Sunday, 18 February 2018

Forex Trading - Beginners Guide

Lesson 1 – Introduction to Forex Trading - Understanding the basics - Part 1

If you think education is expensive — try ignorance
Derek Bok, president of Harvard University 

Forex study book by the author Tim Titchmarsh

Introduction

Maybe this is your first step into the exciting world of Forex, or perhaps you’re an advanced trader wanting to brush up on some skills. Either way, this course has been designed with you in mind. 
This is the introductory lesson, a comprehensive (but painless) coverage of some of the important basics of the foreign exchange markets. 

By the time you have completed this section, you should be able to cut through the Forex jargon with ease, clearly understand how currencies are priced relative to each other and appreciate market behaviours such as supply and demand. 

Furthermore, you will recognise who the market players are and whom you will be trading against. You’ll understand the effects of trading during various times of the day, learn how to calculate the value of a pip, discover the various methods for executing trades and even be introduced to Forex analysis. 

What is Forex?

‘Forex’ simply stands for FOReign EXchange; in the same way that FX is taken to represent Foreign EXchange. Forex and FX can be used interchangeably. 

Forex is the largest financial market in the world, but it is not a physical market, and therefore has no central point. There is no big Forex building in London or New York, or anywhere else for that matter. If you buy one currency using another, whether in your local bank, on an online exchange or at the airport, you are participating in the Forex market. This market covers everything from you buying your foreign currency for your holiday abroad through to large international companies hedging their exposure to the different countries they operate in, and, of course, everything in between.

Compared to the £5 billion a day volume of the London Stock Exchange, the foreign exchange market is far larger - measuring close to a whopping £3 trillion a day in traded volumes. That’s 600 times the size!

Speculators in the market readily make up £1 trillion of that daily volume. This leaves a whole lot of liquidity for traders to play with (more on liquidity later).

What is Trading?

Trading is simply the process of buying and then selling something with the goal of generating a profit. In Forex trading, we buy one currency using another. This can also be thought of as buying one currency and selling another. If someone buys yen and uses dollars to pay for them, they are buying yen and at the same time selling dollars. 

As with all markets, the current price of a currency is based on what the market is prepared to pay for it. In Forex, this is called the ‘exchange rate’ between currencies, often simply referred to as ‘the rate’. The exchange rate is simply a measure of what the market thinks one unit of one currency is worth in a unit of another currency. 

Market Basics

It goes without saying that everybody understands the processes involved in buying something. The buyer starts out with money, finds something they want to purchase, and buys that item with the money. It’s a process so simple, people rarely pause to think about it. A trade could be anything from a chocolate bar to a super-yacht or stock. It’s only when you break down the processes of a seemingly obvious transaction that you can clarify exactly what is happening. 

A buyer starts with an asset that somebody else might want, for example money. The buyer then finds something else they want, for example a pizza. Right now, because the buyer is hungry, they feel the pizza has more value to them than the money. So they swap their money with the current owner of the pizza and walk away with their lunch. 

Of course, the same can also happen in reverse. If a person needs money, and feels they are able to exchange an item that they own for an amount of money they feel has more value than the item, they may swap it for the money. To do this, they will need to find someone who feels that the value of the item is higher than the price they want to sell it at. They can then swap the item for the buyer’s money. All simple so far, and everybody walks away feeling like a winner. 

In this exchange, what is actually happening is that the buyer is effectively selling their money at the same time as buying the product, because they feel that the product’s ‘money’ value is higher than the equivalent in cash. If you are selling the product, you are effectively buying the money because you feel that the product’s value to you is lower than that of the money that you exchange it for. In both examples, you are always buying and selling simultaneously. Clear as mud? Think of this way: before money was invented, people relied on a system of barter, exchanging sticks for stones and in effect buying stones and at the same selling sticks. 

