RoboForex - Forex Broker: overview and news

[Vlad RF]

RoboForex: changes in trading schedule (revert to Standard Time and Unity Day)

Dear Clients and Partners,​

We’re informing you that on October 31st, 2021, European countries will revert from Daylight Saving Time to Standard time. In the USA, the same will happen on November 7th, 2021. As a result, there will be some changes in the trading schedule*.

In addition to that, due to the public holiday in Russia, Unity Day, USDRUB will be traded according to the changed schedule on November 4th, 2021.

MetaTrader 4 / MetaTrader 5 platforms

Schedule for trading on Metals (XAUUSD, XAGUSD)

• From 1 to 5 November 2021, trading on Metals will be opened and closed 1 hour earlier than usual (server time).
  Trading session (server time): 12:05 AM - 10:59 PM.
• Starting 8 November 2021, Metals will be available for trading within the operating range of the contract specifications.

Schedule for trading CFDs on US indices

• From 1 to 5 November 2021, trading on CFDs on US indices will be opened and closed 1 hour earlier than usual (server time).
  Trading session (server time): 02:00 AM - 10:15 PM.
• Starting 8 November 2021, CFDs on US indices will be available for trading within the operating range of the contract specifications.

Schedule for trading CFDs on oil (Brent and WTI)

• From 1 to 5 November 2021, trading on CFDs on Oil will be opened and closed 1 hour earlier than usual (server time).
  Trading session (server time): 02:00 AM - 10:15 PM.
• Starting 8 November 2021, CFDs on Oil will be available for trading within the operating range of the contract specifications.

Schedule for trading CFDs on US stocks

• From 1 to 5 November 2021, trading on CFDs on US stocks will be opened and closed 1 hour earlier than usual (server time).
  Trading session (server time): 03:31 PM - 09:59 PM.
• Starting 8 November 2021, CFDs on US stocks will be available for trading within the operating range of the contract specifications.

Schedule for trading on USDRUB

• Starting 1 November 2021, the USDRUB currency pair will be traded according to a new schedule.
  Trading session (server time): 09:00 AM - 5:30 PM.
• 4 November 2021 - no trading.
• 5 November 2021 - trading starts as usual.

R StocksTrader platform

Schedule for trading on US stocks, CFDs on US stocks, ETFs, and CFDs on ETFs

• From 1 to 5 November 2021, trading will be opened and closed 1 hour earlier than usual (server time).
  Trading session (server time): 03:30 PM - 10:00 PM.
• Starting 8 November 2021, the above-mentioned instruments will be available for trading within the operating range of the contract specifications.

Schedule for trading CFDs on US indices (US30, US500, NAS100)

• From 1 to 5 November 2021, trading will be opened and closed 1 hour earlier than usual (server time).
  Trading session (server time): 09:00 AM - 10:00 PM.
• Starting 8 November 2021, the above-mentioned instruments will be available for trading within the operating range of the contract specifications.

Schedule for trading CFDs on Metals (XAUUSD, XAGUSD)

• From 1 to 5 November 2021, trading on Metals will be opened and closed 1 hour earlier than usual (server time).
  Trading session (server time): 12:05 AM - 10:59 PM.
• Starting 8 November 2021, Metals will be available for trading within the operating range of the contract specifications.

Schedule for trading CFDs on oil (BRENT.oil and WTI.oil)

• From 1 to 5 November 2021, trading on CFDs on Oil will be opened and closed 1 hour earlier than usual (server time).
  Trading session (server time): 02:00 AM - 10:15 PM.
• Starting 8 November 2021, CFDs on Oil will be available for trading within the operating range of the contract specifications

cTrader platform

Schedule for trading CFDs on Metals (XAUUSD, XAGUSD)

• From 1 to 5 November 2021, trading on Metals will be opened and closed 1 hour earlier than usual (server time).
  Trading session (server time): 12:05 AM - 10:59 PM.
• Starting 8 November 2021, Metals will be available for trading within the operating range of the contract specifications.

Schedule for trading on USDRUB

• Starting 1 November 2021, the USDRUB currency pair will be traded according to a new schedule.
  Trading session (server time): 09:00 AM - 5:30 PM.
• 4 November 2021 - no trading.
• 5 November 2021 - trading starts as usual.

Please, note that on 5 November 2021, trading on all instruments in all platforms will be closed at 11:00 PM server time.

In addition to that, from 1 to 5 November 2021, the bank rollover time will be from 10:45 PM to 11:15 PM server time. This might lead to short-term interruptions in quoting and significant widening of spreads.

Please, take into account these changes in schedule when planning your trading activity.

* - This schedule is for informational purposes only and may be changed.

Sincerely,
RoboForex team

 

[Vlad RF]

RoboForex improves trading conditions and opportunities for its clients

Dear Clients and Partners,​

The company is constantly working on the optimization and the improvement of our products, so we’re pleased to inform you about the result of the work we have conducted:

• Order execution is now faster.
  
• Swaps are better.
  
