I notice that several readers have commented upon my recent post that quoted SMB Trading's Bella. The comments concerned the fees that SMB (and other firms) charge for their training programs. This, to some, smacks of a scam. I think the model in which prop firms charge a training fee before a trader can join the firm is fraught with potential problems. How it is implemented makes all the difference in the world. As I note in this post and in this one, very high education fees may be a sign that this is actually the way that the "prop firm" is making its money. When this is the case, the firm will have five-figure fees as a rule and will allocate very, very small trading size to traders. The firm will also charge traders high commission rates. If the trader hits a certain loss limit (and the vast majority will because of the small size and high commissions), the trader will either lose their "job" or will be asked to advance more capital. This, in my opinion, is an outright scam.
Forex Trading Analysis
Very often, these efforts at education are quite thin, consisting of nothing more than the kind of garden-variety technical analysis you could pick up in any trading text. There are no skills building efforts through simulators, no substantive mentorship. Often, these watered down programs are offered to traders who trade remotely (i.e., from their home locations). That's actually a warning sign: true prop firms value teamwork, hands-on mentorship, and trading technology; it's tough to sustain those when traders are remote. Another warning sign, ironically, is that the less-than-legitimate firms will feature unusually high payout ratios, allowing traders to keep almost all of their profits. That means that the firm is not counting on trader profitability for their own profits, and it usually means that the firm is not firmly committed to trader profits. Rather, fees and commissions are what the firm is after. The trader is a customer of such a firm, not an employee.
If you want to join a prop firm, you should be able to see the trading floor, interact with the traders, and see first hand who is making their living from their trading. If the kimono isn't open to that degree, beware. I have no problem with firms charging a fair fee for their educational efforts. This is particularly the case when the firm is offering the education as a stand-alone offering. There are very few prop firms that make their training available to outside traders. For instance, it's very difficult to find credible educational programs on reading order flow (tape reading). The program at SMB is available at a fee for those who aren't affiliated with the firm. Traders can assess the fee and the content of the program and decide if it's a fair deal. As a rule, if the educational offerings have a structured curriculum, opportunities for skills building (and not just information), and last for weeks or months (not just days), they have the potential to move traders' learning curves forward.
I am not a fan of brief training programs, as they simply lack the time to develop skills. When a trader is required to go through the educational program (at a fee) to join the firm as a prop trader, it's important to view the firm as two separate companies. The first company is the education provider; the second is the trading firm. It is possible that you could like the company for its education, but not for its actual trading--or vice versa. By separating out the education from the prop opportunity, you can evaluate each on its own merits. Personally, I would view the opportunity to trade for the firm as an out-of-the- money call option. In other words, if they like me and I like them and I do well in the program, I may get a large payoff by joining the firm. But I'm going to go into the education with the idea that the option may expire worthless.
But no trader, in my opinion, should "pay to play".
I might not like the firm, they might not like me, and my trading style ultimately may not fit theirs. Once I have that mindset, I can ask myself: would I pay the fee for the education, even if it doesn't lead to an offer to join the firm? If the answer is no, I say move on. If the answer is yes and you also like the frosting on the cake of the call option, then it makes sense to pursue the training. But no trader, in my opinion, should "pay to play". The training has to stand on its own as a career and economic value. All of this means that joining a prop firm requires considerable due diligence. There are real scams out there, and there are honorable firms that offer a teamwork, learning-based culture and solid training. Just make sure that the firm is selling you real training, not just hopes, dreams, and fantasies. The posts below should be helpful in making the distinction.
Forex Trading Logo
In other words, in the example above, you will receive 1.32105 U.S. An easy way to think about it is like this: the BASE currency is the BASIS for the trade. So, if you buy the EURUSD you are buying euro’s (base currency) and selling dollars (quote currency), if you sell the EURUSD you are selling euro’s (base currency) and buying dollars (quote currency). So, whether you buy or sell a currency pair, it is always based upon the first currency in the pair; the base currency. The basic point of Forex trading is to buy a currency pair if you think its base currency will appreciate (increase in value) relative to the quote currency. If you think the base currency will depreciate (lose value) relative to the quote currency you would sell the pair. Bid Price - The bid is the price at which the market (or your broker) will buy a specific currency pair from you. Thus, at the bid price, a trader can sell the base currency to their broker. Ask Price - The ask price is the price at which the market (or your broker) will sell a specific currency pair to you. Thus, at the ask price you can buy the base currency from your broker.
Forex Bank Göteborg
There are many useless products out there that claim you can make big money with Forex because Forex trading has been over hyped and turned into a marketing phenomenon instead of a great and honest way to make money. Some of these products have no place in the Forex world, but those that can create consistent Forex trading profits can be considered the best Forex software out there. Due to my extensive time investment and the fact that I started with my Forex trading career before there were dozens of trading products and types of automated software, I have seen how things have changed. I have also made bad investments in software and Forex guides that were not worth a dime, but some of the software I have purchased has been incredible and I am thankful that I found it. For a while it seemed that every week there was a new software product that claimed to be the best Forex software and claimed it could make you rich.
4x Currency Trading
They play on the emotions of those that want something to make them money without putting in very much work at all. It makes it hard to resist the temptation. After purchasing and testing over 25 different types of Forex software I have come to the conclusion that about 9 out of 10 of these products is a complete waste of your money and mine. You could spend the money and the time to go through the process of trial and error to find the sotfware that works best for your Forex trading, but you don't have to. Instead you can just look at the testimonials and the proof to see which products are creating consistent Forex trading profits and which are not. If there is no proof, then it is a waste of money and time. After all the trial and error I have been through I have decided that there are only two specific Forex products that I really like. There are a handful that are good, but these are the two that I prefer and have worked the best for me. The two I really like is FAP Turbo and Fibonacci Killer. I have had great luck and made very good profits with these two, especially compared to what some of the other products have do or not done for me.
