Tuesday, September 18, 2007

Forex Trading for Beginners - Facts You Must Accept To Win

Enclosed you will find some facts that you MUST accept or you wont win at forex trading, so check them out and see if you could succeed in the worlds most excting investment

1. Markets are Not Scientific

If you think you can win at forex trading by applying science forget it. Scientific theories dont and never will work because humans determine the price of anything and they dont move to scientific criteria!

2. Expect long periods of losses

No matter what system you use you are going top have periods of drawdown that last for weeks or months so get ready for them and be mentally prepared to take them.

3. Currency Trading Is Risky

Most people dont like risk and are duped by vendors who try and tell them they can trade with low risk and make a regular income Ignore this advice.

Fact is:

The bigger the reward the bigger the risk risk goes with reward pure and simple. If you dont like taking risks forget forex trading.

4. You can buy success

You will see lots of vendors promising to give you success, but the reality is they cant. Most rely on advertising copy with no evidence they have made any money for themselves!

Dont fall for this, the only person who can give you success is you.

If these vendors could deliver the gains a lot of them claim, they wouldnt need you they would be to busy making money.

To win you are all on your own and thats no bad thing as we will discuss later.

5. More than 90% lose

Think about it 90% lose so why should you win? If you want to win then you need a trading edge Before you start trading think what your edge is and have confidence in it? If you cant think what it is you dont have one!

You may be thinking thats all a bit negative, so lets look at some facts that are positive.

6. You dont need to work hard

You need to work smart this means not acquiring knowledge for knowledge sake, just getting the right knowledge you need and this wont take long to learn and furthermore:

7. Simple systems work best

A simple system in forex trading will beat a complicated one hands down.

Why?

Because it will be more robust in the face of brutal market conditions, in fact all the best currency trading systems tend to be simple.

8. Everything about currency trading can be learned

You may ask well if thats true why do so many forex traders lose?

The answer is they dont have mental discipline to succeed.

Currency trading is as much if not more so about mindset than just a method.

If you dont have the discipline to follow your method you have no method in the first place. You will have discipline if you develop your own method, you are confident in and thats why no one else can give you success.

9. Take calculated risks and win big

If you accept risk and can take calculated risks at the right time with meaningful amounts, you can win big - this due to the massive leverage at your disposal.

Confronting risk and accepting it, is one of the keys to successful currency trading.

10. Forex trading is simple

In fact its a lot simpler than many traders believe and you dont need a university degree to win the opportunity is open to all.

Just keep in mind to work at acquiring the right knowledge, accept risk, rely on yourself, have mental discipline and you can become a winner in the worlds most exciting and lucrative investment medium

GRAB 3 X FREE TRADER & FREE TRADER PROFITS NEWSLETTER

More on becoming a profitable trader some critical FREE Trader PDF's and more FREE Forex Education visit our website at http://www.net-planet.org/index.html

Wall Street to Main Street: News, Views and Commentary: June 19, 2006

Its Monday June 19, 2006, and its the first day of the trading week and it should be an interesting one. Verizon (NYSE: VZ) has taken the bull by the horns as they struck a multiyear deal with PBS TV Stations to carry a wide array of PBS programming on the new Verizon TV Business. The lines are getting thinner and the war between phone companies and cable operators will begin to heat up this summer.

On the heels of that, the new FCC rules that would loosen the noose on major phone companies have been upheld by the U.S. Appeals court. Basically the large phone companies will not have to provide access to their networks in the residential arena. So smaller phone companies that are trying to grab market share from companies like AT&T (NYSE: T) and Verizon will have a tough time of it as the major carriers own the infrastructure that allows for service to a majority of the residential areas through out the country.

Political Front

In the Saddam Hussein trial prosecutors are pushing for the death penalty for Saddam Hussein and three of his former aides for crimes against humanity following a 1982 crackdown on Shi'ites in which hundreds were killed and tortured. So Hussein will rant and rave until the gavel comes down and his fate is sealed.

North Korea plans on testing a missile launch that, fully fueled, could reach as far as Alaska. So both the United States and Japan have warned North Korea against the launch. North Korea is taking advantage of the worlds attention that is diverted to Iraq and Iran to run this test. So this is a developing story.

Here in New York, city lawmakers are coming down hard on the Department of Homeland Security's decision to cut anti-terror funding. This comes on the heels of a report that came out over the weekend that showed that al-Qaida had a plan to attack the NYC subway system in 2003.

Tid Bits

To combat the mighty Ericsson (NASDAQ: ERICY) Nokia (NYSE: NOK) and Siemens (NYSE:SI) have both agreed to a joint venture that will merge their mobile network operations, creating a $20 billion entity. Now the new venture will be called Nokia Siemens Networks and is still subject to regulatory approval, but if this should go through two things will certainly happen, one is that Ericsson will be given a run for their money and two , close to 10,000 jobs will be eliminated. That is the casualty of this mobile network war. It is a smart move for both companies, as the mobile arena is getting tighter. So expect for these stocks to trade higher on this news.

