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Where Does News Trading go wrong?

When news releases are put out, traders base their trading on those releases. It can lead to strength or weakness in a currency depending on the news and what it corresponds to. However the expectation of currency changes that a news release gives does not always play out as expected, and for traders who choose to trade on news this can be problematic. There are two main factors that may confuse news traders.

US indicators can produce the opposite result of the dollar, due to the risk on risk off mentality, so a weaker than expected US indicator can lead to a strong US dollar. That is because the US dollar affects the whole world, and it’s better to be safe by using the US dollar. When indicators surpass expectations, the whole world’s currencies are expected to improve so no safety is needed and the dollar is sold.

This behaviour has taken place for long periods of time in the aftermath of the financial crisis. In that case, never ending expectations caused the currency to return to normal behaviour followed by weak data. Creating more dollars to buy bonds weakens the US dollar, and positive figures lower chances of raising the US dollar.

The second expectation that traders have on big events such as rate decisions, where high expectations don’t come true and leads to disappointment. Or high expectations do come true but they were priced in or over priced in that any result leads to sell off. This scenario is called “Buy the rumour, sell the fact” it can even happen when the event is not a rumour but a well know scheduled and debated event.

For example, a future rate cut in Australia may result in a rally for the Australian dollar if this even would be priced in. This can happen despite the usual behaviour of a rate cut hurting the perspective currency and despite reality meeting expectations.
 
How to Limit your Risk while Trading?

No matter what method of trading, traders use, and what strategies they follow they should constantly be paying close attention to the money they are spending and the risk they have for losing that money. This can happen though one main thing which many traders choose to ignore; Cutting losses.

It’s easy to get excited with an open position and keep it open because it is gaining profits or because it could possibly gain profits, so excited that when thing take a turn for the worst you are still convinced you have a chance for profit.

But cutting losing trades before they drain all your position is the biggest struggle traders have, especially at the beginning of entering the world of Forex. Leaving a losing trade is a win on its own because you save more losses, but it’s much easier said than done. And for many actually leaving a trade is emotionally hard as they truly they believe they have a shot at winning.

It is always said that 90 percent of all traders fail at Forex Trading; the number is so high because traders don’t how to keep their losses to a minimum, which is one of the most important things to learn in Forex trading. Developing a Forex strategy should revolve around minimizing losses and keeping losses small usually refers to the overall number of money lost rather than how many trades lost. Because if you lose 100 dollars in 10 positions in a row, it is just the same as loosing 100 dollars on 20 positions. What matters is the money you are losing or making, and you need to learn to utilize your initial funds and trades in a manner that saves you the most money.

Learning how to manage risk and money is something you learn with time and experience, as you make some mistakes and fix them, and realize where your money is being mainly lost. But you should always start off with an initial plan that will help you manage your money right and use it in the right way to save the most possible for yourself.
 
Main Differences between Forex and Options

Margin
In Forex trading Margin is one of the biggest elements of trading. The maximum margin is determined by each broker and can but up to 1:500, it is designed to allow traders to increase their investment capital so they can make a larger trade, in Binary Options there is no use of margin at all.

Pay Outs
With Forex there can’t be any specified numbers on profits or losses. Traders can apply a Stop Loss order, to makes sure no big losses are made, but depending on how the market moves as the position is open losses and profits can be wide or narrow. A trader could lose all the money in his account in one trade. With Binary options the investment is pre-determined and a trader already knows how much he will make if the trade goes well and how much he will lose if it doesn’t.

Closing a Position
With Forex trading you can choose exactly when to close a position as the markets change. When a position opens there are no limits about when it should close that is entirely up to the trader and the decision can be made during the trade. With Binary Options the time frame is pre-determined, and the trade has to play out till the expiry date. Some brokers offer the option of “early closure” meaning you can exit your position at some point during the trade if you feel you are losing, but at a percentage cost.

Order Types
In Forex trading there are many order types including buy/sell, limit, stop, One Cancels the Other, Trailing Stop, Hedge Orders, and many others. In Binary Options there are five types of orders, high/low, 60 second options, Touch/No Touch, Boundary Options and Options builder.

