Useful Forex articles about trading
In this section you will find more than a hundred Forex articles devoted to trading on the Forex currency exchange, as well as trading on other financial markets. The given articles about Forex will be useful both to a novice trader and to a person already familiar with this type of activity.
The Forex crowd and is it worth following it?
In any financial market there is such a thing as a crowd, but you should not always
succumb to its influence and blindly follow it.
It is following the crowd that most often leads to losses or loss of profit, so you should first carefully study the current situation and only then make a decision.
Forex is a virtual exchange, so when making transactions, the trader is not present on the real trading floor, but psychological pressure still remains. Its influence can be understood through a concrete example.
Casino or Forex.
Forex traders are mostly gambling people, somewhat
similar in character to casino players, but what are the similarities and what are the differences between these two sources of profit?
At first glance, it seems that playing in a casino is much easier, this is especially true for roulette and slot machines, but there are a lot of games that require not only knowledge of complex rules, but also the use of complex strategies.
It is the latter option that most often becomes a stable source of income; one of my friends has been able to pay for an apartment in Moscow for several years now through poker winnings. The most interesting thing is that he failed to achieve similar success when trading forex.
Correct entry into Forex.
Trading is a rather complex system consisting of a large number of components.
For successful trading, it is not enough to understand technical analysis and be able to read charts of currency pairs; you also need to correctly determine the time when it is better to enter Forex.
Moreover, this concept is equally important no matter what strategy you use, everything is subject to the same rules.
Entry to Forex should be carried out taking into account the following factors - the dynamics of trend movement, the nearest price level, fundamental news, changes in the speed of price movement.
Practical trend analysis.
There are a lot of different methods through which you can analyze the current situation on
the Forex market; each method has its own advantages and disadvantages.
Some are ineffective, others are highly complex, which is why it is so important to use the optimal analysis option, which will give the best results even for a novice trader.
Practical trend analysis is nothing more than creating an optimal market study scheme in which only the most important factors influencing the movement of the trend will be considered.
Illusory hopes.
Observing the career of another from the outside, it very often seems that achieving success is easy, just a couple of moves and not even
six months will pass before the money simply does not fit into your pockets.
But people who have never achieved anything with their own work can judge this way; usually, achieving success requires spending a lot of effort and time, and sometimes money.
Moreover, this also applies to stock trading; it is this area of activity that raises illusory hopes.
Profit and loss ratio when trading forex.
One of the basic rules of trading on the Forex exchange is the preliminary calculation of the desired profit and
the maximum allowable loss.
Often, novice traders do not want to think about this issue; as a result, the decision made leads to a lack of profit or excessive losses, and both options have an equally negative impact on the financial result of trading.
In order to increase the efficiency of trading, you need to influence both increasing profits and reducing losses; some beginners do not even realize how closely these two concepts are related in Forex.
Investors or speculators.
A novice trader is often shocked to learn how trading is carried out on the Forex or stock market; the discovery
is that all transactions take place not with real money or assets, but with virtual capital.
Why are some traders proudly called investors, while others are disparagingly called speculators, although trading is carried out on the same platform?
What are the differences between an investor and a speculator on an electronic exchange and how this can affect the financial result.
Flat Forex is like a moment of guaranteed earnings.
Most traders, out of habit, consider the opportunity to make money on the movement of exchange rates
only in the presence of a pronounced trend, without thinking at all about the future.
Moreover, this is a mistake not only for beginners, but also for many experienced traders, not wanting to think about the future, sometimes deprives us of guaranteed profits, and it is the flat on Forex that provides this opportunity.
The reason lies in some psychological aspects, but further we will not talk about them, but about how to make money at a time when the price has practically stopped its movement.
Interesting facts about the famous Mr. Soros.
Surely, there is not a single trader who has not heard about the success of the famous Mr.
Soros, but it is worth learning about this success in more detail.
As you know, it was Mr. Soros who was able to earn about two billion US dollars precisely from the complete collapse of the British currency. The trading strategy was quite simple: Soros took out a short-term loan in pounds and opened a deal to buy the German mark.
After the fall of the pound, all operations were closed back, and the exchange rate difference ended up in the trader’s pocket. According to one version, Soros played on the information that the upcoming news would not confirm the assumption of a reduction in the German discount rate. According to another, he spurred the fall by throwing 5 billion British pounds into the market.
Intuition and Forex trading.
The strategy of trading on intuition, despite the complexity of the entire Forex trading system, also takes place.
In the opinion of any novice trader, this is the simplest and most preferable trading option.
