Posts Tagged ‘mutual funds’

Forex Managed Accounts - The Guaranteed Means To Gain From Forex

Monday, August 30th, 2010

Forex investments have been around a long time. They have been around since the advent of foreign currency as an asset class in itself. The concept of forex investments is nothing new. They have existed in the areas of stocks, mutual funds, bonds and commodities for decades. In short, they are just investment accounts with lots of benefits.

Virtually all people who open a currency trading account are going to lose money. In fact, in this regard, they are not forex traders at all. They are just mugs who saw an advert on the internet, and thought that they too could make an easy living just by pressing a few buttons.

OK, so I will illustrate for you how leverage actually works for you. This will raise a few eyebrows with newbie traders, as it is something the brokers will never tell you.. What attracts most traders is the lure of big winnings using big leverage - making thousands of dollars each day, or week. But in reality, it is all an illusion.

I think that many traders have thought about this though. But reality is, of course, very different, which is most investors give up before they lose their shirts, and open a managed forex account. But in a similar vein, the leverage can also cause big problems for a currency trader.. So, trading EUR/USD, with a 2 pip spread, the trader is already $100 down - or 10% of their account! Then, another 10 pips later, the trader gets a margin call, and their account is already decimated.

And so this is the true reason why forex investments have become so popular - pure greed. To find the elusive magic wand of forex trading. But after blowing an account or two, most will place their funds in a managed forex fund to ensure success.

At the end of the day, the only way to ensure you have a chance at profiting from the forex market is to leave it to a pro, and invest in a managed forex account. After all, you wouldn’t wire your own house to save paying an electrician?

Before investing in a managed forex account, don’t make the same mistakes as you did with the initial foray into currency trading, and ensure that you do your proper research.

To summarise, whilst trading forex is doable, it is clearly better off to open a managed forex account. Whilst you can give some credit to these people for trying, it is nearly always more profitable to invest in a properly run managed forex investment.

The internet is filled with convenient data on managed forex offerings, and we have set out just two examples here, where you can get further information about a range of important managed forex accounts and evaluations of individual managed forex funds and find out more about the thrilling and beneficial world of currency trading.

How A Good Forex Money Manager Can Save You Money

Monday, August 16th, 2010

An increasing number of investors are looking into the currency market as a way of beating the stock market blues.. Consequently, more managed account services have sprung up, offering their services to retail clients. This provides investors with a number of benefits.. This piece of writing examines why this has been the situation, and investigates why managed forex accounts can be such a good investment.

So why hire a forex money manager to look after your funds? Perhaps the obvious reason is that they are professionals, and will make more money than you could. Is this true?

In most cases, yes. It is a fact that most retail traders have blown their accounts within 3 months. After this period, they either go back to investing in stocks and other asset classes, or look to find a professional to manage their money in the forex market. Finding a honest and high performing forex trading manager can sometimes be easier said than done, but it well worth the search.

So what are the advantages of investing in a managed forex account, and how, in practice, can a forex money manager help to assist an investor get superior returns? Well, a big benefit is that you don’t need to be a millionaire to access a managed forex account. Most reputable hedge funds have a minimum investment of $1,000,000.

Another of the key advantages of using a forex manager and a managed forex account is that you have total control over your investment. What does this mean exactly. The key to this, is that you open an account with the relevant currency brokerage, and at no point do you need to send money across to the fund manager. This means that the manager will have no access to your money.

Of course, the manager will get access to trade your funds. This is set out in a power of attorney which you are required to execute, and return to the broker. What this says, in effect, is that you have granted permission to the manager to take trades on your account, and to give him full trading privileges. It does not, however, give him any other rights over you account, such as to make transfers or withdrawals of funds.

These different levels of security are a key reason why managed forex accounts have become so popular in recent years. Over recent years, there have been lots of cases of investment funds defrauding their investors of their funds. Many investors have trusted their funds with a manager, only to lose everything.