Trade Size
Some Forex brokers allow trading micro lots, which are 1,000 units of the base currency, the maximum trading amount is determined by each broker and can be as high as 10,000,000 dollars. In Binary Options, the minimum and maximum is determined by each broker. The trading amount can be as low as 5 dollars per trade, and the maximum can be 1,000 dollars, or 5,000 dollars or more.
 
Making a Profitable Business in the Forex Market

For many people trading may be something small they do on the side, and do not take really seriously but for some trading can become their main source of income, or at least a big part of it and that is when Forex trading can become a Forex Business.

Like any other business you need to calculate and manage your costs. In Forex the costs are the losses you are likely to suffer through your trades, the commission you will pay to the broker through the spread – or separately – your basic equipment which is a computer and internet access.

Losing trades may seem like a cost you can avoid but they are not, no matter how good of a trader you are and how much money you are making, you are always going to have some losing trades, and it will be your biggest cost as a trader. So your plan should be to make sure your revenue can offset your cost enough for you to make a profit.

You need to always make sure that over all you have successful trades making enough profits to cover the losing ones, over all costs and leave a profit, otherwise it is completely useless to trade, and you will be spending more than you are making.

You can do that by making goals for your trading journey and always aim at reaching them. You goals should be to reach a very high percentage of winnings opposed to the percentage of losing or the winning trades need to be larger than your losing trades to balance it off. This is what is referred to as the risk reward ration. For example your risk reward ration can be set at 1:2 for every trade, meaning 35 to 40 percent of the times your trade have to right. Most successful traders win between 40-60% of the time however their wins are substantially bigger than their losses and therefore make up for the imbalance.

So in essence you can be wrong more than you are right and still make a big profit.

It takes a lot more skills and tactics to have a Forex business of course, and you cannot find out about all of them through one article but over time you can learn to manage your trading well enough to make a good business out of it.
 
I live in Israel.
But why does that have to do with the question I asked.
I try to get an opinion on the broker in general.
 
Wide Range of Forex Trading Products offered by XtreamForex



Forex trading is buying and selling of currency pairs with intent to make money or hedge investments. Forex market is most liquid asset class to trade and invest globally. There is wide range of foreign exchange products for trading that investors can pick up without difficulty but before trading in real money, it is advisable to open a demo account and try out different strategies that you could use in an actual foreign exchange environment.

XtreamForex is one of the Top Online Forex Broker who offers wide range of Forex Trading Products globally. These Forex Trading Products include:

1) Forex Products
2) Cryptocurrencies
3) Indices
4) Stocks

1) Forex Products
Forex Product available for trading is currency pairs. Currency pairs are the most renowned foreign exchange product in the market. Investors trade currency pairs globally. In Forex Products one currency is traded among other. The most renowned currency pairs include GBP to USD, EUR to USD and USD to JPY. With XtreamForex you can Trade More than 60 Major, Minor and Exotic currency pairs from 0.0 pips.

2) Cryptocurrencies
Cryptocurrency is a digital currency built with cryptographic protocols that make transactions safe and sound and difficult to fake. In simple words Cryptocurrency is a medium of exchange value that exists in the digital world. With XtreamForex Trade the world's most traded digital currencies: Bitcoin, Litecoin, Ethereum and many more under one Forex Trading Platform.

3) Indices
Indices traders speculate on price movements in stock Indices like the FTSE 100, the Dow Jones and DAX. Indices price movements and unpredictability are affected by factors like political events, major factors which affect companies in a particular sector, economic data like employment figures and big changes in the currencies markets. Trade Indices with excellent trading conditions and competitive spreads.

4) Stocks
Create and manage your own portfolio of companies. Trade 60+ Stocks of some of the largest and most famous companies of US, UK and EU. XtreamForex gives you competitive spreads and exceptional execution on some of the world's most popular shares.
 
