Minggu, 29 Agustus 2010

Secrets of successful Forex Scalping

          Here are many supporters and opponents of forex scalping systems. There is no agreement of opinion even among people who use the same forex scalping system. It happens because success of the forex scalping system depends not only on professionalism of developers and the idea, realized in the system, but also on many external factors:
- Choice of broker. Many brokerage offices allow scalping, but can hinder work of the forex scalping system, especially if you deposit is small;
- Choice of the right money management policy. Many traders expect fantastic profits from the forex market and want to get several hundred percent per month. In order to achieve such goals traders often choose lot size, which makes 30% and even 50% from the deposit. In this case even one losing transaction can ruin the system.
- Professionalism of a trader. Many developers point in the system description that you don't need special knowledge for trade and it's true, but, at least, you must know settings of the system and metatrader trading terminal. It will help you to avoid stupid mistakes, which could ruin the system.

          You should take into account several important factors when developing the trading system for gaining small amounts of profit during short time intervals (scalping trading systems).The first and, maybe, the main factor is spread. Spread can ruin up to 20-30% of profit of your system. And if you add dealer's actions, directed at destroying the system, we can suppose with high probability about 70% of loss.

            The second important factor is multiple mistakes, which arise in the attempt to open or close market orders. For this reason many trading systems, which show profit at a test on historical data, may be unprofitable and even loss-making during real trade.

So how to develop a system, which will allow to use scalping and to make profit at the same time?

          Many scalping systems have limits in time of trade. If you have a look on currency movement diapasons during so-called "quiet market" hours, you will see that currency deviance exceeds spread by several points. You can solve this problem in several ways.The first way is to trade night and day, choosing currencies, which are currently match the scalping conditions, move in the linear regression channel or are in the flat channel, limited by resistance and support lines, for a long time. Or you can choose moments of low market volatility, when breakout of resistance lines or channel borders is unlikely.
         The second way is to set the system a time limit, but at the same time to improve quality (precision) of entry and exit. Improvement of entry quality can be reached by means of formation of linear regression adaptive channels.If you use a standard built-in linear regression indicator or other linear regression indicators, you will probably notice that arrangement of linear regression lines depends on number of bars, taken for channel formation. It is also easy to notice that you can form many such channels on the chart. So what channel is the most objective one? The most precise channel is the one, mean square deviation of which is minimal and is becoming lesser. There may be several such channels on the chart, and they will describe currency movement corridors more precisely. LR-Channel indicator will automatically detect all linear regression channels on the chart and will choose only those channels, mean square deviation of which is minimal and is becoming lesser.

Such channel will help you to detect entry and exit points more precisely than the standard linear regression channel or the flat channel.



Minggu, 15 Agustus 2010

what is forex?

        Foreign Exchange (forex), otherwise known as foreign exchange (forex) is one of the favorite choices for netters to work / invest online in the Internet. Working = if you are running alone, Investment = if you submit work to a forex fund manager / trader you. Forex Trading is trading foreign currency exchange rates on international money markets.         The forex market is the largest financial market in the world, larger than stock, options, futures. Who do forex transactions? conducting transactions in the forex market are: the governments in the world, the world's major banks, international companies, hedge funds, currency speculators and individuals. So, with the number of players in the forex market is causing a very rapid turnover. Transactions that occurred more than 1.9 trillion U.S. dollars every day, so making money can be transferred from one place to another in just a few seconds.
        The players can do forex trading by using the service brokers (commission house) or do it yourself online through the Internet. Forex trading has some advantages compared to trade other financial products such as trading stocks, namely:
24 Hours Trading Can be done 24 hours a day, five days a week, whenever and wherever we are. 24 hours of continuous running non-stop: Starting from New Zealand & Australia time hours 05:00 to 14:00 am, continued into Asian markets, namely Japan, Hong Kong & Singapore hour 7:00 to 4:00 p.m. pm, to European markets namely Germany and the UK at 1:00 p.m. to 22:00 pm, until to the American market hours 20:30 to 10:30 hrs.
All world currencies are common and have high selling power. Example: USDollar, Yen, Euro, Francs, Pounds Sterling. (EUR / USD, GBP / USD, USD / JPY, USD / CHF). and others. Then how to process the transaction? and what a Buy / Sell in the foreign exchange market? in foreign currency exchange (forex) is you can buy or sell currencies traded. Objectively is to gain profit or advantage of position you are doing transactions.
FOREX transactions are all done by your own you online via the internet (could be at home, cafes, hotels, cafes, cars, via PDAs, etc.)
Liquidity Very liquid with a number of broker / dealers who play in the forex market.
Low transaction costs Brokerage commissions are relatively small, even for online trading through the internet but there are no transaction fees are only charged for the amount of which varies. Also spreads are also small.
Potential gains two directions (up or down) Having a good profit potential in a stronger currency and the currency weakens.
Margin Trading Trading on margin to make the purchasing power of investors exceeds the amount of capital owned

