Forex Trader

Online Forex Broker

August 3rd, 2009 at 08:59pm Under Forex Trader

Foreign exchange the widest term in the market through a mediator is known as forex broker. It is like the stock broker, where the agent gives some suggestion on forex trading strategies. It helps to improve client forex trading performance on technical analysis and research approaches design. Financial institutions play a vital role in the forex market by their high volume, large value forex currency transactions. Forex speculator enjoys 24 hour access to the market through a forex broker.

The aim of the forex traders to use the currency of US dollar to purchase another British Pound currency. They hope to sell their pounds at a higher rate than their purchase price. Secure web connections make forex traders possible to work from home where access to news and technical advice. The needs will influence the choice of forex broker in the market. Online forex brokerage known as houses, provide detailed research, advice and simulators to the forex market to learn how to use trading tools.

The experienced online forex trader catered other broking houses in depth but less focus on forex trading based on the assumption with the forex market. Online forex broker is a firm facilitates retail trading through Internet technologies. There are many online brokers to offer demo accounts for potential forex traders to practice trading. Forex broker list includes investment banks with dealing rooms, commercial banks and online brokerage.

A few brokerage services are not directly accessible for all customers. To trade in the financial market, you must use a forex broker. Forex broker make suggestions to make exchanging foreign currency. Some forex brokers supply technical analysis to their clients and offer tips to improve their success as forex traders. Forex broker is a banking institution in the market to buy large amounts of a certain currency. Forex brokers are geared toward the experience online forex trader.

They provide some information and run a demo on different online forex brokers before they go with it. Before you go with online forex trading you have to set up an account, which is known as forex broker. Once you start your search for the broker you feel overwhelmed by the number who offers their services online. A forex broker is an individual, buys and sells by the trader according to their decisions. Brokers earn money by charging a commission or fee for their services rendered.

In United States a broker should be registered as a Futures Commission Merchant and with the commodity Futures Trading Commission. It will ensure the peace of mind that you protect against any case of fraud and abusive trade practices. A perfect broker must able to tell how much slippage can be estimated in normal and volatile markets.

Usha Rani is a Copywriter of<a href="http://www.1world-forex.com” rel=”nofollow”>www.1world-forex.com.
She written many articles in various topics.For more information visit:<a href="http://www.1world-forex.com” rel=”nofollow”>www.1world-forex.com.
contact her at usharani.articles@gmail.com.

By Credit Info Add comment

I Am Given A Forex Course $4000 At $2000 With 1 Place Left Serious Investors Only?