• Spreads are lower.

12 new cryptocurrencies are already available for trading

Also, RoboForex has expanded the list of trading assets by adding 12 popular digital currencies: Bitcoin Cash, Cardano, Chainlink, Cosmos, Dogecoin, Litecoin, Monero, Polkadot, Ripple, Solana, Stellar, TRON.

Our clients can now trade 16 cryptocurrency instruments with the best conditions:

• 24/7 trading.
  
• Leverage up to 1:50.
  
• Deposits from $10.

New instruments are already available in MetaTrader 4, MetaTrader 5, and R StocksTrader. More detailed trading conditions for all types of accounts can be viewed on the "Contract specifications" page.

We continue our systematic work on the company’s products from the perspective of our clients and try to provide them with the best trading conditions, a wide range of instruments, and consistently high quality of services.

Sincerely,
RoboForex team

 

[Vlad RF]

What are Forex Cent Accounts Needed For?

Author: Victor Gryazin

Dear Clients and Partners,​

In this article, we will review cent accounts and what they are needed for. Such accounts let beginners dive in real trading with minimal expenses and experienced traders – test their trading strategies or robots, as well as some psychological relief.

What is a cent account?

A cent account in Forex is a trading account provided by the broker; the balance is measured in the base currency (US Cent, EU Cent, etc.) denominated 100 times. Trading conditions on cent accounts are almost the same as on real ones. You only need to deposit it for 10 USD to get a 1,000 US Cent deposit.

The Cent account type is widely used for market beginners and those traders who practice or want to test a certain strategy in real market conditions with smallest expenses.

A cent account is always a transition point between a demo account and a classic one, the first step to real trading with a decreased risk. If, for example, a trader wants to work with a capital of 10,000 USD, they only need 100 USD to open a 10,000 US Cent account.

What are cent accounts used for?

Whether one needs a cent account or not, this is always for each trader to decide. One needs it for practicing for real with minimal risks, another – as an account for making unsystematic emotional trades. Let us focus on the main reasons for using cent accounts.

Test trading

This must be the most widespread reason for using cent accounts. Beginners practice their skills on demo accounts, but as long as money is virtual there, they do not include one of the main aspects of trading – the psychological one. Hence, for further development, they need to switch to a real account, and a cent one is a great choice. It allows getting real trading experience and check the working ability of their trading system with minimal expenses.

They can just keep in mind the capital that they plan to use in the market. For example, to check the abilities of a capital of 5,000 USD, they can open a cent account and deposit it for 50 USD to get a 5,000 US Cent capital. As a result, the trader can fully test their strategy on this deposit, risking 50 USD at worst. However, their profit will also be in cents, not in dollars.

In such cases, the trader’s task is not to make a large profit but to train their skills and develop psychological stability. After the trader makes sure their trading is stable (they get a positive result over a reporting period: quarter, semester, year), they may switch to a real trading account.

Psychological vent

Another reason for using cent accounts is making emotional trades that go counter your trading rules. For example, you see on the chart that after some important fundamental news there is a strong active movement. You are sure that a mighty impulse will follow but your trading system does not give any signals in this direction. You want to open a position but this is against your rules, right?

Read more at R Blog - RoboForex

Sincerely,
RoboForex team

 

[Vlad RF]

Company Makes a Spin-Off: What Does Investor Do?

Author: Maks Artemov

Dear Clients and Partners,​

The stock market is full of various events and phenomena, and one cannot always keep an eye on all of them. There are those that must be tracked anyway; you must know how to behave and what to do in certain circumstances.

One such event is called “spin-off”. This article is devoted to it, its influence on the shares of the company and on investors.

What is a spin-off?

Spin-off means that the company splits up, or a branch of its business separates in a separate structure. In other words, the main (parent) company opens a subsidiary and hands over a part of its assets and liabilities, opening a separate legal entity. The parent company, simultaneously, preserves it legal entity.

This event must not be mixed up with opening a new company at the expense of founders and investors.

An example of a spin-off

Let us take an imaginary business as an example.

Company SSS makes construction materials, gradually extending its product line. A bit later the company offers a whole assortment of such products and takes up its niche in the market.

In such circumstances, the management becomes more and more ambitious, craving for development, and decides to carry out a spin-off. Thus the management aims at taking up another niche, namely, construction and installation works.

SSS is a public company with shares in free turnover. At the general meeting of shareholders, they decide to create a subsidiary SSS-1 that will work in the new niche. They also decide upon allocating money for this and all organizational issues. This is quite a lengthy process that can take from six months to a year.

The conditionally new company acquires some assets and liabilities of the company, issues shares, and sets up its primary cost. As a result, all shareholders of the initial company acquire some new share.

This happens at the exchange rate, which is a ratio of the new shares to the share price of the parent company. This will depend on the decision made at the meeting of shareholders.