technical analysis

         Technical Analysis (technical analysis) is one approach or method of analysis that evaluates movement of a stock price, foreign exchange, futures contracts (futures contract), the index and some other financial instruments.          The technicians will conduct fundamental research on price movement patterns are repeated and predictable. Even technical analysis can also be interpreted as a major study on price, including the amount (volume) and an open position (open interest).
So in essence, technical analysis is an analysis of the pattern of price movements in the past in order to forecast price movements in the future. Technical analysis is often also referred to by chartist as the analysis conducted a study using a graph (chart), where they hope to find a pattern of price movements so that they can exploit for profit.
          In technical analysis, to predict forex price movement and stock index the same as predicting the movements of commodity prices as analysts see only the factor graph and volume of transactions only.
BASIC PRINCIPLES Technical Analysis There are three principles that are used as the basis to perform technical analysis, namely:
1. Market Price Discounts Everything Ie all events that can lead to volatility in the forex market as a whole or the price of a country's currency as economic factors, political fundamentals and also includes events that are not predictable as there is war, earthquakes and so forth will be reflected in the price market.
2. Moves in Price Trend That is the price of foreign exchange will remain engaged in a trend. Prices began to move in one direction, down or up. This trend will be sustained until the price movements slow down and give warning before turning and moving in the opposite direction.
3. History repeats It Self Because of technical analysis also illustrates the psychological factors of market participants, the movement can be made by reference to historical price movements to predict the future. This historical pattern can be seen from time to time in the charts. These patterns have a meaning that can be interpreted to predict price movements.
            Some of the indicators used in Technical Analysis Support & Resistance Is the level of resistance between the bullish price move (uptrend) and bearish (downtrend). Bullish pushing prices up, and bearish down. Bookmarks prices basically move shows how far the price moves up or down.
Support and Resistance Levels Support is a price resistance level was below the current market price, where buying interest should be able to master and maintain the sales pressure from falling prices.
Resistance is a price above a resistance level that the current market price, which selling pressure should be strong enough to control the pressure to purchase and maintain tdak too high.
When investors expect a change, they often do with a sudden. Note: The breakout above the resistance level is accompanied by a significant increase in that volume.
          The development of support and resistance levels is probably the most significant events and measured in the chart price. Penetration level of support / resistance can be triggered by fundamental changes above or below investor expectations (for example: changes in income, management, competition etc..) Or by a self-fullfilling Prophecy (investors make purchases when prices rise). The cause is not new Expectations sesignifikan like effect that leads to new price levels
           Supply and demand There's nothing mysterious about support and resistance: a classic supply and demand. Supply lines indicate quantity (such as: the number of shares) where the seller will take action on a given price. When prices rise, quantity sellers also increased at that time so many investors want to sell at the highest price. Demand lines show the number of shares which the buyer wants to buy at a given price. When prices go up, quantity down when buyers were so few investors are willing to buy at high prices
At a given price, charts supply / demand indicates how much buyers and sellers. In the open market, this line regularly changing. Investors expectations may change and also the prices shown between buyers and sellers make sense. Breakout above the resistance level is evidence of upward shift in the demand where more buyers want to buy at high prices. Same with the failure of support level indicates that the supply line has changed Downward
           Foundation of technical devices analysts based on the concept of supply / demand. Chart prices for financial instruments give us the vision that is more of this activity.
Traders' Remorse Following the penetration level of support / resistance, is very common for traders to question the new price level. For example, after a breakout above the resistance level, buyers and sellers can question the validity of the new price and decided to sell. This creates a phenomenon called "traders Remorse" where prices return to levels of support / resistance following the breakout price.
Price action since Remorse is a crucial period. One of two things can happen. Is it the consensus of expectations which the new price can not be guaranteed, in this case prices will move back to previous levels; or investors will accept the new price, in this case the prices will continue to move the direction of penetration. If you follow the trader's Remorse, the consensus expectations of recent higher prices are not guaranteed, "bull trap" (or false breakout) created a classic.
           The same sentiment created the bear trap. Prices fall below levels that support very long downtrend reduced (or sell short) and then bounce back above the level of support left the downtrend.
The best way to quantify expectations following a breakout is to associate the volume with a price breakout. If prices penetrate the high level support / resistance with large increases in volume and period traders' remors relatively low volume, this suggests a new expectation will occur (the minority investors would be wrong to act).
          Conversely, if the breakout on moderate volume and periods of "remorseful" is in the level of improvement, this shows very little to change investor expectations and return to its original expectations. Resistance becomes support. When the resistance level is successfully penetrated, level changes to the level of support.
         Support Becomes Resistance One of two things will happen when prices approach the level of financial instrument / support / resistance. On the one hand, it can react as a reversal point. In other words, when stock prices fall to a level of support, the price will go up again. While on the other hand the level of support / resistance will be moved behind the time of penetration.
For example, when market prices fall below the level of support, the previous support level would be a resistance level while the market and then return to previous levels
Trend Lines The concept of trend is very essential to the technical approach to market analysis. All of the devices used by the chartist-level support and resistance, price patterns, moving averages and trend lines and so forth-has the basic purpose in helping to gauge market trends for the purpose of participating in the trend.
Trend Lines: uptrend and downtrend
           HAVE A third trend DIRECTION Most people always think the market is always on the uptrend or downtrend. The fact is the market moving in three directions: up, down, and flats. This distinction is very important to be known at least at the third, moving prices flat or flat. This flat type reflects the balance of the period in which the price level of demand and supply forces in relatively stable condition. This trend defines a sideways movement (sideways trend) as a trendless market.
This type of change selalunya not constant, based on the news and rumors. Changes like this would create a trap on bullish or bearish market.
             There are three decisions in the face of a trader - whether going long (buy), short (sell) or did not do anything on the market. When the market rises, the strategy is highly recommended purchase. When falling, the second approach is very appropriate. However, when the market moves laterally, the third option-out of the market-usually a wise decision.
          You can see the charts, with the changing days, or weeks as the time frame, chartist should decide the direction and duration of the trend. Formed from various types of market trends, and the introduction of this trend will largely determine the success or whether long-term investment / short.
           Moving Averages Moving Averages is one of the technical indicators are the most versatile and commonly used, because of how the formation and the fact that it is very easy to calculate and at trial. Moving Averages are the basis for many trends mechanical systems. Basically follow the market trend, because it only tells us the trend which occurred after the fact.
           Moving Average, MA To find out the movement during the 50 days on the closing price, the price for 50 days or more and total canopy added divided by 50. The term moving / moving used because only the price during the 50 days used in the calculation, for it was the body of the averaged data on the average moving forward every day a new trade.
          Note, the moving average can not be calculated before the data has a period of "n". For example, we can not show the average movement over the 50 days prior to 50 days from the charts.
Moving Averages The most common is the average day of 20,30,50,100 and 200. Each Moving Average provides a different interpretation of what would be the price instrument. Not always there is only one time frame. Moving Averages with a time span different telling a different story. The shorter time span, the more sensitive Averege Moving to price changes. The longer the time span, a little more sensitive or gentle Moving Average. Moving Averages are used to confirm the direction of the trend and the softness of the price and volume fluctuations or "noise" that can confuse interpretation.
Some types of moving averages in the chart: * Simple Moving Average (SMA) * Exponential Moving Average (EMA) * Smoothed Moving Average (SMMA) * Linear Weighted Moving Average (LWMA)

