China Leads Global Stock Fall 10:55 PM

U.S. Dollar Trading (USD) enjoyed the continued pullback in global markets, higher against all currencies except the Yen. June TICS flows jumped 90bn vs 17bn forecast as foreign investors poured into US Treasury Bonds. Commodities continued to slide tracking the general mood in the market although a bounce into the US session kept prices well off lows. Crude Oil Closed down $0.76 at $66.75. In US share markets, S&P ended -24.36 points (-2.43%) at 979, NASDAQ ended -54 points (-2.75%) at 1930 and DOW JONES ended -186 points (-2.00%) at 9135. Looking ahead, July Build Permits forecast at 0.58m vs. 0.57m and Housing starts forecast at 0.6m vs. 0.582m previously. Also released July PPI Forecast at -0.3% vs. 1.8% m/m. July Core PPI forecast at 0.1% vs 0.5% m/m.
The Euro (EUR) started falling from the open and accelerated into Europe after breaking through 1.4100. The Market found itself short going into New York and stabilized through a rally in EUR/JPY. The market now is poised for a test of the big 1.4000 level if the downside momentum continues over the next 24 hours. June Trade Balance 1.0Bn vs. 1.4bn forecast. Overall the EUR/USD traded with a low of 1.4046 and a high of 1.4203 before closing at 1.4080 Looking ahead, August ZEW Current Conditions forecast at -85 vs. -89 previously.
The Japanese Yen (JPY) was the strongest currency as the safe haven of choice was bought when stocks extended losses. The USD/JPY held up very well with large buying below 94.50 discouraging aggressive attempts lower citing sharpy reversals in recent weeks in the back of trader minds. Triple daily lows at 93.20 and 91.60 are natural downside targets and supports. Q2 GDP disappointed slightly at 0.9% vs. 1.1% forecast. Overall the USDJPY traded with a low of 94.21 and a high of 94.89 before closing the day around 94.55 in the New York session.
The Sterling (GBP) started falling and made fresh month lows into Europe as support at 1.6400 gave way and the pair slipped to below 1.6300. Rightmove HPI -2.2% in August added to selling pressure. The Pound joined an Oil, EURO and Aussie bounce to finish well above 1.6300 going into a heavy data release Tuesday. Overall the GBP/USD traded with a low of 1.6276 and a high of 1.6483 before closing the day at 1.6350 in the New York session. July Core CPI forecast at -0.3% vs. 0.3% previously.
The Australian Dollar (AUD) led the way down in Asia slipping nearly 2% on the back of heavy China stock losses and a slide in risk appetite. Strong fundamentals of the Australian economy and hawkish rates outlook are colliding with the usual market correlation of sell the AUD when stocks fall. Overall the AUD/USD traded with a low of 0.8156 and a high of 0.8326 before closing the US session at 0.8215. Looking ahead, RBA minutes from the August Meeting released.
Gold (XAU) fell heavily on USD strength to 930 supports. Overall trading with a low of USD$930 and high of USD$948 before ending the New York session at USD$934 an ounce.
Euro – 1.4080
Initial support at 1.4008 (July 29 low) followed by 1.3833 (Jul 8 low). Initial resistance is now located at 1.4447 (Aug 5 high) followed by 1.4621 (61.8% retrace of 1.6038 -1.2330)
Yen – 94.45
Initial support is located at 94.02 (July 29 low) followed by 93.10 (July 22 low). Initial resistance is now at 95.49 (August 14 high) followed by 96.73 (Aug 12 high).
Pound – 1.6345
Initial support at 1.6266 (July 17 low) followed by 1.6034 (Jul 13 low). Initial resistance is now at 1.6719 (AUG 10 high) followed by 1.6831 (AUG 7 high).
Australian Dollar – 0.8215
Initial support at 0.8126 (July 29 low) followed by the 0.7925 (July 15 low). Initial resistance is now at 0.8519 (Sept 22 high) followed by 0.8694 (Aug 28 high).
Gold – 934
Initial support at 925 (July 29 low) followed by 918 (July 14 low). Initial resistance is now at 960 (August 13 high) followed by 971 (Aug 6 high).

Asian forex market wrap: consolidation in quiet session 10:54 PM

Asia led the way lower yesterday but today was a much calmer day with most regional stock markets rebounding from initial losses and this led to some profit taking on the JPY crosses. No data or financial markets comments of any note The Japanese general election now gets into full swing Australian treasury secretary says its too early to declare victory over the global financial crisis Gold recovers some losses, regional bourses mostly flat Japanese exporters in evidence selling USD/JPY between 94.80/95.00 Talk of Middle East sellers in cable above 1.6400 Sovereign names said to be buying EUR/USD on dips towards 1.4000. Possible barrier option protection at 1.4000 and again at 1.3975. Solid bids in USD/JPY at 93.80/94.00. We had a quiet pre-Tokyo morning session with most of the majors trading in 10-pip ranges close to their NY closing levels; EUR/USD at 1.4080, cable at 1.6340 and AUD/USD at .8200. Most traders waited for a lead from regional equity markets and when they opened only slightly lower and then started to rebound, traders took this as a signal to cover their short JPY positions and long USD positions. EUR/USD popped up to 1.4130 and USD/JPY to 95.00 before exporter selling in USD/JPY dampened the enthusiasm. Rumours of heavy cable selling above 1.6400 also dissuaded the bulls. Some light selling flows over lunchtime were enough to reverse the sentiment and most pairs have now returned towards their NY closing levels. Ranges: EUR/USD 1.4068/1.4130; cable 1.6328/91; USD/JPY 94.35/95.02; AUD/USD .8197/.8262; EUR/JPY 132.78/134.20. Markets: Nikkei- flat; Kospi -0.1%; HK -0.4%; Shanghai- flat; Gold +$3 @ $940/oz. Brent crude $70/bbl.