Okay, back to the market. When you have a product to sell, but are unable to find anybody that will buy the product, it becomes necessary to lower the price you are willing to sell the item for, because there is no demand for the product at the its current price. Similarly, if you want to buy a product at a particular price but cannot find anybody selling, you will need to increase the amount that you are willing to pay in order to find a seller, because there is a lack of supply at the price that you want to pay.

Supply And Demand

Products and markets rely on these principles of supply and demand. When an item is popular, it has high demand and the price typically rises until more people are willing to sell their items. Thus, available supply rises. Then, as the market becomes flooded with the items, demand for them at the higher prices falls away and the market price inevitably drops. 

The currency markets behave in exactly the same way and this is a crucial concept for new traders to really grasp. The market is, after all, just a series of orders by buyers and sellers. 

If everybody wants currency A and purchases it with B, the supply of currency A falls. This makes each remaining unit of currency A on the market worth more, causing its value to go up relative to currency B. Although in reality the amount of currency A doesn’t dry up, the orders do.

Not unlike Newtonian physics (although thankfully much easier!), an equal and opposite reaction has also taken place. While the value of currency A has gone up, the value of currency B has gone down. This is because currency B has now become more abundant due to everybody selling it. 

These examples depend on there being a finite supply of a currency. Don’t worry too much about this at this stage, but if, for example, the Central Bank for currency A prints more of currency A and makes it available to the market, then its value will go down due to the increase in availability of currency A. This doesn’t happen often, but the recent financial crises did result in Central Banks doing this on a temporary basis.



PS If you liked the article please head over to Facebook and Like my page and Follow me on Twitter.

Thanks
Tim

Friday, 22 September 2017

Entrepreneurial Spirit Famous Business People

The Early Business Pursuits of Bezos, Buffett, and Other Legends

They say everyone has to start somewhere.
And for legends like Jeff Bezos, Warren Buffett, Estée Lauder, and Richard Branson – well, they got into the money-making game early.
From hawking golf balls to bootstrapping student magazines, many of these iconic entrepreneurs started their very first businesses in their childhood or teenage years. Not all of these enterprises fared well, but they did give these eventual magnates an early taste of the startup life.









Courtesy of: Visual Capitalist

Tuesday, 19 September 2017

Worlds Most Valuable Teams



Every team’s general manager starts off with the same goal: to build a franchise that contends for championships year in and year out.
However, with the nature of the business being what it is, the odds are stacked against any team trying to achieve this. Out of close to 30 teams in most leagues, only one franchise can come out on top with a championship. And with unprecedented parity in most major leagues, every management decision is a crucial one. One smart draft choice or trade can put a team in a position to win, but a single mistake can also make a team a perennial bottom dweller.

Read more...

Tuesday, 12 September 2017

Amazons Biggest Acquisitions


Amazons Biggest Aquisitions


While buying Zappos ($1.2B), Twitch ($970M), and Kiva Systems ($775M) were all essential to Amazon’s strategy, the price paid for these companies is minuscule in comparison to the massive $13.7 billion acquisition of Whole Foods Market.

AMAZON’S BIGGEST ACQUISITIONS

Here’s how each of these acquisitions is helping to fuel Amazon’s ambitions:
Whole Foods
Amazon’s boldest move yet, buying Whole Foods signals Amazon’s goal of becoming a transcendent brand that touches every aspect of daily life. Most people need to buy groceries every week – and that gives Amazon a new and more frequent window to interact with customers.
Zappos
Known for its obsessive customer service and company culture, Zappos was most likely bought by Amazon for its team.
Kiva Systems
Now re-branded as Amazon Robotics, this company specializes in manufacturing mobile robotic fulfillment systems for Amazon’s array of warehouses.
Elemental Technologies
Amazon’s AWS unit has integrated Elemental’s unique mobile video technology into its cloud infrastructure services.
Lovefilm
Thought as the “Netflix of Europe”, Lovefilm’s streaming services were re-branded as Amazon Prime Instant Video in 2014.
Souq.com
Amazon bought this Dubai-based retailer to improve its footprint in the Middle East – and to prevent global competitors like Alibaba and Flipkart from making inroads in the market.
Quidsi
Bought by Amazon in 2011, Quidsi ran six shopping sites, including Diapers.com, Soap.com and Wag.com. After a brief stint at Amazon, Quidsi founder Marc Lore left to start Jet.com – which was sold to Walmart for $3.3 billion.
Audible
Owning the leader in audiobooks was a no-brainer for Amazon, and the Audible acquisition went down in 2008.
Annapurna Labs
This secretive Israeli semiconductor chip designer was snatched up by Amazon in 2015.
Twitch
Amazon bought Twitch, a video game live streaming company, in 2014 when the service was flush with 55 million subscribers. Today, Twitch.tv is the 40th most visited website worldwide, and is particularly known for its broadcasts of eSports competitions.