A further comfort in terms of safety of funds for investors is that your funds will be held by a properly regulated forex broker. All regulated brokers need to deposit a capital amount with the government regulator, and to comply with strict regulations in order to be able to conduct forex broking business. In addition, most countries will offer some form of deposit protection to the investor, so that in the event of the broker going bankrupt, the investor’s funds will be guaranteed by the government where the broker is based.

The web is full of useful data on trading forex signals, and we have set out a couple of examples here, where you can get further facts about a range of foremost forex money managers and evaluations of individual managed forex accounts and find out more about the exciting and profitable world of currency trading.

How A Good Forex Signal Provider Can Save Your Account

Tuesday, August 10th, 2010

The use by forex investors of forex signal providers has surged in recent years. The biggest task is how to choose which forex signal provider can offer you the best chance at success, and even more importantly, it is necessary to use a reputable provider. This commentary will examine how a forex signal provider can take your investing to the next point, while avoiding the pitfalls of scams and frauds.

Forex trading has become immensely popular in recent times. A lot of traders do not have the confidence to trade forex on their own,, and so a huge market has opened up for forex signal providers. Recently, many providers have set up signal offerings. The challenge lies in finding a consistently profitable, and reputable forex signal provider.

So let’s look at some details. Let’s take a look at what is involved in signing up to a forex signal provider, and can they turn a losing novice to a successful trader overnight? Well, firstly, and perhaps most obviously, if you are a amateur forex trader, you can become a profitable exchange trader without having much experience of fx trading. It can take years of learning and practice to be a skilled forex trader, and if you can skip a few steps along the way, then this is a huge asset.

On top of that, forex signals enable a forex trader to trade even if they are a novice. The forex signal provider emails or sends a text to the subscriber, and the trader just needs to place the trade. Nearly all forex signal providers will advise the subscriber precisely the entry and exit points of the trade So the subscriber only has to input these information to his account, and the broker will do the rest. So, a great solution for a subscriber who is busy during the trading day

Foreign exchange traders are able to look at the different forex signal providers by reference to different criteria, such as ratings by other traders, performance and peer approval. The accounts of the investors who have signed up to the provider are then automatically traded through the secure Zulutrade system. The trader can choose between hundreds of different forex signal providers.

Finally, forex signal providers can distribute their signals in through various formats, and send their signals in a variety of ways. Some forex signals will merely alert you to when to take a trade, whilst others, such as automated robots, will connect to your trading account, and without human intervention take trades on your account on your behalf. Today, with so many people having PDAs, the forex signals can be emailed almost immediately, and forex traders don’t ever have to miss the chance for profit. Thus it can be seen that there are many opportunities for using forex signal providers to profit from the currency market. However, it is imperative that the trader does his research beforehand, and selects a reputable forex signal provider, and does not get scammed out of his hard earned money.

Andy Curtis is a professional foreign exchange trader and instructor. You will get more information about a array of leading free forex signals and reviews of individual forex signal providers at his site specially designed for forex traders, 12y.net.

How Forex Signals Can Turn You Into A Profitable Trader

Thursday, July 29th, 2010

For a novice forex trader, using a forex signal provider can be a great way to be introduced to the difficult but exciting world of forex trading. For a beginner trader, he or she often needs a helping hand in order to succeed, and forex signals can be a good way to achieve this. This article looks at the factors why forex signals can be of assistance to a fx trader become successful.

There are dozens of forex signal providers offering their services these days. What is important is to conduct thorough research on the provider to ensure they are legitimate.

Fraudulent forex signal companies can be avoided in a number of ways.. First off, demand to see proof of their performance claims.. All too often, a website will make wild claims about the performance of their trading strategies, but after you have signed up to their signal service, and paid over your hard earned cash, the signals you receive do match up to the promises. Demand to see account proof - if they suddenly go silent, then you know that they don’t have this proof, and can then be ignored.