UPDATE: Asian Shares Trade Mostly Lower; China Shares Eyed 10:52 PM

SINGAPORE (Dow Jones)--Asian stock markets were mostly lower Tuesday with the closely-watched Shanghai Composite index moving in and out of the red a day after posting its biggest single-day percentage drop since November. Metals and energy stocks were generally weaker, pacing a sharp retreat in commodities prices on Monday. "Given how overheated Chinese stocks had been, this correction was inevitable, and some would say it was necessary," Tachibana Securities analyst Kenichi Hirano said, adding, "players will continue to monitor Chinese stocks." The Shanghai Composite index was down 1.1% while Japan's Nikkei 225 was flat. South Korea's Kospi Composite was down 0.5%. In Hong Kong, the Hang Seng Index traded down 1.0%, while Singapore's Straits Times Index shed 0.4%. Australia's S&P/ASX 200 was down 1.4%, and New Zealand's NZX-50 shed 1.5%, but both indexes traded off lows after the release of minutes from Australia's central bank meeting. The Dow Jones Industrial Average futures contract was up 4 points in screen trade. The DJIA fell 2.0% or 186.06 points in New York Monday, marking its largest one-day point and percentage drop since July 2. The losses in U.S. stocks were broad-based with energy and materials counters down on a pullback in commodities prices while financials were also hit. "A pause equals taking profits. The trading world is rightly locking in some of the outperformance of (assets associated with) risk and I expect this not to be a one-day event. This may well go on for weeks, yet I don't expect Wall Street down 2.0% every night," said Southern Cross Equities director Charlie Aitken. Though the selloff has stoked fears of a severe correction for stock markets after the summer rally, some analysts said that recent corporate earnings and data still provided hope and that the markets' uptrend was not completely dead in the water. "People still doubt the pace of the economic recovery. But we have witnessed positive earnings results and some economic data indicating a faster-than-expected economic recovery, so stocks will come back and rise after a cooling-down period," said You Seung-min at Samsung Securities in Seoul. Energy stocks across the region were lower after continued concerns over hefty stockpiles and weak demand in the U.S. led to further losses in crude oil futures prices. Nymex light, sweet crude oil for September delivery settled down 1.1% or 76 cents at $66.75 per barrel, the contract's lowest level since July 29. On Globex, the contract was recently trading up 38 cents at $67.13 per barrel. Korea's SK Energy was down 2.0%, Woodside Petroleum was 1.3% lower, Inpex was down 0.3% and Japan Petroleum was off 0.8%. In Hong Kong, Cnooc shed 1.6%. Base metals prices fell sharply Monday on the London Metal Exchange as the selloff in equities sparked renewed risk aversion and the stronger dollar also pressured prices. The correction in prices came after strong gains for the metals complex in recent weeks. LME three-month copper ended at $6,050 per metric ton, down $190 from the afternoon kerb on Friday. Aluminum ended at $1,960 per ton, down $30 while nickel finished at $19,100 per ton, down $475. Metals recovered a little of Monday's losses in early Asian trade with LME three-month copper at $6,095 per ton, up $45 from the London kerb. LME three-month aluminum was at $2,006/ton, up $46 since the London kerb lifted by worries that an incident at Russia's largest hydropower station could impact output at Russian aluminum smelters. Metals and mining stocks were mostly lower. Sumitomo Metal Mining Co. was down 1.5%, Equinox Minerals had shed 4.0% and Oz Minerals was down 0.4%. Hong Kong-listed shares of Zijin Mining shed 2.5%, while its China-listed shares fell 1.7%. Rio Tinto and BHP Billiton wavered between positive and negative, tracking the Shanghai index, with their shares down 0.1% and down 0.2% respectively. In Australia, shares retraced some losses, even briefly turning positive, after minutes from the central bank's August policy meeting showed the board agreed the economic outlook had improved and laid out details of how the central bank will judge when to tighten policy. "While many Australian commentators believe the S&P/ASX 200 will outperform Wall Street due to our better economic fundamentals, a theory I sympathize with, the reality is Wall Street is the dog and we are the tail," Aitken from Southern Cross said. James Hardie shares surged 20.4% after the company said its U.S. operations turned in a strong fiscal first-quarter result and it expected the operations would continue to perform well, guiding for full-year operating profits to come in at the top end of analysts' expectations. In Hong Kong, Citic Pacific tumbled 9.0%, while Cathay Pacific shed 1.7% and Air China dropped 6.4% after Air China bought a 12.5% stake in Cathay from Citic Pacific, raising its holding to just under 30% from its current 17.5%. The declines may reflect view Citic sold its stake too cheaply or that Cathay was being undervalued. In New Zealand, losses were broad-based with Auckland Airport down 0.6% while Fisher & Paykel Appliances lost 1.3%. Malaysia's KLCI index was down 0.9%, Taiwan's Taiex shed 2.5%, Indonesian shares lost 3.4%, while Philippine stocks lost 1.5%. In foreign exchange markets, the safe-haven yen was a little weaker as market players took a more sanguine view on the economic recovery than the pullback in stock markets was suggesting. The U.S. dollar was at Y94.76 from Y94.44 late in New York trade on Monday, while the euro was regaining some ground at Y133.69 from Y133.06 and $1.4103 from $1.4085. Lead Japanese government bond futures a little higher in directionless trade, despite a fairly strong result at an auction for five-year JGBs. The lead September JGB futures contract was up 0.06 points at 138.65. The 10-year cash JGB yield was flat at 1.340%. Spot gold was trading at $937.70 an ounce, up $4.50 since the New York close. -Matthew Allen, Dow Jones Newswires; +65-6415-4140; matthew.allen@dowjones.com TALK BACK: We invite readers to send us comments on this or other financial news topics. Please email us at TalkbackAsia@dowjones.com. Readers should include their full names, work or home addresses and telephone numbers for verification purposes. We reserve the right to edit and publish your comments along with your name; we reserve the right not to publish reader comments. Click here to go to Dow Jones NewsPlus, a web front page of today's most important business and market news, analysis and commentary: http://www.djnewsplus.com/access/al?rnd=O7IvTgey%2BvZ8RaYPx9d70w%3D%3D. You can use this link on the day this article is published and the following day.

Yen remains under 94.75 10:51 PM

USD/JPY Current Price: 94.62. Pair remains under key 94.75 level that has been holding the upside since past session. Slightly bullish in the hourly, bigger time frames remain bearish in the pair, so expect the 95.00 area to give strong resistance if reached. “20 SMA has turned flat in the hourly, suggesting also pair has temporally bottomed and next movement should be up.

JPY crosses still drifting lower 10:51 PM

GBP/JPY and AUD/JPY are leading the way and the FX markets are now dancing to their own tune and are not simply following equity market leads. Dealers say that markets remain thin and light flows are sufficent to move the market. Exporter offers are capping USD/JPY and the other major USD pairs are looking tired and continuing to drift lower. Cable is currently trading around 1.6340 and EUR/USD is back under 1.4100.

Cable fails to test 1.6400- starting to pull back 10:50 PM

There has been a fair bit of chatter in the market about Middle East offers in the cable above 1.6400. We managed to get to 1.6390 a little earlier after the Shanghai bourse recovered early losses, but it looks like traders are uncomfortable sitting on long sterling positions and the cable has now turned lower, back at 1.6360. I expect the session range edges to remain unchallenged now until Europe steps in.

Sterling fell to intraday low of 1.6275 10:37 PM

GBP/USD Current Price: 1.6362. After spending most of the American session above 1.6330 level, now first support to consider, pair also triggered some upside corrective movement after falling to an intraday low of 1.6275 past Monday. “Hourly indicators support further rises in the next hours, thus the clue will be as usual in stocks; above 1.6375, pair could extend the rally to the 1.6420 area, ahead of stronger 1.6460 level.

Confidence Drags Stocks, Props USD 3:39 AM

The dollar and the yen climbed higher at the end of the week against the major currencies as the US equity bourses post steep losses. The greenback pushed the euro below the 1.42-handle and the pound beneath the 1.65-figure. Meanwhile, the yen pushed the euro to 134.22 and the pound to 156.06. By afternoon trading the Nasdaq was lower by over 1.8%, while both the S&P 500 and Dow Jones slipped by more than 1.5%. The US economic reports released earlier in the session were mixed, with the data consisting of July CPI, industrial production, capacity utilization and the August University of Michigan consumer sentiment. Headline consumer prices missed consensus estimates, sparking fears of deflation with the monthly figure posting a flat reading versus a 0.7% increase in June and declining by 2.1% on an annualized basis from a 1.4% decline in the previous year. The industrial production reading beat forecasts in July, edging up by 0.5% reversing the 0.4% decline in June. Capacity utilization also edged up higher than expected, creeping to 68.5% and up from 68.0% from June. However, the University of Michigan consumer sentiment survey fell short of expectations, drifting to 63.2 in August from 66.0 in July while the expectations component slid to 62.1 from 63.2.EURUSD fell to 1.4161 as risk aversion dragged the single currency lower across the board. Data released overnight revealed inflationary pressure in the Eurozone to be at a minimum, suggesting that the ECB will likely keep interest rates unchanged in the months ahead.