Analysis of the Forex and Stock Index

        Analysis of the Forex and Stock Index As we all know, playing the forex and stock indexes without knowing means we do the analysis of gambling in it. And obviously, the gambling will lead to losses. Unfortunately events like this not only experienced by some players in the world of forex beginner. Some have experienced tens to hundreds of million loss realized without a good analysis of the forex trading and stock index similar to gambling.         That's why we try to emphasize the importance of analysis in forex trading and stock index. Without it, do not expect we will benefit in the long term. If one earns a profit, usually by a factor of luck and will not last long. In a matter of weeks to months, all our funds are usually sold out due to lack of knowledge of factor analysis.
        So we can conclude that knowing the analysis of price movements is an absolute must / should be known by the players forexdan stock index. Broadly speaking, the analysis in the forex and stock index is divided into two ways, namely Fundamental analysis and Technical analysis. Both are based on assumptions that differ from one another.
Technical Analysis consists of: 1. Elliot Wave 2. Fibonacci Sequence 3. Indicator - Trend Indicators - Ocillator - Volume Indicators
Fundamental analysis consists of: 1. Economic News 2. Politics 3. Security Issues

Technical Analysis Unlike fundamental analysis, technical analysis turned on the notion that price movements can be predicted from the past. That is, with a row of data for past price movements, we can predict future movements. Something that really makes no sense according to fundamental analysts. Basic calculations in technical analysis is a mathematical fact that most of them are statistics and the science of chaos theory (pattern recognition). So it took approach exactly. Thus the results obtained can also be a number of exact and certain. Something that can not be provided by fundamental analysis. Some technical analysts even said so: "Technical analysis trading is a cheat."
         If so, is better than technical analysis fundamental analysis? The answer is "No." Remember, that the fundamental news is that gave birth to fundamental analysis is the real mover of the market, rather than technical analysis. In our opinion, each has advantages and disadvantages of each. Technical analysis is known for the exact factors and can be applied to any method of trading (day trading, weekly and even monthly to yearly). Known for his fundamental analysis can predict a significant and sudden movements that are caused by the news that matters. Here we sarikan weaknesses both.
         Weakness on Fundamental Analysis 1. It takes time to obtain information. 2. Often are subjective because it involves a lot of people's opinions. More suitable to be applied in long term trading period.
Weaknesses in Technical Analysis 1. Requires a lot of data to support accurate prediction. 2. Highly dependent on the ability chartist. Chartist Each has a different method and each is not necessarily suitable to be applied to one another. Difficult to apply in an inefficient market.
Back around the technical analysis, as mentioned above technical analysis is divided into three major indicators, Fibonacci sequences, and Elliot Wave Trading.
Indicators are a series of formulas that were created based on statistical science and used to predict trends, point support, as well as saturated ressistance buying and selling saturated. While the Fibonacci sequence and Elliott wave analysis based on pattern recognition based on the pattern of numbers and shapes of existing graph. There are more than 50 types of indicators you can learn in technical analysis, Elliot wave patterns of 11 standards (excluding derivatives trading developed by individuals or research labs or other specific community). While basing the calculations on the Fibonacci sequence Fibonacci series which are widely used to calculate the movement of random objects that have certain patterns (such as currency price movements). For now we have provided the fundamental lessons of the few indicators that you need to know. Expected at the times to come, articles about the Elliott wave and Fibonacci will be displayed. All this with the aim to equip you as an investor or prospective investor in the world of forex trading.

