you are only the investor, therefore you do not need to understand the details. This concept of mind will ruin your Forex business and lead you into losses.

2) Good Money management skill. You are involves in the business of money. Therefore you have to be very good at managing your money. It is very important as you may need some immediate cash at particular time. If you experience this moment, you can directly take some amount of your money which you have managed so far a put it on your account to support your Forex business.

3) Decide when to stop. Deciding to stop is a hard thing to do especially if you have hit over your targeted amount. This is critical for your Forex business. If you follow you emotion, you will be irrational in every decision you make. Therefore, it is best to set the target of profit. When you have hit the profit, you have to stop.

4) Follow the trend. Forex market has the same common characteristic with other market. You can apply the concept of “buy low, sell high”. This is the fundament of the business. You have to buy the currency at a low price and sell it at a high price.

A deep understanding about these concepts will lead you to achieve success in Forex Trading.

Thursday, February 19, 2009

another great tips to learn forex

Forex trading is one of the most promising money making business model available online. Of course there always be a good and bad people in this business. Bad people will deliver a scam program while good people will assist you through the entire program. If you are a beginner in this field you should follow this step to advance your knowledge about Forex. Today I am going to share about various tips you can use to learn Forex trading. Do not worry, be positive and think like a winner. You can do it.
These are the quick tips which will enhance your knowledge about Forex. Let us begin. First of all you have to learn things about Forex. I mean everything in detail. Presume you’re self as the hungry people who need information about Forex. If you have your desire to learn, you will be able to face any difficulties. Some people may quit learning Forex because they think everything too deep. The important part is taking action. If you have decided to get into the Forex world, you have to be an expert in it. It is unegotiable.If you have this mind set, you will be able to get to the top.
The second thing is watching the social politic environment. Forex is not about forex itself. It connected to the outside world. You have to know what is going on currently in the world. Forex is affected by the political and economic policy. Minor changes in the political and economic policy will give a great affect to your business. Therefore, it is essential to read newspaper daily, watch the news and discuss thing related to economic or political matter with others.
The next point is not to put so much at first. You are still at your learning phase; it is mean that you have to be ready to lose money. You should identify how much money you are ready to get lost. This is the matter of mind set. By having this mindset, you will be ready to loose money and you will not desperate when you face loss.
As time goes by, your knowledge about Forex will be advancing, so, it is the Map your plan. You should have your plan of action and get your broker run it for you. Do not forget to ask for help or assistance from the one you think to be the better trader.

Thursday, February 12, 2009

3 ways trading with forex for private investor

Today we are going to learn about the various ways you can trade in Forex. You have various options you can use as your path to trade in Forex. You can do it directly and inderecty. It is really depend on your preferences. To simplify the concept, this is the kind of Forex transaction. This article simply explains about “what are the transactions you can use to trade in Forex”. Why you need to understand these three ways? It is because the understanding of these three concepts will boost your performance in the Forex business.

Let us begin with the first one. It is called “The Spot Transaction”. “The spot transaction” is a direct exchange among one against another currencies. In this transaction, there are some terms you need to understand. The first term is spot rate. Spot rate also called benchmark rate. Spot rate or benchmark rate is the market price for the particular currencies at a point of transaction. In the international world, you do not need any settlement if you involves as the investor in this trading. It does not require any immediate payment on the spot of this transaction. You might ask this question “so, when is the settlement date?” Let me answer. The day when you make your transaction is called the deal date. Professional also called the deal date as the trade date. The next day, which is the second day is called the settlement date. Settlement date also called value date.
The second one is “Forward and Futures”. “The forward transaction” is the trading agreement which arrange the trading process which not included in the Spot Transaction. It is not included in the spot transaction because the “real” deal date is more than two days after the deal date. The real deal date is the day when the two traders point a price. So the trader is not actually pay other trader at the current deal day based on that day price but they make agreement to refer at a day after the deal day when the particular agreement is made. “Futures” is a contract at a day in the future based on a fix price and amount.

The last one is “Options”. “The options” is nearly the same as Futures contract. Therefore, the buyer of the particular options only has the right to buy the currency at the fixed amount and the fixed price at the agreed future day.

Wednesday, February 4, 2009

forex or affilate marketing for online earning

We often head the word “Forex” without knowing the real meaning about this word. In this article I want to give a quick description about forex and the comparison about other common online business model, which I hope can increase your understanding and give you a valid reason to choose this business model. I have listed some other common online business model such as blogging and affiliate marketing as comparison
Blogging is simply setting up a blog. Your main job is writing, so, if you think that you are a good writer, you can this business model. The first phase in blogging business model is setting up the blog it self. You have to choose a domain name which can be based on your interest about things or based on the available niche out here which of course has low competition and higher search rate. Then you need to buy webhosting where you put your files in it. Webhosting is basically a hard disk in the internet. It will link to your domain when someone writes it in the web browser. The next step is writing the content. It is better if you write everything on your own. After having the blog itself ready including the content then you have to monetize your blog. You can add adsense link and any other link which can generate money for you. The last step is marketing your blog. One of the marketing techniques available is SEO. It is stand for Search Engine Optimization. If you master SEO stuff, you do not have to pay to get traffic.