Forex: EUR/USD: Euro drops to 1.4130 support 12:01 AM

EUR/USD returned on Tuesday to test resistance area at 1.4300, and after hitting an 8-week high at 1.4304, the Euro dropped sharply during U.S and Asian sessions to test support level at 1.4130 which has not given way, and the Euro trades around 1.4150 at the moment of writing.

Initial support level lies at 1.4120/30 (Jul 23 and 28 low) and in case of further decline, next potential support levels could be located at 1.4090 and 1.4070 (Jul 9 high). On the upside, initial resistance level could be located at 1.4190/00 intra-day high , and above here, 1.4220 and 1.4260.

EUR/GBP remains moving in a range from 0.8615 to 0.8635, which is being tested at the moment, in case of breaking above here, the Euro could reach 0.8645 and 1.8660. On the downside, support levels lie at 0.8615 and 0.8600.

Asian markets have declined on Wednesday on investors' concern about a market bubble after two weeks of advance, one of the largest rallies since the 12:00 AM

The Pound is weakening sharply ahead of the European session opening times as reversal from 1.6555 resistance area extends 200 pips below, as the Pound broke 1.6380 support area, hitting fresh intra-week low level at 1.6353.

In case of further decline, next support level could be located at 1.6350, and below there 1.6310 (Jul 21 low). On the upside, resistance levels lie at intra-day high 1.6465 and above there, 1.6555 (Jul 27 high) and 1.6585 (jul 23 high).

GBP/JPY re-tested resistance level at 155.55 on yesterday's earl European session, and failure to break above it triggered a reversal to levels right below 154.00. At the moment, the Pound trades around 154.00. Support levels lie at 153.80 and 152.30. Resistance levels are 155.65 and 156.25.

Asian markets retreat after two-weeks rally; Dollar and Yen, stronger 11:59 PM

Asian markets have declined on Wednesday on investors' concern about a market bubble after two weeks of advance, one of the largest rallies since the late eighties. Euro and Pound have given away gains from previous days, and the Yen strengthened across the board.

Japanese Nikkei Index edges down 0.1%, while Hong Kong's Hang Seng Index drops 1.8%, and South Korean Kospi Index declines 0.5%.

Investors have turned more cautious on growing concerns that stock markets, after two weeks of continuous rallies, were losing touch with the real economy and the current circumstances of industrial activity. Furthermore, the spread of IPO fever has weighed Chinese and Hong Kong markets.

Euro and Pound tumble, Yen stronger

EUR/USD returned to test resistance area at 1.4300, ut, after hitting a 8-week high at 1.4304, the Euro dropped sharply during U.S and Asian sessions to test support level at 1.4130 which has not given way, and the Euro trades, at the moment, around 1.4160.

GBP/USD launched an assault to 1.6555 high on Tuesday but rejection from that resistance level triggered a decline to levels right above 1.6390 support, which is being tested at the time of writing.

USD/JPY declined yesterday from levels rigt above 95.00 to break support at 94.60 and drop all the way to levels right above 94.00. The Dollar attempted ashy recovery on early Asian session but 94.60 resistance capped it to send the pair to 94.20 at the moment of writing.

Asian markets retreat after two-weeks rally; Dollar and Yen, stronger 11:59 PM

Asian markets have declined on Wednesday on investors' concern about a market bubble after two weeks of advance, one of the largest rallies since the late eighties. Euro and Pound have given away gains from previous days, and the Yen strengthened across the board.

Japanese Nikkei Index edges down 0.1%, while Hong Kong's Hang Seng Index drops 1.8%, and South Korean Kospi Index declines 0.5%.

Investors have turned more cautious on growing concerns that stock markets, after two weeks of continuous rallies, were losing touch with the real economy and the current circumstances of industrial activity. Furthermore, the spread of IPO fever has weighed Chinese and Hong Kong markets.

Euro and Pound tumble, Yen stronger

EUR/USD returned to test resistance area at 1.4300, ut, after hitting a 8-week high at 1.4304, the Euro dropped sharply during U.S and Asian sessions to test support level at 1.4130 which has not given way, and the Euro trades, at the moment, around 1.4160.

GBP/USD launched an assault to 1.6555 high on Tuesday but rejection from that resistance level triggered a decline to levels right above 1.6390 support, which is being tested at the time of writing.

USD/JPY declined yesterday from levels rigt above 95.00 to break support at 94.60 and drop all the way to levels right above 94.00. The Dollar attempted ashy recovery on early Asian session but 94.60 resistance capped it to send the pair to 94.20 at the moment of writing.

Asian markets retreat after two-weeks rally; Dollar and Yen, stronger 11:59 PM

Asian markets have declined on Wednesday on investors' concern about a market bubble after two weeks of advance, one of the largest rallies since the late eighties. Euro and Pound have given away gains from previous days, and the Yen strengthened across the board.

Japanese Nikkei Index edges down 0.1%, while Hong Kong's Hang Seng Index drops 1.8%, and South Korean Kospi Index declines 0.5%.

Investors have turned more cautious on growing concerns that stock markets, after two weeks of continuous rallies, were losing touch with the real economy and the current circumstances of industrial activity. Furthermore, the spread of IPO fever has weighed Chinese and Hong Kong markets.

Euro and Pound tumble, Yen stronger

EUR/USD returned to test resistance area at 1.4300, ut, after hitting a 8-week high at 1.4304, the Euro dropped sharply during U.S and Asian sessions to test support level at 1.4130 which has not given way, and the Euro trades, at the moment, around 1.4160.

GBP/USD launched an assault to 1.6555 high on Tuesday but rejection from that resistance level triggered a decline to levels right above 1.6390 support, which is being tested at the time of writing.

USD/JPY declined yesterday from levels rigt above 95.00 to break support at 94.60 and drop all the way to levels right above 94.00. The Dollar attempted ashy recovery on early Asian session but 94.60 resistance capped it to send the pair to 94.20 at the moment of writing.

Yen failed to get back above 94.70 zone 11:57 PM

USD/JPY Current Price: 94.50. Not much change since last update, strong rebound at 94.00 was not enough to send the pair back above 94.70 zone, that must be cleared to see the pair regain the bullish bias. Hourly indicators suggest some upside continuation for next hours, and above mentioned level, that will also imply a break of 20 SMA in the hourly, could confirm the movement.

95.10 is immediate resistance level to consider, followed by stronger 95.50 zone. “Under 94.10, selling will likely to accelerate and send the pair back to 93.70 zone.

Yen failed to get back above 94.70 zone 11:57 PM

USD/JPY Current Price: 94.50. Not much change since last update, strong rebound at 94.00 was not enough to send the pair back above 94.70 zone, that must be cleared to see the pair regain the bullish bias. Hourly indicators suggest some upside continuation for next hours, and above mentioned level, that will also imply a break of 20 SMA in the hourly, could confirm the movement.

95.10 is immediate resistance level to consider, followed by stronger 95.50 zone. “Under 94.10, selling will likely to accelerate and send the pair back to 93.70 zone.

Forex: USD/JPY posts 94.32 as fresh intra-day high 8:29 PM

FXstreet.com (Córdoba) – USD/JPY rose further during the American session reaching a fresh intra-day high at 94.32. The pair is now pulling back to the 94.20 zone. On the upside the next support to consider is at 94.45 (july 16 and 17 highs). The pair is 0.45% above today’s opening price. 

Michael J. Malpede, analyst at Easy Forex affirms: “JPY traded mixed initially supported by safe haven flows on news of Al Qaeda linked terrorist bombings in Jakarta and concern that CIT will file for bankruptcy. JPY upside was limited by a statement from Japan’s Tamaki that the USD will remain the world's key reserve currency and intervention cannot be ruled out. Tamaki is Japans currency spokesperson. Trading in the JPY was thin due to Tokyo holiday. The trade showed limited reaction to report that Japan's leading economic indicator was revised down to 76.9 from 77 in the preliminary report.”