Fundamental Analysis If you've ever heard on television about the increase in world oil prices or the U.S. Federal Reserve decision, the Fed to raise interest rates, it is called the fundamental news.
The news greatly affect the market price movements and a great effect on an investor's portfolio in the world of forex and stock indexes. Analysis that relies on the news is called fundamental analysis.
Fundamental analysis of the opinion that the price moves because of the news and government policy, and market feedback to the news released. In fact the fundamental news like this that drive prices in the forex market and stock index. Any news that would, or that have emerged provide reciprocal reaction of traders who cause price changes. That is, news that appears able to make changes to the price of the currencies of countries concerned. These changes also eventually encourage the government as holder of the economic policies of the monetary authority so that it appears next new fundamental news and so on.
For a fundamental analyst, speed, accuracy and ability to predict the news (forecasting) market reaction to news released an absolutely vital component that must be owned. Without the above factors, it is difficult for an analyst with the news that there is a fundamental advantage to obtain a profit. Take a simple example. For example when we heard the news that the Fed has just raised interest rates by 25 basis points (equal to 0.25%) a few minutes ago (here is no longer a matter of hours, but minutes! Disadvantaged in a matter of hours means that the opportunity has passed!) general then the USD will strengthen the currency and buy the position can be done. Well, say you heard this news after two days later. This important news was not any good anymore because the market has finished reacting even likely already entered a period of correction.
Thus, the speed gain is very important news here. So also the source of the news you hear. No matter the news you hear is not valid throughout the market have the same perception of you. Is the market size, not really his fault on the news. In the world of forex and stock index has more than 50 types of fundamental news issued by each country and each story has a different effect on price movements.
Basic fundamentals are analyzing the information / news (news) derived from: 1. Agency Official / Government 2. Print media / electronic 3. Individual In accordance with the source, then the fundamental method is subjective, depending on the degree of confidence Investor / Consultant to the source of the news.
Fundamental news properties are grouped into two 1. Demand is bullish news Bullish derived from the word 'bull' (bull); trait describe market price movements look as if he would go down, but actually it will increase (similar to gore the ox of enemy movements, the gore, then thrown to the top). Examples are Bullish news from the Reuter / print media: - Inclement weather / storm / unfavourable, - 3-6 conseccutive (consecutive) days up / firmer (higher) - Triggered Buying, Bottomside / bottomout, Buying Power etc.
2. Offers news / Supply is bearish Bearish derived from the word 'bear' (bear); trait describe market price movements look as if they will rise, but actual prices will fall (similar to a bear movement gripped the prey, which is lifted and slammed). Examples are Bearish news from Reuter / print media: - Weather good / favorable, - 3-6 consecutive days down / Easier (weakened) - Lack of Demand (demand deficiency) - Triggered Selling, topside capped (Peak has been reached), Harvesting - Selling Power, Ample of stock (stock abundance), etc..
Factors affecting the analysis fundmental 1.Analisa: - Economics - Politics - Security (global, regional, State) 2.Penentu: - The speed of obtaining information - Sources of information - Processing information & forecasting (prediction)
How much economic data and the impact terhhadap U.S. dollars: No. Economic Indicator Up / Down U.S. ($) 1 Average Earning Rise Stronger 2 Balance of Payment Naik Stronger 3 Budget Deficit Down Stronger 4 Stronger Business Inventories Decline 5 Stronger Increases Capacity Utilization Car Sales Rise 6 Stronger Stronger Rise 7 Chicago PMI 8 Constuction Stronger Spending Rise 9 Consumer Confidence Index (CCI) Stronger Rise 10 Consumer Credit (CI) Stronger Rise 11 Consumer Price Index (CPI) Decrease Stronger 12 Consumer Spending (Expenditure) Decrease Stronger 13 Increased Cost of Living Stronger 14 Current acount Stronger Decline Corporate Profits Up 15 Stronger 16 Deflation Take Stronger 17 Stronger Discount Rate Rise 18 Durabel Goods Orders Rise Stronger 19 Econimic Monetary System (EMS) Stronger Rise 20 Factory Orders Rise Stronger 21 Federal Budget Increases Stronger 22 Federal Reserve Fund Increases Stronger 23 Gross Domestic Product (GDP) Stronger Rise 24 Gross National Product (GNP) Stronger Rise 25 Housing Start Up Stronger Stronger Rise 26 Industrial Productions 27 Invisible Trade Down Stronger 28 Jobless Claims Rise Stronger 29 Leading Indicators Rise Stronger 30 Money Supply (M1, M2, M3, M4) Take Stronger 31 National Association Stronger Rise 32 (NAPM) Stronger Rise 33 Non-Farm Payrolls Rise Stronger Personal Expenditure Increases 34 Stronger Personal Income Down 35 Stronger Prime Rate Up 36 Stronger 37 Product Price Index (PPI) Stronger Rise 38 Public Sector Debt repayment Stronger Rise Stronger Retail Sales Decline 39 Stronger Rise 40 Trade Balance Stronger Decline Trade Devicit 41 42 Trade Weighted Index Down Stronger 43 Decreasing unemployment rate Strong