Furthermore, you can ask for a sample set of signals for a short period of time. Many forex signal providers offer this as standard - either a 7 day or a 30 day trial. Doing this means that a trader can test out the signals to see if it is worth paying money to subscribe. This is a vital step, and means that only the reputable forex signal providers will risk their reputation by sending out signals. This is a valuable step, as it allows the trader to consider the quality and reliability of the signals before spending money. More importantly, though, it gives an oportunity for the trader to test the signals on a demo account before risking his or her own money on a real trading account.

Next, don’t forget to check what level of support the signal provider is willing to offer. A lot of vendors offer help, assistance and even mentoring to their consumers This can be invaluable to inexperienced currency traders. Many of the established companies providing signals are managed by top currency pro’s who can help and assist novice traders, and exposure to this experience is a huge advantage from a trader’s perspective.

Only use a live account after you have tested the signals on a demo account. This gives the subscriber the ability to verify how good the signals are in a pratice situation. Reducing risk at every stage is crucial. Consequently, you need to be sure that the signals operate effectively in real trading conditions. Only when you are satisfied that the product is a good one, can you open a live account, with real money, and use those signals to increase your profits.

Andy Curtis is a specialized forex trader. You can get further information about how to obtain, free of charge, free forex signals and evaluations of individual forex signals at his site specially designed for foreign currency traders, Forex Village.

Moving Average Crossover Secrets That You Need To Know

Wednesday, March 24th, 2010

As a trader, you need to master the two technical indicators that are very simple to use but most effective. These are the trendlines and the moving averages. These two technical indicators can be used with a naked eye by just eyeballing the chart. They work for all markets. While calculating the moving averages, the time period used to calculate the average is very important. The shorter the time period, more fluctuations and whipsaw. What this means is the chances of getting wrong trading signals increase with shorted time periods.

There are three types of moving averages. Simple averages are calculated by dividing all the prices with the number of time periods used to calculate the average. In case of weighted and exponential moving averages, more weight is given to the recent prices as compared to the old ones making them more responsive to recent price action as compared to the simple moving averages.

On the other hand, longer time period averages move slowly with a smoother curve that can be slow in giving trading signals for entering into a long or short position. Now many traders use a combination of slow and fast moving averages in generating trading signals.

Most traders use the combination of three averages. Futures traders use the combination like 4,9 and 18 period averages. Stock traders use longer periods like the 40 day, 100 day and 200 day to generate trading signals. When the short period average crosses the medium one, this gives a trading signal but this need to be confirmed. Confirmation is obtained when the short and the medium move above the longer period average.

When using moving average crossovers as a technical indicator, when it is below, you should be short. And you should be long when the short average is above the longer period average.

The crossovers of these short and longer averages provide the trading signal to act as they indicate that the momentum is shifting from one direction to another. Moving average crossovers are an important tool in the arsenal of any trader. Moving Average Convergence Divergence (MACD) one of the most popular indicator depends on them.

These averages work very well in a trending market but do not work well in non trending or choppy markets. However, when trading with these crossovers, you should know this that these averages are lagging indicators. What this means is that they are giving a signal about the past price action something that has already taken place.

Mr. Ahmad Hassam has done Masters from Harvard University. Download this simple 1 Minute Forex Trading System FREE that makes money anytime instantly. Read this shocking 40 page FRWC Brutal Truth FREE report on trading robots.

5 Pro Trading Secrets

Wednesday, March 24th, 2010

Technical analysis is based purely on the price action. It does not take into account the fundamentals behind the price action. It only follows the swings on the charts. Many traders use technical analysis in making their trading decisions. There is no doubt that technical analysis is a powerful tool but ignoring the fundamentals altogether is not a good thing. As a good trader, you should always keep an eye on the changing fundamentals in the market.

For example, heating oil demand tends to rise in the fall and winter. Now a novice trader will think that it is a good strategy to go long on heating oil futures December contract without thinking that professional traders are already aware of this seasonality in the heating oil futures and factored this fact into the December contract prices.

