!! Help requested on Fx !!

Hello everyone,

It was nice to go thru this section of Fx and I need your help on few matters,
I'm a newbie and interested to trade forex. Please help me on the following topics:

#1) I'm using VT Trader platform, how do I put pivots on my chart?
I mean to say that, how is pivot calculated? Default value is EST-17, what are the values for US open and London open?

1) How do I adjust my trade position such that each pip move gives a movement of US$ 0.05 in terms of paper amount? (I wish to open an a/c of US$100). What I mean is, I want value of US$0.05 per pip. How do I do it?

2) How is the services from Oanda?

3) If you've used MetaTrader4, can you plz help me with visual signal alerts on the charts?

Thanks,

regards

Hi Shantanu,
I trade with Oanda and fxsol and use METATRADER-4 for TA.
On a VT trader platform,pivots calculated at EST-17 is US market close at 5 pm new york time....so you can calculate pivots at est-17 or est-oo. Usually pivots are calculated at London open that is est-00.

If u want pp value of US 0.05$, then u can trade with 500 $ lot...only oanda will allow u to trade with that small lot amount.Fxsol have also flexible lot amount, but minimum lot amount is 1000$ i.e.US 0.1$ per pip.

For vatious brokers review, visit www.forexbastards.com

For metatrader-4 visulal indicators visit www.forex-tsd.com

------KK

Hello Kkeskar,

Thanks for your reply,
But still, I'm not clear about the last one:

Can you explain me this matter little more clearly? How do I calculate my pip value in relation with lot amount?
you said minimum lot amount of Fxsol is $1000, so, if i want t trade with Fxsol, do I have to deposite US$1000?

Please do show me the calculation of calculating pip value, lot amount and margin requirement.

Once again, Thanks for taking out time to answer my query,

Thanks

Where do I check for upcoming, due to be released Fx news?

Should I stand aside when those news are being released?

==================

Where can check for the validity of a Fx broker? Is there any central authority?

Hi Shantanu,
If you trade with 1000$ lot, the pip value will be 0.1 $.Now, the amount from your account that will be blocked for this trade depends on the leverage that you select. Various brokers offer different leverages from 1:1 to 400:1.So, if you select 1:1, 1000$ from your account will be blocked. If you select 400:1 leverage, 2.5 $ will be the margin blocked from your account.
If you plan to open an account with oanda, they offer 50:1 as the maximum leverage. So, for 1000$ lot, 25$ will be the margin blocked from account.
However, oanda allows you trade with any amount of dollars that you wish to trade with.
Visit www.fxstreet.com for everydays news releases calender and timings in EST. You have to get some type of world clock to keep watch on news timings. Fxsol has a continuous news feed and the demand and supply levels that is very helpful for deciding the targets. The only important indicator in forex is ythe demand and supply and you dont have volume data, so only price action and the bid-offers data is helpful. Forex trends well, but to follow the trends, you should follow the daily and weekly charts.
I am just a beginner in forex and have a mini-account with fxsol and oanda. I was very excited initially to trade forex and earn in a foreign currency from ur home country, but I had 50% drawdowns. Now I have improved and I trade with mini-lots and 50 pips stop-loss and some 50-75 pips target profit levels, so I dont have to watch it all the time and since stop-loss is far, the brokers cant hit my stop-losses. The DiNapoli's levels work well with forex....read DiNapoli's book.

------KK

Hi,

Can you let me know about the Tax liablity part on trading Fx?
I mean how do you manage it? Is imposed upon the gain or how do they assess Fx traders in India?

HI
You can get HDFC document by disefx on his thread for tax liabilities.
I hvae not earned enough in forex to pay the tax..just trading a mini-account.
You can invest upto 25000$ in foreign investment and income from that will be taxable as a business income i.e 30% tax on profits if u r indian resident.----KK