Read more at R Blog - RoboForex[

Sincerely,
RoboForex team

 

[Vlad RF]

MACD + ADX Trading Strategy

Author: Andrey Goilov

Dear Clients and Partners,​

The name of the article clearly indicates that the latter is devoted to a strategy that uses two indicators: ADX and the MACD oscillator. To be short, I will be calling it MACD+ADX. Some say that a trend indicator alongside an oscillator is the most efficient combo.

The strategy is meant for day charts of currency pairs, which means less time spent on graphic analysis than with shorter timeframes. Any of these three pair suits the strategy: EUR/USD, GBP/USD, AUD/USD. Experienced investors stick to these ones because majors have more predictable behavior, and tech analysis works much better on them.

In the article I will show you how to combine signals from the two indicators correctly and will reveal some nuances and rules of work by the strategy..

MACD+ADX description

To open a position, start by analyzing the activity of ADX with period 16. Make sure you choose correct settings when adding the indicator to the trading terminal.

Signals in the strategy do not differ from "classic" ADX signals. As you know, the author claims that a crossing of +Di and -Di as it is already gives a market entry signal. For example, if +Di crosses -Di from below, this is a signal to buy, and if -Di crosses +Di from above, this signals to sell.

+Di and -Di show the difference between today's and yesterday's high and low. So in the first case, when +Di goes up, the trend must be ascending because today's highs are higher than yesterday's. Hence, buying is the best option in such circumstances. Meanwhile, when -Di values go down, we can conclude there is a bearish impulse and get prepared for selling.

Read more at R Blog - RoboForex

Sincerely,
RoboForex team

 

[Vlad RF]

How to Trade EUR/GBP?

Author: Igor Sayadov

Dear Clients and Partners,​

There are eight currencies in the world, recommended by the International Monetary Fund (IMF) for storing gold reserves. They would be:

1. USD – US dollar
2. EUR – euro
3. GBP – Great Britain pound
4. AUD – Australian dollar
5. NZD – New Zealand dollar
6. CAD – Canadian dollar
7. CHF – Swiss franc
8. JPY – Japanese yen.

The pairs constituted by 7 main currencies against the US dollar are called majors: EUR/USD, GBP/USD, AUD/USD, NZD/USD, USD/CAD, USD/JPY, USD/CHF.

All other pairs traded in Forex that do not include the USD are called cross-rates.

Majors make up for 70% of all daily turnover in Forex; cross-rates make up for the remaining 30%. While among majors, the most widely used is EUR/USD, among cross-rates, EUR/GBP is the most popular one.

This article is devoted to this currency pair, its history and peculiarities, and trading strategies that suit it.

Short history of EUR/GBP

The EUR/GBP pair appeared right after the European Union was formed because it was necessary to establish trade relations between the two largest economies in Europe. Britain entered the EU in 1998, keeping its own currency and credit and monetary policy.

In 2016, the country decided to exit the EU. Brexit, which used to be the main source of talks before the coronavirus, came into force in 2020. Naturally, such dramatic changes affected the cross-rate of EUR/GBP.

On MN, we can see an uptrend coming to an end in 2016 and a consolidation range form at this high until 2020. After Britain signed an agreement about its final exit from the EU, the quotations started a new wave of decline.

What influences EUR/GBP quotations

EUR/GBP is neutral to the US economy and performs no stunts characteristic of other pairs when some important news in the USA emerge.

This pair mostly reacts to inflation data in the EU and Britain. Also, check the pair when the ECB and Bank of England change interest rates.

As a rule, cross-rates react to such events by long-term trends. So, before such news emerge, single out a consolidation area and wait for exiting these areas by the trend.

Read more at R Blog - RoboForex

Sincerely,
RoboForex team

 

[Vlad RF]

What is Depth of Market and How Does It Work?

Author: Victor Gryazin

Dear Clients and Partners,​

What is DOM?

DOM (Depth of Market, a.k.a. Level 2, Order Book) is a list of current orders to sell and buy a certain trading instrument, presented as a handy table. It demonstrates prices that market players offer at the moment. DOM shows the actual balance of sellers and buyers and thus serves a handy instrument for traders and investors.

Stock market, in essence, is an auction in which sellers and buyers participate. For example, you want to buy 10 stocks at a price you set yourself. Your order gets into DOM, and if your price is close to the current market price, a seller will appear quite soon. However, if there are people in the market who want to buy the stocks at a higher price, you will need to wait until their orders are executed.

What does DOM look like?

Classic DOM is divided into two columns: in the left one prices and volumes of buyers (the number of lots) are presented; in the right one there are prices and volumes of sellers. The difference between the nearest orders to buy and sell is the current spread.

The look of DOM depends on the trading terminal you use but general parameters are the same. Normally, orders to sell are at the top and orders to buy are at the bottom. DOM cannot accommodate for all orders placed by buyers and sellers real-time online. Hence, it shows online those orders that are the closest to the current market price.

They are what form the so-called DOM. For example, if DOM is 20*20, the table consists of 20 nearest buy prices and 20 nearest sell prices. This is quite a wide-spread look of DOM that brokers use. However, you can customize it in the trading terminal settings.