August 3rd, 2009 at 07:32pm Under Forex Trader

I am a well educated senior sales manager. I am looking to start a forex course end of march. Through a close friend of mine who works in the organization, I was introduced to the leading forex trading course in Singapore. It operates in Singapore, Malaysia and Indonesia. It is so good that it has a proprietary, trading strategy that within years has attracted the attention of the news which is not common unless the company is doing so well. It was shown on tv in 2007. This is not an ordinary forex trading course you see on the streets. This is the best of all the forex trading course in Singapore backed by a full money guarantee in 6 months. Even if you lose 1 cent you will get the whole course fee back. That is why I am attending only this one. I checked the rest out, either they were twice the cost, exorbitant, with no support or teached limited strategies and left you on your own. This has proprietary automated software which works for you, if you are like me a busy professional you know that even if you have millions, time is not something one has too much of, what better way to make the machine work for you while you are doing the things that you want to do rather than watch the screen, on top of the regular job you have, you are making extra money with no extra effort.
Too good to be true?I have given you the facts why it is the best in Singapore and if I want to put my money on the line, I want to make sure I learn from the best professionals who give me the support rather than just anyone out there. I have done my research and I want the best. After my close friend introduced this to me, I was given the chance to have it at $2000 the regular price off the street is $4000, I was also given the chance to extend it to a trading partner to attend the course at $2000. I want to find a serious trading partner to discuss the things learnt and future trades as forex is the most challenging market out there but is also the most rewarding and I am putting my own money on the line so I would like to find a suitable trading partner who is serious on getting alternate income from forex. I have experience and I know what I am talking about. I am upfront about this, if you go to the company you will not get anything less than $4000, this is the market value for the course and proprietary trading software, just do you research, there are courses out there that goes twice the price with no software, just do your research, I cannot convince you, only you can convince yourself on sound research.
So I am attending this course end of March for $2000 and my close friend has extended that invitation to a trading partner whom I may invite who will attend the course for $2000 not $4000 and this is only available through him because let’s put it this way, he works quite high in the rank and it was a personal favor. So as of today, I can attend the course in March as I am booked in but I have an offer for a trading friend who will attend the same course in march get the same things, support, software, sms, alerts as I do for my friend’s special price of $2000 and backed by full money guarantee for 6 months, if you lose even 1 cent using their proprietary trading strategies over the course of 6 months you get your money back for the course fee, no questions asked. To date, there has been no student who has claimed the money back guarantee, what does that tell you, the track record is so good that it made all the people money so none lost and none went for money back guarantee, that is why I am only attending this one and not the rest which do not even offer money back guarantee which shows how much confidence they have in their course, as I said you are getting the best not at $4000 but $2000 and full money back guarantee.
I already have good candidates and can enroll only one so my date line will be the first week of march in which you can submit your interest, from the pool of trading partners, I will shortlist only one to be eligible for the $2000 forex course, when you sign up you will see the surrounding people pay $4000 while you pay $2000 pls do not go round saying you paid $2000 this is strictly by my friend’s invitation and only I am eligible and I am extending an invitation to only one other as a trading friend so pls understand, if you want to say you paid $2000 and others demand they also want $2000, and the management has no choice but to say you are like the rest and have to pay $4000, then it is out of my control. Like I said if you want the $2000 then just sign up and watch the others sign up and pay $4000 knowing that it is because you were short listed and lucky.
Take it from an experienced senior sales manager, this is serious, only the serious who intend to derive additional income from forex need apply. As I said, I am already enrolled in this, I can just attend myself, I don’t need to invite anyone, but I am inviting one as a trading friend who wants to do the best forex course in Singapore and derive addional income in which we can discuss ideas even after the class and make money, as two or more heads is better than one and I work well in a team which is my preferred learning style which is why I am able to extend this offer. Also I already have good candidates on hand who want to do forex seriously, well educated, serious professionals so I am ending this invitation 1st week march before I close the date and I will then shortlist the best candidate who will be notified. Once notified, you are entitled to do the forex course at $2000 by way of special invitation from me and my friend who works in the organization.
If you are shortlisted, the company will give you an introduction so that you can get an indepth idea and you can sign up for the $2000 instead of the $4000 price, I can explain any queries that you may have and my friend is on hand to answer your queries.