Forex Capital Market
Stock trading has allowed a lot of people to create a fortune for them to enjoy. You may have heard about it through the internet, on the news and in the papers. Before, investing in the stock market seemed to be only for people who are rich or those that own large companies. Stock trading has allowed a lot of people to create a fortune for them to enjoy. You may have heard about it through the internet, on the news and in the papers. Before, investing in the stock market seemed to be only for people who are rich or those that own large companies. Now however, almost anyone can open up a stock market trading account and invest in the stock market. Here are some useful tips that may prove useful for use if you are just beginning to explore the trade of making a profit in stock market trading or fx trading.
The first thing that you have to consider is choosing the right stock market broker to open an account with. Having a stock market broker is very important if you want to place trade orders in the market. Even people who are already veterans and experts in the trade require the services of a stock market broker. A stock market broker is the one responsible in executing your trade orders within the real stock market. There are a lot of brokerage companies that you can open an account with. There are brokers that may offer you extra services like giving you insiders advice, chart analysis tools and such. It would be an advantage for a beginner like you to avail of such offer. However, the services of stock brokers are not free. You would have to pay them through a commission. This would also include the cost of the services that you have availed. Aside from choosing the right broker, it would also be important that you have ample knowledge on how the stock market trading system works. This can allow you to plan out your approach and strategies as you venture into the market. You can achieve this by practicing in stock market simulations that are being offered through the internet or take a look into some forex training. This provides you with an environment that may just be the same as that of the real stock market. This can allow you to get the hang of things and how the market works. At the same time, you can try out your laid out strategies and see if how they work.
The Forex Market
Historically, the FX market was available most to major banks, multinational corporations and other participants who traded in large transaction sizes and volumes. Small-scale traders including individuals like you and I, had little access to this market for such a long time. Now with the advent of the Internet and technology, FX trading is becoming an increasingly popular investment alternative for the general public. 6. You can profit from a bull or a bear market. The currency exchange is a 24-hour market. You may decide to trade after you come home from work. Regardless of what time-frame you want to trade at whatever time of the day, there would be enough buyers and sellers to take the other side of your trade. This feature of the market gives you enough flexibility to manage your trading around your daily routine. When there are a lot of buyers and a lot of sellers, you can expect to buy or sell at a price that is very close to the last market price. The currency market is the most liquid market in the world.
Forex Platform Trading
When you are trading stocks, you may have experienced events where one piece of news accelerates or decelerates the price of the underlying stock you may have bought into. Perhaps a director has been kicked out by the shareholders of a company or the company has just released a new product and big investors are buying the shares of a particular company. Share prices can be drastically affected by the actions or inactions of one or a few individuals. So if you are relying on television reports and newspapers to get your news, most of the opportunities or warnings will have come too late for you to take advantage by the time you get them. The value of currencies on the other hand is affected by so many factors and so many participants that the likelihood of any one individual or group of individuals drastically affecting the value of a currency is minute.
5 and continues to go downwards for the rest of the day.
Because of its sheer size, the currency market is hard to manipulate. The ability for people to engage in 'insider trading' is virtually eliminated. As an average trader, you are less disadvantaged. You are likely to be playing on relatively equal ground along with all the other traders and investors whom you are competing against. For those people who have already traded other markets, you probably know about price 'gaps'. Gaps' occur when prices 'jump' from one price level to another without having taken any incremental steps to get there. 5 and continues to go downwards for the rest of the day. Gaps bring about another degree of uncertainty that may meddle with a trader's strategy. Probably one of the most worrying aspects of this is when a trader uses stop-losses. 7, his trade will remain open overnight and the trader wakes up tomorrow with a loss bigger than he may have been prepared for.
Fx Trader Rates
After looking at a couple of forex charts, you will realize that there are little price 'gaps' or none at all, especially on the longer-term charts like the 3-hour, 4-hour or the daily charts. Trading opportunities exist when prices fluctuate. 2 and it stays there, there is no opportunity to make a profit. The magnitude of level of this fluctuation and its frequency is referred to as volatility. As a trader, it is volatility that you profit from. Large volume transactions and high liquidity combined with fewer trading instruments generate greater intra-day volatility in the currency market that can be exploited by day-traders. The high volatility of the currency market indicates that a trader can potentially earn 5 times more money from currency trading than trading the most liquid shares. Volatility is a measure of maximum return that a trader can generate with perfect foresight. In this respect, currencies make a better trading vehicle for day-traders than the equity markets.
A currency transaction typically incurs no commission or transaction fees. For a forex trader, the spread is the only cost he or she needs to cover in taking on a position. In addition, because of the currency market's efficiency, there is little or no 'slippage' costs. Slippage' is the cost involved when traders enter the market at a price worse than the level they wanted to get into. 2.50. That fifty cents difference is his slippage cost. Slippage cost affects large-volume traders a lot. When they buy large quantities of a commodity, it oversupplies the market with buy orders. This applies a pressure for the price to go up. By the time they get to buy all the quantities they wanted, the average price they got their commodities would be higher than the price they intended to get them for. Conversely, when they sell large quantities of a commodity, they oversupply the market with sell orders.
Topic title: But No Trader
Topic covered: fibonacci forex, foreign currency exchange rates, forex game, trade and forex, whats fx