After months of Intel Corp (NASDAQ: INTC) creating historic lows in its trading history. UBS sees value in the company. The upgraded the stock from a Neutral to a Buy and gave the stock a target price of $23 and that is up from $21.Now the question is will the Institutional money begin to flow back into Intel or will the UBS upgrade just entice individual investors to jump on board. The stock closed at $18.30 on Friday.

Now lets take a look at the Microsoft (NASDAQ: MSFT) front, last week Bill Gates stated that he will be stepping down from the Day to Day duties of Microsoft. Now this is definitely getting mixed reactions as he was the visionary behind the company and at one point in time gave a helping hand to Apple Computer (NASDAQ: AAPL) when the company was down on its luck. But times do change, Microsoft, once being a vibrant young company that dared to be different, topping the one time juggernaut IBM (NYSE: IBM) seem to have gotten too big to have that burning desire and vision. With Google (NASDAQ: GOOG) looking to grab software market share from Mr. Softie by giving people what they want but for free seems to be just another nail being driven into the coffin of Microsoft. Now dont count them out just yet, Mr. Softie is coming out with guns blazing against Apples iPod success by launching its own MP3 player. Some think that its late in the game but technology is constantly changing so they still may have a shot, but 10 years or so ago would Mr. Softie have waited so long to be at the forefront of an evolution?, all that we can do at this point is wait and see what the reaction will be to the new product line, the shift in management and whether the software giant will consider splitting the company at some point down the road.

Movers and Shakers

Some major movers in yesterdays trading session included Focus Media Holdings (NASDAQ: FMCN) , we mentioned Focus Media when it hit a ceiling of $68 three times in a row and sent out an alert that it could pull back into the $51 range, which it did. We also alerted our readers that once it found a bottom that their next trip up to $68 would be fierce and create a base in that level. The stock traded up $6.28 on Friday to close at $60.78, the momentum has been building up in the company and you should see it try to reach that ceiling this week. We also mentioned that their United States based mirror image is a small little known company by the name of Impart Media Group (OTCBB: IMMGE), for those that have taken steps in researching and getting involved in the company should listen in on their analyst/investor conference call that is set up for this Thursday. Take a look at their latest press release for call-in details.

Pioneer Natural Resources (NYSE: PXD) made nice movement on Friday, trading up $4.69 to close at $44.31. The company announced about a week ago that they have upped their stake in a ConocoPhillips (NYSE: COP) Alaska offshore project called Cosmopolitan Unit, from 10% to 50%. So the stock moved up along with several other Natural Gas companies but investors had time this weekend to ponder many things that happened in the previous week and Pioneer Natural may be one of them.

Polo Ralph Lauren (NYSE: RL) made moves on the upside on Friday after reports surfaced that the New York based Polo was on the road to striking a deal with JC Penney (NYSE: JCP) in the form of an exclusive partnership. This would give a big boost to Polo and definitely add to JC Penneys bottom line. Polo closed up $2.30 to close at $57.00 on Friday.

Other stocks that made nice moves on Thursday include Martek Biosciences (NASDAQ: MATK) which traded up $2.77 to close at $29.48, Cigna (NYSE: CI) traded up $2.25 to close at $93.45, Winnebago Industries (NYSE: WGO) traded up $2.21 to close at $30.64, Rockwell Automation (NYSE: ROK) traded up $1.71 to close at $67.39 and New Century Financial (NYSE: NEW) traded up $1.69 to close at $47.00.

Neurocrine (NASDAQ: NBIX) traded down on heavy volume on Friday, the stock tumbled $4.19 to close at $15.18 after stating that the company may have to supply the FDA with additional safety data to get the approval from them. This could lead to big delays, as they will undoubtedly need to conduct further clinical studies to get the FDA the information that they need.

After OmniVision Tech (NASDAQ: OVTI) announced great numbers analyst had a chance to review their quartley earnings and question the quality of those earnings. Analyst at both Piper Jaffray and Needham & Co questioned that as well as the companys outlook. So this drove the stock down $3.37 to close at $23.44 on Friday, this was on over 14 million shares traded. Their average volume has been approximately 1.8 million. So once the bleeding stops OmniVision may require a second look.

Under Ten

Some stocks that made moves on the upside under ten bucks include Britesmile (NASDAQ: BSML) for some odd reason closed up 90 cents to close at $3.23 on Friday. Initially the stock gained lots of interest on the heels of a fluff bid from one of their private competitors, which Britesmile graciously turned down. So you can expect the stock to slip back a bit over the coming days after the bump up last week. But who knows perhaps the fluff bid for the company may be backed up by a solid financial group, but that may not be likely just yet.

Orthovita (NASDAQ: VITA) traded up 41 cents on Friday when word got out that the Food and Drug Administration approved its product for controlling bleeding during surgeries. Now this may also pull back a bit even though the run wasnt tremendous it did hit a new 52 week high, which could cause for a pullback.

