Privacy Policy

Privacy Policy for http://learnforexto.blogspot.com/

If you require any more information or have any questions about our privacy policy, please feel free to contact us by email at ads5203@gmail.com.

At http://learnforexto.blogspot.com/, the privacy of our visitors is of extreme importance to us. This privacy policy document outlines the types of personal information is received and collected by http://learnforexto.blogspot.com/ and how it is used.

Log Files
Like many other Web sites, http://learnforexto.blogspot.com/ makes use of log files. The information inside the log files includes internet protocol ( IP ) addresses, type of browser, Internet Service Provider ( ISP ), date/time stamp, referring/exit pages, and number of clicks to analyze trends, administer the site, track user’s movement around the site, and gather demographic information. IP addresses, and other such information are not linked to any information that is personally identifiable.

Cookies and Web Beacons
http://learnforexto.blogspot.com/ does use cookies to store information about visitors preferences, record user-specific information on which pages the user access or visit, customize Web page content based on visitors browser type or other information that the visitor sends via their browser.

DoubleClick DART Cookie
.:: Google, as a third party vendor, uses cookies to serve ads on your site.
.:: Google's use of the DART cookie enables it to serve ads to your users based on their visit to your sites and other sites on the Internet.
.:: Users may opt out of the use of the DART cookie by visiting the Google ad and content network privacy policy at the following URL - http://www.google.com/privacy_ads.html

Some of our advertising partners may use cookies and web beacons on our site. Our advertising partners include ....
Google Adsense


These third-party ad servers or ad networks use technology to the advertisements and links that appear on http://learnforexto.blogspot.com/ send directly to your browsers. They automatically receive your IP address when this occurs. Other technologies ( such as cookies, JavaScript, or Web Beacons ) may also be used by the third-party ad networks to measure the effectiveness of their advertisements and / or to personalize the advertising content that you see.

http://learnforexto.blogspot.com/ has no access to or control over these cookies that are used by third-party advertisers.

You should consult the respective privacy policies of these third-party ad servers for more detailed information on their practices as well as for instructions about how to opt-out of certain practices. http://learnforexto.blogspot.com/'s privacy policy does not apply to, and we cannot control the activities of, such other advertisers or web sites.

Where do you start if you want to learn currency trading?

Well a good starting point is to look at just what Forex trading is and who the players in this market are. We should also think about just why you should be learning online Forex trading and thinking about starting you own online Forex trading business.
The Forex market (which is sometimes referred to as the FX market and for which the full title is The Foreign Exchange Market) was established as we know it today in 1971 following the demise of fixed currency exchanges. Forex currency trading is conducted around the clock, 5 days a week, and daily currency trades are worth in the region of $1.9 trillion US dollars. This
means that the Forex the largest market in the world and puts the major stock markets very firmly into second place.

A world-wide market established to facilitate the buying and selling of currency, the Forex market involves large organizations, such as central governments, commercial companies and international commercial banks as well as smaller players such as brokerage houses and individual brokers.

There is no set location for the market (although there are major trading centers around the world in a number of cities such as London, Frankfurt, New York and Tokyo) but it is essentially an 'over-the-counter' market with the vast majority of trading being conducted by telephone and on the internet.

The exchange of currencies is a central element in supporting global trade and, as the major currencies such as the US dollar (USD), the British pound (GBP), the Euro (EUR), the Japanes yen (JPY) and others move against each other and the foreign currency exchange rate for any given pair of currencies changes, there is the opportunity to make money from currency exchanges.

The major players in the market take advantage of this by buying and selling in deals which often run into many millions of dollars, but the smaller players are also extremely active and often trade in deals of as low as one hundred thousand dollars. And, by trading on the back on the smaller players, individuals can get into the market with a lot less than that!

The fact that even small players can join this market means that, as long as you are prepared to take the time to understand the currency markets and to learn the skills of Forex trading, then, with a little bit of capital to invest, it is possible to enjoy an excellent income from online currency trading.

Despite the fact that you cannot trade on your own and will have to use the services of a Forex broker, you certainly don't need a fortune and many Forex brokers will now allow you to open an online Forex mini account with as little as $250.

