Getting Started With Forex

It’s time to sharpen the forexrazor and make yourself an FX investing member and collect all the Software/Technical tools you can find and put them to work. We are trying to approach trading from a technical standpoint.

Forex Market Hours

The forex market is traded in the best time zone of the worlds four currency’s. The first up Starting on Sunday at 8PM EST time Sydney session, the Tokyo session open. Then next around 3AM-4AM the London session, and European sessions come to life. AND Finally the biggest and baddest of them all New York session starts at 8AM but the stock market actually opens at 9:3AM

Below are tables of the open and close times for each session:

 

The best time to trade a particular pair is during the most volatile times of day, during announcements and the session crosses, when both the pairs markets are open like the GBP/USD. (pictured above). Volatility tends to die down in the middle of the session, around lunch time and picks back up again when the New York US market opens.

 

Which Pairs Should You Trade?

The U.S. dollar serves as the de facto universal medium of exchange aka world’s primary reserve currency. So since the USD is the de facto/standard it will be used in all following pairs. So the answer is whichever of the three time zone fits your schedule.

EUR/USD The EURO is the worlds second largest currency and is the main currency for 16 countries.
GBP/USD Pound is the world’s fourth most-traded currency, appearing in about 6% of all forex transactions.
USD/JPY Japan is know as the world’s money lender and also as the third largest economy.

 

How to Make Money Trading Forex

It’s simple all you need to do is collect PIPs… but what is a PIP? In the foreign exchange markets, a percentage in point (pip) is a unit of change in an exchange rate of a currency pair. A pip is normally the forth digit after the decimal in a currency pair. Currency pairs are typically traded in lot sizes of 100,000 units of the base currency.

In the example JPY/USD, the JPY is the base currency and the USD and the quote currency. Dividing the two currency rates together give you the price. When US Dollar is the base currency value = positive when dollar is quote currency value is negative.

 

When to BUY (Long) or SELL (Short)?

Now this is the part where all your tools are going to come in handy.

First you will want to know what financial data is going to be released that day, then start researching. While doing your research tailor your findings to what the experts are saying and what they think should happen so can make a calculated choice on whether you should long or short the pair.  You will need a FX calender and technical data for that:

  •  http://www.dailyfx.com/calendar
  • http://www.investing.com/economic-calendar/
  • http://www.investing.com/technical/

Here is a little more cheat sheets for the tech data:

You need to be sure of your choice to long or short the pair because you have 50/1 odds on the riding on this estimated guess. Once you are ready, buy your pair and wait for the pips to roll in. I think that as a beginner you should not shoot for money the 20-30 pips daily you will risk you earning. Remember just collect your 5% daily and be happy!

iTrade iShares

Today iShareHow is going to teach the iTrade of iShares!

Learn how to trade the worlds major largest commodity listed on every exchange in the world such as the NYSE, NYSE Euronext,  all options Exchanges, Nasdaq, Japan Exchange Group, TOKYO STOCK EXCHANGE and many many more. The Forex (FX) market is a ever changing beast of trillions of dollars. There is much to learn in the process of getting started trading the FX market.

 

Now lets talk about the power of 5%. When going for major growth a plan is always necessary and starting small but powerful is always best. I have charted a way for iShare Trade Signals members to effect change in their life daily.

 

power-of-5

 

Achieving 5% daily will double you money in 20 days (business). Don’t believe that is possible at the beginner level? When you create your demo account just look at the movement of the bars in your major pairs like EUR/USD, GBP/USD and JPY/USD all quoted pairs make these kinds of moves more than once a business day. All you need to do to take advantage of it is to start practicing, reading and learning from the unlimited knowledge around the web. Most of the beneficial reading we have aggregated here on http://iShareTradeSignals.com.

What is Forex?

 

So what is Forex? Someone just told you about Forex and Currency pairs and your trying to figure out how to get started and where to start. iShareHow is the answer!

Forex is the world’s most traded market, with an average turnover in excess of $4 trillion per day. Compare this to the New York Stock Exchange, which has a daily turnover of around $50 billion and it’s easy to see how the foreign exchange market is the biggest financial market in the world.

CITED: What is Forex Trading – Forex Explained – City Index

Forex in the US trades at 50/1 ratio meaning for every 1 dollar in your account your actually controlling over 50$ depending on the pair your trading. The foreign exchange market determines the relative values of different currencies.

The foreign exchange market is unique because of the following characteristics:

  • its huge trading volume representing the largest asset class in the world leading to high liquidity;
  • its geographical dispersion;
  • its continuous operation: 24 hours a day except weekends, i.e., trading from 22:00 GMT on Sunday (Sydney) until 22:00 GMT Friday (New York);
  • the variety of factors that affect exchange rates;
  • the low margins of relative profit compared with other markets of fixed income; and
  • the use of leverage to enhance profit and loss margins and with respect to account size.

CITED: http://en.wikipedia.org/wiki/Foreign_exchange_market

 

 

When first reading into the FX market it’s easy to see why someone would want to trade this market there is plenty of money to be made but at the same time much more to be lost. Since you are trading a ratio you will also lose at that same ratio. But in other upsides you have far less companies to keep track of and instead you switch to tracking the financial system of the currency you will be trading. E.X. when trading the EUR or GBP you want to know what is going on with CPI and PPI or what the Bank of England and European Central Bank are doing with monetary policy. Another huge tracker of of FX will move is Gross domestic product (GDP) is the market value of all final goods and services from a nation in a given year, which is calculated as the population times market value of the goods and services produced per person in the country. With far less to research, huge margins and more inter-day fluctuations FX is the way to trade.

 

So now it’s time to start learning all the aspects to FX trading, where should you start. School of pipsology will teach you step by step all you need to know:  http://www.babypips.com/school/. You will also want to create a demo account to practice on while your learning the ins and outs of PIPs.

 

Bookmark the page and follow me on Twitter, Google Plus and Facebook to keep up with iShareHow’s classes and updates.

 

Read: Getting Started With Forex

Tracking the EUR/GBP News?

Trying to find a place to get all the news feeds of Europe EUR/USD and GBP/USD  news to help in your trading. We have the feed for you.


Here is the link to add the feed into your favorite feed: https://rss.mention.com/6khx/h9kg/a/CVHIWcElf9WzcV7zhRoPZd1YBwk=

Tracking The JPY News

Trying to find a place to get all the news feeds of Japan JYP news to help in your trading. We have the feed for you.

 


 

Here is the link to add the feed into your favorite feed: https://rss.mention.com/6khx/h9kh/a/EN0GbDAfFhLEQtAAcq2d5h7yPEU=

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