Forex Tips



Forex trading takes more than just learning and skills but it takes confidence and belief. It is very easy to be discouraged by fails and hard times and stress and give up. Of course we do not want to deny that there is a time when for some people the best choice is to quit, but in many cases it is important to try and fight for what you believe in.

Having confidence in your Forex trading is a package with having confidence in yourself in general. You need to believe that you can achieve what you think you can. Most successful people – not just traders – in the history of the world believed in their own power of visualization. Meaning they wanted to get somewhere and they did one way or another never really giving up hope. Forex trading most definitely requires never losing hope and pushing to get where you want because it is not an easy or fast process.

You need to believe that you are a successful trader and act as such. This is not to encourage fake over confidence – because it can be harmful – but encourage healthy confidence in your abilities and your skills. If you tell yourself that you are not a good trader and you believe it then your whole outlook will be negative and it will make it harder for you to have the confidence to make the right choices. Hesitating during trading and questioning yourself will only lead to loss.

Aside from being confident in yourself, you need to be confident in your plan, because your trading plan is your main guide and if you don’t trust it enough to always stick to it then you’re in trouble. Of course there are stages where you will go back to the plan and adjust it and make it better, but that happens when you are reviewing your trades, not while you are executing them. During trading you need to have 100% confidence in your plan and strategy and follow them.

Next to your trading plan you should have a risk management plan, and one which you believe is and will continue to work well. Once again it takes some time before you get the right plan, but when you do you have to trust the plan and follow it in order to keep managing your risks and money right.

Last but most definitely not least always keep a trading journal; it is your way of crafting and perfecting your plan.
 
Most Volatile Currency Pairs of 2019



Want to start Forex Trading but don’t know which forex pairs you need to focus for profit? Nobody can give this answer correctly as it depends upon the trader’s knowledge about that currency pair and the volatility of currency pairs. You need to take the time to analyze different pairs against your own strategy, to determine which are the best Forex pairs to trade on your own account.

What Volatility Refers to?
Volatility is a term used to indicate the change in trading price of pairs in a specific period of time. Greater the scope of price variation, greater volatility is considered to be there. The volatility of a pair is measured by calculating the standard movement away of its returns. The standard difference is a measure of how widely values are dispersed from the average value (the mean).

The importance of volatility for traders
Being aware of a trading product's volatility is important for every trader, as different levels of volatility are better suited to certain tricks and psychologies. For example, a Forex trader looking to progressively develop his funds without taking on a lot of risk would be advised to choose a currency pair with lower volatility. On the other hand, a risk-seeking trader would look for a currency pair with higher volatility in order to cash in on the superior price differentials that volatile pair offers.

What affects the volatility of currency pairs?
Currency pairs are affected by following factors or events:
· Economic or Market Related Events
· Change in Interest Rate of a Country
· Drop in Commodity Prices

The degree of volatility is generated by different aspects of the paired currencies and their economies. Moreover drivers of volatility include inflation, government debt, and current account deficits; the political and economic stability of the country whose currency is in play will also influence FX volatility. As well, currencies not regulated by a central bank - such as Bitcoin and other cryptocurrencies - will be more volatile since they are inherently speculative.
According to the chart we come to the point that GBP/NZD is the most volatile currency pair of 2019.
 
We can’t ignore the significance of conducting demo trades in the initial phase of a trader. Every trader has different level of thinking and thereby we can’t specify that a trader will require fixed that time to complete the education. Before you can switch to your real trading account try to confirm that you have at least the fundamental understanding of this forex market and now be able to perform real trading with lower risks.
 
What are Forex Signals

Forex traders are constantly on the lookout for ways to help them trade better, make better predictions and ultimately make more profits. So it is important for traders to look at all the options they have before deciding what is best for them.

Forex Signals provide raw data and insights about the market so that traders can make better informed trading decisions with much less risk.

Unlike EAs, Forex Signals are sent on a regular basis through alerts like SMS messages, email alerts or pop up messages. Some Forex brokers offer free signals on their platforms, or through their services giving traders constant updates, but in the case that they do not there are many separate Forex Signal services.