Read more at R Blog - RoboForex

Sincerely,
RoboForex team

 

[Vlad RF]

RoboForex: upcoming changes to the trading schedule in view of Thanksgiving holiday in the US

Dear Clients and Partners,​

We are informing you that due to the Thanksgiving national holiday in the US, there will be some changes to the trading schedule*.

MetaTrader 4 / MetaTrader 5 platforms

Schedule for trading on CFDs on oil (WTI, Brent), Metals (XAUUSD, XAGUSD), CFDs on US indices (US500Cash, US30Cash, USTECHCash), and Japanese index JP225Cash

• 25 November 2021 – trading stops at 7:40 PM, server time.
• 26 November 2021 – trading stops at 8:00 PM, server time.

Schedule for trading on CFDs on US stocks

• 25 November 2021 – no trading.
• 26 November 2021 – trading stops at 8:00 PM, server time.

R StocksTrader platform

Schedule for trading on US stocks, CFDs on US stocks, US indices, and ETFs

• 25 November 2021 – no trading.
• 26 November 2021 – trading stops at 8:00 PM, server time.

Schedule for trading on Metals (XAUUSD, XAGUSD) and CFDs on Crude Oil (BRENT.oil, WTI.oil)

• 25 November 2021 – trading stops at 7:40 PM, server time.
• 26 November 2021 – trading stops at 8:00 PM, server time.

cTrader platform

Schedule for trading CFDs on Metals (XAUUSD, XAGUSD)

• 25 November 2021 – trading stops at 7:40 PM, server time.
• 26 November 2021 – trading stops at 8:00 PM, server time.

Please take note of the above trading schedule changes when planning your trading activity.

* - This schedule is for informational purposes only, and may be subject to further change.

Sincerely,
RoboForex team

 

[Vlad RF]

Merger and Acquisition: What Are the Types and How Shares React?

Author: Maks Artemov

Dear Clients and Partners,​

No doubt, each investor is interested what happens to the company they put their money in after it goes through a merger or acquisition. What to do, especially with the shares in your portfolio? Most importantly, what profit one will receive after such business events? This article attempts at answering these questions and giving some options of behavior in the case of merger or acquisition.

Company M&A

Merger is a process in which two or more companies take some economic actions to enlarge or expand their business. The abbreviation M&A stands for Mergers and Acquisitions. After the merger, a larger company appears in the market. The aim of the process is to make business more efficient, increase production powers, take over new markets, and create a full or partial monopoly.

Types of mergers

There are two main types of M&A:

• Friendly M&A happen when two companies agree on mutually profitable conditions and act by the agreement.
• Hostile M&A happen when the management of the acquired company does not agree with the unprofitable conditions of the merger but usually has no choice. A hostile merger becomes possible when the acquiring company owns over 30% of the company that is acquired. If the former holds the control package of stocks (over 50%), the latter has no chances to oppose the merger.

The influence of M&A on the quotations

Firstly, let us get to know what happens to the shares of merging companies. In most cases, the quotations of the acquired company grow. The reason is a profitable share exchange offer and other bonuses for investors and shareholders.

Normally, the shares of the acquiring company can drop. The reason is increased expenses at the start. After a successful merger and successful reshuffling, the shares recover and start growing.

In certain cases, it so happens that the shares of the companies on both sides start falling after the merger is announced. Usually this happens when investors do not think that the merger is reasonable and see no perspectives.

The opposite can also happen: the shares of both companies grow. This happens when the merger looks promising for all and investors see no bad sides of it.

Bottom line

M&A is a market trade that has both good and bad sides. To make the best of it you need to study and understand all the processes. A good way to do it is to study identical agreements in other companies. This does not guarantee you success yet might give an idea of what will happen and what are the stumbling rocks.

M&A is a complicated process that can take a long time, so be patient and try to avoid emotional decisions.

Read more at R Blog - RoboForex

Sincerely,
RoboForex team

 

[Vlad RF]

RoboForex: ticker changes following Facebook's company rebranding

Dear Clients and Partners,​

Facebook, Inc. (NASDAQ: FB) announced the change of its name to Meta Platforms, Inc. (“Meta” for short), as part of its company rebranding.

If you have open positions in FB or you plan to open positions, please take into consideration the changes that will take effect prior to the trading session start on 1 December 2021.

How will this change affect positions and orders?

Accounts on MetaTrader 4 / MetaTrader 5

• The ticker of all open positions in CFDs on Facebook's shares will change from FB to MVRS as of 11:00 PM server time on 30 November 2021, prior to the trading session start on 1 December 2021.
• The ticker of all open positions in Facebook's shares will change from FB.nq to MVRS.nq as of 11:00 PM server time on 30 November 2021, prior to the trading session start on 1 December 2021.

Accounts on R StocksTrader

• The ticker of all open positions in CFDs on Facebook's shares will change from FB to MVRS as of 11:00 PM server time on 30 November 2021, prior to the trading session start on 1 December 2021.
• The ticker of all open positions in Facebook's shares will change from FB.nq to MVRS.nq as of 11:00 PM server time on 30 November 2021, prior to the trading session start on 1 December 2021.

