Forex Education - Free Online Trading University

Currency rates and the differential between countries and over time is the meat of the foreign exchange game. They are constantly changing and the better your ability to predict these changes the more money you are going to make over time in this market. So naturally a few tips in this area are worth their weight in gold. So what are some of the things that should be learned when attempting to understand the changes in currency rates? What affects currency and the perception of their value up against the currency of any number of other countries? I make no guarantees in this article but hope to point you in a few worthwhile directions so that you can understand and therefore profit in this goldmine of a market. Before I start I want to mention the potential for profit if you understand and are willing to put some time into mastering the factors involved in the changing currency rates. Perhaps the most important thing to understand is that thought this market has been around for a long ...

Until recently, the forex market or foregn currency exchange market wasn't for the average trader or individual speculator. With the large minimum transaction sizes and often-stringent financial requirements, banks, hedge funds, major currency dealers and the occasional high net-worth individual speculator were the principal participants. These large traders were able to take advantage of the many benefits offered by the forex market vs. other markets, including the fantastic liquidity and strong trending nature of the world's primary currency exchange rates. Fortunately, thanks to new legislation written in the late 1990’s, forex brokerages have opened up to the general public and offer trading opportunities for anyone who has an interest in trading currencies for profit. In fact, many brokers allow traders to open and trade currency with as little as $250 dollars in an account. Regrettably, all of these new currency trading opportunities have created a lot of hype around the ...

There are many many advantages over the various other ways of investing. First of all it is a 24 hr market, except for weekends of course. You have the US market then the european and then the Asian. One of the great times to trade is during the over lapping periods. The USA and European overlap between 5am & 9am eastern and the European & Asian between 11pm & 1am eastern. Usually the busiest time and best to trade. The is also the risk factor for the accounts. With futures and options you can get margin calls that can wipe you out. If you get caught in a bad trade not only do you lose the money in the account but you may have to come up with alot more from your pocket. It can be very risking. But not in Forex. Worst case senerio you could lose whats in you account. But you would have to do something really stupid. Like making a big trade on a Fundamental day and leave it alone. If market takes a bad move and you weren't there. OOOPS. But That wouldn't happen with a...

Fibonacci forex trading is the basis of many forex trading systems used by a great number of professional forex brokers around the globe, and many billions of dollars are profitable traded every year based on these trading techniques. Fibonacci was an Italian mathematician and he is best remembered by his world famous Fibonacci sequence, the definition of this sequence is that it’s formed by a series of numbers where each number is the sum of the two preceding numbers; 1, 1, 2, 3, 5, 8, 13 ...But in the case of currency trading what is more important for the forex trader is the Fibonacci ratios derived from this sequence of numbers, i. e. .236, .50, .382, .618, etc. These ratios are mathematical proportions prevalent in many places and structures in nature, as well as in many man made creations. Forex trading can greatly benefit from this mathematical proportions due to the fact that the oscillations observed in forex charts, where prices are visibly changing in an oscillatory pattern,...

This is a series of articles about The Foreign Exchange Market. You will learn here what Forex is , how it works and how profitable it can be. The whole series contain the following articles . . . 1. What is Forex 2. Technical analysis 3. Fundamental analysis 4. Money management 5. Compound interest Fundamental analysis. Forex fundamental analysis strategies consist on studying economic factors of a country to forecast the future value of its currency. This includes, but it is not limited to: economic condition, monetary policy, etc. Fundamental analysis focuses on studying economic, social and political factors that drive supply and demand. Some important indicators are interest rates, inflation and unemployment. Political decisions are also important. Bellow you can find some of the most important fundamental analysis indicators and their definition. You can learn more about these indicators and how they are used on www. investopedia. com. Producer Price Index - PPI A family of index...

A forex broker is defined as an individual, or a firm, that acts as a mediator, matching buyers & sellers for a fee or for the commission. A forex broker is also regularly employed to maintain & monitor the 24-hour Forex market place. A forex broker is someone who engages in trading & investing online. In forex plenty of of them will be the investors in the forex & the traders will approach the market for the umpteenth time, but it will be first time for the investors & it can appear at times, daunting. This forces us to use the interactive forex brokers. Most of the people will be investing in the stocks & forex. they can be sure that they will receive the highest level of service obtainable in the forex trading market. The forex broker offers customer support for different countries. they are present as a broker so as to clarify the concern they may have to regard the foreign currencies in trading. The interactive forex brokers can easily make a big success in...

There are a number of factors that make the Forex market unique. Many of these factors can have tremendous benefits for traders worldwide. Two of the most important are the high level of leverage and the extremely high liquidity. Forex markets have some unique features that provide an incomparable potential for profitable currency trading in any market situation. A trader need not wait for the ‘opening bell’ as in the case of the exchange and has the opportunity to avail all fruitful market conditions at any time. Since the Foreign Exchange market is the most liquid market in the universe, traders can enter or exit the field at their will in any market condition. As stated above, compared to the equity markets, Forex markets offer high leverage ratio. Although high leverage offers high profits, it may also expose the trader to extreme losses. Under normal market conditions, the bid/ask spread is less than 0.1% (10 pips). In the case of larger dealers, the spread could be smaller and ma...

Major and Minor Currencies The seven most frequently traded currencies (USD, EUR, JPY, GBP, CHF, CAD, and AUD) are called the major currencies. All other currencies are referred to as minor currencies. Do not worry about the minor currencies, they are for professionals only. Actually, on this site we will only be covering what we call the Fab Five (USD, EUR, JPY, GBP, and CHF). These pairs are the most liquid and are the only currencies we actually trade. Cross Currency A cross currency is any pair in which neither currency is the U. S. dollar. These pairs exhibit erratic price behavior since the trader has, in effect, initiated two USD trades. For example, initiating a long (buy) EUR/GBP is equivalent to buying a EUR/USD currency pair and selling a GBP/USD. Cross currency pairs frequently carry a higher transaction cost. The three most frequently traded cross rates are EUR/JPY, GBP/EUR, and GBP/JPY. Base Currency The base currency is the first currency in any currency pair. It shows h...

Most experienced traders consider that the best and most profitable of the capital markets is the FOREX market. During many years FOREX trading had been the sole domain of major banks, large financial institutions and countries central banks; for example the U. S. Federal Reserve Bank. But these days, thanks to the internet the market has been opened to everyone willing to learn the best techniques in forex trading and with the intention of making substantial profits as the before mentioned institutions that annually and consistently make pretty high profits from trading in the Foreign Exchange market. Forex is a market that is continually oscillating and in consequence with good trading opportunities during the whole trading day; this behavior is in part due to the increase in global trade and foreign investments during the last two decades that has made the economics of all countries more dependent upon one another. This means that as a country's currency fluctuates as a result o...