Posts Tagged ‘ currency pairs ’

During the last couple of years there’s beena fairly considerable increasing amount of interest in by using fx trading as a way to either generate a good extra cash, or even to enter forex currency trading full-time and replace your current profession.

Improved technology now means that in a majority of cases an average person has close to the exact same entry to currency trading markets as the big players.

but there can be potential risks to this particular improved access- it’s very easy for a beginner to lose funds incredibly easily when they’re getting started in forex currency trading.

and once burned individuals will be unlikely to consider it any more, potentially losing out on a great money opportunity.

how can this be avoided?

just like with any type of trading, you should use a fx system in position that sets the rules for you as regards to things like as you trade, which foreign currency pairs you trade on, how much money you invest etc ..

Before speaking about a few of these elements it may be smart to briefly explain exactly what a forex system is.

What Exactly Is Fx system?

Generally, a forex trading system is a set of tips that the trader establishes for trading activity that assists them find possibilities to place trades that have a much better than average opportunity at to be financially rewarding.

so as an example, one trader might have a system that revolves around scalping a single specific forex pair at a specific period during the day.

Another trader might work with a system which can be applied to any currency pair and is based on certain technical analysis triggers that determine entry and exit points.

there are as many systems as there are traders, and people are always wanting to create better forex trading systems as well as improve on their existing methods.

How to Trade Forex Profitably

Press Release Source: FXDD on Wednesday February 16, 2011, 9:48 am EST

NEW YORK, Feb. 16, 2011 /PRNewswire/ — FXDD, a leader in online Forex trading, has launched FXDD iTrader and FXDD droidTrader, free mobile foreign exchange trading apps for the iPhone and the Android market.  Now, current and new FXDD customers can access their FXDD trading account on the go from virtually anywhere.

FXDD iTrader and droidTrader work as mobile companions to the MetaTrader 4 Forex trading platform.  Both apps are available in English, Japanese, Chinese and Russian.  FXDD iTrader is also available in Arabic and droidTrader is available in Turkish.  You can log onto your live and demo accounts and obtain real-time account information, place new orders, close or modify existing positions, and view your account history.  You can also display real-time price feeds for currency pairs, and access charting capabilities, calculators and other tools.  

“FXDD iTrader and droidTrader are part of our ongoing effort to provide our clients with the most robust trading technology available, combined with exceptional service,” said Shawn Dilkes, Chief Technology Officer at FXDD.  ”FXDD iTrader and droidTrader give our traders quick, easy and convenient access to their FXDD trading account on their mobile device.”

FXDD iTrader for the iPhone and iPad is available for free at the Apple App Store http://itunes.apple.com/us/app/fxdd-itrader/id414824402?mt=8.  droidTrader for the Android market can be downloaded at https://market.android.com/details?id=com.ingress.android.Forex.itrader

About FXDD

FXDD (www.fxdd.com), a Foreign Exchange Dealer registered with the CFTC and a member of the National Futures Association, is headquartered in new York City’s 7 World Trade Center. FXDD is a leader in online Forex trading dedicated to providing superior customer service, powerful trading technology, and reliable streaming liquidity. FXDD provides services to individual and institutional traders, hedge funds, commercial entities, brokerage firms and money managers around the world. FXDD offers 24-hour Forex Trading by way of its trading platforms, which include: MetaTrader, FXDDTrader, PowerTrader and FXDDAuto. the Company’s services currently provide competitive interbank pricing, no-interest accounts, and fully-automated execution. FXDD also provides 50:1 leverage in the US, as well as competitive bid-to-ask spreads.

Follow FXDD on Twitter at twitter.com/fxdd and on Facebook at facebook.fxdd.com.

FXDD Launches iTrader and droidTrader Mobile forex trading Apps for iPhone and Android

The following is a forex Crescendo review.  You can also go directly to the home page for this product by clicking here.

If you haven’t heard, Forex Crescendo is one of the newest but most impressive forex EAs out on the market.  created by Andrea Salvatore, Forex Crescendo is a currency exchange robot that allows you to make automated trades using two currency pairs: the GBPUSD and GBPJPY.  even though at the time of this article, the forex Crescendo exchange robot is only about 10 months old, the figures are already pretty exciting.

Official Forex Crescendo site.

