FOREX TRADING

How much

money do I need

to trade forex?

Forex dealers can set their

own minimum account sizes, so

you will have to ask the dealer

how much money you must put

up to begin trading.Most dealers

will also require you to have a

certain amount of money in your

account for each transaction.

This security deposit, sometimes

called margin, is a percentage of

the transaction value and may be

different for different currencies.

A security deposit acts as a performance

bond and is not a down

payment or partial payment for

the transaction.

Dealers who are regulated by

the CFTC and NFA are required

to calculate and collect security

deposits that equal or exceed the

percentage set by their rules.

Although the percentage of the

security deposit remains constant,

the dollar amount of the

security deposit will change with

changes in the value of the currency

being traded.

Simple Trade Example

Are you ready? It's time to trade!
Here is a to-do list of actions to be taken as you open a trade:
- Identify the pair to buy/sell
- Decide on the initial investment amount
- Choose the appropriate leverage
- Consider applying trade limits (covered in the next chapter)
- Open trade
Let’s say that after spending some quality time on gazing at the charts of several
currencies, you’ve concluded that:
1) The EUR is trending up
2) The USD is trending down
Now, what is the reasonable decision based on this conclusion?
Clearly you can profit by first selling USD and buying EUR, and then buying

cheaper USD and sell expensive EUR.
We could do this by buying and then selling the EUR/USD currency pair.
A reminder - buying is done at 'Ask' price, while selling is done at the “Bid” price.
Imagine that you bought $100 worth of EUR/USD with a leverage of 1:100 at the
exchange rate of 1.5461. The details of your trade are:
Investment $100
Leverage 1:100
Units sold 10,000
EUR/USD (Ask) 1.5461
In plain English, what you’ve just done is bought (100X100=) 10,000 Units of EUR
/USD, which at that specific rate represents 1.5461 USD per 1EUR.
Now, let’s assume that at the end of the day, or possibly even a few minutes later,
the EUR/USD rate has risen to 1.5538. You sell those 10,000 Euro/USD Units at
the new rate of 1.5538 and get $177 back.

Tactical usage of Leverage

If you’ve been at all exposed to the world of Forex you’ve probably heard the
word “Leverage” being tossed around. But what exactly is “Leverage”?
Leverage is a very important part of Forex trading, and it’s critical that you know
exactly how it works and how to use it. It is the term Forex traders use to refer to
the ratio of invested amount related to the trade's actual value.
Forex brokers usually provide their customers with the option to trade on
borrowed capital, so that traders don’t have to invest tens of thousands of dollars
for the chance to make any real profit. When you trade at a leverage of 1:100, or
X100, it means that for every $1 that you invest in the market, the broker invests
$100. As a result, you can control an amount of $10,000 by investing $100. eToro
provides traders with the opportunity of trading at up to 1:400 leverage.
It probably won’t surprise you when we say that with greater opportunity for
profit comes greater risk. Just like slight fluctuations in currency rates can make
you significant amounts of money, it can also cause you to lose your money very
quickly. The higher the leverage, the larger the profit that you stand to make and
the quicker you might lose your investment. A leverage of 1:400 can make you
more money than a leverage of 1:100, but it also puts your initial investment at
more risk.
If you trade with a leverage of 1:100 the market would have to move 100 pips
against you for your position to be wiped out. On the other hand, if you trade with
a leverage of 1:400 the market would only have to move 25 points against you for
your position to be wiped out.
We recommend first opening a position with a low 1:100 Leverage, and only once
you see that you’ve hit a strong trend, consider opening one with a 1:400
leverage.
The Ratio between Minimal Lot Size, Trade Size and Leverage
Fundamentally, the minimal lot size for a trade is $10,000, thus the leverage
limitations are set according to the amount you choose to trade:
Trade
Size

Minimal
Leverage Lot
25 400 10,000
50 200 10,000
100 100 10,000
The advantage of trading with Leverage is that while your profits potential is

Trade investment

Trade and Investment is a Northern Ireland Assembly committee established to advise, assist and scrutinise the work of the Department of Enterprise, Trade and Investment and Minister for Enterprise, Trade and Investment (currently Arlene Foster). The committee also plays a key role in the consultation, consideration and development of new legislation.




Trade and Investment Framework Agreements (TIFAs) provide strategic frameworks and principles for dialogue on trade and investment issues between the United States and the other parties to the TIFA.