It seemed that there was something complicated here, I looked at the chart of the currency pair, the rate is growing and does not seem to be going to fall, which means we open a buy deal.
But for some reason, in most cases such experiments end in failure. Let's try to figure out whether two concepts such as intuition and Forex are compatible and whether it is possible to build your trading strategy based on this approach.
First of all, you should analyze the reasons for failures with an intuitive approach to opening trades.
Benefits of intraday trading.
Most of the traders who come to Forex prefer intraday trading; it is this type of trading that allows you to earn
big profits in a short time.
In addition, there are a number of additional advantages that make trading within one day more attractive for any trader. If we list the main ones, they are: the ability to trade with scalping and accelerate the deposit , the absence of additional commissions, greater predictability of the trend, full control over the transactions made.
Let's move on to a more detailed consideration of the benefits of intraday trading.
Diseases of traders and the fight against them.
The majority of people who want to become a trader associate this job only as a source of good income, but rarely does
anyone think about the harm to health that trading causes.
It would seem that there is no harm in sitting at a computer for several hours and clicking the mouse, I already spend no less time on social networks, but unfortunately there are a lot of diseases that can be acquired by choosing the profession of a trader.
Therefore, you should be prepared for them and take all possible preventive measures to reduce the likelihood of their occurrence.
Let's start with the most common:
Bull Market and Bear Market: How to Make the Best Choice
In forex trading, the main deciding factor in choosing the direction of a trade is the direction of the trend. 
The peculiarity of trading on the foreign exchange exchange is that it is difficult to identify the existing trend; the influence of bulls or bears here is not as pronounced as on the stock exchange.
But still, if you use both fundamental and technical analysis to study the situation, you can identify what sentiments are inherent in the trend at the moment.
Sometimes newcomers to the stock exchange ask: “When is it better to trade, on an uptrend or a downtrend?” It is best to start your trading by opening buy transactions.
This means when there is an upward trend and the exchange rate of the currency pair predominantly rises.
Forex trading in Russia.
Recently, on almost every page on the Internet you can find advertisements for Forex trading.
Offers to open an account sound differently, from direct promises to increase your money hundreds of times to more correct advertising of dealing centers and their trading conditions.
Forex trading in Russia is not an entirely simple matter; we should start with the fact that this type of activity is not really regulated in this country.
Most brokerage companies operate on the basis of gambling licenses. The government turns a blind eye to these tricks, because almost all brokers are registered in offshore zones and it is almost impossible to get hold of them.
Forex trend forecasting.
The entire process of trading on the Forex currency market is divided into two main components, the first of which is market analysis, and the second is forecasting the further behavior of the trend.
It is these two stages that are the basis for conducting successful transactions, so you cannot consider each of them separately, since without analysis it is impossible to make an accurate forecast, and without forecasting it is impossible to open a successful transaction.
Forex trend forecasting is classified depending on the time period of trading and the planned duration of the transaction.
Capital allocation.
This article will be of interest to traders who have large sums of
more than several thousand dollars at their disposal.
Since the distribution of smaller capitals does not make much sense. The main tool of any Forex trader is his deposit, or the amount of funds in the brokerage company account.
It is capital that allows you to make a profit; the larger it is, the more attractive the future prospects. But, nevertheless, it is important not only to make plans to make a profit, but also to try to protect yourself as much as possible from emerging risks. One of the most well-known ways to insure risks is precisely the distribution of capital on Forex.
Trader's working day.
When starting their career, most newcomers think that all their work will come down to a few
clicks of buttons and counting the profits earned.
But, unfortunately, not everything is so simple, and a trader’s working day is not limited only by the time spent on opening transactions. Trading on Forex or similar exchanges should not be confused with playing in a casino; those who think this way usually lose their deposit within a few hours. Successful trading requires, in addition to the trading process itself, to constantly improve your knowledge.
A trader’s working day consists of such components as analysis of the market situation and recent events, analysis of statistics on completed transactions, creation and testing of new passions or scripts, making forecasts.
Trader career.
Just a few years ago, not everyone could become a trader; this job required special education and was available only in large foreign brokerage companies and hedge funds. But in recent years the situation has changed dramatically; now making a career as a trader is much easier; all that is required from the applicant is desire and perseverance.
A trader's career can have several development options, the first and simplest involves investing using your own capital.
The second is working in a dealing center or investment company. This article will tell you what you need to do to become a trader, and what difficulties you will have to face.
How much does it cost to start trading forex.
Exchange trading used to require large investments; trading was carried out only through special representatives who had accreditation and special equipment worth tens of thousands of dollars.