Wall Street finished the week posting sharp gains; Dollar and Yen weakened 8:28 PM

FXstreet.com (Córdoba) – Markets in the US ended the week with sharp gains. The Dow Jones rose from 8100 on Monday to levels above 8740 on Friday. Crude-oil also post big gains, showing strong sings of recovery. This context benefited high yield currencies and weakened the Dollar and the Yen. 

Greenback lost ground for the week against the Euro, but is still moving without a clear direction and far from the lows of the 2009. EUR/USD rose to 1.4150 during the American session but rebounded and fell to 1.4100. 

Against the Yen, Dollar rose on Friday but was not able to break above intra-week highs at 94.45. USD/JPY ended the week with gains recovering after falling to 4-month low on the previous one.

Advanced Markets, Easy Forex, Ikon Royal & MB Trading jump above $20 mio minimum net capital 8:25 PM

Advanced Markets, Easy Forex, Ikon Royal & MB Trading jump above $20 mio minimum net capital

Yesterday, the U.S Commodity Futures Trading Commission (CFTC) released financial data for Futures Commission Merchants (FCM) for the month of May 2009.

http://www.cftc.gov/marketreports/financialdataforfcms/index.htm

Easy Forex US, Ikon Global Markets, MB Trading and Advanced Markets jumped above minimum required capital of $20 mio in May, so now the list of companies above required capital is as follows:

Above $20 million net capital
Advanced Markets $20,722,551 (previously $19,796,273)
Easy Forex US $20,928,968 (previously $15,549,565)
Ikon Global Markets $21,247,886 (previously $16,355,818)
MB Trading $21,360,551 (previously $17,100,859)
Alpari US $22,312,195 (previously $20,975,556)
Forex Club Financial Company $25,427,601 (previously $21,795,577)
Capital Market Services LLC - CMS Forex $29,788,506 (previously $29,6678)
Peregrine Financial Group Inc - PFG $36,465,727 (previously $36,843,820)
InterbankFX $35,611,164 (previously $36,507,727)
FX Solutions $48,262,204 (previously $41,546,274)
Forex Capital Markets LLC - FXCM $63,999,806 (previously $60,472,142)
Global Futures & Forex Ltd - GFT Forex $79,368,858 (previously $80,693,021)
Gain Capital Group LLC $98,125,651 (previously $90,801,214)
Oanda Corporation $159,062,073 (previously $159,739,419)

FXCM Recognized With Best Retail Platform by FX-Week 8:16 PM

FXCM Recognized With Best Retail Platform by FX-Week… Congratulations guys!

FXCM Recognized With Best Retail Platform by FX-Week
New York, July 16, 2009—FXCM Holdings LLC has been awarded Best Retail Platform by FX-Week at the 2009 e-FX awards.
The award, announced on July 7, 2009, at the FX-Week U.S. conference, recognizes industry excellence in electronic foreign exchange trading from banks and vendors.
FXCM triumphed over other industry leading firms, including Saxo Bank and Gain Capital.
“This award confirms FXCM’s leadership in the forex market. The No Dealing Desk* (agency execution) business model embraced by FXCM in 2006 is clearly the direction forward for the retail industry. Clients want transparent and fair execution and FXCM offers it,” says Marc Prosser, the firm’s chief marketing officer.
FXCM developed its proprietary trading platforms: FX Trading station II (pc based) and FXCM Active Trader (web based) to meet the rigorous conditions of today’s volatile markets. The current platforms were developed by an in-house team of over 50 programmers. FXCM’s platforms are extremely stable, scalable and robust. There are over 150,000 live accounts trading on FXCM platforms, with an average of over 8 million trades per month

FXCM currently has successful white-label relationships all over the world working with banks, brokerages and large financial institutions. White label partners are able to deploy individually customized platforms based on FXCM’s awarding forex trading platform.

FXCM Holdings LLC Facts As of May 2009
FXCM Holdings LLC has over $100 million in capital
More than 150,000 live accounts are traded on FXCM trading platforms
An average of over $365 billion in notional volume is traded each month on FXCM trading platforms
In excess of $600 million in customer funds trading on platforms offered by FXCM
Trading FX, CFDs and Spread Betting on margin carries a high level of risk, and may not be suitable for all investors.
*Please note, FXCM Micro, in its discretion, may or may not offset individual transactions unlike transactions in most FXCM standard accounts

Forex Brokers 9:57 AM

MetaTrader 4 Forex Brokers — a list of Forex brokerage firms that support MetaTrader 4 Forex trading software as their trading platform.

PayPal Forex Brokers — a list of Forex brokers accepting PayPal on-line payment system as a way to deposit/withdraw money to/from customers' accounts.

WebMoney Forex Brokers — a list of Forex brokers that accept WebMoney e-currency system as the fast deposit/witdhrawal method, offering high security combined with the fast transfers.

Oil Trading Forex Brokers — those Forex brokers that allow trading commodities, and more specifically, oil, are listed in this category.

Gold Trading Forex Brokers — if you wish to find a Forex broker that offers precious metals trading then this list will help you. 

Muslim Friendly Forex Brokers — a list of Forex brokers that try to be friendly to Muslim Forex traders offering "no-interest" margin accounts.

Forex Brokers with Web Based Platform — a list of Forex brokers that fully support Forex trading without installing any trading software.

Moneybookers Forex Brokers — a list of Forex brokers that accept Moneybookers electronic payment system as for trading funds transfers.

Forex Brokers with CFD Trading — a list of Forex broker companies that allow their traders to trade not only Forex, but also CFDs (Contracts for Difference).

Forex Brokers with Advanced Trading Platform — a list of Forex brokers with unique and powerful Forex trading software.

Institutional Forex Brokers — a list of on-line Forex brokers that are backed by strong and respected off-line financial companies.

ECN Forex Brokers — a list of on-line Forex brokers that act as ECNs (Electronic Communication Network) offering Forex traders highly competitive spreads.

e-gold Forex Brokers — a list of Forex brokers that accept e-gold payment system as the method of depositing/withdrawing funds to/from the trading accounts.

Top 7 News Sources for Financial Trader 9:52 AM

Getting the latest important news is a vital requirement for every Forex, stocks or options trader. The Internet is full of various sites, but not all them feature financial news or provide such news in a timely manner. This list consists of top ten sources for the trader’s news that are updated often and are not mixed up with irrelevant news.
Bloomberg — the ultimate news source about everything that is in any way related to the financial markets. Categorization by the regions helps in finding important international news.
Forbes.com Breaking News — a great site to get the recent financial information, it also provides free news from several paid news sources (i.e. Associated Press). Stock market traders will like the coverage of almost all kinds of companies.
Reuters Business & Finance — Reuters is one of the most professional informational companies in the world and they offer news as a free service to everyone.
BusinessWeek — they may be too old-fashioned, but BusinessWeek still features some exclusive news content and the very professional analysis.
Financial Times — I like FT for they are not as US-centered as some other financial news sites, they offer a pretty good world news outlook. Can be recommended as a source of Forex related news if you prefer trading exotic currency pairs.
CNNMoney — opposite to FT, CNN prefers news from United States, but it’s still good because the majority of world stocks are concentrated on the Wall Street. It will also be useful to the Forex dollar traders.
CNBC — a "must have" bookmark for every currency trader; news on foreign currency markets are delivered at the top quality level.

