Beginners Guide to Forex Trading

[desifxtrader]

It was a true compliment in bieng called George Soros ( Even though I dont know him ) ..

You lose cash I understand that, why do you want people to lose money behind you?! .. Thats hypocritical man. Pretty Sadistic.

Regards,
Harsh124

You don't know him?? Yes, you won't I guessed that. And you need not know him.

I lose cash? Yes, I do - a LOT. 50 - 60 % of my trades are losers!!

But, surprisingly, I'm comfortable, okay and accept the fact that majority of my trades are losers. {{how stupid I'm !!}}

Trendlines , S/R's & Pivots can never determine trends up to an accurate extent.

Yes, they cann't. But I know, you can do it with high accuracy !!

But the problem with me is that I'm NOT looking for accuracy !!

Please don't give calls, People lose cash taking your signals. I havent been a victim of your signals, But .. I have crossed some and many have failed miserably.

Who are you? And why is that people are going to you and complaining instead of posting their complaints in here??

In fact, yours is the first post of so much complain.

Listen buddy, you've joined recently and I know very well why you're pulling all this tantrums.

Instead of talking nonsense, I suggest that you open up a new thread, share your knowledge & understanding of the market structure, post you calls (from your super secret system), maintain a record of these calls and help others.

This would be beneficial for the forum and the readers here.

Best of Luck to you.

 

[Edward]

Re: Choosing a Forex broker -

Saari khudayi ek taraf, joru ka bhai ek taraf'.

Apologize for the delay. My brother in law was getting married, so my wife ensured that I was without my laptop since my last post. Apologize once again to the community.

Ankit, agree with you completely and also with Scalperfx.

My point of view was based on Oanda, as I started my trading with them. And as you rightly pointed out that Oanda has the tightest spread.

I was a bit off track, because my benchmark were the brokers with Indian offices.

But anyway I thank you both for pointing out the other options available. But atleast we reached to a consensus that choosing the broker depends on your trading style, your initial investment etc.

Lets summarize, if i can suggest, like say, Why go with Market makers? your top five pluses and minuses and same with Why go with ECN? This would be beneficial for the new comers.

Thanks ankit and scalperfx.

I would beg to differ from you on this front. Here is what my experience is regarding the same:

1. The market maker broker's pips are highest in the industry. The spread of 1-1.6 pips on EU that you talk about is RARE. I can quote Oanda offering 0.9 and Fxpro offering 1.6 on EU as the tightest market maker spreads. For almost rest all of the market makers have 1.5-3 pips of spread on EU.

2. ECN commissions do not amount to 2.5 pips per trade. Even the highest commissions in ECNs amount to close to 1 pip per trade. Plus, the spreads you get at ECNs are much much better than market makers. If you select good ECN, you can get a spread of 0.4-0.5 on EU very easily. Even after you add 1 pip of commission cost, it comes to 1.4-1.5 pip.


In my opinion, in terms of cost, trading at ECNs or market makers is the same. There are many other issues and concerns that needs to be taken care of while selecting a broker. Your remaining post does give a good insight into it.

 

[saraafrin07]

hi, how to write forex examination?

 

[Edward]

hi, how to write forex examination?

I have no idea about this boss. Hope people here could answer your question and guide you.

 

[scalperfx]

@saraafrin- Could you please elaborate on what forex examination u r interested to take?At the moment there is no certification in India.Also, could you elaborate on why your are interested to take one?
If you could elaborate on the above, one of us would be able to help you better.

Also kindly post your question in a seperate thread so that the original topic of discussion is not deviated.

@harsh124 and desifxtrader- I am not trying to be a peacemaker, but lets not hijack this thread away from the main purpose of discussion.

@Edward- I have posted my top reasons for choosing either a market maker or ECN broker.
Could we now discuss about the various MM's and ECN's we have traded with and talk about their merits and demerits?

Regards,
Scalper.

 

[Edward]

Share Experiences with your Market Maker

Thanks for giving a new direction to the thread.

As I am an Introducing broker to one of the brokers with Indian office... I will refrain from taking names as that would seem biased and with vested interest. But for the benefit of all I request you all to share their experiences with different brokers here.

MM broadly into two categories,
1. MM with a proprietary trading platforms
2. MM with Metatrader 4

MM with Proprietary trading Platforms:

My experiences with FXCM and Oanda was/is great.