The Forex market is a technical market and it does takes a while to come to grips with the basic principles underlying the currency markets, to develop the necessary skills in the use of some of the 'tools of the trade' (like technical and fundamental analysis tools) and to learn Forex currency trading online.

Despite this, you do not have to be an expert in the currency markets to profit from them. As long as you take the time to learn foreign exchange currency trading and put in a bit of effort it is quite easy to gain enough of an understanding to begin making money through Foreign trading online.

Foreign currency trading provides an excellent opportunity for the small investor to make money but learning to trade Forex is essential before heading out into the market.

Through a large and growing collection of articles covering everything from the history of foreign currency trading to fundamental and technical analysis, psychology and strategies, tools and software we aim to help you learn to day trade Forex quickly and easily.

The History Of Forex Trading

Currency trading can trace its history back to the middle ages when international merchant banker devised the system of using bills of exchange. It is however changes which have occurred during the twentieth century which have really shaped trading in the global currency market we see today.

In the 1930s the British pound was considered to be the world's principle trading currency and was the currency held by many countries as their main 'reserve' currency. London was also seen as the world's leading foreign exchange center.

Following the Second World War however the British economy was all but destroyed and so the United States dollar took over as the world's major trading and reserve currency - a position which it still holds today. This said however there are now a number of other currencies, including the Japanese Yen and the Euro, which are also beginning to be seen as major reserve currencies.

It was also following the Second World War that a number of events took place which have been instrumental in shaping today's Forex market.

The first of these was the conclusion of the Bretton Woods Accord in 1944 in which the United States, Britain and France agreed that they would stabilize world currency markets by pegging the major world trading currencies to the US dollar (which was itself pegged to the price of gold). This accord held that when the price of a currency fluctuated by more than one percent against the US dollar then the central bank of the country in question had to step in and buy or sell the currency to bring it back into its one percent bracket.

The Accord also spawned the establishment of the International Monetary Fund (IMF) which was designed to produce a stable system for the sale and purchase of currencies and to ensure that international currency transactions were conducted smoothly and in a timely fashion.

The IMF also created a consultative forum aimed at both promoting international co-operation and facilitating the growth of world trade. At the same time it also broke down many of the exchange restrictions which were hindering international trade.

The IMF was also tasked with making financial resources available to member states on a temporary basis where this was felt to be necessary in furtherance of the aims of the IMF. Loans were normally only made only on condition that the government of the country to which a loan was made undertook to make substantial changes to rectify the situation which had given rise to the need for the loan.

Without any doubt however the most significant events as far as the Forex market is concerned was seen when the IMF proposed that currencies should become 'free-floating' in 1978. This allowed currencies to be traded at a price which was determined solely by the law of supply and demand and that there was no longer any requirement for currencies to be pegged to the dollar or for central banks to intervene in currency trading. Central banks could of course continue to intervene if they wished to do so, but any intervention would be entirely a matter of choice and would no longer be a requirement as it had been under the Bretton Woods Accord.

The next significant event in the history of Forex trading was the birth of the European Monetary System which effectively came into being in 1979. The European Monetary System got off to something of a shaky start when Britain did not join the system, although she did later participate to a degree by joining the European Monetary System's exchange mechanism in 1990.

The final major event to affect the Forex market was the establishment of the Euro as the European Union's single currency in 1998 with eleven member states replacing their national currency with the Euro.

Above all else however it was the free-floating of currencies in 1978 which accelerated the growth of the foreign currency market. Back in 1978 Forex trading displayed a daily turnover of around 5 billion US dollars but, by the turn of this century, that figure had risen to 1.5 trillion US dollars.

The 4 Elements Of Any Good Trading Market

The foreign exchange market (forex market or fx market) is the world's largest market and consists largely of the forex spot market (spot foreign exchange market) and the currency futures market. Today however the majority of smaller traders tend to confine themselves to trading spot forex.

There are four elements which must be present in any good financial market, whether you are trading in the stock, bond, futures, currency market or any other market. These four elements are liquidity, transparency, low trading costs and market trends.