This is for serious investors who want additional income from forex and attendees of the course include up and coming professionals, traders, millionaires, retires, those who made their first million in one year, those who have millions but want more…………..you are working with a group of well educated serious investors. Just look at the price $4000 how many people can afford to pay $4000 for a forex couse and I am able to invite you for a price of $2000 for the course and that explains why I already have good candidates but I can allow for a pool from which I can shortlist the best, because wouldn’t you want the best trading friend to discuss ideas, but the benefit is instead of $4000, you are able to get everything at $2000 with full money back guarantee. I am not hard up for candidates, as a senior sales manager I already have associates who are interested and I know them as well so I am only extending this invitation to widen the pool and if you have the best qualities then the place belongs to you so this is only for the serious only. If you think this is a gimmick, sorry this is not for you, as I said I already have associates who are good candidates, they know what I am talking about, $2000 to them is nothing not to mention is is a $4000 course, I am not hard up for candidates, I am only extending this in search of the best trading partner I can find, so apply only if you are serious,qualified, want to get additional income from forex. If you just want to waste my time, sorry, as a senior sales manager, I do not need the inconvenience, I can just attend myself, I am enrolled, and I have associates who want to have it so you understand I do not owe you anything, if you think this is a gimmick, I don’t need your application, if you are here to waste my time, I don’t need it, I have enough candidates and I only have place for one, my date line is 1st week of march and I will close the application you will be notified by the 2nd week if you are shortlisted as you have to enroll in the 3rd week before class starts in the 4th week. If you are here to get information, pls do your own research, if you know nothing about forex and want to get information, this is not for you. This is for the serious investor who already has money to invest in forex for additional income who are looking for the best course in Singapore, who are looking at the high prices of $8000 or more and want the best at $4000 but can get it for $2000 because they happen to read this, ie for those who already want to commit to a forex course but have not found the best one for the best price, if you just want to read about forex pls do your own research, I am not advertising anything, I merely have one place, I close application in march.
This course is worth more than $4000 in the company brochure but they are offering $4000 on top of that I got it through my personal friend at $2000, what more can you want, if you do your research, any course on stocks cost $4000 without software, additional charge, on forex it is even more $6000 to $8000 for 2 days because it is more complex, more lucrative, do your research, just don’t wait until after the application closes to come back to me. I have checked out the companies teaching forex, this is the largest and best and the only one featured on news on tv. Typically, the people I know when they realize it is the best on the market and they are serious on forex, they sign up for $4000 to attend it because how else it got to be the market leader if it does not deliver. By my understanding when I saw the results, this companay underpromised but overdelivered consistently by a wide margin and I am not a fool, I don’t put money in ao course that cannot deliver even if it is full money back guarantee. There is no other forex company out there that offers full money back guarantee,.
Email your application to profityear@yahoo.com, pls apply only if you are serious ie you have decided you want to do forex, but didn’t know who the leading company is and you wanted it for less than $6000 and realize that now you are getting the best for only $2000 with a full money back guarantee with software that will consistently make you profit even while you sleep, I saw it and for extended periods, it made money with no expceptions, there was never a period it made a loss, just read the above, I have given you the facts, I am a very skeptical person but when I saw the evidence that my close friend showed me, I enrolled because putting in $2000 at full money back guarantee is no risk for me but more important is I am very serious about forex and it is the only market that gives you the most profit in the shortest time as the forex market is 4 times as big as the us stock market and bond market combined, and I will even cover my course in a few months just using one of the many techniques with the software while I sleep and it will continue to generate me profit until I am 80 years old talk about working at 80, I’m in, and most of all I can afford $4000 not just $2000 for an investment, my own learning, not to mention if I don’t profit I get my money back. Sorry you have only march the first week to send in your application and I only have one place so the best candidate gets it on your own merits.
Requirement:
Good character
Serious on forex for additional income- this is not a course you chuck away
Interested in discussing trading ideas – or else why should I invite you, I might as well give it to my associates without further ado
Well educated
Speaks good English
Gets along with people
No experience required
Attend the best forex course here at $2000 backed by a full money back guarantee and need to practice forex with a few trades a week with a small amount microlot $10 and above or minilot $100 and above for a period of 6 months if after applying the techniques for 6 months and you lose a single cent you will get full money back guarantee for the course and to date it is so successful that there has been no student who need to get the money back because the techniques work and make you money, you decide who can do better than this
Email any queries to profityear@yahoo.com