Let’s take a look at some of the stats so far.  since February 2010, the average monthly gain for this forex robot is about 17%, which is much better than most products out there.  The average profit on a winning trade is about $61, while the average loss is around $81.  These numbers seem alarming, until you take a look at the winning percentage.  With a winning percentage of about 77%, it’s clear why there’s so much buzz around this product.  You simply don’t see numbers like that, and while we think over time they’ll lower a little bit, Andrea Salvatore clearly has created a superior product.

More info on this product.

Like so many others, we thought it was possible that there was a Forex Crescendo scam prior to conducting our review.  after much research, however, we learned that this forex robot is for real.  the Forex Crescendo EA has risen through the product ranks and the refund rate is approximately 2.19%, which helps illustrate a high level of customer satisfaction.  If you want to try it out, you’ll be happy to know it comes with a 60 day money back guarantee, so you can put into action for a month and see how you do before making a decision on it.

Product download page.

Forex Crescendo Review

A considerable slowdown in forex volatility has kept key currency pairs to tight ranges, and a continuation of such price action would call for range-friendly Trading strategies in the week ahead.

Our benchmark range trading Relative Strength Index system and range-based DailyFX+ Trading Signals systems generally performed well through recent trade. Yet our Channel Breakout system and DailyFX+ Breakout strategies saw noteworthy pullbacks through the same stretch. Forex Options markets volatility expectations show that traders are betting on and hedging against slower currency moves into the week ahead, and we will accordingly position ourselves for low-volatility systems heading into year-end trading.

forex trading Automated Systems Outlook

DailyFX+ system Trading Signals – Breakout2 trades performed relatively poorly amidst slower price moves and choppiness across key currency pairs, while Range1 and Range2 systems performed relatively well through the same stretch. We were admittedly caught favoring Breakout systems through that stretch, but we have little choice to switch our biases amidst a sharp drop in forex options market volatility expectations. Range systems may continue to do well if we see a continuation of smaller market moves, while Breakout strategies could underperform for much the same reasons.

To gain a greater understanding of all six trading systems, view my recent presentation on SSI and the trading signals on our FXCM Digital Expo page.

Benchmark Trading Systems

Data and Backtest Results Generated using FXCM Strategy Trader

Our benchmark trading systems unsurprisingly tracked moves in our DailyFX+ Trading Strategies, with Range strategies outperforming while Breakout trades underperformed. if we see similar conditions in the week ahead, the RSI indicator may prove useful in forecasting shifts in key currencies. Channel breakout trades should likely be avoided until we see a pickup in FX market volatility.

DailyFX Individual Currency Pair Conditions Summary

Written by David Rodriguez, Quantitative Strategist for DailyFX.com, drodriguez@dailyfx.com

To be added to this author’s distribution list, send an e-mail subject line “Distribution list” to drodriguez@dailyfx.com

Range Strategy – The benchmark range trading system shows the hypothetical performance of a simple Relative Strength Index strategy on 60-minute EURUSD, GBPUSD, USDJPY, USDCHF, USDCAD, AUDUSD, and NZDUSD pairs. it sells when the 14-period RSI falls below 70 and buys when it crosses above 30. no other trading rules are used. Hypothetical results are generated using FXCM Strategy Trader.

Trend Strategy – The benchmark trend trading system shows the hypothetical performance of a simple Moving Average Crossover strategy on 60-minute EURUSD, GBPUSD, USDJPY, USDCHF, USDCAD, AUDUSD, and NZDUSD pairs. it buys the currency pair when the 50-period Simple Moving Average crosses above the 100-period and 200-period averages. it sells when the 50-period crosses below the 100-period and 200-period averages. no other trading rules are used.

Breakout Strategy – The benchmark breakout trading system shows the hypothetical performance of a simple Channel Breakout strategy on 60-minute EURUSD, GBPUSD, USDJPY, USDCHF, USDCAD, AUDUSD, and NZDUSD pairs. it will set a buy order at the highest high of the previous 20 bars plus one pip and a sell order at the lowest low of the previous 20 bars minus one pip. no other trading rules are used.

Volatility Percentile – The higher the number, the more likely we are to see strong movements in price. this number tells us where current implied volatility levels stand in relation to the past 90 days of trading. We have found that implied volatilities tend to remain very high or very low for extended periods of Time. As such, it is helpful to know where the current implied volatility level stands in relation to its medium-term range.

Trend – this indicator measures trend intensity by telling us where price stands in relation to its 90 trading-day range. A very low number tells us that price is currently at or near monthly lows, while a higher number tells us that we are near the highs. A value at or near 50 percent tells us that we are at the middle of the currency pair’s monthly range.