Currently, this process has been simplified thanks to the development of electronic networks and the reduction in cost of computer equipment.
But still, in order to trade Forex, a certain amount of funds is required. How much does it cost to start trading Forex?
Ways to make money on Forex.
Forex trading provides an opportunity to get a huge income in relation to invested funds, while independent trading is far from the only opportunity to earn money. There are many other ways, using which you can also get a good profit, regardless of your knowledge and practical experience.
Ways to make money on Forex - independent trading, using automatic advisors, copying transactions and investing in PAMM accounts.
Each of the proposed options has its own pros and cons, which are not always noticeable at first glance to an inexperienced investor.
Currency interventions and their impact on the Forex market.
Any market is sensitive to any change in demand or supply, and the foreign exchange market is no exception.
It is these two factors that are fundamental in the formation of the value of currency pairs. It should be noted that in order to change the exchange rate, a significant change in the demand (supply) of the currency in question is required.
The volumes must be so large that they are noticed by other market participants. In this case, they will begin to make transactions in the direction of the emerging trend, thereby accelerating its movement. An ordinary trader cannot make a large transaction, but such participants as national banks are quite capable of making transactions worth several billion dollars or operating with larger amounts.
A real trading plan that will help you learn how to make money
Like any business, trading in the Forex market requires careful planning, especially when it comes to finding entry points into the market.
A trader must clearly understand the entire work scheme and always follow it; this approach will significantly increase trading efficiency and reduce the risk of making mistakes.
The trading plan can be divided into three main stages - the first involves making a forecast of the trend movement, the second involves directly searching for points in the market, the third is the final stage at which a decision is made to close the transaction.
It is precisely strict adherence to the drawn up plan and compliance with all its tactical aspects that will allow you not to lose your money, and then receive the long-awaited profit.
Chaotic trading always leads to the loss of the deposit or the formation of large drawdowns.
Truths and myths about forex brokers
Very often you hear a lot of different opinions about what Forex trading is and how currency brokers work.
Many traders assure that the majority of brokers only want to take money and do not have access to the foreign exchange market.
Their main task is to deceive the gullible average person into their networks and defraud him of money.
How is the situation in reality and which of the existing judgments are myths and which is really true?
In order to understand the essence of the issue, you should have some idea about the work of the Dealing Center and its earnings.
So, let's move on to a review of the most common myths among novice traders.
How exchange currency trading is carried out, theory and practice of trading
Exchange trading of currencies takes place on the foreign exchange market, and the market can be both external and internal.
The most famous trading platform is Forex, where most contracts for the sale and purchase of various currencies are concluded.
The process itself is quite complex and successful trading requires knowing and taking into account many different factors.
This article will discuss how trading works in practice and what are the main components of currency trading.
First of all, you should focus on the basic concepts and fundamentals.
Forecasting exchange rates
Making a forecast of the exchange rate only at first glance seems like an impossible task, but if you know the main technical points, you can actually carry out this procedure yourself, without resorting to the help of a specialist.
To do this, you need to know two main points - which external factors influence exchange rates and what patterns can be detected by analyzing the chart of a currency pair.
Currency forecasting can be used not only for speculative transactions on Forex, but also for assessing the risks of operations in the economic activities of some enterprises closely related to currency exchange.
In addition, when forecasting exchange rates, you should remember that you need to take into account in relation to which currency you want to make a forecast.
For example, the exchange rate of the American dollar cannot grow simultaneously in relation to all world currencies; there is such a thing as correlation, based on which, some monetary units will grow simultaneously with the American dollar.
The sweet and bitter truth about Forex
There are quite a lot of opposing reviews about working in the foreign exchange market, some claim that Forex is just a scam, others boast of record earnings, what is the truth about Forex?
In order to answer the question posed, many different factors should be taken into account; only on their basis can one form an independent opinion.
When considering the statistics of the work of dealing centers, one rather persistent trend immediately catches the eye - most beginners, almost for the first time, lose their deposit, but professional traders earn more and more every day.
The reason for such statistics is that in order to make money on Forex, you need practical trading experience and a large amount of knowledge.
The conclusion suggests itself - if you don’t want to lose, trade small amounts first.
Reviews about working on the Forex exchange.
In this article I will give my impressions of working on Forex, as well as reviews of other traders who have been working in the foreign exchange market for several years. During the survey, the question was also asked, “What recommendations and advice can you give to a novice trader?”
After reading the article, you can form your own opinion on whether you should trade or whether you need to choose another type of online earnings.
Feedback on working in Forex was obtained as a result of a survey conducted among traders with different trading experience, which allows you to form your own opinion about this type of activity.