By Finance Enquirer 7 comments

Shares, Commodities, Options, Emini’s, Forex?

August 3rd, 2009 at 05:41pm Under Forex Trader

For many years I have wanted to start investing but education is holding me back. There is soooo much information available that it’s difficult to sift the chaff from the grain and I get bogged down with a brain overload. I could do a course like Lifestyle trader which has components on all these areas but for $11,000 before you even place a trade, it seems incredibly steep, especially with no iron clad promise of success. I’d get a better warranty on a new kettle. So, my question requires a lot of thought from those who will answer.
If you were to design a course educating rank newbies in shares, commodities, options, emini’s and forex, where would you begin and how would you build on that information-references, websites, books etc. Remember you learn addition and subtraction before vectors and matrices so it’s a slow build not sink or swim.

By Finance Enquirer 3 comments

Why Trading The Forex Is A New Trend

August 3rd, 2009 at 03:01pm Under Forex Trader

The foreign exchange market, otherwise known as the forex, was first established in 1971. Despite being in existence for over 35 years, the forex just recently started to become a new and popular trend; a popular trend that many are hoping to become a part of.
Around the late 1990’s, the forex market reached a critical point in its history. It was then that forex brokerage firms first opened to the general public. This opening gave everyone the opportunity to trade the forex. Before that point, the foreign exchange market was only for large financial institutions, corporations (particularly those that did business overseas) and central banks. Since the opening of forex brokerage firms to the public, a large number of individuals, from all walks of life, have started trading the forex. This alone has made trading the forex one of today’s “hottest” trends.
In conjunction with brokerage firms opening to the general public, the low-cost of trading on the foreign exchange market is just another one of many reason why trading the forex market is a new trend, especially among those who never imagined themselves trading. Although brokerage firms and brokers vary, you will find that a large number of forex brokers, in the United States, do not charge transaction fees. These transaction fees are also commonly referred to as commissions. The forex also has minimal trading requirements. This not only means that you can trade as often as you would like to, but it also means that you can trade with much less money than you would in other markets. This is great for those who are interested in experimenting with the forex market without risking large amounts of capital.
Another reason why forex trading is considered a new trend is because of around-the-clock trading. The foreign exchange market has markets all around the world. For instance, markets can be found in London, the United States, and Hong Kong. Due to different time zones, the forex is open for trading twenty-four hours a day, five days a week. In the Untied States and all around the world, many individuals work a traditional nine to five job. A nine to five job makes it difficult, if not impossible, to trade the stock market. With around the clock trading, time isn’t an issue with the forex. The ability to trade on your own schedule, whether it be early in the morning or late at night, is one of the many reasons why trading the forex market is being considered one of the “hottest,” new trends today.
Of course, the ability to make money or yield a profit is the greatest reason as to why trading the forex is a new trend. The foreign exchange market or the forex involves the exchange of foreign currencies. With leveraging floating exchange rates, the potential to yield a profit is high. As previously mentioned, the forex market has very small trading minimums. That is why many individuals decide to test the forex market waters. To their surprise, many are able to make a small profit. That small profit often leads to more trades and the opportunity to yield even large profits. While there are risks associated with trading the forex, as with the stock market, many of the risks can be mitigated as long as you and other traders know what you are doing.
Speaking of knowing what you are doing, forex training courses are another one of the many reasons why forex trading is a new trend. Forex training courses, although they come in a number of different formats, are designed to educate hopeful traders, like you. Many training courses, such as the training courses offered by Fxcenter.com, rely on different approaches or phases, such as online forex training, onsite forex training, and live market training. Extensive training courses, similar to the ones offered by Fxcenter.com, are ideal as they allow you to examine and explore trading the forex at your own pace. With most forex training courses at least twenty-hours long, there is more than enough time to adequately familiarize yourself with forex trading. This familiarization is what gives many hopeful traders the confidence needed to trade the forex, which only further increases its popularity, making it a trend.
Since it is apparent to see that trading the forex is a new trend, are you capitalizing on that trend? If not, you are urged to examine trading the forex. After a close examination, you will not only see the many reasons as to why you should, but the many rewards of doing so.

By Credit Info Add comment

What Does A Currency Trader Do And Is It Hard To Learn? Where Can Iearn About It And What Jobs Can I Get?

August 3rd, 2009 at 01:30pm Under Forex Trader

I was wondering what a currency trader does? I found a job listing online that say they needed ” Entry level Currency traders” but didn’t really specify what they do exactly. I am guessing it is something to do with Forex. It then lead on to summit your resume for a interview etc.The manger of the company emailed me back saying he was really interested in interviewing me after reviewing my resume. I want to know what currency traders do that are in the entry level position and is it hard to learn? If it is where can I learn a head of time to better understand it? Can currency traders earn much? Please help thanks!
I am 21 male and still undecided what I want to do in college. Is it too late to still decide what I want to do? Am i getting too old? I feel that way…I do love investing though if I understand it…

By Finance Enquirer 2 comments

How Can I Trade In Russian Rubles?