Forex News Trading 9:51 AM

Traders on the Foreign Exchange market, Forex market for short, can potentially make thousands of dollars based on the volatility and fluctuations of a country’s currency. To better themselves and have a leading advantage over other traders, some Forex traders and investors participate in a practice known as news trading. The risks are very high, but the potential gains can be worth thousands of dollars and many traders and investors use this technique.

The technique of news trading is quite simple. It is the trading of foreign currency immediately before or after an important economic news announcement. After such announcements, there is a high possibility that market prices will fluctuate, either for the better or worse, depending on the announcement. For example, if the U. S. Federal Reserve announces another increase of the interest rate, many traders might invest in the U.S. dollar as it is expected that its value will appreciate. The main advantage of news trading is the potential for a country’s currency to make huge gains or losses in very little time. Within minutes of an economic announcement, a country’s currency can gain or lose one hundred points almost instantly. The potential of huge profits attracts Foreign Exchange traders and investors, however there are various risks associated with news trading.

Like any investment, there is always a risk, and news trading on the Forex market is no different. Though the potential profits are huge, the losses are also equally as large. The dangers of news trading come from the fact that a trade must be made quickly or else you are going to lose. If you are caught on the bad side of a trade, your money will be gone quicker than you can blink your eye. You will lose money so fast that there won’t even be time for you to manually close your trades, leaving you with nothing. Stop-loss orders are also potentially dangerous as there is a high probability of slippage because of the sudden price fluctuation.

Though some investors and traders might get lucky trading news, there is only a small probability that you will make a profit. Even if you are an expert news trader, you should still be very, very cautious when participating in this practice. Successful news trading depends solely on how you get your news. The most successful news traders are the ones with the fastest news feeds and those that are able to quickly place their trades immediately after an announcement has been made. Even using other forms of news trading, such as placing orders above or below the market price is still a guessing game, and those traders in the market who base their trades on guesses, won’t have much money after a short time.

For many Forex traders and investors, their trades are dictated by technical indicators and price indexes. Hours are spent researching every indicator, taking every risk into account and then making a decision based on everything they have studied. However, for a Forex news trader, none of this matter, and the only thing they take into account is economical news announcements.

News trading is possible because the Forex market is always open, unlike many financial markets. In a financial market, securities trades of certain stocks are suspended when an important company announcement is being made. These announcements are usually made after the market has closed for the day. However, because the Foreign Exchange market is open 24 hours, any economic announcement will have direct affects on the currency of that country, and maybe others as well. In the Forex market, there are eight major currencies that are traded, as well as over seventeen derivatives to be traded as well. This means that on any given day, there will always be economic announcements from any of the major traded currencies. The major trader currencies are as follows:
U.S. Dollar (USD)
Great British Pound (GBP)
Euro (EUR)
Japanese Yen (JPY)
Australian Dollar (AUD)
Swiss Franc (CHF)
Canadian Dollar (CAD)
New Zealand Dollar (NZD)

Because of the availability of each currency, currency pairs, and its derivatives, such as USD/JPY, EUR/USD, AUD/USD, as well as several others, each currency can be traded at any given time because these currencies are globally traded.

Any Forex news trader or news investor will have to have the latest most up to the moment news announcements. Even if the news announcements are only a couple of minutes old, this can have devastating effects for any trader who has risked any sum of money. Most news traders like to keep an eagle eye on any news regarding economical activity, but most importantly news dealing with interest rates changes, FOMC rate decisions, retail sales figures, inflation indicators such as the consumer price index (CPI), producer price index (PPI), unemployment figures, industrial production announcements, boost in business and consumer confidence, as well as business sentiment surveys. Manufacturing sector surveys, trade balance release details, and foreign purchases of U.S. Treasuries may also prove useful for a news trader to better make decisions regarding when or when not to trade.

However, it should be remembered that these news announcements can have ranging impacts on a country’s currency, and after an announcement, the volatility of a currency may greatly fluctuate. It is important to take advantage of news that creates movements in volatility that will last for a few minutes or even hours. Trading on the Forex market based solely on news is a difficult and sometimes dangerous practice. However, there are some indicators that can make a news trader’s job easier, such as breakout indicators (Bollinger bands, breakout of a candlestick bar, or a price bar). Research has proved that news announcements can impact a currency’s value quite severely, in some cases it can gain or lose anywhere from 33 pips to 124 pips, opening up the ideal trading opportunity looked for by news traders. If a news trader is able to act quickly enough, even the smallest news release can be turned into a potential profit of thousands of dollars. However, it is important to remember the volatility of such announcements, and although the profits seem endless, the losses can happen too.

Recommended Forex Brokers 9:49 AM

The bad thing about all brokers is that they can’t make you trade better in Forex. The best thing that they can do for a trader is to offer him enough freedom, tools and support to bring his trading strategy to life. Here is the list of those brokers that try not to interfere with the ways that a trader chooses:

FXOpen — some people say that they have too many traders to be efficient but, in my opinion, the amount of traders using this broker proves its quality. After all, it has a nice set of features:
» Contests among traders
» Bonus programs
» Alternative payment methods: WebMoney, LibertyReserve, CashU, E-Bullion and other payment options
» 2 pips spread on EUR/USD

InstaForex — a some sort of competition to FXOpen, this broker offers so many bonus and contest promotions to its traders that this alone is enough to make some traders join. But there are more advantages:
» Trade with MetaTrader platform
» Leverage your trades up to 1:500
» Deposit and withdraw funds via WebMoney, Moneybookers and other ways
» Earn interest on deposit
» Low minimum account size

AvaFX — original Forex broker with almost 4-year history of satisfied customers. Except traditional Forex trading provides also CFD, gold and oil trading:
» 1:200 leverage
» Custom trading platform
» Trade oil, gold and other commodities
» WebMoney, PayPal and many other ways to fund your account

Forex4you — relatively new Forex broker that tries its best to keep up with the competition and offers extra-high quality level of service. See for yourself:
» More than 50 trading instruments
» Free news feeds from leading news agencies
» Cent trading (if you feel cheap)
» MetaTrader platform
» Up to 12.5% yearly interest on trade balance

Mexican Peso Declines Further on Economic Outlook 9:48 AM

The Mexican currency, highly dependent on its main trading partner, the United States, posted a sixth day of losses against the greenback on concerns that the economy in the region will not rebound as soon as forecasts predicted.

The peso reached the lowest level in two months against the dollar as the U.S. economy has been showing signs of further economic problems, and an expected rebound in the Latin American nations’ economy will take longer than previously forecast. Mexico entered its first recession since 2001, as the economic conditions of its main trading partner, the United States, damped demand for Mexican exports, affecting negatively the country’s economy and currency.

USD/MXN traded at 13.7100 as of 23:19 GMT from a previous rate of 13.6815.

Mexican Peso Declines Further on Economic Outlook 9:48 AM

The Mexican currency, highly dependent on its main trading partner, the United States, posted a sixth day of losses against the greenback on concerns that the economy in the region will not rebound as soon as forecasts predicted.

The peso reached the lowest level in two months against the dollar as the U.S. economy has been showing signs of further economic problems, and an expected rebound in the Latin American nations’ economy will take longer than previously forecast. Mexico entered its first recession since 2001, as the economic conditions of its main trading partner, the United States, damped demand for Mexican exports, affecting negatively the country’s economy and currency.

USD/MXN traded at 13.7100 as of 23:19 GMT from a previous rate of 13.6815.

