Question by garden_snake99: What book is a must read for an aspiring forex trader?
I’d like to know what books you would recommend to someone who would like to make it in the forex business. I’d love to learn from experienced traders talking about their struggles in this very tough market.

Best answer:

Answer by jsforex.blogspot.com
there is not one book that will bring miracles to your trading. You will have to read a number of books, develop your own theory on how you can make money trading forex, and practice.

Some books that have helped:
- beyond candlesticks
- the mental game of baseball

good luck!

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Question by Ace: How Good Are Forex Trading Systems For Emotion Free Trading?

Best answer:

Answer by R.J.V.
Forex trading systems are only as good as the traders who use them. Mental fitness and objectivity are key to your success as a trader, and most back-tested systems I’ve used are actually quite good for emotion-free trading. But they work only as long as traders don’t let their impulses interfere with the profit potential of their trades. You win some, you lose some. Don’t let emotions control the outcome of your trade.

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Question by aura6677: Do I need to be regulated (by FSA in UK) to provide forex signal trading services or can disclaimers help?
Disclaimers like 1. We’re not financial advisors 2. Consult your financial advisor before trading 3. We only provide analysis, trade at your own risk
would solve the purpose?

Best answer:

Answer by Trader Management
Good afternoon Aura,
I would definitely recommend speaking with the FSA about whether the information you are providing requires regulation. I should also point out that regulation and disclaimers should not be mutually exclusive; indeed, it is advisable that you look to employ both if you are considering offering any service that could be interpreted as a recommendation to buy or sell a given financial asset. The FSA are usually pretty responsive to emails, so it may well be worth sending them a note to get their thoughts on your proposed service offering.

I hope this helps.

Yours sincerely,

Christopher Kelly

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Question by lawanda schulte: I want to know best automatic forex trading software with good contact service?
I want to know best automatic forex trading software with good contact service?

Best answer:

Answer by Taylor
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Question by Pei Pelech: What should i get to start trading forex?
I live in kenya and i would like to know how i can start my forex trading career and what resources, tools or learning materials i need in order to be successful in forex trading. Thanks.

Best answer:

Answer by Raquel Meireles
If you are looking for the best forex software, use this software

http://Make-Money-With-Forex.org/

This software is the best software that can help increase your trading profit

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Question by None N: I want to know ALL about forex training?
I bet nobody can answer this without putting up a link. Losers. Spammers.

Best answer:

Answer by Daniel v 8.33
The word FOREX is derived from Foreign Exchange and is the largest financial market in the world. Unlike many markets the FX market is open 24 hours per day and has an estimated .2 Trillion in turnover every day. This tremendous turnover is more than the combined turnover of all the wordls’ stock markets on any given day. This tends to lead to a very liquid market and thus a desirable market to trade.
Unlike many other securities (any financial instrument that can be traded) the FX market does not have a fixed exchange. It is primarily traded through banks, brokers, dealers, financial institutions and private individuals. Trades are executed through phone and increasingly through the Internet. It is only in the last few years that the smaller investor has been able to gain access to this market. Previously the large amounts of deposits required precluded the smaller investors. With the advent of the Internet and growing competition it is now easily in the reach of most investors.
You will often hear the term INTERBANK discussed in FX terminology. This originally, as the name implies was simply banks and large institutions exchanging information about the current rate at which their clients or themselves were prepared to buy or sell a currency. INTER meaning between and Bank meaning deposit taking institutions normally made up of banks, large institution, brokers or even the government. The market has moved on to such a degree now that the term interbank now means anybody who is prepared to buy or sell a currency. It could be two individuals or your local travel agent offering to exchange Euros for US Dollars. You will however find that most of the brokers and banks use centralized feeds to insure reliability of quote. The quotes for Bid (buy) and Offer (sell) will all be from reliable sources. These quotes are normally made up of the top 300 or so large institutions. This insures that if they place an order on your behalf that the institutions they have placed the order with is capable of fulfilling the order.
Now although we have spoken about orders being fulfilled, it is estimated that anywhere from 70%-90% of the FX market is speculative. In other words the person or institution that bought or sold the currency has no intention of actually taking delivery of the currency. Instead they were solely speculating on the movement of that particular currency.
Source: Bank For International Settlements http://www.bis.org Extract From The Triennial Central Bank Survey of Foreign Exchange and Derivatives Market Activity

Currency19891992199519982001
US Dollar9082.083.387.390.4
Euro….37.6
Japanese Yen2723.424.120.222.7
Pound Sterling1513.69.411.013.2
Swiss Franc108.47.37.16.1