About Forex For Beginners

What Is Forex?
          Forex approaches from foreign exchange, or exchange of different currencies, forex activities in both realized or not realized is often done in by everyone in this world. When you travel abroad you must exchange your currency with the currencies of countries that you are headed. Or another example is the currency transactions in the import-export activities, the needs of the market and banking institutions. Forex transactions themselves can do this by maunial, phone or online via the internet.
What a difference a traditional forex market and forex market modern / online? For the traditional forex market currencies are in use level is 1:1 or means to transact money worth $ 100 you also need the money amounted to $ 100. In other words to trade in traditional markets is a very large capital needs. In general, these traditional markets made offline / manual. Whereas in the modern market in perdagangnannya using Senta margin levels and usually do online in the Internet or via telephone.
What is the level and the margin? In the modern forex trading is usually in the conduct of transactions using the margin and the level like this example, the level 1:100 means to trade $ 100 of capital that needs to wear his only 1:100 sajaatau only $ 1 only. And $ 1 is the one who called the margin (also called a deposit for the purchase / sale Quantity $ 100)

How could $ 1 can buy $ 100?
Why? Because the truth can be told brokers / rokerlah who spend some $ 100 is for you. So that you only need to spend money (Deposit Account) for the losses and gains dri menaggung senialai transaction was $ 100. So $ 1 is only as a guarantee of $ 100. and the rest of the money there as insurer losses and gains from such transactions. Because this system is much more in the modern forex interest didanosine compared with traditional forex.