Especially Oanda, the kind of speed with which the orders are executed is a charm to watch. Unbelievable stuff.
Advantages of Oanda:
1. Very tight spread
2. Amazingly fast, rather lightening fast order execution.
3. you can even trade 1 dollar.... man that is awesome and after sometime boring
4. You can trade on saturdays and sundays too..... man!!! those guys are out in a different league altogether.
5. No issues with withdraws whatsoever. If you are on paypal, same day dude...

Disadvantages:
1. Low leverage only 1:50
2. The FXTRADE platform hangs at news time, Oanda is big time against news traders it seems. I have to re login and wait those anxious minutes to see what is happening.. So if you are news trader, just stay away..
3. Like all they increase the spread during a news release, to discourage news traders ( I don't recommend news trading in the beginning stages, but sometimes we get caught)
4. They have something like min/max chart, and I seriously think this is their way of chasing stop loses. I got stopped out with a margin of more than 4 pips, when enquired they asked me to look at the min/max chart, which had a high low of atleast 4 pips higher/lower than the candlestick charts.

Having said this things, I think Oanda is the best among the MM with a proprietary platform.

FXCM was good too, they have many great features in the platform. Charting is good, but not great like MT4. But when you compare with other MM with their own platform, FXCM is great. Better than Oanda in charting ( My own personal opinion, you can play around with the charts, and you have a lot of those indicators, which is seldom available in other MMs)

MM's with MT4:

They all are same.... Someone here was asking about a 'FAIR BROKER'.
If "FAIR" is the same as in "FAIR & LOVELY" then look out for a "Caucasian" broker :rofl:, that's the closest you can get to fairness in MM.

Their trade context busy, is a serious profit killer. And some of them have screwed my students big time. like reversing the trades, accusing with high fi jargons, is a common trend there.

Having said that, as long as you are not that big, the MM are not worried about you. just don't keep all your eggs in one basket.

More later, as I have to rush for a meeting

@Edward- I have posted my top reasons for choosing either a market maker or ECN broker.
Could we now discuss about the various MM's and ECN's we have traded with and talk about their merits and demerits?

Regards,
Scalper.

 

[Probafix]

Educate yourself before trading in forex market. In this market building up your skills and knowledge is the very first step that you must take.

 

[Edward]

Now you are asking for impossibility my friend.
People don't think twice before depositing 2000 dollars in their standard accounts, or giving thousands to ponzi schemes. But ask them to go attend a seminar or training or buy a book on understanding forex, even 1000 Rs. is too big for them then.

People are looking for a 'One Liner' to succeed in forex which is impossible...

Educate yourself before trading in forex market. In this market building up your skills and knowledge is the very first step that you must take.

 

[smartboy1jan1982]

Dear Sumit, I would suggest that you should trade the legal way. Use NSE or MCX-SX exchange platform. I would suggest Anagram as Broker since it has got very good positioning in Currency segment with specialised Sales and Research team with very attractive brokerage rates.

and what actually is their brokerage rate per lot? :annoyed: How less it is than 10 rupee per lot which other brokerage firms are charging? I wonder why haven't you disclosed the actual brokerage per lot charged by your broker even though you claim it be more attractive than others rates?

 

[Edward]

What is Leverage?

Dear Sharefx,

This is for you.

Lets assume that you start a forex account depositing 2000 dollars.
And you have selected 1:100 as the leverage, while opening the account.

In forex, 1 standard lot means 100,000 units of the base currency, in our case USD. 1 Mini lot means 10,000 dollars and 1 micro lot means 1000 dollars. You normally trade in multiples of lots, standard, mini or micro lots, at least in metatrader.

Now common people do not have 10000 dollars or a lac of dollars to trade and by now you might have understood that the currency price fluctuation is to small to profit with smaller volumes .
So the brokers come forward to help us out.

They give us 'LEVERAGE' of 1:100 to 1:500 , which means for every 1 dollar that you put into the trade, the brokers will put in 99 dollars and make it 100 dollars.

That means a 1:100 leverage, requires you to put 1% of the traded volume. likewise 1:200 requires you to put in 0.5% of the traded volume and so on.

As you know, in metatrader we trade volumes in 'Lots',

so for a standard lot, which is 1 lac USD, and you are required to put 1% of the traded volume in a 1:100 leveraged account, you will be required to put 1% of 1 lac USD, which is 1000 dollars.

So out of your two thousand dollars deposit, 1000 dollar will be blocked in margin money for that particular trade of 1 lac usd, which is 1 standard lot.

Likewise, if you want to trade a mini lot , which is 10,000 USD, you require again 1% of the volume, which is 100 dollars, so out of your 2000 dollars deposit, 100 dollars will be put in as the margin for the mini lot of 10000 dollars.

hope this clears you doubt...