As you can see from the above table over 90% of all currencies are traded against the US Dollar. The four next most traded currencies are the Euro (EUR), Japanese Yen (JPY), Pound Sterling (GBP) and Swiss Franc(CHF). As currencies are traded in pairs and exchanged one for the other when traded, the rate at which they are exchanged is called the exchange rate. These four currencies traded against the US Dollar make up the majority of the market and are called major currencies or the majors.
Market Mechanics
So now we know that the FX market is the largest in the world and that your broker or institution that you are trading with is collecting quotes from a centralized feed or individual quotes comprising of interbank rates. So how are these quotes made up. Well, as we previously mentioned currencies are traded in pairs and are each assigned a symbol. For the Japanese Yen it is JPY, for the Pounds Sterling it is GBP, for Euro it is EUR and for the Swiss Frank it is CHF. So, EUR/USD would be Euro-Dollar pair. GBP/USD would be pounds Sterling-Dollar pair and USD/CHF would be Dollar-Swiss Franc pair and so on. You will always see the USD quoted first with few exceptions such as Pounds Sterling, EuroDollar, Australia Dollar and New Zealand Dollar. The first currency quoted is called the base currency. Have a look below for some example.
Currency Symbol Currency Pair
EUR/USDEuro / US Dollar
GBP/USDPounds Sterling/ US Dollar
USD/JPYUS Dollar / Japanese Yen
USD/CHFUS Dollar / Swiss Franc
USD/CADUS Dollar / Canadian Dollar
AUD/USDAustralian Dollar / US Dollar
NZD/USDNew Zealand Dollar / US Dollar
When you see FX quotes you will actually see two numbers. The first number is called the bid and the second number is called the offer (sometimes called the ASK). If we use the EUR/USD as an example you might see 0.9950/0.9955 the first number 0.9950 is the bid price and is the price traders are prepared to buy Euros against the USD Dollar. The second number 0.9955 is the offer price and is the price traders are prepared to sell the Euro against the US Dollar. These quotes are sometimes abbreviated to the last two digits of the currency such as 50/55. Each broker has its own convention and some will quote the full number and others will show only the last two. You will also notice that there is a difference between the bid and the offer price and that is called the spread. For the four major currencies the spread is normally 5 give or take a pip (will explain pips later)
To carry on from the symbol conventions and using our previous EUR quote of 0.9950 bid, that means that 1 Euro = 0.9950 US Dollars. In another example if we used the USD/CAD 1.4500 that would mean that 1 US Dollar = 1.4500 Canadian Dollars.
The most common increment of currencies is the PIP. If the EUR/USD moves from 0.9550 to 0.9551 that is one Pip. A pip is the last decimal place of a quotation. The Pip or POINT as it is sometimes referred to depending on context is how we will measure our profit or loss.
As each currency has its own value it is necessary to calculate the value of a pip for that particular currency. We also want a constant so we will assume that we want to convert everything to US Dollars. In currencies where the US Dollar is quoted first the calculation would be as follows.
Example JPY rate of 116.73 (notice the JPY only goes to two decimal places, most of the other currencies have four decimal places)
In the case of the JPY 1 pip would be .01 therefore
USD/JPY: (.01 divided by exchange rate = pip value) so .01/116.73=0.0000856 it looks like a big number but later we will discuss lot (contract) size.
USD/CHF: (.0001 divided by exchange rate = pip value) so .0001/1.4840 = 0.0000673
USD/CAD: (.0001 divided by exchange rate = pip value) so .0001/1.5223 = 0.0001522
In the case where the US Dollar is not quoted first and we want to get to the US Dollar value we have to add one more step.
EUR/USD: (0.0001 divided by exchange rate = pip value) so .0001/0.9887 = EUR 0.0001011 but we want to get back to US Dollars so we add another little calculation which is EUR X Exchange rate so 0.0001011 X 0.9887 = 0.0000999 when rounded up it would be 0.0001.
GBP/USD: (0.0001 divided by exchange rate = pip value) so 0.0001/1.5506 = GBP 0.0000644 but we want to get back to US Dollars so we add another little calculation which is GBP X Exchange rate so 0.0000644 X 1.5506 = 0.0000998 when rounded up it would be 0.0001.
By this time you might be rolling your eyes back and thinking do I really need to work all this out and the answer is no. Nearly all the brokers you will deal with will work all this out for you. They may have slightly different conventions but it is all done automatically. It is good however for you to know how they work it out. In the next section we will be discussing how these seemingly insignificant amounts can add up.
More On Market Mechanics
Spot Forex is traditionally traded in lots also referred to as contracts. The standard size for a lot is 0,000. In the last few years a mini lot size has been introduced of ,000 and this again may change in the years to come. As we mentioned on the previous page currencies are measured in pips, which is the smallest increment of that currency. To take advantage of these tiny increments it is desirable to trade large amounts of a particular currency in order to see any significant profit or loss. We shall cover leverage later but for the time being let’s assume we will be using 0,000 lot size. We will now recalculate some examples to see how it effects the pip value.
USD/JPY at an exchange rate of 116.73
(.01/116.73) X 0,000 = .56 per pip
USD/CHF at an exchange rate of 1.4840
(0.0001/1.4840) X 0,000 = .73 per pip
In cases where the US Dollar is not quoted first the formula is slightly different.
EUR/USD at an exchange rate of 0.9887
(0.0001/ 0.9887) X EUR 100,000 = EUR 10.11 to get back to US Dollars we add a further step
EUR 10.11 X Exchange rate which looks like EUR 10.11 X 0.9887 = .9957 rounded up will be per pip.
GBP/USD at an exchange rate of 1.5506
(0.0001/1.5506) X GBP 100,000 = GBP 6.44 to get back to US Dollars we add a further step
GBP 6.44 X Exchange rate which looks like GBP 6.44 X 1.5506 = .9858864 rounded up will be per pip.
As we said earlier your broker may have a different convention for calculating pip value relative to lot size but however they do it they will be able to tell you what the pip value for the currency you are trading is at that particular time. Remember that as the market moves so will the pip value depending on what currency you trade.
So now we know how to calculate pip value lets have a look at how you work out your profit or loss. Let’s assume you want to buy US Dollars and Sell Japanese Yen. The rate you are quoted is 116.70/116.75 because you are buying the US you will be working on the 116.75, the rate at which traders are prepared to sell. So you buy 1 lot of 0,000 at 116.75. A few hours later the price moves to 116.95 and you decide to close your trade. You ask for a new quote and are quoted 116.95/117.00 as you are now closing your trade and you initially bought to enter the trade you now sell