TERMS IN FOREX

Above the market Orders to sell securities or securities in the market price at that time. Acceleration theory Theory that changes in consumption levels will even greater changes in the number of purchases and production rates. The action was seen as one of the driving inflation.
A.
Acceptance Approval to purchase or sell securities / contracts certain currency at a specific date and a specified price in the future. Account All accounting records relating to various transactions and a customer, including credit or debit balance, floating loss / profit, and net book value of nil. Account balance The difference between debit and credit in an account. If the debit and credit is greater, then the account is said to have a negative balance. In other terms, it is called a deficit. While the opposite is called a surplus. Account executive An employee and brokers / dealers a stock brokerage firm / foreign currency, abbreviated AE. AE Solid submit orders to purchase or sale of securities / currencies, and allowed to client accounts. In advanced countries, the position must have the permission AE / certification bodies and the local national market. Account Statement Periodic reports that describe the status and point selling securities transactions / currency contracts a customer. Accounting rate of return Income levels. Income generated during an accounting period divided by the amount of money invested during the same period. Appreciation The strengthening of a currency or stock as a result of a positive response or a request that is higher than the market participants. Bond arbitrage bonds that in order to fund the re-interest bonds were higher before the bonds must be redeemed. To get the benefit rate of new issuance proceeds are invested in debt securities-specific until the redemption date of arrival. Investing arithmetic Investment method that reduces the risk faced by investors by way of estimating the rate of profit throughout the period of time. Around (Round) Some points (pips) above or below the target price (par value). For example, when or who want spot price. Three three-term mean around 3 points below or above the desired price (par). Asian Development Bank An international bank based in the Philippines that helps ocial growth and ekon0m 'in Asia by providing loans to poor countries. Ask price (Purchase Price) Price offer for sale of a currency contract / share. Asset Everything is owned by the company or individual and start building, equipment, until such intangible assets are patents and reputation. Asset allocation Investments in various asset allocation for goal - specific purposes such as the level of risk, and potential level of appreciation. Asset Valuation Estimated value of an asset that will be the tax base. At a discount Securities which are sold at a price below par value. At market Orders to buy securities / currency soon best price appearing on the market. At risk Possible loss. Investors in community limited (limited partnership), may receive a reduced level of profits tax if they do not base investment guaranteed. Automatic Trading System Execution of transactions conducted using the progress computer technology so that any party seeking conduct transactions simply enter the order into the media computer, without having to meet each other directly.
B.
Back dating Writing the date on any check or other document, in which date was earlier than the date of actual withdrawal. Similarly, an investor who holds a certificate Mutual funds that originally did not sign the letter of intent (Lol) Lol this can be signed within 90 days from the date these Mutual Funds Back Office Department or division in charge of processing the various things related to financial transactions in the mar departments dealing room. Usually composed and settlement department, accounting, and finance. Back-end Rights Right to protect the financial interests of shareholders. Tactic used by management when the company threatened to be taken over. If the taker than succeeding portion of outstanding shares, but not able to complete the takeover offer appropriate value management, the right holder can redeem with cash, preferred stock. or debt securities so could harm those who take alib. Bad debt oans or balances of loans receivable and accounts then expensed by the company. Bail out Bailout. Balanced budget udget. Expected revenue equal to expected expenditures during a given period. Balance of payment Balance of payments. The balance sheet records all international financial transactions of a country with a basic double-entry bookkeeping. Components of current account balance of payments is (imports and exports of goods and services), capital account (investment mobility), and the balance of gold (gold-owned mobility). Surpluses and deficits addressed in a different account. Balance of Trade Values and a country's exports minus imports. Balance sheet Balance Sheet. The financial status of a company or person at any given time. The components of the balance sheet are assets, liabilities, and equity. Deficit ballooning effect Stock deficit that soared to produce a greater effect in the economy. Bank guarantee letter Bank guarantee letter. Syndicate bank Syndicate of banks. A group of banks that banded together to sell or guarantee the issuance of certain securities. Bar charts Bar charts. Type graph opening price, closing highest and lowest, and a currency or stock. Its value changes occur over time. Usually used by the dealer / trader currency / securities to make price which may appear in future. In the analysis of bar charts it is also known a variety of patterns (chart pattern) that describes a set of conditions during a particular price for the then anticipated further price movement in a pattern that has ever happened in the past. Barrels of oil Is a standard measure of the volume of barrels of oil in international oil trade. One barrel equal to 42 gallons of oil at a temperature of 60 degrees Fahrenheit. Base Currency In a general sense, it describes a currency that is owned by an investor on its balance sheet. In the forex market, the U.S. dollar is normally base currency for trading with a variety of other currencies. Calculated every dollar by currency pair. An exception is the system base currency against the euro, sterling, Australian dollar, and a variety of money placed in front of U.S. dollars in indicating the currency to the currency or currencies direct primary. Base Metal Base metal used to describe a group of metals whose value under a gold or silver, for example copper. nickel, etc.. Bear Market One condition in which prices continue to decline in the market. Bearish practitioners / money market stock price showed a declining trend. Bid Rate (Selling Price) desired by the trader to buy a particular currency. Bid / Ask Spread Differences in buying and selling prices at a certain time. distance / difference of the purchase price and selling it is often used as an indication of market liquidity. That is, if the spread is on the wane, the higher the liquidity of the market situation at that time. Board Trading System Execution of transactions conducted using a blackboard. The parties intend to enter into transactions only put enough orders on the board in question. Bottom price Lowest price occur within a certain timeframe. out A condition of the price of a currency that has long been at a low price basis and is expected to become final lowest price, before prices go back up the currency. Breakaway gap Fluctuations in the price at which the highest price and lowest price exceeded the previous day price fluctuations and trends are created. For example, a positive trend is expected to appear if mi lowest price is higher and the highest price the previous day. Bretton Woods Agreement of 1944 An agreement that puts the world's major currencies are pegged to the foreign exchange market, which provided for a central bank intervention in currency markets. And peg the value of the currency prices for 35 U.S. dollars per ounce. Agreements that expire until 1971, when U.S. President Nixon to remove the system of Bretton Woods agreement and start the world money market man (FOREX) with a floating currency system Maw on various major world currencies. Broker Broker. Intermediary between the buyer and seller of securities / money market products. Brokers usually charge a commission for each transaction and its customers. Brokerage Fee Commission that should be paid to brokers / broker for a transaction. Bull Market Istilab used by practitioners of the money market to show a rising trend of prices. Bundesbank Central Bank of Germany.
C.
Cable Other Isitlah addressed the global forex trader for a value nikar Sterling / DOLLARS. It is so called because of the exchange rate is indeed was originally transmitted via a cable sender (transatlantic cable), which began in mid-1800. Candilestick Chart A type of chart that indicates the range of transactions in a currency / shares. Includes information about opening price, Highest, Lowest, and Closing. If the closing price is above the opening price, then the type of Candle empty. Conversely, if the closing price is below the opening price (price falls), then the candle will contain. Pattern analysis was first introduced by commodity traders in Japan in the early 18th century. Central Bank Central Bank of a country, in Indonesia, Bank Indonesia, the U.S. is the Federal Reverse, Germany is the Bundesbank, etc.. Chartist Someone who uses charts and graphs, as well as making interprerasi trend data or historical price movements to determine trends and make predictions in the future. Known also as Technical Broker. Choice Market One condition in which there was no difference in market price. All buyers and the seller pointed at the same price. Clearing Settlement process and a transaction. Collateral Something trends in keainanan a loan or sebagaigaransi daripelaksanaan. (Something given to secure a loan or as a guarantee for implementation) Commission Commission Fee charged by a broker on investors. Complex Ore Is a type of bean that has a lot of the content of metal minerals and expensive to produce. Confirmation Confirmation forms, whether in the form of recordings and documents that indicate the occurrence of a rransaksi and one particular party or parties concerned with the quantity, unit, and the time the transaction is conducted. Contagion Kencederungan / tendency of an economic crisis in one market to switch to other markets. In 1997, political stability in Indonesia has resulted in increased tension on the price of Rupiah. And there, the tendency merambar to other Asian counterparts, such as Hong Kong, Latin America, and now called 'contagion'. Contract Standards and units of the transaction. Usually the fugue is minimum unit of transaction contract. Counterparty One or more parties involved in a transaction financial. Country Risk Risks are defined based on and a cornerstone of the transaction is conducted, rermasuk consideration of legal and political conditions of a region. Cross Rate Nila sam aritara exchange or several currencies which is not a standard benchmark countries where currencies are traded. Examples are, in Indonesia or in the United States on foreign currency transactions EURJJPY will be referred to as cross rates. Meanwhile, for the Euro zone countries and Japan region, winning both eyes is called the primary currencies traded. Currency A currency that is legalized by a state that is monitored directly by the central bank and used as a tool of official transactions proficiency level in these countries. Currency Risk Risk opportunity that may exist in a changing mi nor the current price in the future.