Pay attention to Expert Advisors (EA)

If you are using Expert Advisors (EA), check their settings to make sure they are operating correctly after the ticker changes.

All other trading conditions remain the same. Please take the above ticker changes into consideration when planning your trading activity.

Sincerely,
RoboForex team

 

[Vlad RF]

RoboForex adds over 500 instruments to R StocksTrader, including fractional shares

Dear Clients and Partners,​

RoboForex updated R StocksTrader, which now offers over 500 new instruments for trading, including fractional shares and CFDs on shares of American, Brazilian, British, and European companies.

Access to trading fractional shares will enable clients to acquire both full shares and "slices" of stocks that represent a partial share. For example, a client can buy 1.5 of an Amazon or Netflix share. Meanwhile, the minimum volume of shares to buy remains the same – 1 share.

Why are fractional shares convenient?

• Fractional shares cost less than full shares and that’s an excellent opportunity to invest in securities with less money.
• Fractional shares enable clients to diversify their investment portfolios by acquiring fractional shares of a wider range of companies.

Other updates to R StocksTrader:

• New CFDs on American, Brazilian, and European stocks, including such popular instruments as Lucid Group Inc (LCID), Rivian Automotive Inc (RIVN), Udemy Inc. (UDMY), and others.
• 8 additional languages: Danish, Italian, Dutch, Norwegian, Rumanian, Finnish, French, and Swedish.
• Improved mobile application: enhanced security, direct access to deposit/withdrawal of funds, and the registration of trading accounts.

Apart from new assets R StocksTrader offers over 12,000 trading instruments for investing, including more than 3,000 real stocks, such as Amazon, Apple, Facebook, and Tesla

We’re always striving to provide quality services and add new instruments and update the platform functionality. Due to this, the commission for trading Stocks and CFDs on stocks has been pushed to competitive levels. Updated commission conditions can be viewed on the R StocksTrader[/URL] page.

Start trading fractional shares and other popular instruments on

R StocksTrader today!

Learn more about trading Stocks >​

Sincerely,
RoboForex team

 

[Vlad RF]

How to Use Personal Income and Personal Spending in For example

Author: Victor Gryazin

Dear Clients and Partners,​

This overview is devoted to two macroeconomic indicators — Personal Income and Personal Spending —and their influence on the stock market.

What is Personal Income

Personal Income represents monthly changes in the income of physical persons. This indicator assesses in percent the changes of the aggregate income of people in the country over a reporting month compared to the previous month. For calculations, income from several sources is used:

• Wage/salary
• Bonuses
• Income from owning real estate
• Income from holding financial assets
• Income from enterprises
• Subsidies and social payments
• Insurance, pension, etc.

In the USA, Personal Income is calculated and published by the Bureau of Economic Analysis (BEA), alongside Personal Spending.

Monthly changes of personal income is one of the key macroeconomic indicators that the BEA uses for assessing business activity in the country. Personal Income changes are published monthly in the Economic Calendar.

What is Personal Spending

Personal Spending demonstrates monthly changes in expenses of physical persons. It assesses in percent how aggregate expenses of people in the country have changed over the reporting month compared to the previous one. This includes all main expenses of the population:

• Spending on services
• Spending on durable and not goods
• Spending on banking transactions, commission fees, etc.

This indicator is also calculated monthly and published by the BEA alongside Personal Income. Consumer expenses are part of the GDP, hence, PS helps forecast its growth. Also, it is one of inflation growth indicators. Changing Personal Spending us published monthly in the Economic Calendar.

Read more at R Blog - RoboForex

Sincerely,
RoboForex team

 

[Vlad RF]

How to Trade Dragon Pattern: Manual

Author: Andrey Goilov

Dear Clients and Partners,​

In technical analysis, there are patterns that can help you catch a market reversal on time. Among strong patterns, people name Double Top and Double Bottom, a.k.a. W-top and M-top.

Fairly enough, the market does not normally reverse by a single strong movement in the opposite direction. Most often, it forms a reversal pattern to get started.

Apart from using classical reversal patterns, some traders modernize identification and trading rules of existing structures. One example is the Dragon pattern.

The Dragon pattern looks very much like a Double Bottom but features some unique rules that identity it as a separate pattern, not a classical price structure. As the author puts it, the Dragon can be traded on various timeframes, while a low risk-to-profit ratio makes it even more attractive for traders.

The article is devoted to distinguishing the Dragon from a classic Double Bottom, the rules of trading, levels of taking the profit and leaving the market if necessary.

Read more at R Blog - RoboForex

Sincerely,
RoboForex team

 

[Vlad RF]

RoboForex enables access to the CopyFX platform in the MT5 terminal

Dear Clients and Partners,​

You can now invest using CopyFX via accounts opened in MT5, the trading terminal that is very popular with traders.