Ruble Declines as Russian May Enter Deeper Recession 9:47 AM

The Russian ruble completed a week of consecutive losses versus the euro and the dollar, as speculations in Russia indicate that the recession will be depper than previously announced.

Several reasons brought the Russian currency down since last week, which lost against the euro and the greenback for seven days in a row after oil prices went down, the national budget deficit widened and the interest rates in Russia suffered the fourth cut in less than 6 months. Economists stress in the fact that a weakening demand for oil and growing concerns regarding the global recession are weighing on the ruble, that may extend its losses as long as this negative scenario prevail.

USD/RUB traded at 32.76 as of 23:33 GMT rising from a previous rate of 32.67.

Getting Started in Foreign Exchange Futures 9:44 AM

The spot foreign exchange (forex or FX) market is the world's largest market, with over one trillion U.S. dollars traded per day. One derivative of this market is the forex futures market, which is only 1/100th the size. This article examines the key differences between forex futures and traditional futures and looks at some strategies for speculating and hedging with this useful derivative. 
  

Forex Futures versus Traditional Futures 
Both forex and traditional futures operate in the same basic manner: a contract is purchased to buy or sell a specific amount of an asset at a particular price on a predetermined date. (For an in-depth introduction to futures, see Futures Fundamentals.) There is, however, one key difference between the two: forex futures are not traded on a centralized exchange; rather, the deal flow is available through several different exchanges in the U.S. and abroad. The vast majority of forex futures are traded through the Chicago Mercantile Exchange (CME) and its partners (introducing brokers).
However, this is not to say that forex futures contracts are OTC per se; they are still bound to a designated 'size per contract,' and they are offered only in whole numbers (unlike forward contracts). It is important to remember that all currency futures quotes are made against the U.S. dollar, unlike the spot forex market.

Yen Weakens on Stock Prices Rebound 9:40 AM

The yen, which rallied for almost two weeks versus the pound and the euro, entered the second day of declines against the Eurozone currency, as speculations today led investors to purchase high-yielding assets in equities markets.

The Japanese currency declined versus all 16 major traded currencies as optimism returned to global financial markets on speculations that the Goldman Sachs Group Inc. will reporter bigger earnings today, and New Zealand’s Reserve Bank Governor Alan Bollard stated today that signs of a global economic recovery emerged, bringing confidence back to investors to purchase high-yielding assets in equities markets, damping demand for the safer attractiveness of the yen. Adding to the daily positive news favoring emerging markets and high-yield, a report in Australia showed that business sentiment was rather positive, providing support for the Aussie to climb against the Japanese currency.

Today, the earnings report to be published from Goldman Sachs will be a determinant factor for risk appetite during this week, according to Analysts. This week, provided that risk appetite returns among traders, may experience a significant fall for the Japanese currency, who rallied nonstop for almost two weeks on growing concerns that the global slump will be longer than expected.

GBP/JPY traded at 152.00 as of 11:04 GMT from a previous rate of 147.65. EUR/JPY also climbed from 128.22 to 130.21.

If you want to comment on the Japanese yen’s recent action or have any questions regarding this currency, please, feel free to reply below.

The Forex Market 9:39 AM

For the last three decades Foreign Exchange market, - briefly Forex or FX, had integrated into the world's biggest financial market. The volume of daily transactions is about 1-3 trillion of US dollars. The trading instruments on this market are the currencies of different countries, so the fluctuation of currency's rates allows to gain a real profit.

Of course monetary assets of different countries exchanged since the term money appeared as well as an idea to obtain profit from currency's rates difference. Now it is not a new idea, but the transformation of foreign exchange market to the modern stage with an opportunity to conduct conversional operations of such volumes arose only after an introduction of floating rates regime by the state-members of IMF. Within this regime's framework the rate of one currency to another is defining only by the supply and demand on the market.

Presently Forex market is a global telecommunication network of banks and different financial organizations. It does not have any fixed trading place and time restrictions - the trade starts on Monday morning in New Zealand and closes on Friday evening in USA

The advantages of Forex market are:

Round-the-clock trading access: the ability to trade for 24 hours a day;

Liquidity: the market works with a huge money and gives the customers complete freedom to open or close their position of different volume;

Leverage: an ability to use leverage. It decreases requirements to the sum of the initial deposit (margin trade). So in case you deposit 10 000 USD into your account you'd have an opportunity to work with 1 000 000 USD (leverage 1:100);

Objectivity: no exterior regulated structures, so the currency's rate is establishing in accordance with current supply and demand on the market;

Globality: everyone can become a market participant irrespective to the living place, as trading requires only your skills and Internet access.

At present mostly all the operations on the market are conducting only to obtain profit. With the development of Internet and other means of communication this sector of the financial markets becomes more accessible and attractive for the investors of different levels.

GFT and Autochartist™ Team Up to Unveil Five New Exclusive Analysis Tools 9:38 AM

Ada, Michigan, June 9, 2009 – GFT—worldwide leaders in online currency trading—and Autochartist™— chart pattern software for forecasting financial market trade ideas—have teamed up to offer traders new Fibonacci-based market patterns, including two patterns exclusive to GFT. 

GFT customers with a standard account and above now have access to Autochartist's™ powerful market-pattern-recognition capabilities for no cost. The software assists traders in identifying potential market patterns using its popular forward-looking market analysis tools to help determine possible trades, which are then executed with GFT's DealBook® 360 trading software.

Autochartist™ has already proven itself an asset to traders, but collaboration with GFT has enabled both companies to take the software a step farther. In addition to chart patterns such as flags, pennants, double-tops, double bottoms and triangles, Autochartist™ now automatically detects and alerts traders to several Fibonacci-based patterns, including the standard Fibonacci retracements, standard Fibonacci projections, standard three-drive patterns and—exclusive to GFT—butterfly and Gartley patterns.

By adding chart patterns to an already exceptional tool GFT is able to uphold its commitment of providing customers with the best possible software and give them a potential competitive edge. 

"When we first saw Autochartist™ in action, it was clear to us that it was a unique product," said Gary Tilkin, president and CEO, GFT. "Autochartist™ is sure to appeal to any trader looking for a consistent, unbiased, and immediate technical analysis tool."

ACM adopts Olympic’s banking software 9:37 AM

As leaders in their field, ACM and ERI Banking have entered into partnership to implement the popular applications software, Olympic Banking System.

This collaboration will offer both established and future clients the benefits of the best technologies and services in the field, making ACM the first Swiss online financial institution to capitalize from a total synergy between the knowhow of ERI Banking and its development of proven trading platforms.

Already chosen by more than 280 banks and financial institutions in over 45 countries, Olympic grants ACM a considerable advantage over other online banks and brokers thus enabling, notably, to manage front, middle, and back office functions including e-banking services in a totally integrated manner.

Thanks to a widespread array of operations and its structural design derived from the most innovative technologies, Olympic Banking System is the most logical choice for the banking and financial sectors.

GFT Announces Continued Use of Stop and Limit Orders, Full NFA Compliance 4:34 AM

Ada, Michigan, July 2, 2009 – While a recently adopted National Futures Association (NFA) rule is forcing some forex dealers to alter the use of stop and limit orders to protect positions, GFT, a US-based company, announced today that their platform is fully compliant with all NFA regulations and, as such, customers trading with GFT will not be affected. 

NFA Rule 2-43 (b) requires a "first-in, first-out" (FIFO) method of trading, which simply means that orders must be closed in the order in which they were opened. In many dealers’ systems, stop and limit orders could violate this rule. The new rule also eliminates "hedging," which is the practice of taking contrary positions in a market in the hope that one of the positions will prove profitable.

