Forex Pairs

By Paul Bryan

The simultaneous process of buying of one currency and selling of another currency is carried out by the Foreign Exchange Traders, which demands Forex Quotes for such Currency pairs. One of the currencies, written on the left hand side, is called the base (or transaction) currency. The one written on the right hand side is called the Quote (or the counter) currency. An example can be cited in this regard. In the currency pair EUR/USD, the EUR forms the base currency and the USD forms the Quote Currency.

A Euro is said to be getting Stronger than a Dollar, if for example the quotation moves from EUR/USD 1.3500 to say EUR/USD 1.3510. The reverse happens when the quote EUR/USD moves from 1.3400 to 1.3390. This is the case with regard to any Currency Pair. The Trader makes a profit when there is an increase in the Currency Pair price, provided he is with a long position (buying the 1st currency against the 2nd one) and he suffers from a loss if he is with the short position (selling the 1st currency against the 2nd currency).

The Percentage In Point (PIP) is the smallest measure of price move made by the exchange rate in the Forex trading. The USD/JPY is an exception with regard to each PIP being 0.01, which in other cases one PIP, equals 0.0001.

The Ask price can be defined as the price at which a Broker sells the currency price and the Trader buys one. The Bid price is defined as the price at which the Broker buys a currency pair and the Trader sells one.

When the Bid price is subtracted from the Ask price, the result obtained is called a Spread. The pip is used to express a spread. When the USD or EUR is not included in the currency pair it forms a Cross Rate. Euro Crosses are pairs that include Euro Crosses.

A Trader needs to deposit a certain amount during any kind of transaction. Leverage is the ratio between contract value and deposit. The initial investment, called Margin, covers the credit risk of the broker, while opening a position. The percentage margin requirement equals the inverse of the leverage value.

The most traded and liquid currency pairs are called Majors. Any kind of transaction, involving Majors, account for 90% of the total Forex trading. The EUR/USD and USD/JPY are the most important currency pairs that are actively traded. The GBP/USD rank third, whereas EUR/JPY rank fourth.

You are advised to check out all the terms and conditions subjected to market risk and the Risk Warning Notices, as there is high level of risk associated with your capital investments as a consequence of which you may lose out on money, more than you had invested. This will help you in judging whether you are a trader suitable to carry out such transactions. - 23218

About the Author:

Want to become a successful trader? In that case your first port of call should be at Forex Currency Pairs for all the information you need to become an expert.

Automated Forex Trading

By Bob Thatcher

The Foreign Exchange market has quickly become one of the most dynamic and profitable opportunities on the globe. With almost three trillion dollars moving through the market each day, it doesn't take a genius to figure out its power. You can make a ton of money in very little time if you know how to do it. For the longest time, forex was only open to banks, governments, large companies, and those with a great deal of money to invest. In the past few years however, forex brokers have become available to anybody. Now even the average Joe can start trading with very little money. Automated forex trading has change the game completely for many at home traders.

Even though there is a ton of money to be had here, you can lose a lot too if you do not know what you are doing. This market moves super fast and if your caught off guard and or new to the game you can lose your clothes. Knowing this market can take many years of studying and practice to master. Which for most of us means losing money and making mistakes along the way. Luckily there is a shorter path from newbie to profits in the forex world and that is where automated forex trading comes in.

So what are we talking about here with automated forex trading and how does it help you? Automated forex trading is done with the help of an expert advisor or robot. There are a ton of these programs out there on the internet that you can buy to help you succeed in your trading.

Traders that develop these robots have years of experience in the forex markets and have created a successful profitable trading plan. They then find a programmer to incorporate it into software which then replicates the process over and over for all who use it.

Imagine the possibilities of being able to allow a forex robot to do your trading for you. You get the expertise and knowledge of some of the best forex traders in the world. You don't have to spend thousands of dollars learning their techniques and practicing them. You simply buy the robot, plug it into your trading platform and go about your business. You can grab your share of forex riches without doing all of the legwork.

The problem is there are literally thousands of robots out there on the internet. Where do you even begin and which one do you drop your hard earned cash on? My years of research has brought me to Ivybot. This was created and tested by some of the most highly successful traders out there. Ivy League scholars that developed this tool to help the average guy get into the market and make some money.

You will notice how powerful Ivybot is immediately. This product is actually 4 in 1. That's right, it is programmed to trade 4 different currencies using 4 different strategies. This is what we call diversification and allows you to maximize your profits.

Ivybot makes automated forex trading a piece a cake. The hard work, time, and research has already been done for you. Even the testing. All you have to do is get the Ivybot, plug it into your metatrader platform and let it do what it does best! Basically you just need to watch your profits come in. - 23218

About the Author:

For more info and and reviews on automated forex trading robots, I always check Jim Sullivan's blog for updates. He covers it all including forex signals

Forex Trading Accounts and Forex Education

By Bart Icles

At this point of your forex education, you must already be familiar with how foreign exchange trading works ? it is the buying and selling of different currencies. This significantly liquid marketplace attracts many new investors each day, and these individual investors can readily compete with large banks and hedge funds. The success of any forex investor relies on several different factors, one of which is setting up the appropriate forex account. There are basically three types of trading accounts in the forex market: standard, mini, and managed. Each of these trading accounts has its own advantages and disadvantages. Choosing which trading account to open is typically determined by the investor's tolerance for risk, the size of initial investment, and the amount of time an investor has for participating in forex trading on a day to day basis.