CopyFX is RoboForex’s proprietary investment platform for copy-trading. It allows users to copy transactions of successful Traders and earn on their trading strategies or trade on their own and receive additional income from subscribers, the platform’s Investors.

Aspects of investing using CopyFX via MT5 accounts:

• Investments using CopyFX are available to any hedging MT5 account. All you have to do is to choose a Trader from the Rating and subscribe.
  
• To become a Trader, you don’t need to open a new account and trade to create a new trading history – your statistics and trading results are already synced with the platform. To start working, you have to specify subscription conditions, that’s all.
  
• You can use the same MT5 trading account to copy transactions of other Traders and let your transactions be copied by Investors.
  
• Investors can use three ]subscription modes, “Proportional”, “Classic”, and “Fixed”, while Traders can work according to the Without commission” scheme.
  
• All transactions are copied instantly; there are no limits for the number of accounts per subscription.
  
• Subscriptions are allowed only between MT5 accounts.

How to start investing?

• Register a new MT5 account or log in to an existing one.
  
• Choose the amount to be invested via CopyFX and deposit it using one of the 20 available payment systems.
  
• Choose a Trader in the Rating and start copying their transactions.

Are you ready to start earning on investments?

Read more about CopyFX >​

Sincerely,
RoboForex team

 

[Vlad RF]

How to Use EPS for Evaluating Shares

Author: Victor Gryazin

Dear Clients and Partners,​

To choose interesting stocks for investing, market players evaluate carefully various economic indices and statistics. This overview is devoted to one index called Earning per Share, or EPS.

What is EPS?

This Earning per Share index evaluates how profitable a certain company is in terms of one share. This multiplier shows the relation of net profit over a year’s time and the number of its ordinary shares in turnover, giving an idea of what profit can be brought to the investor by each share they buy.

In essence, each shareholder holds their share of the authorized capital of the company that equals to the number of issued shares. The profit made is given proportionally to each shareholder. So, the EPS multiplier reveals how much money out of the invested sum will return to the investor. The higher the EPS, the more profitable it is to invest in the company.

The profit made by the company can be fully or partially given to the shareholders as dividends. Here, things depend on the decisions of the board of directors. Shareholders via their representatives on the board can influence the issue, altering the share of the profit that will be given out to the shareholders in the form of dividends.

How is EPS calculated?

For calculating EPS, we use the net profit minus dividends on privileged shares. the formula is as follows:

EPS = (P – Div) / N

Where:

• P is the net profit of the company for the reporting period (after taxes)
• Div is the dividends on privileged shares
• N is the number of ordinary shares in turnover in the reporting period

Example of calculation:

As an example, let us use Netflix (NASDAQ: NFLX). Over the last financial year, the company reported 2,761,395,000 USD of net profit, while the total number of ordinary shares in turnover was 440,922,000 shares.

The balance report says that Netflix did not issue privileged shares, so in the calculation formula, we subtract nothing.

Dividing the net profit of 2,761,395,000 USD by 440,922,000 shares, we get EPS of 6.26 USD per share.

You can check EPS in economic reports or on websites. For EPS or American companies, for example, go to Finviz.com:

Closing thoughts

EPS gives a chance to assess the potential profit made on one shares of the company you are planning to invest in. The multiplier has equally advantages and drawbacks, so it is recommended to be used alongside other multipliers, P/E being the most frequently used one.

Read more at R Blog - RoboForex

Sincerely,
RoboForex team

 

[Vlad RF]

How to Choose Shares for Investing in Correcting Market

Author: Eugene Savitsky

Dear Clients and Partners,​

Over the last 10 days, the stock index S&P 500 corrected by 5%. Previous correction was longer but amounted finally to just 6%. Since the beginning of 2021, the index has had five corrections, yet the price has never fallen more than by 6%.

Based on this, we can suppose that the current correction is close to an end, and soon the quotations will start growing again. In this case, the question is: which stocks to buy in such a market?

Today, I will drive your attention to major market players and see which shares they prefer investing in.

At present, the top-3 market participants managing a capital of more than 1 trillion USD includes:

• VANGUARD GROUP INC – 4.2 trillion USD
• BlackRock Inc. – 3.57 trillion USD
• STATE STREET CORP – 1.89 trillion USD

I suggest looking into the portfolios of these funds and check their recent investments. I guess, you will be surprised because you will not see there such well-known companies as Apple Inc. (NASDAQ: AAPL), Alphabet Inc. (NASDAQ: GOOG), or Amazon.com, Inc. (NASDAQ: AMZN).

VANGUARD GROUP INC

Let us start with VANGUARD GROUP INC. Note that I range the shares by their “weight” in the portfolio, and these are brand-new purchases, i.e. these shares had not been in the portfolios before.

Number one is Lucid Group, Inc. (NASDAQ: LCID).

Lucid Group, Inc. was founded in 2007. It manufactures cars. This investment is evaluated as 900 million USD. In the last quarter, the average share price of the company was 25.38 USD, while now they are trading for 48 USD.