August 3rd, 2009 at 11:35am Under Forex Trader

FOREX ????
Can you provide a trader website for me?
Thanks for any help

By Finance Enquirer 2 comments

Why Forex Training Courses Yield Better Profits

August 3rd, 2009 at 08:59am Under Forex Trader

Are you interested in becoming an active trader in the world’s largest financial market? If you are, you will be looking to trade the foreign exchange market, also commonly referred to as the forex. In recent years, since the late 1990’s, brokerage firms have made it possible for “everyday” individuals, just like you, to make money with the exchange or the trading of foreign currencies. Although brokerage firms do provide you with needed assistance, it is advised that you know the ins and outs of the forex yourself. That is why it is advised that you take a forex training course. In fact, the successful completion of a forex training course is likely to yield better profits.
When it comes to forex training courses, there are a large number of wannabe forex traders who wonder if it is really necessary to undergo training. Yes, you could start trading the forex market right away, but, when doing so, you will be taking a large risk. Although the foreign exchange market has been profitable to many traders, there are also those who have lost their hard earned money. To help ensure that you profit from the forex market, not suffer a loss, you are advised to closely examine forex training courses to reap their benefits.
By taking a forex training course, you may not only learn how to successfully trade the forex market, but you may also learn more about it. While you might not assume that the history of the foreign exchange market is important, it is. Familiarizing yourself with the history of the foreign exchange market will not only better help you understand how the forex came about, but it will also give you a better appreciation for the market and the ability to exchange foreign currencies. After all, the ability to exchange foreign currencies is what enables you to yield a profit.
Forex training course come in a number of different formats. When examining available courses, you will see that there are forex training courses that are designed for beginners. Beginners are those who are essentially completely unfamiliar with the forex market and forex trading. If you have a small amount of experience with the forex market or knowledge of how to start trading, an intermediate forex training course may be your best option. There are also several advanced courses to help experienced traders refine their skills. Whatever level of knowledge or experience you have, you should be able to find a forex training course that can help you increase your knowledge and wealth
One of the many aspects of a forex training course that may help to yield better profits is live market lessons. Live market lessons are, perhaps, the most essential phase of an effective forex training course. Live market lessons involve studying the foreign exchange market in real-time. This real-time learning is ideal because is allows you to examine situations on the forex that may arise, should you later decide to trade it. Being able to examine the forex market in real-time is training at its best. You can read a forex training course book or watch a video a hundred times, but never walk away with the knowledge or firsthand experience that comes along with live market lessons. Participating in a forex training course that includes a live market lesson is the surest way to yield better profits.
Currently, there are hundreds, if not thousands, of forex training courses available for you to choose from. What you may not know is that many of these training courses are offered by brokerage firms; brokerage firms that are looking to acquire you as a client. While it is true that any forex training course is better than no forex training course, why not get yourself the best? When searching for a forex training course, you are advised to examine Fxcenter.com. Fxcenter.com takes pride in being pure educators, not brokers. For you, this means better training. You will receive the highest level of forex training possible, as the goal is to educate you on the forex market, not acquire you as a client.
In short, to yield better profits, you are urged to examine forex training courses, particular the courses offered by Fxcenter.com. Why start trading the forex without the proper training and experience, especially when it is so easy to find a forex training course that can not only prepare you for trading, but help you yield better profits.

By Credit Info Add comment

Is This These New Forex Rule Legal?

August 3rd, 2009 at 07:31am Under Forex Trader

The NFA is supposedly going to force traders manage their positions using FIFO. FIFO (First In First Out), however, is an inventory method used to assess the cost of bulk inventory, and forex positions are not bulk inventory. Each position is individually tracked. Therefore, there is no question about the cost of a trader’s positions. There is no question in my mind that if this is in fact being forced upon traders, that it is being done so not in the name of transparency, but to incapacitate responsible trading methods that utilize time frame considerations and position cost averaging.
I’ve also heard that hedging is getting eliminated. The whole reason why so many investors went bankrupt over the past 18 months is that they were not hedged when they should have been.
Does anyone know who pushed for these changes? Can anyone tell me why I should rethink my opinion of why anyone would want these rules in place? Can anyone give a me a starting point for the legal reasoning behind any of this?

By Finance Enquirer 1 comment

Where Is The Best Place To Advertise Managed Forex Accounts? I Have Done Extensive Research…?

August 3rd, 2009 at 05:36am Under Forex Trader

I have spend hundreds of hours researching managed forex accounts. I believe I have found some of the best ones out there…these are definitely better and more consistent than www.managed-forex-accounts.info -these guys constantly change traders because of losses etc..
Accounts are set up directly with broker and require small initial deposit.
Yes, I will be able to make a small commission if people sign up which I think I deserve with all the time I have spent researching this which is literally 100’s of hours…
What do you recommend I do?

By Finance Enquirer 2 comments

Forex Secrets – Delusion No 2 – Who Prompts Forex Quotation to Traders

August 3rd, 2009 at 02:58am Under Forex Trader

The delusion conceptually propounds that traders operate at a spontaneous FOREX market (as stipulated by B. Williams, A. Elder, E. Nayman, etc.). But it is not the case. Traders do their job inside a well-organized and controlled currency exchange market, governed by the Consortium of the world’s largest banks.