The most common type of forex trading account is referred to as the standard trading account. The name of this kind of trading account is taken from the fact that investors who open this type of account have access to standard lots of currency. You might have learned from your forex education that a standard lot is worth $100,000, and this is pretty much observed by everyone who participates in forex trading. However, having access to a standard lot does not mean giving out $100,000 of capital before you can start trading. It simply means you must have $1,000 in your margin account so you can start trading one standard lot.

Mini trading accounts are simply trading accounts that allow traders to make transactions with the use of mini lots. Most mini lots are equivalent to one-tenth of a standard trading account, which is around $10,000 dollars. Most brokers that offer standard trading accounts typically offer mini trading accounts as well. This is one way of attracting new investors who are still hesitant to trade full lots due to the amount of investment needed.

Another type of forex trading account is called managed trading account. In managed trading accounts, the capital is owned by the investor but decisions whether to buy or sell are made by account managers. These account managers handle the trading account for the forex investors, very much like how stock brokers handle managed stock accounts.

It helps to give time to your forex education so you can learn more about these accounts. Knowing the different advantages and disadvantages of these three different accounts will help you determine which kind of forex trading account to setup so your needs and objectives can be best met. - 23218

About the Author:

A free forex tutorial starts with a desire to learn and a drive to become a great trader. Learning with a forex video tutorial takes dedication and a good teacher. But once you learn how to trade and do so successfully your life will change and you have options and financial resources you never had before.

Stock Market Timing 101

By Mike Swanson

Everyone dreams of playing the stock market and hitting it big in the best stock picks; however, very few people will experience that. The stock market is unpredictable, and it can either make you quite a bit of money, or cause you to lose your money. Stock market timing is a very important part of the game.

Stock market timing is very important. If you hold a stock for too long, you can lose money. If you don't hold a stock for long enough, you can lose money, too. Timing is very important.

Several companies offer a stock market timing system that is designed to tell you when to buy long, cash out, or sell short. As pointed out earlier in this article, no one knows when to do this for sure. These systems only serve as a guide; however, they are based upon trends and research, even though they are still just a guess.

One plays the stock market in order to make money. No one plays it to lose money. If you do not have the money to be gambling with, then it is not advisable to gamble in this manner. The risk for losing your hard earned money is there. In order to be successful, you must have adequate timing. As mentioned previously, perfect timing all the time, is not possible.

Reality is that nobody can accurately predict what the stock markets are going to do from day to day or from year to year. Stock market timing systems are only there to serve as a guide for the investors.

One should not rely too much on the timing systems. In other words, do not put all of your eggs in one basket. Play it smart and play it safe. - 23218

About the Author:

For more articles from Mike Swanson sign up to his stock market beginners newsletter.

Learn Forex - Ordinary People Worldwide are Learning Forex Trading - Here's How You Can Too

By Vince Knightley

The foreign exchange market, also known as Forex, is the largest market in the world as it moves trillions of dollars per day. The average amount of money exchanged or traded daily is $3.2 trillion as speculators around the globe make buy and sell decisions in an attempt to make a good investment on the value of currencies.

While some make comparisons of the Forex market to gambling, others are profiting from it by spending the time first to learn Forex before beginning to trade. By doing so it is very possible to find odds significantly higher than gambling as you will be able to examine current market movements and predict the future direction of the value of currency pairs. With an education in the subject, it is very possible to make solid educated decisions each and every time you buy or sell based upon the current market trends and post significant gains.

If you are new to this market and curious about learning Forex, make it your goal to learn as much as possible before you invest a lot of your own money. There are numerous resources available to help you learn Forex trading, including electronic e-books, practice accounts, online courses, and you can even learn from watching the actions of an automated expert adviser or a Forex trading robot.

There is an abundance of information available to help you learn Forex, and because of that it is sometimes overwhelming and can make it difficult to know where to start. You want to learn quickly what is necessary so that you can begin to make active Forex trades and hopefully profit from them. You will want to be careful however, because while you can make a great trade and turn a nice profit, you can just as easily make one bad trade and lose more than all of your previous profits.

Begin by selecting an online Forex trading broker. Search for one with an abundance of free learning resources available right on their website. Most of the reputable Forex brokers will offer learning materials and self-study training courses. As you are learning, take the time to setup a practice trading account early on so you can practice what you are learning and more quickly get comfortable with buying and selling. One of the most critical parts of Forex trading is to know when to buy and sell, and then make quick and confident decisions.

For some it is "pips", for others it is "currency pairs". If you are finding yourself having a hard time understanding the concept or mathematics of Forex, don't give up your search for Forex profits until you read about automated Forex robots. There are several such "robots" available to download and some can be quite expensive. Of course they all claim to accurately predict the Forex market, so be careful that you do not waste your money on an inferior "robot".

One Forex robot has been showing profitable trades 95% of the time. Ordinary people with minimal knowledge of the Forex marketplace are setting up the "robot" and doubling their investments in a short two month time period using this automated system; so you will most definitely want to learn more about this opportunity before you give up on your search to learn Forex.

There are many people throughout the world making a lot of money with Forex, and if you go automated you can make a lot of money and free up a significant amount of your time. Curious and want to learn more? - 23218

About the Author:

Vince Knightley, an online researcher, writes articles about currency trading. His website, LearnForexTradingTips.com, can help you get started learning Forex trading and is dedicated to helping you learn how to profit from Forex. With some help, you will find that your journey to learn Forex will be easy.