Because GFT has always had a FIFO trading system, founder and CEO Gary Tilkin said that GFT customers will see no changes to their accounts or trading strategies when the rule takes effect on August 1. 

"Rule 2-43 (b) does not change anything for our customers," he said. "We offer stops and limits today and we'll be offering them in the future. We believe they are an important part of a sound risk management program."

As for hedging, Tilkin believes that many traders don’t understand that the practice works against them far more often than it works for them.

"GFT has never allowed hedging on its system because we believe it’s little more than a way for dealers to charge twice for the spread on what is, essentially, a non-position." he said. "To have two counter positions in a financial product is really no position at all, and there really is no financial benefit for the customer to engage in this type of trading."

Because GFT’s system is net-based rather than position-based, the new rule does not apply. In a position-based system, it is possible for a trader to take multiple positions at different levels on the same market. For example, a trader could have three positions in the EUR/USD pair and then close out each position based on its individual performance, which would violate the FIFO rule. 

However, in a net-based system such as GFT’s, when a trader enters a new position in a market where he or she already holds a position, the new position is simply added to the old position and the prices are averaged. So it’s not possible to hold multiple positions in the same pair and therefore it is not possible to violate the FIFO rule.

GFT has always encouraged traders to do their research and employ a sound methodology when trading currencies. Trading psychology and time-tested methodologies go hand-in-hand, and hedging strategies discourage these sound practices. To read comments made by Tilkin earlier this year on the subject of hedging and the new FIFO rule, click here. 

To circumvent the new rule, some dealers are asking customers to move their accounts to divisions in the UK where the NFA has no jurisdiction. However, Tilkin questions this practice because he believes the NFA rule is designed to offer better protection for traders.

"Why would we ask our customers to move their accounts outside the US when the NFA is looking out for their best interests?," he asked. "Ultimately, we believe that more protection is better."

Forex Trading Software 4:32 AM

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New Zealand Dollar Rebounds on Central Bank Statements 4:31 AM

The New Zealand dollar posted its first climb in a week after a central bank statement which affirmed that the Southern nation will recover from the global slump at a faster pace than its main trading partners boosted attractiveness for the kiwi.

After Reserve Bank of New Zealand Governor Alan Bollard declarations today that the New Zealand economy will climb faster than its trading partners, the national currency reached a one-week high and posted the sharpest rally since a U.S. employment report two weeks ago brought pessimism back to equities and currency markets. The renewed confidence in the kiwi and New Zealand’s economy helped speculations that the interest rates in the country will be increased during the next 12 months, since domestic evidences already indicate that New Zealand is rebounding from the worst recession in 30 years. In the neighboring Australia, the national currency also climbed as a report showed business sentiment turned positive for the previous month, adding attractiveness for assets in the region.

Analysts are confident but at the same time cautious regarding the New Zealand dollar outlook, they affirm that even if domestically the nation is providing evidences for optimism and confidence, it is hard to determine what direction markets will take before the U.S. reporting season.

NZD/JPY climbed to 58.97 as of 11:59 GMT from a previous rate of 57.37. NZD/USD traded at 0.6334 from 0.6217.

Investing in Forex 4:31 AM

Investing in foreign currencies is a relatively new avenue of investing. There are considerably fewer people are aware of this market than there are people aware of several other avenues of investing. Trading foreign currency, also known as forex, is the most lucrative investment market that exists. There are several factors that make this true among which, successful forex traders earn realistic profits of one hundred plus percent each month. Compared to some of the better known investment markets such as corporate stocks, this is an unheard of return on investment. It's very necessary to mention here that a person who invests in forex must, without exception, make it a point to learn the detailed, but simple strategies and information surrounding the market. This very fact is what makes the difference between successful forex traders and other traders. 

A few additional points, which create such powerful leverage for investors within the forex market are: The amount of capital required to begin investing in the market is only three hundred dollars. For the most part, any other investment market is going to demand thousands of dollars of the investor in the beginning. Also, the market offers opportunities to profit regardless what the direction of the market may be; In most commonly known markets investors sit and wait for the market to begin an up trend before entering a trade. Even then, investors, as a rule must sit and wait some more to be able to exit the trade with a nice profit. Given that the forex market produces several up, down, and sideways trends in a single day, it can easily be seen that forex stands head and shoulders above other markets. Additionally there are trading strategies, which are taught that provide for compounded profits; these are profits on top of profits. In addition, free demo accounts are available within the industry of forex trading, which facilitate the sharpening of skills without the risk losing any capital. And the advantage regarding the time factor in trading foreign currency is a very attractive point for any investor. Compared to one of the most sought after avenues of investing, which often requires forty or more hours each week, namely in the real-estate market, the forex market requires a much smaller demand on the investor's time. Forex trading requires approximately ten to fifteen hours each week to earn a full time income. It's easy to see that the advantages and great leverage that exist in the forex market, make it among the most lucrative, time liberating, and easy to enter by far. 

I hope this information gives you a clear understanding of how you can turn your investing into a true method of making your money work harder for you.

Advantages of the Forex Market 4:28 AM

What are the advantages of the Forex Market over other types of investments? When thinking about various investments, there is one investment vehicle that comes to mind. The Forex or Foreign Currency Market has many advantages over other types of investments. The Forex market is open 24 hrs a day, unlike the regular stock markets. Most investments require a substantial amount of capital before you can take advantage of an investment opportunity. To trade Forex, you only need a small amount of capital. Anyone can enter the market with as little as $300 USD to trade a "mini account", which allows you to trade lots of 10,000 units. One lot of 10,000 units of currency is equal to 1 contract. Each "pip" or move up or down in the currency pair is worth a $1 gain or loss, depending on which side of the market you are on. A standard account gives you control over 100,000 units of currency and a pip is worth $10. The Forex market is also very liquid. When trading Forex you have full control of your capital. Many other types of investments require holding your money up for long periods of time. This is a disadvantage because if you need to use the capital it can be difficult to access to it without taking a huge loss. Also, with a small amount of money, you can control Forex traders can be profitable in bullish or bearish market conditions. Stock market traders need stock prices to rise in order to take a profit. Forex traders can make a profit during up trends and downtrends. Forex Trading can be risky, but with having the ability to have a good system to follow, good money management skills, and possessing self discipline, Forex trading can be a relatively low risk investment. The Forex market can be traded anytime, anywhere. As long as you have access to a computer, you have the ability to trade the Forex market. An important thing to remember is before jumping into trading currencies, is it wise to practice with "paper money", or "fake money." Most brokers have demo accounts where you can download their trading station and practice real time with fake money. While this is no guarantee of your performance with real money, practicing can give you a huge advantage to become better prepared when you trade with your real, hard earned money. There are also many Forex courses on the internet, just be careful when choosing which ones to purchase.

Tips to Make Money Fast in Forex 4:24 AM

This is all about making a fortune with Forex. Most traders just go with the flow and make average gains, with this article you will learn what makes some traders stand out and a lot richer than others!
We are going to assume that you know how to trade, and has quite an experience in trading.

With simple changes in your trade selection, money and risk management, and mindset, you can change that average gains into larger ones!

Fast money is in Forex, it is a lifestyle. here is it how its done.

Tip 1 . Embrace Changeability and Risk With a Smile

Forex systems have instability.

If you cannot manage and calculate your risk, then don't ever think about trading in Forex. Many traders back away from forex because of this ( why do you even traded in the first place?). But taking manageable risks has its rewards. 

It's just simple, you know what your losing if ever it doesn't work out, yet what you gain is unpredictable but sure is high! That is what I call excitement, my friend. 