D.
Day Trading Refers to a position of certain financial transactions that are opened and closed on the same day (not night / overnight). Dealer An individual who acts perform various financial transactions for and on llama a certain principals or konterparti. Usually. Certain principals to take a position that hope will be able to reap the benefits and the difference between the transaction price and konterpartinya. Another thing is usually done by a broker mediates certain transactions and individual or corporation, whether for sale or purchase transaction with the commission of the transaction. Deficit A negative condition on a balance sheet perdaganganl financing. Delivery An FX trade where both sides make and take actual delivery of currency diperdagangkannya. Beban One condition in which the value of a currency crash. Derivatives A contract whose value is changed following the change in price (currency), which includes business groups are foreign exchange derivatives, futuers, the security, dli Devaluation Decline in the price of a currency against the value of goods in a country.
E.
Economic Indicator The government released the news that shows the condition of a country's economic growth. Some of these indicators are GDP, retail sales, dli End Of Day Order (EOD) Order is active until the end of the working day, usually at 17:00 (5:00 PM). EURO Major currency zones of Europe (except United Kingdom - GBP / Poundstreling). European Central Bank (ECB) Zone central banks of Europe (except UK). European Monetary Union (EMU) The main objective of EMU is to be the implementing agency of one currency policy (single european currency) with a EURO since 2002. On I January 1999 the transition began. Members of EMU are Germany, France, Belgium, Luxembourg, Austria, Finland, Ireland, The Netherlands, Italy, Spain, and Portugal.
F .
FDIC Federal Deposit Insurance Corporation (FDIC) Legal agency responsible for arranging insurance bank deposits in America. Federal Reserve (Fed) Central Bank of the United States. Flat / square A break even, the term used by the broker or Dealer. For example, your long position short $ 5,000 and $ 5,000. Floor Broker People are always in the Pit, Ring, or other place provided on the trading floor to meet with people involved in trading commodity futures for others and must abide by the rules of commodity exchanges. Forward The exchange rate has been determined previously for foreign currency exchange contracts on the date that has been approved in the future, which is determined based on interest rate differences between the two countries concerned. Forward points Pivs is added or subtracted and exchange rates to calculate the value of forward current. Fundamental analysis Analisisberdasarkan news or issues surrounding the country's economic activity. Futures Contract An obligation to exchange goods or equipment at a predetermined price in the future. The main difference between the Future and the Future Forward is exclusively traded through an exchange (Exchange-Traded Contacts! ETC), whereas forward contracts are considered as Over The Counter (OTC). OTC is any contract NOT traded on an exchange.
G-H-I-L
Good Til Cancelled Order (GTC) Order will continue to exist until the noodles can be satisfied or canceled. Hedge Position or a combination of several existing positions to secure suaru price or minimize the movement of prices. Inflation An economy where consumer goods prices are moving up, eroding purchasing power. Initial margin Initial margin required to open a position, the margin required to provide guarantees for the broker. Initial margin Initial margin required to open a position, the margin required to provide guarantees for the broker. Interbank rates Foreign currency exchange rates in which large international banks following the exchange rate of other large international banks. Leading Indicators Indicators that can predict price movements in the period the future. Liquidation Closing suaru position because of the requirements are fulfilled or interverensi and Trader. Liquidity Market the ability to accept large traksaksi with a very small effect or no effect justm to price stability. Long position A meningkar position if the market value meningkar.
M-O
Margin Funds needed to maintain (or open) position (to one or more positions). Margin call Demand for fresh funds broker (or a specific action) to maintain an active position that exists, or if not, then all aktifa position will be liquidated. Market Maker Dealers routinely buy and sell price mengkuotasi and always ready for junior fashion receives 'orders' and other financial instruments. Market Risk Open to changes in market prices. Maturity The maturity date on a contract market instruments money. Offer Level of prices offered by dealers for suaru value selling currencies. Offsetting transaction A trade with willing to cancel or replace the loss of some or all of the risk level of the market and an open position. One Cancels the Other Order (OCO) Designed for the second order, where if one cypress run, the other will automatically be canceled (cancel). Open orders An order that will be executed when the price moves are determined eligible. Commonly called "Good Until Cancelled Orders." Open positions A position that has not been executed. Over the Counter (OTC) Digtinakan to describe the transactions that are not done through the "exchange". Overnight A position which he continued to be active until the next day (Berinalam).
P-R
Pips Digits added to or subtracted and the decimal place fourth, for example 0.0001. also called Points. Political Risk Changes in government policy that would have the effect undesired position of the investors. Position The total net ditenima detention of an eye nang given .. Premium In currency markets, describes the amount where the value exceeds the value of a forward or futures spot / in the currency market. Price Transparency Quotation illustrates where each market participant have the same access. Rate The price of one currency against another currency, usually used for the purpose of the agreement. Resistance A term used in technical analysis that indicates the level of value with the result kesimpularrnya terrentu that people will sell. Revaluation A rising exchange rate for a currency as results and central bank intervention. Reverse and devaluation. Risk Open to changes that do not menenru, often used with negative connotations and adverse changes. Risk Management The use of financial analysis and trading techniques to reduce and or control various kinds of risk. Roll-Over The process by which a consent agreement had been moved forward to another value date. Cost and process based on the interest rate differential and the two countries.
S
Settlement Ending the trade antarpialang acting as an agent or broker with the customer or client. A trade was completed when the customer pays a broker for securities purchased, or when customers submit papers that have been sold and customers receive the proceeds of the sale. Short Position Outstanding sale. Spot Price Current market value. Settlement or spot transactions usually occurred within two working days. Spread The difference in price between the selling price and bell. Sterling In other words, and the British Pound currency. Stop Loss Order Limit orders are used to limit losses. Mempakan one risk management tool. Support Levels A technique used in technical analysis indicating a specific value of the top or bottom in which a given exchange rate will correct itself automatically. Reverse and resistance. Swap A currency swap is the simultaneous transactions on a specific number given to a currency that level is determined later.
T
Technical Analysis An effort to review or analysis of money prices mara deliberately use statistical data such as prices that have occurred, rara-average price, volume, and others. Tomorrow Next (Tom / Next) Types of transactions and the purchase or sale of a currency for delivery day-after. Transaction Cost Financial transaction costs required. Transaction Date Date of transaction. Turnover Total value of money (in volume) in all financial transactions at a time. Two transaction Airways Two-way transaction. Two-Way Price Kerika value of the bid and offer price is used for currency transactions.
U-V-W-Y
Uptick rule Regulation in the United States in which a security can not be sold unless the last trade before the short sale, the price is lower than the price of short sale is happening. U.S. Prime Rate Interest rates on loans granted by commercial banks to the main commercial consumer. Other types of interest rates and the type usually depends on interest rates mi, which in many cases does not always depend on trends in the past and potential trends in the future. Value Date Dates to be determined by a brokerage firm for the needs of any transaction or payment atuh tempo. Under normal circumstances. usually takes two working days. Also known as Maturity Date. Variation Margin Funds that must be asked a broker at klieninya to the needs of the position in the currency markets are to be maintained by the client. Volatility (Vol) A statistical method which measures price movements in sam market in a specific time period. Whipsaw The term another to a market condition that has a high level of price volatility, in which a currency is moving very fast in one direction, and then followed by a price reversal in the instant