Always keep yourself informed of the economic report release calendar. These reports can sometimes have significant impact on the markets. Try to learn about the reports that can have a significant impact on the market you plan to trade. For example, as a currency trader, you should always know that NFP Report release can move the market at the time of its release significantly. If you are trading T-Bonds, don’t enter into a position before the release of the US Employment Report.

There are some markets like the agricultural commodities and others that might not get extensive coverage. In that case, you need to subscribe to a specific newsletter that you think is good and can keep you informed about what is happening in these markets. As a trader, you need to keep yourself abreast of the developments in the world that are going to have an effect on the market that you trade. Read the Wall Street Journal, The Financial Times or the Bloomberg regularly. This way, you know what fundamentals are driving the market that you trade.

Now, no market functions in isolation. All market in the present time have become highly interconnected and interlinked. You need to understand the interrelationship between the futures markets and the stock market. What are the double and triple witching dates and how they might affect your trading or for that matter your investments. What starts in one market may soon spread to the other markets. The stock market crash of 1987 had started in the futures market. Similarly the recent stock market crash has its origins in the subprime mortgage market.

Now markets like crude oil, gold and US Dollar can significantly impact other markets. So never limit you scope to one market only. Always use intermarket analysis to figure out what is happening to the other market and how it can spread to the market you trade.

You should make a checklist to help you execute a trade. A trend may appear different on different timeframes. Always check that your daily charts are in agreement with the long term trends. Use multiple timeframes to figure out the primary trend in the market.

Mr. Ahmad Hassam has done Masters from Harvard University. Download this 1 Minute Forex Trading System FREE that makes money anytime instantly. Get this powerful Forex Swing Trading End of Day Trading FOREX-4 PACK Training Kit FREE.

Major Futures Trading Exchanges

Tuesday, March 23rd, 2010

Most of the people who invest in stocks, only know about the New York Stock Exchange (NYSE) or the NASDAQ over the counter market. Futures trading is one of the ways to grow your wealth. There are many dozens of futures contracts that you can trade ranging from crude oil, gold, ethanol, heating, gasoline, silver, copper, wheat, corn, coffee, soybeans, pork bellies, cattle, interest rates, currencies and others.

If you want to profit from commodities than futures trading is the best and direct method of getting access to the commodity market. There are several active futures trading exchanges in the US. Three of the world’s largest futures exchanges are located in Chicago.

The number one is the CME ( Chicago Mercantile Exchange). The futures contracts that get traded on CME include among others stock index futures, foreign currencies, interest rates, commodities, environmental futures and others. Futures trading is no doubt risky but if you learn it, it can be highly profitable. As said before, Ricard Dennis and his turtles used to trade the most liquid contracts in the market.

The commodities futures that get traded on CME include live cattle, milk, lean hogs, feeder cattle, butter, limber, pork bellies, Goldman Sachs Commodities Index and fertilizer.

CME provides you with the opportunity to trade futures contracts on these stock indexes as well as their mini versions the E-Minis. Now, one of the ways to trade stock market is to trade stock indexes like the various S&P 500 like the S&P 500 Midcap, Small Cap as well as the Russell 2000 and the NASDAQ 100.

You can easily trade almost all these contracts from the comfort of your home electronically using your computer.GLOBEX is the Electronic Trading Platform owned by the CME Group that allows the electronic trading of these contracts almost 24 hours a day.

The second most important futures exchange is the CBOT ( Chicago Board of Trade).The futures contracts that are available on CBOT include agricultural futures like the soybeans, ethanol, rice, corn, wheat and others. Mini contracts on corn, soybeans and wheat are also available for trading on CBOT.

CBOT gives you the opportunity to trade one of the most popular stock indexex the DJIA Dow Jones Industrial Average)in the form of Dow Futures. A mini version of Dow Futures called the E-Mini Dow is also available. You can also trade mini versions of gold and silver futures contract on CBOT.