The second business model is affiliate marketing. It is basically selling other products and generates some commission from every sale you make. Some people on the internet make a great living from doing this. They need years to achieve and master the skill. Affiliate marketing can be very profitable, as you do not need special skill. All you need is a good copywriting skill. Great Copywriting can seduce people to buy the product you sell.

The next business model called Forex. It is stand for Foreign Forex Exchange Trading. You can be very rich if you have enough knowledge and experience. There are lot of people generate their full time income from this business model. The essential key point is studying. There are certain method you need to master to gain maximum profit from this business. The best thing about this business is your income is unlimited. Further more, you also have to be prepared to loose some money on the learning phase. After you pass this period, you will make money easily than before.

How to Learn and Earn Money with Forex

The Foreign Exchange Market (Forex) is another great option to make money. Some people consider this as a way to earn part time income but some of them consider Forex as their way to earn full time income or at least majority of their income comes from Forex. They live in a comfort living with their family. The great things about it, is the can work from home while watching their children play in the backyard or swim in the swimming pool. Wouldn’t it be great if you experience the same thing like these guys? It must be great if you have the opportunity to experience those too.

To generate income from Forex, you have to pay attention to this particular thing:
First you have to make boundaries about the trading. It usually called trading boundaries or trading rules. After setting your trading boundaries, you have to follow them exactly. Tell you’re self to be discipline. Never go beyond the trading boundaries you have set. You will found trouble such as your profit will never reach the desirable amount. The major factor that will lead you to go beyond your trading boundaries is your emotion. Learn to control your emotion so you can walk in this path without going any further.

The weakness of most Forex trader is uncontrollable desire for more money. This hunger will lead the trader him self to bankruptcy. This is very basic skill need to be mastered. You have to control your self and read the situation. Have you ever watch a movie about samurai? The group of Samurai usually protects villagers. They socialize and blend together with villagers. When the harvest time comes along, they will work together with them. At that point they will always thank to the Earth that they have arrived at the harvest time. Based on that movie, we can conclude that there will be the time to sow and there will time to harvest.

Learn and re-learn. You should learn more stuff, read book and eBooks, listen to cassette or tutorial audio CD, watch video tutorial and find great tutor to dig the knowledge deeper. When you learn something it means that you fill up your memory so you can do things exactly. At some point you may think that there are some of your knowledge needs to be revised. So you need to re-learn. Once you have mastered the technical knowledge and physiological skill you will gain you will achieve more than you can imagine.

Tuesday, February 3, 2009

Earning Money With Forex is Very Possible

Earning money from Forex is achievable. You can earn money from Forex if you have enough knowledge and experience in this field. Finnaly you are interesting in this field, aren’t you? Making money from Forex is not a dream in the daylight. Lot of people has proven the Forex as the source of their majority income. They even offer courses regarding the Forex. Becoming the Forex education provider also generates some income from them. You can also do this once you have mastered the concept. Of course you can not reach that point in just a month. It need process. This article will guide you through the things you need to consider before investing your money in Forex.

Forex is gambling with possibilities. It is untrue if people say that investing in Forex is different with gambling. Ups … I have to revise mine. Forex is a sort of gambling which involves counting possibilities. When I say “gambling”, it means that the people are the players which play the game. Therefore some of them will enjoy the game and some of them will not as the loose money in their game. It is a gamble because you can not predict exactly how the outcomes of your investment will. I do not know if you have the ability the give an exact prediction of these things. A 20 years Forex investor might also fail to predict the exact outcome of their investment.

The good news is you can predict the possibilities through data. But first you have to learn how to read the data. You will be blind, if you fail to read the data. So the tip for today is you should browse for Forex education provider to gain an integrated education about Forex. They will teach you about the different investment method. Finding the trustworthy Forex education provider can be frustrated if you do not know how to research. You should really read through the review available in the net. Compare and contrast each education provider to gain a better perfective about them.

The next step is to find a trustworthy broker and ask for the best trading system. It is essential for you business as they are your partner in this long journey. You will trust them no matter what. Their word is your decision. Therefore, if you fail to understand the things about Forex, you will always agree to every decision they make. So, it is really important that you learn everything about Forex. Do not forget to put it into practice.