Although the names of Framework Agreements may vary, e.g., the Trade, Investment, and Development Agreement (TIDCA) with the South African Customs Union, or the United States-Icelandic Forum, these agreements all serve as a forum for the United States and other governments to meet and discuss issues of mutual interest with the objective of improving cooperation and enhancing opportunities for trade and investment.

The aim is to catch each and every fluctuation in  volatile commodities  Markets of world, Experts Analysis & Research on MCX to maximize  profit from commodities business.
commodity Tips are given by us by keeping an eye on the global market and  co-relate the Indian market with Commodity Market. And also provide Commodity Combo Pack to  clients.

Stock Trading

Stock Trading is not only hard work. It calls for a lot of education. Before you leap into the world of stock trading you should educate yourself. This is the only way you can save and preserve your capital. You should learn the qualities of a Successful Trader. You must learn how to control your emotions. Professional traders know well to not become emotional. There are some base quality stock tips which all successful stock traders follow. When it comes to stocks the most important part about turning a profit is your strategy. Do you have a strategy that you are following to make money? Investing is like having a baby, you have to have a plan for everything that you do. Don’t think that the stock market is going to treat you well, if you don’t have a strategy in place then the stock market will hurt you.


The following 3 strategies are basic strategies of share tips that are used by many big time investors, it is up to you to modify each strategy to meet your goals and financial expectations.


Gap trading – Gap trading is very simple, all you are doing is buying into a stock that is about to hit a gap (normally the next day opening). The reason this works is because you sit around looking for stocks in the news or stocks that have just rose in price substantially and didn’t stop at the closing bell. The reason these work so well is because stocks that are rising and didn’t stop before the market ended almost always increase in price even more overnight.


Shorting stocks – Shorting stocks is something that has got a bad name in recent years and it is a real shame that it has because it’s a great way to make money. Shorting is simply where you bank on the stock dropping in price. The great part about this strategy is that you can short almost any stock as long as you have the deal in place, but you only want to short stocks that you know are about to go down.


Dividend stocks – This is pretty straight forward. This strategy is just where you find stocks that pay a decent sized dividend and hold them for the guaranteed income. It is always good to have these in any portfolio, just make sure you aren’t too involved with dividend stocks.

The World Wide Exchange Market

FOREX (Forex market), refers to a worldwide exchange market in which currencies are bought as well as sold. This Foreign Exchange Market which we see today started in the 70's, when free exchange prices and floating currencies have been inroduced. In such a place only participants in industry determines the cost of one currency towards another, based upon dtemand and supply for that currency.
Foreign currency trading is  somewhat a special market for a variety of reasons. Firstly, it’s one of the several markets in which this can be explained with very few qualification that it’s free of external operations and that it can’t be manipulated. That is also the biggest liquid financial market, together with trade reaching among 1.5 and 1 trillion American dollars a day.
Using this money going on fast track, it’s clear why an individual investor would look for it near difficult to significantly have an affect on the price of an essential currency. Furthermore, the assets of the market indicates that unlike traded stock, professional traders are capable to close and open positions within a very few second as there will be always willing sellers and buyers.
Another special characteristic of the Foreign exchange money market is this variance of its participant. Investors find a lots of reasons for getting into the market, several long term hedge investors utilize massive lines of credit to seek more short-term gains. Interestingly, not like blue-chip stocks, they generate an environment that attracts investors having a broad array of approaches.

Transactions in foreign stock markets are not centralized with an exchange, unlike the NYSE it happen around the world via telecoms. Trade is open twenty-four hours in days  from Sunday noon until Friday noon.

Trading Tips and Tricks

Day Trading Tips' you mean the recommendations of another person as to the prospects for a particular stock or instrument, then we are fairly clear on it - stay away.


If someone offers you day trading tips of this kind, they are either an insider dealer, and will soon be in jail (as will you if you follow their day trading tips!) or they are talking horse feathers. Treat 'tipsters' like this with caution - they can no more see into the future than can you.

Day trading or active trading as it is sometimes called is the art of buying and selling stocks during the course of a trading day. Day traders deal in different financial instruments like currencies, stocks, futures and commodities to make quick profits by leveraging the rise and fall in the prices of stocks to their advantage. Commodity tips for beginners can be a risky affair but knowing a few day trading secrets can help any first time trader minimize his losses and make the most of the experience.






Share If you are a beginner trader you should start trading with a demo account until you have developed the trading skills and trading mentality that are necessary for effective trading. Anyone who is interested in foreign currency exchange trading will have to eventually make the transition from a demo account to a live trading.