Range High – 90-day closing high.

Range low – 90-day closing low.

Last – Current market price.

Bias – Based on the above criteria, we assign the more likely profitable strategy for any given currency pair. A highly volatile currency pair (Volatility Percentile very high) suggests that we should look to use Breakout strategies. more moderate volatility levels and strong Trend values make Momentum trades more attractive, while the lowest Vol Percentile and Trend indicator figures make Range Trading the more attractive strategy.

HYPOTHETICAL PERFORMANCE RESULTS HAVE MANY INHERENT LIMITATIONS, SOME OF WHICH ARE DESCRIBED BELOW. NO REPRESENTATION IS BEING MADE THAT ANY ACCOUNT WILL OR IS LIKELY TO ACHIEVE PROFITS OR LOSSES SIMILAR TO THOSE SHOWN. IN FACT, THERE ARE FREQUENTLY SHARP DIFFERENCES BETWEEN HYPOTHETICAL PERFORMANCE RESULTS AND THE ACTUAL RESULTS SUBSEQUENTLY ACHIEVED BY ANY PARTICULAR TRADING PROGRAM.

ONE OF THE LIMITATIONS OF HYPOTHETICAL PERFORMANCE RESULTS IS THAT THEY ARE GENERALLY PREPARED WITH THE BENEFIT OF HINDSIGHT. IN ADDITION, HYPOTHETICAL TRADING DOES NOT INVOLVE FINANCIAL RISK, AND NO HYPOTHETICAL TRADING RECORD CAN COMPLETELY ACCOUNT FOR THE IMPACT OF FINANCIAL RISK IN ACTUAL TRADING. FOR EXAMPLE, THE ABILITY TO WITHSTAND LOSSES OR TO ADHERE TO A PARTICULAR TRADING PROGRAM IN SPITE OF TRADING LOSSES IS MATERIAL POINTS WHICH CAN ALSO ADVERSELY AFFECT ACTUAL TRADING RESULTS. THERE ARE NUMEROUS OTHER FACTORS RELATED TO THE MARKETS IN GENERAL OR TO THE IMPLEMENTATION.

OF ANY SPECIFIC TRADING PROGRAM WHICH CANNOT BE FULLY ACCOUNTED FOR IN THE PREPARATION OF HYPOTHETICAL PERFORMANCE RESULTS AND ALL OF WHICH CAN ADVERSELY AFFECT ACTUAL TRADING RESULTS. any opinions, news, research, analyses, prices, or other information contained on this website is provided as general market commentary, and does not constitute investment advice. The FXCM group will not accept liability for any loss or damage, including without limitation to, any loss of profit, which may arise directly or indirectly from use of or reliance contained in the trading signals, or in any accompanying chart analyses.

Forex Strategy Outlook: US Dollar Ranges Point to RSI Trading

In this series of articles we are going to talk about the basics of Forex trading. If you are new to financial markets, or maybe have bought the odd stock as an experiment, then this series will give you a great deal of information about how to get started in the foreign exchange market, the largest and most liquid market in the world.

Because of online brokers, individual investors and traders can experience the excitement of investment in stocks, bonds, and futures. But, while educated investors often quickly understand those markets, the Forex market seems to be shrouded in mystery. For some people, understanding the Foreign Exchange market can be tough, so these articles should help you get started.

forex trading can be highly rewarding

for investors who enjoy fast-paced trading, the challenges of many different currency pairs, and a highly liquid market. In fact, the Forex Trading market is the largest most liquid financial market in the world, and trading goes on twenty four hours a day.

Of course, forex trading isn’t any ‘easier’ or ‘safer’ than stock market trading. Foreign Currencies, whose values fluctuate by the second, are just as susceptible to bad financial news as any stock. If you’re coming to the Forex market because of distaste with volatility of the stock or derivatives market, thinking that trading currencies is somehow less risky and more rewarding, then you are terrible misinformed.

This will serve as the big disclaimer for this series of articles – YOU CAN LOSE JUST AS MUCH MONEY TRADING CURRENCIES AS TRADING ANY OTHER FINANCIAL ASSET! Now, as long as you understand this and come to

Forex trading with the right perspective

it can be really fun. But as a word of warning, there are people who think they have ‘figured out’ the Forex market, and can ‘always predict’ where the price of a certain currency pair will go using fancy mathematical models, but the currency market doesn’t exist in a laboratory. forex trading is affected by real world news and has real world consequences, so don’t believe it.