Hence, who is pushing the currencies up and down, who defines trends, corrective actions and flats?

And, who, ultimately, places a trend at a point, where the majority of traders are happy to think they have saddled the wave and are about to win an enormous profit! Now! Not to be scared! Not to close the position! Not to be satisfied with a minor profit! Later on we will discuss that sort of stupidity. Thus, one persists to continue long in spite of more and more degrading profit. Shortly, the loss starts growing with light velocity! Are you familiar with the situation?

Well, who has reversed the rate?

And who generally tugs currency rates?

Tugging is surely centralized. Compare on-line quotes of several Dealers or banks to find out that they are per second coincident. Do each bank’s traders act in such synchronism, that even not seeing each other, they place identical orders so that quotation is in 100% agreement? NOTHING IS A MIRACLE HERE!

But prior to further explanation, we will listen to Bill Williams, the FOREX scholar (Trading Chaos, Ch. 6): “…let us trace a trend formation process. Earlier, the market and the market trading venue did constitute a single physical space. Majority of large grain traders were concentrated on the “floor”. Their orders involved amounts, sufficient to move the market; they enjoyed better control over the market than at present. During the latest 20 years markets have grown worldwide. Now, not only “Purina Ralstone”, “Kellog” and other prominent commercial associations seek hedging their cash assets transactions. So do millions of the world’s minor profiteers and farmers, competing with them in anticipation of perspective grain price fluctuations? This fact also implies strong potential for traders with nowadays, trends not being constructed on the floor. The latter mainly ensures the market liquidity by way of tackling “outer orders”.

The fact, that today’s trends are formed rather “outside the floor” than “on the floor”, as before, enables one to trace further market tendencies with trade volume being the key thereto. Our only on-line information is restricted to tick volume, time and price. Tick volume constitutes a number of price changes per a certain time period. It is not at all a number of traded contracts. Multiple researches revealed no significant difference between actual and tick volume. Using a tick volume, we may suppose, that it represents actual volume. It is a real-time volume, thus being our key to what’s going on in “trading pits”.

Two basic elements are organic to FOREX trading: brokers on the floor and remote traders. Local brokers constitute staff, executing orders, thus earning their salaries and/or commissions. They don’t possess money to be at their disposal. They are order executors. Their prospects are not burdened by prices, they getting for the orders management.

Remote traders use their own money. They have to pay the price out of their own pockets, unless they are getting a good one. Traders have to be much superior in skill to brokers since they independently take their own decisions, while the broker’s job is to follow the others’ orders.

Remote traders are supposed to support the market by way of taking its opposite side. As a rule, they are not at all crazy about any long-term transactions. Quite a few remote traders have been participants to our private training programs, and it is to be admitted that a 10-minute long transaction may seem quite a long-term one for some of them.

Think back to the fact that trends are built up of orders, delivered to the floor from outside, but not of long-term positions entered by remote traders. Since the traders’ job is to take the side opposite to the orders arriving from outside, they have no prospects of trading in between themselves. They follow your money. We are emphasizing again, that tick volume is our key to understanding what’s going on in the Forex Market. Remote traders do not contribute any significant volume to trading, which might result from dealing with similar traders on the floor. Trends emerge from incoming orders. That is why we are to be certain about when and in what amount the outer order is supplied to the floor. It is presented via a tick volume change”.

So, we, traders, turn out to be price locomotives, don’t we? And brokers on the floor just allocate and execute order, incoming from us, don’t they? And on April, 1, 2005 they all (meaning: we all) together decided to swivel the trend and to stay short against all the rules, news and common sense… I wonder if the scholar ashamed or not?

As regards the above quotation, I have chanced to hear a single argument in favor of Bill Williams (I guess you understood for what sake I’ve cited it in detail): it all pertains to the futures markets; we neither read nor use the above at Forex. Strange enough, these are the arguments of Williams’s advocates, but not of Williams himself.

This book is actually intended for both: futures markets and Forex Market. That’s why pictures taken from both the markets are so mixed up and the author never differentiates between the Technical Analysis methods thereof. Thus, either the author does not trace any difference between the two markets, or he is not eager to reveal it to the reader.

And neither in the foreword, nor in the remarks did Williams and his publishers refer to the fact that something of “Trading Chaos” is inapplicable to FOREX, and thus should not be made use of by a trader at FOREX.

