This action might not be possible to undo. Are you sure you want to continue?
not be suitable for all investors. The high degree of leverage can work against you as well as for you. Before deciding to invest in foreign exchange or futures you should carefully consider your investment objectives, level of experience, and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with foreign exchange and futures trading, and seek advice from an independent financial advisor if you have any doubts. Right-Trend Forex Resources Trader Resource CentreFOREX Trading –Century’s Best Income Opportunity 1.Minimal Investment-traders can start trading as low at USD200.2.Minimal Time Investment– depending on the type of trading. For the learned trader, they can keep their day job and still be able to trade and create secondary income.3.Fast Results–profitable results from day one !4.No employees, office, warehouse and inventory. Only a minimal start-up capital amount of money. No medical leaves, no software purchase but only better income opportunity.5.Volatile liquidity–the FOREX market is the most volatile and liquid market, estimated USD 3.2 trillion traded daily.6.Profitable–with the right trading strategy and system, every trader can create their desired income. Introduction to Forex •Basics of Forex Trading –What is Forex? –How the Forex Value are Determined. –Who are the Participants –Currency Pairings –Aspects of Forex Trading. –How the Trade Works. –The Trader –Psychology of Trading –Use of Platform. –Demo Account.
the worldwide Forex market does not have a central location. with the equivalent of over $3.Necessary For a Forex Trader •The Four M –Man(You) –Material(Money for Capital) –Machine (PC. all involved in the buying and selling of national currencies. Right-Trend Forex Resources FOREX Trading Advantage •A 24-hour market •High Liquidity •Low Transaction Cost •Uncorrelated to the Stock Market •Inter-bank Market •No one can corner the Market . Right-Trend Forex Resources WHAT IS FOREX? •Unlike other financial markets that operate at a centralized location (i. Internet Connection) –Method (Trading System.2 trillionchanging hands daily. the stock exchange).e. Laptop. Platform) Right-Trend Forex Resources WHAT IS FOREX? •The Foreign Exchange market (also referred to as the Forex or FX market) is the largest financial market in the world. It is a global electronic network of banks.. more than three times the aggregate amount of the US Equity and Treasury markets combined. financial institutions and individual Forex traders.
in any part of the globe. money portfolio managers.Right-Trend Forex Resources Major Dealer Centers •The major dealer centers and time zones are that of Sydney. is not tied to an actual stock exchange. money brokers. London. can affect some or all parts of the investment community. and New York. Forex has been dominated by interworld investment and commercial banks. Tokyo. traders must consider which players are in the market. large corporations. since in the modern interconnected financial world. unlike other financial markets. Therefore. Forex is an over-the-counter (OTC) or off-exchange market. Right-Trend Forex Resources Background •Traditionally. . events that occur at any hour. Right-Trend Forex Resources Business Hours of Financial Centers: Right-Trend Forex Resources WHY FOREX? •Forex. and very few private traders.
S.•4. GDP. Right-Trend Forex Resources Operation The 8 Major Currencies: •1. British Pound Sterling (£). •The value of a currency. CPI. European Currency Unit (€). Swiss Franc (Sf).•7. is a reflection of the condition of that country's economy with respect to other major economies . Right-Trend Forex Resources Factors Affecting Supply and Demand •Two primary factors that affect supply and demand are interest ratesand the strength of the originating country’s economy as a whole. Dollar ($).Fundamental indicators. such as foreign investment. Japanese Yen (¥). and the trade balance. U. in the simplest explanation.Right-Trend Forex Resources HOW THE CURRENCY VALUE IS DETERMINED? •The exchange rate is determined through the interaction of market forces dealing with supply and demand .•2. Australian •8. PPI. Canadian Dollar (Can$). and alter the supply and demand for that currency. •6. New Zealand Dollars. Right-Trend Forex Resources Example of Listed Currency Pairs •The FOUR majors EUR/USDUSD/JPYUSD/CHFGBP/USD•Other majors . •3. echo the overall health of the economy.•5.
A trader places a buy GBP/USD order. The action that takes place is the trader sell the USD and buy GBP. •Restore the order in the market in the event of excessive currency rate volatility. USD/CHF. Right-Trend Forex Resources FOREX Market Participants Central Banks •They play an important role by keeping inflation low and steady by controlling money supply. .. Proprietary trading where bank dealers trade bank capital to make a profit. Right-Trend Forex Resources FOREX Market Participants •Interbank Brokers-Before large FOREX broker facilitate interbank trading and matching for a fee. 2.AUD/USDUSD/CAD •Currency CrossesEUR/CHFEUR/JPYGBP/JPYEUR/GBP Right-Trend Forex Resources How a Currency Trade Works? •Reading a currency quote : GBP/USD.-second listed currency is called the ‘Counter’ or ‘Quote’ currency.g. On behalf of the bank customers. Right-Trend Forex Resources FOREX Market Participants •Banks•Interbank market provides commercial turnover and huge amounts of speculative trading on a daily basis. The internet revolution has forced this business to move to electronic system. •Bank trading are: 1. •E. EUR/USD -first listed currency is the ‘ BASE’ currency –basis for buy or sell transaction.
this group are only the big and well funded traders.•Customer Brokers-These are brokers that handle retail trades.-The business is growing fast and very competitive. •Commercial Companies-Companies engaged in international trade they use currency market as a means of protecting themselves from unfavorable moves in the market. by speculating whether a currency will rise or fall in value in comparison to another currency. Since internet revolution. –A decade ago. or losses. They are well known for aggressive currency speculation in the recent years. Right-Trend Forex Resources . Right-Trend Forex Resources THE TRADE Buy Sell•Traders generate profits. or sell the currency which is anticipated to lose value against another currency. the field has changed that small investors can participate and take advantage of the same tools as big traders. -They are the main driver for the increasing use of internet. Right-Trend Forex Resources FOREX Market Participants •Investors and Speculators –It’s estimated that the largest portion of the FOREX daily volume is from investors and speculators. Right-Trend Forex Resources FOREX Market Participants •Hedge Funds Managers –This is a manage Investment where the fund manager is authorized to use derivative and borrowing with the aim of having higher return. analysis and advice to customers. •A trader would buy the currency which is anticipated to gain in value. they provide dealing services.
Weather4. currency behavior has produced trends and patterns . Supply and demand2. Seasonal cycles3. impact the price of the nation's currency. Government policyTechnical analysis •Focuses on what actually happens in a market•Charts are based on market action involving: 1. History Right-Trend Forex Resources Fundamental Analysis •Thorough analysis of economic and political data with the goal of determining future movements in a financial market. Price2. Right-Trend Forex Resources Technical Analysis •Traders use these technical factors to identify buying and selling opportunities. Right-Trend Forex Resources The Importance of Fundamental Analysis •A nation's political condition. and indicators issued by the government.1. Traders that use fundamental analysis can speculate on currency price movements by paying attention to the world news. Over long historical periods.TWO (2) ASPECTS OF TRADING Fundamental analysis •Focuses on what ought to happen in a market•Factors involved in price analysis: 1. economic reports. along with its inflation and interest rates.1. Volume3.
Right-Trend Forex Resources INTRODUCTION TO FOREX END THANK YOU! .that are identifiable. Right-Trend Forex Resources How TradingWorks •So how does the actual trading work? A complete transaction is the buying of one currency and selling of another at the same time.
This action might not be possible to undo. Are you sure you want to continue?
We've moved you to where you read on your other device.
Get the full title to continue reading from where you left off, or restart the preview.