To a well-educated Forex trader, this is something you shouldn't be afraid of, might as well embrace it.

Tip 2. Trade Less, gain more

Most traders think that if they don't trade, another door has closed, or miss some move. The tendency, they trade frequently. Most of the trades that come big come a few times in a year. Focus on the trades that make the really big gains. Be alert, and informed.

Tip 3. Diversify is a no-no

Most Investors accept the fact that diversification can make money fast - in reality it does exactly the opposite.

Tip 4. Money and Risk Management

This article has been concentrating on the Big gains, because this is your money, so every penny should be controlled, this is where money management kicks in.

Control your risks, but increase your chances of success:

- Give yourself staying power by buying options at or in the money, this prevents you from getting stopped out. Many traders lose not by the market direction, but because they were stopped out by a instable move, and options will give you staying power.

- Keep your stop in its original position - until the move is well in profit, before moving it up.

- Trading fast and selectively - have the courage to trade when you feel it is good. and enjoy the cash.

Tip 5. Compound growth has its benefits

The way to make money fast in forex, is to understand the power of compound growth. For example, if you target 50% a year in your trading, you can grow an initial $20,000 account, to over a million dollars, in under 10 years.

Break the norm, and gain more. Follow some of these tips and make your way into the big gains!

Trade Forex or Invest in Real Estate? 5:09 AM

Most people who want to establish a financially-secure future choose to invest or trade in real estate. Indeed, if you take a look at the list of names of the wealthiest people in any category, most of them have allocated major portions of their assets in real estate. Donald Trump, who made his fortune in real estate is very popular and his success story is an inspiration to all of us.

Books like Rich Dad, Poor Dad , by Robert Kiyosaki and other property investing books written in the last fifteen years, introduced the average person to real estate investing. Thanks to these books, many people have opened their minds to new possibilities which they can now envision for themselves.

This article will not dispute the validity and the wisdom of investing in real estate. However, it might not be the best option for everybody. Each of us has different limitations and our circumstances vary. At the start -- for most of us -- we have to choose which area to specialise in since there is only so much money to go around. What I can do, is to at least highlight a few aspects of trading and investing in both areas. I then leave it to you to decide what you would like to focus on.

I should let you know that I have not yet invested in real estate myself, but I have considered it and I have asked myself the same questions you might be asking yourself now. I have read a lot on the subject matter and my assessment is purely based from my readings. Individuals using real-estate as their vehicle to create wealth may have different perspectives and I strongly advise you to seek their counsel to gain a more balanced outlook on this issue.

PASSIVE INCOME OR CAPITAL GAINS

If you like the idea of buying property to receive rent revenue, then the real estate market maybe better for you. You can structure your properties and contractual agreements to maximise the passive income you get from your tenants.

However, if you prefer to buy a property mainly because you think you can resell it at a higher price later, then you want to make money mainly from capital gains. If this is your philosophy, then forex could be a better trading vehicle for you than real estate because exchange rates fluctuate faster than real estate prices. Furthermore, transactions are easier and they are instantaneous to complete.

CAPITAL

To buy real estate, you need have at least 10% of the acquisition cost of the property, if your bank is willing to lend you the other 90%. If the house costs $350,000, you will need to cough up $35,000. That is a year's gross income for many people.

If you want to start trading forex, most brokers allow you to open a trading account for just $200. With $50, you can trade 10,000 units of a currency, if you have a margin ratio of 200:1.

LIQUIDITY

Whenever you want to buy or sell currencies, there is always someone willing to buy from - or sell to - you at the most competitive price. The forex market is the biggest market in the world and if you have hundreds of thousands of dollars you want to exchange for another currency, you can do so within a couple of seconds. To buy or sell a house or an apartment, you expect to wait for weeks, if not months.

PRODUCT HOMOGENEITY

In the real estate market, one house is not the same as another. Each property is unique. One might have a better foundation, a worse design or a prettier garden than another. Knowledge of these strengths and weaknesses become a significant factor if you are to make money from a transaction. Therefore, if you enjoy or if you are good at selling, promoting, negotiating and bargaining based on these differences, the real estate market is for you. Further, your lawyers, accountants, advisers, real estate agents and consultants play a significant role in your success.

If you want to trade currencies, there is no need to negotiate the price with the other party. If you are a seller, there is no need to educate potential buyers as to the benefits of your product. If you are buying, you have piece of mind that you are getting the best possible price for the currency from your broker at that particular point in time.

TRANSACTION COSTS

Buying and selling real estate is much more expensive than buying and selling currencies.

'SHORTING' MARKETS

When you have a property and you suspect that its price will go down in the future, your options are limited: hang on to the property or sell it now. In forex, if you suspect that a particular currency will depreciate in value, then you can exchange it for another currency. You buy it back again after it has already reduced in value to realise your gain.

MEDIATED TRANSACTIONS

In real estate you are dealing directly with the other party, taking on the other side of the transaction. This is why you need to go through a lot of paperwork and consult your lawyers to ensure that you know about the options available to you when the other party fails to fulfil his or her end of the bargain.

In forex, you do not have to worry about whether a buyer or a seller is going to fulfil his or her end of the bargain for whatever reason, because you are not directly dealing with that particular person. You are dealing with the broker who ensures that somebody will always take the other side of your trade.

CONVENIENCE

The forex market is open 24 hours a day. You do not have to meet the buyers or sellers in person. You do not have to conduct meetings with lawyers, accountant, bank representatives and so on. You can buy and sell currencies in your pyjamas at midnight if you like and the transaction will be complete before you go back to bed.

CONCLUSION

All in all, if you are an investor looking to make money from a combination of rent revenue and capital gains, you may want to invest in real estate for the long-term. If you are a trader wanting to profit purely on capital gains, then trading forex is probably better for you than trading real estate because you can start with a small fund and your rate of return is limited only by your ability to trade well. The transactions are mediated, it is more convenient and transaction costs are a lot smaller. The market is also more efficient due to product homogeneity and liquidity. Lastly, there are opportunities to profit regardless if the prices are going up or down.

I believe that if done right, neither venture is more or less riskier than the other. The risks are up to you to manage. With this article, I hope I helped you make a decision appropriate to your circumstances.

About The Author:

Marquez Comelab is the author of the book: The Part-Time Currency Trader. It is a guide for men and women interested in trading currencies in the forex market. It details analyses, tools, indicators, trading systems, strategies, discipline and psychology. 

Forex... 2:34 AM

The foreign exchange market (currency, forex, or FX) is where currency trading takes place. It is where banks and other official institutions facilitate the buying and selling of foreign currencies.FX transactions typically involve one party purchasing a quantity of one currency in exchange for paying a quantity of another. The foreign exchange market that we see today started evolving during the 1970s when worldover countries gradually switched to floating exchange rate from their erstwhile exchange rate regime, which remained fixed as per the Bretton Woods system until 1971.

Presently, the FX market is one of the largest and most liquid financial markets in the world, and includes trading between large banks, central banks, currency speculators, corporations, governments, and other financial institutions. The average daily volume in the global foreign exchange and related markets is continuously growing. Traditional daily turnover was reported to be over US$3.2 trillion in April 2007 by the Bank for International Settlements.Since then, the market has continued to grow. According to Euromoney's annual FX Poll, volumes grew a further 41% between 2007 and 2008.

The purpose of FX market is to facilitate trade and investment. The need for a foreign exchange market arises because of the presence of multifarious international currencies such as the US Dollars, Euro, Japanese yen, Pound Sterling, etc..., and the need for trading in such currencies.