I have repeatedly come through this peculiarity of Williams (correct specific case method definition being extended to a wider coordinates scale) and it actually induced me to write this book. In all and all, the methods and advice, absolutely true and correct for a PART of Forex Market are claimed by Williams to be universal for the WHOLE of Forex Market without being demonstrated where the above is effective and where it isn’t.

The same is being done by Williams’s opponents and advocates, who visualize the portion of Forex where his methods are operable only. As different from analysts and Williams’s bibliographers, TRADERS require much stronger to realize a demarcation with pro-Williams trading to the one side thereof and with counter-Williams trading to the other one.

Logically there comes a question: what might be added to Williams’s indicators in order to turn them effective at the point where they are presently ineffective (see details in chapter on the Williams Alligator).

And now we are getting back to the issue of who supplies traders with FOREX rates quotation, bearing in mind that it’s us, traders, who exercise rates movement in accordance with Williams’s standpoint. Millions of traders have actually been studying FOREX by virtue of the “Trading House” and it is really worth studying. This is one of the most interesting and instructive editions whose repeated reading each time brings about something new and useful.

However, in some passages it smells being custom tailored. Is Williams ignorant of the fact that there is no single FOREX exchange and there’s no single trading venue or floor? And that Pacific, Asian, European and American session classification is arbitrary?

Did You see currency rates move, while there’s a day off in the USA with the banks closed? So did I. So, who has made up his mind in the USA to trade on the floor on a day off?

Then, who prompts rates, who formulates trends and turns them with no objective reason for the rate to swivel and to rush in a direction, not being requisite at all?

Here is the answer, as provided by No. 11, 2002 “FOREX Profiteer” magazine’s article by Nadezhda Larina “Electronic Broker Systems at FOREX market”, http://www.ifin.ru/publications/read/351.stm), reading: ”… an FOREX dealing “Electronic Broking Service (EBS)” enjoys wide popularity with the extra-exchange inter-bank FOREX market. It has been developed by the Consortium of largest FOREX trading participant banks in association with “Quotron” informatics expert company and launched in 1993. Presently EBS incorporates 13 world’s largest market-maker banks, viz,: BN AMRO Bank, Bank of America, Barclays Capital, Citibank, Commerzbank, Credit Suisse First Boston, HSBC Bank PLC, J.P. Morgan Chase and Co.Lehman Brothers, Royal Bank of Scotland, S-E Banken, UBS AG along with Japanese Minex Corp., established by a Consortium of Japanese Banks in a joint manner with KDD Japanese telecommunications company and Dow Jones Telerate.

EBS offers a completely integrated range of dealing services for the professional inter-bank market, being a leading anonymous inter-bank FOREX trading electronic dealer. It is currently used by over 2500 dealers in 850 world banks and yields a trade turnover of about USD80 billion daily.

See there also: “Three greatest FOREX dealers – Citibank, J.P. Morgan Chase and Deutsche Bank, together with Reuters Group PLC) have started Atriax system in June, 2001.The latter terminated the operations in spring, 2002 after having failed to stand the competition.

Can you imagine a monster machine, capable of forcing three world’s largest banks – Citibank, J.P. Morgan Chase and Deutsche Bank to abandon their business plans! Or capable of reversing the EURUSD from 1.3660 to 1.1865 and thus instantaneously executing orders of all the world’s traders, going and standing short! And thus within, April-June, 2005, buying the EUR from traders at USD1.36, 1.29, 1.20, 1.19, etc.

Do you see the loss? Watching the EUR slip 1700 pts after having bought it at 1.36… But, possibly, there is no loss at all?

All of Larina’s basic provisions have actually found confirmation 2 years later in the UK “Financial Times” article by Jennifer Hughes: “A PC occupying trading floor” (see it on Financial Times 2004).

It underlines that during the precedent 2 years the Consortiums turnover has grown by extra daily USD20 billion thus currently stretching to USD100 billion, whereas the most prominent internet-based trading platforms ensure the average of USD15-20 billion daily turnover.

So, let’s jump to some conclusions:

1. The FOREX market is not the same as it used to be earlier, say 11 years ago.

2. There is in fact “a price fluctuation relative uniformity”, otherwise, practical quotations similarity with all the world’s brokers and traders.