Courtesy of: Visual Capitalist

Monday, 11 September 2017

2000 Years of world Economic History in One Chart




 2000 Years of world Economic History in One Chart


Courtesy of: Visual Capitalist

Friday, 8 September 2017

Trading In The Zone

Having the right mindset to trade


I was speaking with my neighbour the other day when she admitted that she filled her Audi with Diesel rather than gas (petrol if you like).

It wasn't until she went to pay that the cashier told her the price for 60 litres of unleaded - unleaded ?

Bang - it hit her she had just filled her car with unleaded instead of diesel. Panic.

In the end it cost her £250 ($300) in ruined fuel, call out, draining charges. Lucky for her she didn't try to start the car.

Now she had owned the car for a couple of years her husband also drove a diesel so how did this happen?

I guess she was distracted by something, not focused and almost running on auto pilot.

So why am I mentioning this?

Well the same could happen when you trade - you take your eye of the ball and wham next moment you've lost the trade or failed to maximise a winning trade because of finger trouble.

So maybe it's a good time to review your processes, have you got a bit slack? not filling in your trading log? to much clutter on your desk distracting you?

Like all professionals you must keep your eye on the game, it's important to look after yourself including:

Take regular breaks
Stretch or exercise regularly
Drink lots of water
If the day is not going so well consider switching off and come back tomorrow

There is a great book "Trading In The Zone" that will definitely help you in your trading endeavours and help you acquire a winning attitude.

Stay focused and relax, enjoy what do and do what you enjoy.


Tuesday, 5 September 2017

Deckchair Trader Trend Trading Strategy



Deckchair Trader Trend Trading Strategy

I show you to how to time the trade entry and exit to maximize profits from my trend trading strategy.

By using a number of oncreen markers, you can see how easy it is to keep pyramiding your trades to maximize profitability.

Pyramiding involves adding to profitable positions to take advantage of an instrument that is performing well. The markers make it easy to visualize the correct moments to take the trades. 

It allows for large profits to be made as the position grows. Best of all, it does not have to increase risk if performed properly. 

trending patterns

Friday, 1 September 2017

Get Your FREE Tickets Business And Investing Mastery 2017

Business And Investing Mastery 2017

business and investing mastery

Click here to book your FREE tickets

Learn from industry experts the strategies that are working in today's markets for starting or growing a business and for investing in property and the forex / stock market.

You'll be learning how to get your money working for you rather than you working for money, giving you more time and freedom to do what you really want in life.


Why should you attend this event?


  • This is a rare opportunity to learn from so many industry experts in one place at the same time. 
  • Just learning 1 or 2 new techniques could hugely improve your business or investing results.
  • You'll benefit from meeting other like minded people. 
  • By updating your knowledge you can check that you stay ahead.
  • One of the best investments you can make is in yourself and you deserve this.

Click here to book your FREE tickets



Why Is This Training Course Free?

We hope that if we invest in you now and help you to become a successful entrepreneur and investor, that some of you may in the future choose us when you want to further your training - of course that's up to you.