CHOOSING TIPS brokerage firm

To run you need the services of forex trading company called Forex Brokerage Company / Broker Company. These companies have a local / native Indonesian and Foreign Company. How do I choose a good broker and ok? relative

Please you think about yourself, would select a local broker or real estate abroad. This brief note for comparison to determine the options:

LOCAL brokerage firm
1. Check The company is already listed in Bappebti [Commodity Futures Trading Supervisory Agency] or not, look at his company's track record.
2. You should prepare a large enough capital, because the local real estate there is no mini account.
 3. Spread trading is big enough, and there are paid a commission.
4. Clearly Broker Office Position and address.
5. Need offline action such as coming into the office for processing documents.

Brokerage firm ABROAD 1. Usually they said in the official institutions registered in each state where real estate is located. Example: The Financial Services Authority [FSA] for a broker in the United Kingdom. 2. Do not need big capital, there is also a start with a mini account with capital can start at $ 500. 3. Spread a small trading. 4. His office in their country, often included in its web address. If there is something rather difficult to trace. 5. 100% can be done online, simply sitting in front of the computer to take care of your document.

Want to be studied further? please be carefully. There are many good people who just comfortable with using the services of local brokers, some are choosing foreign brokerage services and has for many years also is not no problem.

Depending we are smart to face a problem, there is a local broker is addressed clearly, his office as elephant suddenly see also deceiving thousands of customers, each customer confusion and dizziness funds / money invested antecedent did not return, because it takes a long processing time. Use of foreign brokers, already a good way his company suddenly went bankrupt, the money we are drifting away. This is one obvious example, but DO NOT BE AFRAID to vote, a good and steady too much.

His key: If you're comfortable with your choice, already convinced and feel enjoy trading on the broker you select, the next step is to learn how to how trading.

Another person or online web merely as a disseminator of information, there is an absolute decision on choosing your own self, because it is you who will bear the risk of harm profits.