3. The reason for the above uniformity has been honestly disclosed from technological standpoint, being the “flourish of electronic exchange technologies”.

4. There is no mention of other reasons for similar rates at absolutely different FOREX trading platforms the world over what links together the above platform and FOREX rates at them from financial, organizational, contractual viewpoints, etc).

5. The great interest is the remark from “Financial Times” reiterating the changes at FOREX during the latest years as narrated by an anonymous ex-dealer (?) who compares the FOREX market as of those 11 years ago: “It used to be a hell noisy and a hell splendid!”

In his opinion the market has lost a significant portion of its individuality with rise of technology. A very interesting phrase: “It used to be a hell splendid”. I would add:” It used to be a hell volatile”, with reference to the fact that the daily rates travel went as far 400 to 500 pips. And there’s nothing of the kind now.

6. Now, why has “The Financial Times” only interviewed the EBS Consortium official?

J. Jeffrey and the currency transactions department director, Fabian Shey Why wasn’t it desirous to interview the Reuters representatives (UK)? What’s the reason for such kind of disrespect to the compatriots?

Or were they hard to be contacted in London, where The Financial Times and Reuters HQs are located, moreover after maintaining that presently both, EBS Consortium and Reuters are dominant at the inter-bank market? Or The Financial Times possesses enough information on compatriots from Reuters to hold that the EBS Consortium official’s interview is sufficient without any Reuters?

7. Please, pay attention to the following from The Financial Times: “Anyway, other opinions are available. According to Justin Trenner, the current volume of on-line trading is turnover amounts to USD100 billion daily with the steep growth observed”. The Financial Times thus turns out to recognize its complete inability to trace not only FOREX cash flows, but even the trading volumes at those platforms.

The principal difference between stocks and FOREX is, by the way, readily apparent from the above. Those, writing about similar Fundamental and Technical Analysis methods for both the markets, are either ignorant as to fundamental difference of these markets, or they are deliberately swindling millions of traders.

When pointing out, that, besides the above Banks Consortium, there exist other electronic dealing facilities (e.g. Electronic Broker Service, Reuters Dealing 2000-2, etc.), N. Larina has overlooked their interrelations aspect. And there are a lot of questions: how and why there is coincidence of trends, corrections, historical highs and lows in the course of a single day, etc.

And what is the way to reconcile the statement on shunt operation of EBS and Reuters Dealing facilities with the information that Citibank, J.P. Morgan Chase and Deutsche Bank together with Reuters Group Plc have failed to stand the competition? Is it attributable to the fact that the Consortium has actually acquired Reuters, maintaining its formal sovereignty in order to support traders’ opinion that FOREX market is free and independent? If affirmative, then it’s fairly clear why the Consortium was not scared to buy the EUR on its dip from 1.36 to 1.1860, since there nothing to be afraid of with one’s knowledge of the point, below which one will not drop the rate as well as the point to stage the EUR rally to in several months with no one to interfere with Your so doing.

Hopefully, it’s now understandable who swivels trends at FOREX! The world’s largest banks Consortium does have power to reverse rates, whenever desirous, overthrowing fundamental laws, news releases, trends and common sense, just the way we witnessed on 01.04.2005 charts. But it’s not at all, traders, as claimed by Williams.

That’s why there is obvious ineffectiveness of the Williams’s Market Facilitation Index (MFI) based on fluctuations of traded volumes; to be more precise, sometimes the indicator tells the truth, whereas sometimes it lies in a barefaced manner.

The reasons are stated above: the banks Consortium pushes rates to where it needs, but not to where traders going into deals, thus accumulating the volumes, indicated on the screen. That’s why traders turn losers when making use of the Williams’s MFI indicator.

Full text of this article and pictures of examples http://www.masterforex-v.su/

Vyacheslav Vasilevich (Masterforex-V)
Professional Trader from 2000 year.
President of Masterforex-V Trading Academy.
Author of Books:
1. Trade secrets by a professional trader or what B. Williams, A. Elder and J. Schwager not told about Forex to traders.
2. Technical analyses in Trading System MasterForex-V.
3. Entry and Exit Points at Forex Market
Books web site http://www.masterforex-v.su/

By Credit Info Add comment

Previous Posts


Recent Blog Posts

Categories

Tags

Posts by Month

Blogroll