Now the best place to trade crude oil, natural gas, gasoline as as well as a host of other energy futures in the NYMEX (New York Mercantile Exchange).This is infact the global hub for energy trading and offers futures contracts on unleaded gasoline, heating oil, electricity, light sweet crude, natural gas, propane and coal.

NYMEX also provides you with the opportunity to trade precious metals like the gold, silver, platinum as well as palladium. You can also trade metals like copper and aluminum on NYMEX. Futures trading is something that is not difficult to do once you get the hang of it. In the beginning, you should just paper trade these contracts for a few months!

Mr. Ahmad Hassam has done Masters from Harvard University. Know this shocking Dow Futures secret that can make you rich. Get your FREE COPIES of the HVMM Ultimate Day Trading System and the Universal Risk & Money Management Tool just now.

A Highly Reliable Chart Pattern-M Tops And W Bottoms

Monday, March 22nd, 2010

How do you know this is the market top or the market bottom when you look at the chart? The most reliable chart patterns that tell about a market top and the market bottom is the M and W patterns. Sometimes these look like the Double Top or the Double Bottom or what many chartists call the Head and Shoulder Pattern.

Now, first we need to understand how these patterns are formed. Markets tend to move all the time. When a trend starts, market advances tend to get carried away as traders and investors scramble to get onboard the new trend. Buying frenzy starts. Everyone wants to buy.

This first peak in the price action forms the first leg of the M in the chart pattern! But this upward push ultimately at some point loses its momentum. When it does, buying stops and selling starts. This is the top of the market or the peak in the price action.

When selling starts, price action begins to fall. Selling is now driving the price action down. Those traders who had long positions, now want to take profit and exit. This selling continues until a point is reached where buyers again jump into action driving the prices up again. This results in the formation of a second peak in the pattern that might be close to the first peak or lower than it. If the second peak is higher than the first, the chart pattern formed is the Head and Shoulder Pattern.

When the second peak is reached, the buying stops and selling starts, this forms the second leg of the M pattern. However, in almost majority of the cases, the second peak is lower than the first. The second buying rally has a peak that is lower than the first.

The W in the pattern is formed in almost in the similar fashion but in this case there is a downtrend. The first part of W is formed when the first bottom is reached. This is sort of a support where buyers jump in. Falling price action reaches it bottom, climbs again and then falls again forming the W Chart Pattern.

When buyers start buying, price action begins to rise again till it reaches its high and then falls again. Whatever, these Double Top and Double Bottom Patterns or what you call the M and W Chart Patterns are highly reliable indicators of price reversal. However, you need to confirm them with volume before you trade on these patterns.

Mr. Ahmad Hassam has done Masters from Harvard University. Download these Forex Scalping Cheatsheets FREE. First practice on your Forex Demo Account and double it three times in a row before trading live.

Silver Investing Vs Gold Investing-How Silver Might Exceed $400/oz

Saturday, March 20th, 2010

Silver and gold have always been used as medium of exchange since the dawn of civilization. Over the centuriers gold and silver coins were used as a sort of international currency. In the last century, gold and silver has been used to back the paper currency. Even today in times of financial distress, gold and silver are considered to be safe havens. Gold is more popular among the investors but to tell you the truth, silver can be a ten times a far better investment as compared to gold. It is being predicted by the pundits that silver prices can go over $400 per ounce in the next few months. So if you have been thinking of investing in gold, think about investing in silver too!

Now, in the decade between 1970 and 1980, gold and silver both had seen an unprecedented bull market. Many investors who had invested in gold in those days, still remember those days with nostalgia. Gold prices rose from $35 per ounce to $850 per ounce during that period of ten years. This was an increase of 2,329%. Not bad huh!

During the same decade between 1970 and 1980, silver prices rose from $1.5 per ounce to almost $50 per ounce. This was an increase of 3,233%.Right now, silver prices are hovering in the range of $17 per ounce. Just imagine, silver prices skyrocketing to around $400 per ounce in the next few months. This will be an unprecedented gain of over 2,000%. So don’t miss this chance of investing in silver right now!