At the free training course you'll learn a lot of great content - techniques and strategies used by some of the World's top entrepreneurs and investors.

This is all taught in an easy to understand way so that even complete beginners can start to use these powerful skills.


23rd / 24th Sept
Millennium Gloucester Hotel
London Kensington

Click here to book your FREE tickets

Non Farm Payroll 1 Sept 2017



NFP September 2017

Watch the reaction to the NFP news release against 4 USD pairs

Thursday, 31 August 2017

The Richest Person In Every US State 2017

The Richest Person In Every US State 2017




Courtesy of: Visual Capitalist

The massive empires of business tycoons like Bill Gates, Warren Buffett, and Jeff Bezos are continually topics of discussion throughout the world, but much less attention finds its way towards the largest personal fortunes at the state level.
That’s because while some of the wealthiest people in their respective states are household names, such as Ray Dalio (Connecticut) or Michael Bloomberg (New York), the majority of people on this list fly below the radar at both the national and international levels. Further, the dropoff from the largest to smallest fortunes on the list is also steeper than you might think.

EXAMINING THE TOP 10 STATES

Today’s visualization, which shows the richest person in every U.S. state in 2017, comes from cost information site HowMuch.net while using the latest information from Forbes.

Tuesday, 29 August 2017

Forex Mentor Pro

Forex Mentor Pro

forex mento pro pic

If you are looking for a quality Forex program and learning course with real updates, notes and commentary you might want to check out these guys.

I'm currently putting them through their paces, so far I've been impressed.

They offer a monthly subscription to their training materials and trading sessions which may suit your trading style so why not give it a whirl?

You can cancel at any time and there is a 30 day money back guarantee.

forex mentor pro ad

Friday, 25 August 2017

MT4 Guided Tour Part 4 - The View Menu



MT4 Guided Tour Part 4 - The View Menu


Tim takes you a guided tour of this free trading platform for Windows and Mac that allows you to trade Forex, Stocks etc from your desktop and mobile.

Part 4 explores the functionality for each item in the View menu on the MT4 trading platform and builds on earlier video's setting up and configuring the MetaTrader 4 software.

Trade from your desktop or mobile wherever you are in the world (a Deckchair Trader lifestyle).

MetaTrader4 View Menu



MT4 Guided Tour Part 3 - The File Menu



MT4 Part 3 - The File Menu


Tim takes you a guided tour of this free trading platform for Windows and Mac that allows you to trade Forex, Stocks etc from your desktop.

MT4 Part 3 explores the functionality for each item in the View menu on the MT4 trading platform and builds on earlier video's setting up and configuring the MetaTrader 4 software.

Trade from your desktop or mobile wherever you are in the world (a Deckchair Trader lifestyle).


Thursday, 24 August 2017

MT4 Guided Tour Part 2 - Overview


MT4 Guided Tour Part 2 - Overview


Tim takes you a guided tour of this free trading platform for Windows and Mac that allows you to trade Forex, Stocks etc from your desktop.

Part 2 overviews the MT4 trading platform and builds on earlier video's setting up and configuring the MetaTrader 4 software.

MT4 Trading Platorm


Wednesday, 23 August 2017

Finding The Right FX Broker - I'll tell you the shocking truth


You can't trade without a broker, right?

They are the middle men you have to go through if you want to trade Forex as a retail client (ie you and me)

I've had a few flaky ones over the years, those that have gone broke on me, those that just seem to attract bad publicity for some really dodgy dealings and those that just seem more interested in taking your money than giving it back.

A brokers role is to act as middle man between you and the markets, the big banks and institutions. You deposit your trading pot with them and trade with that pot buying and selling your trades through the broker.

You put money in - you trade - you make a profit - you take your money out.

Sounds simple but lots to go wrong - believe me. (Think Alpari Jan 2015 )

So you really MUST watch this short video where I'll tell you the things you must consider BEFORE you make your choice. You won't regret it!