VANGUARD invested in GXO Logistics about 798 million USD. In the last quarter, the average share price was 78.44 USD and the current market price is 92 USD.

Meanwhile, number three is SoFi Technologies, Inc. (NASDAQ: SOFI).

SoFi Technologies is a financial company founded in 2011. It gives loans for education, refinancing older loans, insurance, mortgage, and provides other financial services.

In SoFi Technologies, VANGUARD invested 751 million USD. In Q3, its average share price was 15.88 USD and the current price is 16.40 USD. Note that with the current price growth, the investments of VANGUARD GROUP already demonstrate profitability.

Tech analysis of GXO Logistics shares

Now to the charts of the companies. The shares were bought in Q3, so now we can check how this process affected the share prices of the issuers.

The leader in terms of the sum of investment is GXO Logistics. Since the IPO, the shares of the company have been growing, which is no surprise. Average daily trade volume amounts to 55 million USD. Hedge funds created demand for the shares with their 1.6 billion USD of investments, making the share price grow.

Today, there is an uptrend on the chart, and the quotations have declined to the lower trendline, which means the correction will soon be over, and growth will start again. Another signal to buy the shares will be a bounce off 90 USD.

Bottom line

Corrections give investors a great chance to buy some shares at lower prices. However, there is always a question, which shares to buy. I suggest that we look for possible investments in the reports of major market players that employ dozens or perhaps hundreds of analysts all over the globe.

All the three funds spent on the shares of the named companies no more than 0.02% of their portfolios, which means in the future they will be investing more, making the shares grow.

Currently, keep a close eye on the charts of the shares, checking for support levels, as with Victoria's Secret & Co quotations. This will be a hint on the price, at which it is better to buy the shares.

Read more at R Blog - RoboForex

Sincerely,
RoboForex team

 

[Vlad RF]

RoboForex: changes to the trading schedule (in view of the Christmas and New Year holidays)

Dear Clients and Partners,​

We are informing you that there will be some changes to the trading schedule* during the Christmas and New Year holidays.

MetaTrader 4 / MetaTrader 5 platforms

Schedule for trading on DE30Cash and DE40Cash

• 24 December 2021 – no trading.
• 27 December 2021 – trading as usual.
• 31 December 2021 – no trading.
• 3 January 2022 – trading as usual.

Schedule for trading on CFDs on GDRs

• 24 December 2021 – no trading.
• 27 December 2021 – no trading.
• 28 December 2021 – no trading.

Schedule for trading on other instruments

• 24 December 2021 – no trading.
• 27 December 2021 – trading as usual.
• 31 December 2021 – trading stops at 8:00 PM, server time.
• 1 January 2022 – no trading.
• 2 January 2022 – trading as usual.

R StocksTrader platform

Schedule for trading on GER40

• 24 December 2021 – no trading.
• 27 December 2021 – trading as usual.
• 31 December 2021 – no trading.
• 3 January 2022 – trading as usual.

Schedule for trading on UK100, SPA35, FRA40

• 24 December 2021 – no trading.
• 27 December 2021 – no trading.
• 28 December 2021 – no trading.
• 29 December 2021 – trading as usual.
• 31 December 2021 – no trading.
• 3 January 2022 – no trading.
• 4 January 2022 – trading as usual.

Schedule for trading on UK stocks

• 24 December 2021 – no trading.
• 27 December 2021 – no trading.
• 28 December 2021 – no trading.
• 29 December 2021 – trading as usual.
• 31 December 2021 – no trading.
• 3 January 2022 – no trading.
• 4 January 2022 – trading as usual.

Schedule for trading on CFDs on EU stocks

• 24 December 2021 – no trading.
• 27 December 2021 – trading as usual.
• 30 December 2021 – no trading.
• 31 December 2021 – no trading.
• 3 January 2022 – trading as usual.

Schedule for trading on other instruments

• 24 December 2021 – no trading.
• 27 December 2021 – trading as usual.
• 31 December 2021 – trading stops at 8:00 PM, server time.
• 1 January 2022 – no trading.
• 2 January 2022 – trading as usual.

cTrader platform

Schedule for trading on all instruments

• 24 December 2021 – no trading.
• 27 December 2021 – trading as usual.
• 31 December 2021 – trading stops at 8:00 PM, server time.
• 1 January 2022 – no trading.
• 3 January 2022 – trading as usual.

Please take note of the above trading schedule changes when planning your trading activity.

* – This schedule is for informational purposes only and may be subject to further change.

Sincerely,
RoboForex team

 

[Vlad RF]

RoboForex receives the "Best Stocks Broker (Global)" Award

Dear Clients and Partners,​

In late 2021, RoboForex became the recipient of the “Best Stocks Broker (Global)” award from the prestigious media Global Business Review.

For much of 2021, we were paying extra attention to the improvement of our multi-asset platform R StocksTrader, which allows to invest in a lot of different instruments, including over 3,000 stocks and more than 8,000 CFDs American and European stocks.