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Question by LES R: Is there a free forex trading course available for beginners that will allow profits to be made?

Best answer:

Answer by Brightstone
No.
There are not many that you pay for that will get profits.

Experience is the key, forex is one of the easiest markets to make and loose everything.
Literally hundreds of accounts go inactive every day.

Forex has a lot of different variables which you need to understand before you use real money.

If you aren’t willing to earn it through diligent practice and study, don’t burn your money.

Look for NDD when you sign up with a broker. You want a broker that is not playing against you.

You might want to start trading indexes first, much easier to see direction.

Seek opinions but make your own decisions. There are many free courses to get you familiar with the market. Be cautious and don’t use money until you can quantify that you are profitable. Simulators are also not an accurate measure of ones ability. Use a large test group 500 trades or more to quantify that you are able to be profitable. Be sure you are above 80%.

You might get lucky in the beginning. Just don’t over leverage yourself and get taken early in the game. If you start trading and build your self up, you will be able to trade when ever you want and take home profits.

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Question by Brook Desiyatnikov: What is a good forex system out there?
What is a good forex system out there?

Best answer:

Answer by Greta Swan
http://www.forextrading.com/ is awesome if thats what you mean?

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Question by Loura Dicapua: Do you know what is the Best Forex System?
Hi everyone!

I am new to forex and have only just found out about all these automated forex robots and such that are supposed to really take a lot of the risk out of forex trading. I need an real working automated forex robots, automated forex system that really works. Can anyone suggest a good one?

Thank you!

Best answer:

Answer by Collette Shadle
If you are looking for the best forex software, use this software

http://Make-Money-With-Forex.org/

This software is the best software that can help increase your trading profit

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Question by Qwerty: Where can i find (good) free seasonal Forex charts?
I’ve started getting interested in seasonality in Forex but i can’t seem to find any good seasonal charts or information can someone help me out? Thanks in advance.

Best answer:

Answer by ProfessorOddlot
Not into the FX market, but you can find currency related charts on www.stockcharts.com. For example, $XEU will bring up the “Euro Index”.

As for seasonality, if you use long-term weekly charts you should be able to discern any seasonal patterns that might exist.

Good luck!

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