Liquidity

There are always two sides to a trade, a purchase and a sale, and in its simplest form liquidity refers to the ease with which traders can buy and sell. To be truly liquid traders must also be able to trade in substantial volume without this having any marked effect on prices.

If a market lacks liquidity then traders will often encounter delays in meeting orders to buy, frequently leading to a significant variation between the price when an order is placed and when it is executed. In addition, it may be hard to sell in a market that is not sufficiently liquid.

Fortunately the currency exchange market (especially when trading in major world currencies such as the USD and GBP) is extremely liquid and a huge number of trades are conducted each day on the Forex money market with a trading volume that far exceeds that of other markets.

Transparency

A market is said to possess transparency when traders can access accurate information at all stages of the trading process.

Information is the key to many things in life and the world's various markets are no exception. There are many examples, especially in the world stock markets, of companies and individuals which have run into difficulty because the parties to a trade did not have access to accurate information.

The foreign currency exchange market is without doubt the world's most transparent market and this is especially true when it comes to pricing.

Low Trading Costs

Markets carry trading costs which inevitably lower a trader's profits or increase his losses. However, when a market can keep its trading costs low it becomes attractive to traders and encourages both an increased number of trades and an greater trading volume.

The absence of commission and other usual trading costs, together with the tight spread of prices, in currency trading mean that trading costs in the Forex market are kept very low.

Market Trends

In many markets it can be difficult to know just when to enter the market and when to exit it (when to 'buy' and when to 'sell'). As a result, it is important to have some way of assessing the present state of a market and to predict its future direction.

In the foreign currency exchange market this is achieved by employing various forms of technical analysis which examine the past performance of the market and identify trends which can then be used to predict its future.

Most markets display trends of one form or another, but in some markets these are far more clearly defined than in others, making it far easier for traders to enter and exit the market. The foreign currency market displays a particularly strong trending characteristic.

5 Reasons For Becoming A World Currency Trader

The foreign currency exchange market offers today's investor many advantages and here are just reasons why you might want to become a world currency trader.

A Market Which Never Closes

Many of the trading markets around the world are situated in fixed locations and operate within strict trading hours, often limited to just five or six hours a day between Monday and Friday. The Forex market however is open 24 hours a day.

This means that traders can not only take advantage of international events and react literally as they happen, but they also have the ability set their own trading hours. If you prefer to work in the mornings then that's fine but, if this doesn't suit you, then you can choose to trade during the afternoon, late evening or even in the middle of the night if you want to.

Low Trading Costs

In many markets, like the equity market, traders not only have to pay a spread (the difference in price between buying and selling a stock) but also have to pay a commission to the broker. On small trades this commission can typically be about $20 and this can rise rapidly to over $100 for larger trades.

Because the foreign currency exchange market is a wholly electronic market many of the traditional trading costs are eliminated and you are in affect reduced to paying nothing more than the spread. In addition, the extremely liquid nature of the global currency exchange market means that spreads are normally much tighter than those seen in other markets.

The Ability To Trade On High Leverage

In most markets where a trader has an opportunity to trade on leverage the leverage offered is often quite low. In the case of equity markets, for example, professional equity day traders will normally operate on a leverage of about ten times their capital. In the Forex market by contrast it is quite common to find that traders are permitted to trade at one hundred to two hundred times their capital.

A downside of high leverage is that it can of course lead to high losses as well as high gains. However, within the foreign currency market, risk management is extremely tightly controlled.

Limited Slippage

In currency trading trades are executed immediately using real-time prices at which firms will buy or sell the currencies quoted. In almost all cases this means that the price you see and the price you pay are the same.

This is not often the case in other markets where there can be often considerable delays between placing an order and that order being executed during which time the price will often move against you.

The Chance To Profit In Both Rising And Falling Markets.

Equity markets follow rising and falling trends (cycling between Bull and Bear markets), but the Forex market does not suffer this cycling which comes from structural bias in the market.

World currency trading always involves two currencies so that if you are down on one currency then you are up on the other. There is therefore always the potential for making a profit whether the market is rising or falling.