Now, let me explain why this unprecedented rise in silver prices might happen. You see as compared to gold, silver has far more industrial applications. As the global economy starts to expand again in this year, the demand for many industrial products will grow. Silver like gold is available only in limited quantity. So you can well imagine what happens when the demand rises but supply does not! As the global economy starts to expand again in this year, the demand for many industrial products will grow.

The most important application of silver is as an electricity conductor. Silver wires are used as high tension cables. You will be surprised to know that silver is also used in a number of household appliances like refrigerators, washing machines, wall switches, fuses and so on.

Silver is used extensively in photography. This use might decrease as digital photography replaces traditional photography. But this will be replaced by new uses of silver in other industries.

Your computer monitor uses silver. Your cell phone uses silver. Satellites, High Tech Robots, Lasers and other high tech gadgets use silver.

A new double layer of silver on glass is sweeping the window market, as it reflects away almost 95% of the hot rays of the sun. A new electronic application for “smart tags” that are replacing bar codes could use significant quantities of silver.

Silver is heavily used in chemical industry. Silver is a great reflector and as said before is used widely in mirrors and glass coatings.

So, you can well imagine as the global economy starts to expand again and the demand for these products and services increase, you will see a skyrocketing of silver prices.

Mr. Ahmad Hassam has done Masters from Harvard University. Read this shocking 40 page Gold And Silver Investing FREE Report. Discover Forex Brilliance and download the powerful Mutil-Timeframe Trend Dash Board FREE just now!

Profitable Candlestick Trend Confirming Patterns-Separating Lines And Bullish Thrusting Lines

Saturday, March 20th, 2010

You are trading stocks. You have bought low when the uptrend started. You won’t to get out now before the trend reversal happens. But you are not sure. You don’t won’t to leave profits on the table by getting out early. So how to know that the trend is still in place and you can continue riding the trend for more profit. Candlestick charting and candlestick patterns can help you know whether the trend is about to continue to reverse itself. There are a number of trend confirmation patterns that you can use. Thrusting Lines Candlestick Pattern is on such pattern.

There are as usual two types of thrusting lines candlestick patterns-bullish as well as bearish. Bullish thrusting lines candlestick pattern is a long bullish candle on the first day. The second day or what you call the signal day, it is a bearish candle with a gap opening with price higher than the high of the setup day. However, the close of the signal day should be above the midpoint of the setup day.

On the signal day, the bulls push the price to a gap opening. When this happens, the bears try to comeback with the sellers trying to do the selling but are unable to push the price down below the middle of the first day. When a bullish long candle is formed, it means that the bulls have been in control of the market. So bulls are still in control and are again ready to take control of the market.

You can safely keep on riding the trend when you find this pattern. When a Thrusting Line Candlestick Pattern is formed, it means that the trend is going to continue in the future.

Now, Bullish Separating Lines is another important trend confirmation candlestick pattern that you should master. On the first day or what you call the setup day or what you call the first day, you will find a long bearish candle. This long bearish candle means that the bears have been in total control of the market for the day.

However, on the signal day or the second day, you will find a bullish candle. This bullish candle has got an open that is equal to almost equal to the open of the first day or the setup day. This is the feature that is used to identify the Separating Lines Pattern.

Now, the bulls are in total control of the market meaning that the uptrend will continue. On the second day, bulls start massive buying making the opening price equal to the opening price on the first day.

When these candlestick patterns appear on the chart, it means that the trend is going to continue. However, these patterns do not appear frequently and are somewhat rare. But whenever, they do make an appearance, they can be highly profitable if spotted correctly.

Mr. Ahmad Hassam has done Masters from Harvard University. Master these Candlestick Patterns with this 82 page FREE PDF Candlestick Guide. Download this 1 Minute Forex Trading System that makes money instantly anytime FREE.


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