If traders want to use a Forex Signal service from a third party it is offered at a fee, usually an average of 200 dollars a month. When you pay for the service you will have more options regarding the method you would like to receive the signals, and they will be more regularly updated.

It is important to note that no matter how good or reputable the service is nothing in Forex is 100% guaranteed, and even these predictions which are based on technical and fundamental analysis can prove to be wrong if unexpected market changes occur, so even in the case of using Forex Signals traders still have to use their own knowledge and trust their own instincts when making their trading decisions.
 
What is a Bull Market?

Markets are described as either Bull markets or Bear markets depending on the general direction of their currencies.

The term bull market derives from the way a bull attacks its enemies by swaying its thorns upwards, therefore it describes a market that is heading in an upwards direction.

What stands out about a bull market is that it is generally moving upwards, and has been moving upwards for a long period of time. Even if it suffers minor losses its general direction is always positive.

This doesn’t apply to just the currency, but the whole environment surrounding the currency like the economic environment, employment in the country, and number of investments.

A bull market attracts many investors as it promises almost guaranteed high profits, and because it keeps getting investors, it continues to perform well and thrive.

It is hard for investors to suddenly lose interest in a bull market, unless a general rumour is spread about the market, making all investors and traders believe that this market is going to decline, forcing them to withdraw their investments, and invest against the market, leading to a big decline and moving the market from bullish to bearish.

Of course there are many ways for a market to be affected, and that can be through big news releases, businesses between countries and more, if the market declines on its own, it will also push investors away which will further in its decline.
 
Hi,
My name is Anu
I am officially representative of Xtreamforex
XtreamForex is a forex broker, Member of Grandinvesting Group

Incorporated in MIS
Registration number 84516 IBC 2016
Company number: 84516
If you have any question regarding this broker about the services and promotion feel free to ask me here. i will be happy to assist you.

Regards
Anu
does the broker give you free money when you open account
 
Advantages and Requirements of the MT4 Forex Trading Platform



Mt4 or Meta Trader 4 is one of the most popular and used Forex Trading Platform. It is offered by almost every Forex company and preferred by many forex traders. The platform has established itself as a prominent one by catering to all the basic needs of traders and not just for trading.

The most likeable feature about Mt4 is its user friendliness, which allows even the newest of traders to adjust to trading smoothly without the complications of learning how to use a new software. It offers a simple and understandable interface, which is highly customisable, allowing each trader to decide how their platform will look like, and be most comfortable to make their trading easier.

Additionally Mt4 offers technical and fundamental analysis, and Forex indicators which are an important and desired help by both newcomers and experienced traders. Expert Advisors are also an important and big advantage, not only does the platform come with its own EAs but it allows traders to write and design their own EAs and upload them to the platform, giving the space for anyone who wants to expand their skills to do so.

The key features of Mt4 are the Market Watch Window, Navigator Window, Multiple Order Types, Variety of pre-installed indicators, Analysis tools and multiple chart set ups, Automated Trading Order Execution Capabilities, Hedging and Scalping friendly, and Expert Advisors.

The Mt4 Platform can be downloaded on all devices (including Apple devices) like phones and tablets.
 
XtreamForex Thailand Demo Trading Contest



XtreamForex demo contest provide traders a chance to get real money without investing your own funds! Before you start real trading take your first step in this exciting opportunity, make little real cash and test your skills. Join and take a dive into the exciting world of Forex trading competition with XtreamForex! Joining Link: https://xtreamforex.com/thailanddemocontest.html

Contest’s Time:
· Registration Period: 19th August 2019 to 6th September 2019.
· Trading Period: 9th September 2019 to 11th October 2019

Winner Announcement: 21st October 2019

Offer is Applicable: Only for Traders of Thailand, Malaysia and Indonesia

How to Apply: The Client must register for the competition via the competition dedicated page in order to participate.

To Win: The client who will generate maximum profit at the end of the contest will win.

Winning Prize
·1st Prize $1000
·2nd Prize $750
·3rd Prize $500
 

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