• We extended the list of assets by adding over 700 new instruments.
• We added the opportunity to invest in SPAC.
• We enabled access to trading fractional shares.
• We expanded the platform functionality.
• We improved the mobile application.

Another award in the "Best Stocks Broker (Global)" nomination is proof that the company is moving in the right direction. It motivates us to consistently improve our products and services for our clients.

Are you ready to try stock trading?

See the quality of our provided services for yourself!

Sincerely,
RoboForex team

 

[Vlad RF]

What Are Futures and How to Trade Them?

Author: Andrey Goilov

Dear Clients and Partners,​

Many traders start by trading currency pairs, trying later CFDs, stocks, and futures. Today I will be talking about the latter ones.

A futures is a contract between the seller and buyer by which they agree to sell/buy the asset in the future for a set price. Initially, such contracts were meant for companies, so that they could avoid unnecessary expenses.

Here is an example. We sell coffee yet we understand that due to the pandemic, the price for it will only be growing, and quite noticeably. To avoid a steep increase in the price and a decrease in sales, we agree with the supplier on a large supply of beans at the current price but in six months.

If the price for coffee indeed grows in the future, we will only win because we will buy the beans at a lower price. If the price does not grow and even fall, the one to profit from the trade is the seller because they will sell the coffee at a higher price than the current one.

Most often, base commodities for futures contracts are crude oil, wheat, corn, stock indices. Such contracts, as a rule, are trading in the exchange, and real supply of the commodity never happens.

Why are futures interesting to traders?

On the whole, futures contracts are somewhat different from, say, stocks. When an individual trader buys stocks, it is more like an investment, while trading futures is more of a speculation.

Simultaneously, thanks to this peculiarity, futures have certain advantages, unavailable for investments in the stock market. For example, futures are traded almost 24 hours a day six days a week, while shares have a limited trading time.

Another advantage of futures is easier margin requirements when selling than those to stocks. A short position in stocks means selling the asset that has been loaned and then buying this one for less money. For stocks, this trading operation has high margin requirements, while with futures, they are the same for selling and buying.

Futures also allow diversifying certain classes of assets and invest in them more actively.

For example, the share price of an oil company will depend not only on oil prices but also on the work of the management and rivals. However, a futures itself can depend only on the oil price without any factors created by the work of the company and its rivals.

How to trade futures, after all?

To work actively with futures, the trader needs to focus on a limited number of instruments to stay concentrated and accumulate experience. With futures, you can take long and short positions: the direction of the work depends on your tolerance to risk and your goals.

A long position means that you buy a contract and wait for the base asset to grow in the future. Then you sell it at a higher price and make money on it. Risks emerge from the base asset not growing or even falling – this way you lose your money.

A short position means that you sell your futures and wait for the price of the base asset to fall in the future. Here are also risks: if you are in a short position, and the price for the base asset grows, your losses can be unlimited because there are no limits to growth.

There is also such a notion as calendar spread. This is a strategy by which the trader takes both a long and short position in one asset with different delivery dates.

The potential profit emerges from the small difference between the sold and bought contract. If the calendar spread is positive, the trader buys a futures with a shorter delivery term and sells a futures with a longer one. If the calendar spread is negative, they sell the futures with a shorter delivery term and buy the futures with a longer one.

Read more at R Blog - RoboForex

Sincerely,
RoboForex team

 

[Vlad RF]

How to Trade Marubozu Candlestick Pattern?

Author: Victor Gryazin

Dear Clients and Partners,​

This article is devoted to a universal candlestick pattern Marubozu: what it looks like on the chart and in which cases it can be used for trading.

What Marubozu candlestick is

The pattern is named after the only candlestick that it includes – Marubozu. From Japanese, the name is translated as “bald”, “with shaved head”. The candlestick has a large body and almost no shadows, so it looks as if its shadows have been “cut off”, leaving the candlestick with just a “bald” body.

There are three Marubozu types:

• Marubozu Full almost lacks both shadows;
• Marubozu Open lacks the shadow at the side of the opening price and has a small shadow at the side of the closing price.
• Marubozu Close, on the contrary, lacks the shadow at the closing side and a small one at the opening sid

The pattern can consist of any Marubozu, the type does not matter. As for the strength of the candlestick, it is considered quite strong and does not appear too often. When it does appear, however, this means bulla or bears are going to take action.

Types of Marubozu pattern

Depending on the color of Marubozu body, traders single out two types of the pattern: Bearish Marubozu and Bullish Marubozu. Sometimes you can hear about Marubozu Brothers, which means there are both types of the candlestick: a white bullish and a black bearish candlestick. I would say, one brother tries to push the market upwards (the Bullish Marubozu), while the second brother, on the contrary, plans to send the market down (the Bearish Marubozu).

Bullish Marubozu

The pattern consists of a large white candlestick and demonstrates that bulls are ready to attack. The place on the chart where the pattern forms, indeed, matters. There are two main trading scenarios.

Read more at R Blog - RoboForex

Sincerely,
RoboForex team