Wet Seal (NASDAQ: WTSLA) received an upgrade by Matrix Research from a Sell to A Hold, this morning and it should be a welcome upgrade which could give boost to investor confidence in Wet Seal. So look for a tad bit of movement in this one today.

Other stocks that moved higher yesterday under ten bucks included Catalyst Semiconductor (NASDAQ: CATS) which traded up 27 cents to close at $3.89, Memry corp (AMEX: MRY) traded up 23 cents to close at $2.90, Great Basin Gold (AMEX: GBN) traded up 20 cents to close at $1.85 and Novavax (NASDAQ: NVAX) traded up 19 cents to close at $4.71 on Friday.

Analyst Upgrades/Downgrades

Recent Analyst upgrades include aQuantive (NASDAQ: AQNT) was upgraded to a Buy from a Neutral by Merriman, Curhan Ford & Co and to an Outperform from a Market Perform by Piper Jaffray, Martin Marietta Materials (NYSE: MLM) was upgraded to an Outperform from an In-Line by Goldman Sachs, Procter & Gamble (NYSE: PG) was upgraded to an Overweight from an Equal Weight by Lehman Brothers, Vulcan Marterials (NYSE: VMC) was upgraded to an Outperform from an Inline by Goldman Sachs and Monster Worldwide (NASDAQ: MNST) was upgraded to a n Overweight from an Equal-Weight by Morgan Stanley.

Recent Analyst downgrades include Petsmart (NASDAQ: PETM) was downgraded to a Neutral from an Outperform by Credit Suisse, and Michaels Stores (NYSE: MIK) was downgraded to a Peer Perform from an Outperform by Thomas Weisel Partners.

Recent analyst coverage initiations include Vishay Intertechnology (NYSE: VSH) which was initiated with a Hold rating and a $16.50 price target by Citigroup Investment Research, Novacea Inc (NASDAQ: NOVC) was initiated with an Outperform rating by Cowen 7 Co, Warner Music Group (NYSE: WMG) was initiated with an Outperform rating and a $30 price target by Credit Suisse, RH Donnelley (NYSE: RHD) was initiated with an Overweight rating and a $64 price target by Lehman Brothers, the stock closed at $51.55 on Friday and Allscripts Healthcare Solution (NASDAQ: MDRX) was initiated with a Neutral rating by UBS.

FURIOUS FIVE

Today we are featuring Universal Truckload Services (NASDAQ: UCAL) as our Furious Five feature on the Investors Corner. As our subscribers already know, this will be sent out separately later today to subscribers only.

For our outlook, and other vital information on the companies that we feature as the "FURIOUS FIVE" on Wall Street to Main Street just subscribe for FREE at www.namcnewswire.com

We cannot stress enough that investors need to do their due diligence, call the companies, get the information, consult with your investment advisor and if you do not have one consider getting one. Put the same time into investigating these companies as you do when you go to purchase a new television, its only for your protection. When it comes to thinly traded securities stagger your orders or put a limit order in to avoid a run up.

NAMC Newswire Note

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To register to receive the Wall Street to Main Street Free Daily Newsletter Click Here or go to our site and click on the Newsletter section. www.namcnewswire.com/newsletter CEOs that want to contact us can do so by going to www.namcnewswire.com or call us at 888-463-9237.

Louis Victor NAMC Newswire 888-463-9237

Disclaimer: None of the information contained on the NAMC Newswire constitutes a recommendation by the NAMC Newswire, its journalist, nor its parent company that any particular security, portfolio of securities, transaction, or investment strategy is suitable for any specific investors or person. Each individual investor must make their own independent decisions regarding any security, portfolio of securities, transaction, or investment strategy featured on the NAMC Newswire or NAMC Radio Any past results are not necessarily indicative of future performance. The NAMC Newswire, its journalist nor its parent company does not guarantee any specific outcome or profit, and all investors should be aware of the real risk of loss in following any strategy or investments featured on the NAMC Newswire or the NAMC Radio. The strategy or investments discussed may fluctuate in price or value and investors may get back less than you invested. Before acting on any information featured on the NAMC Newswire website or the NAMC Radio segment, investors should consider whether it is suitable for their particular circumstances and strongly consider seeking advice from their own financial or investment adviser. Investors are also urged to do their own due diligence before investing in any security.

All opinions featured on the NAMC Newswire or NAMC Radio are based upon information that is considered to be reliable, but neither the NAMC Newswire, its journalist, its parent company, affiliates nor assigns warrant its completeness or accuracy, and it should not be relied upon as such. The statements and opinions featured on the NAMC Newswire by its journalist are based on their outlook at the time of the statement or opinion, and are subject to change without notice. NAMC may at times hold a position in the companies that it features, in these cases appropriate disclosure is made.

Louis Victor is the host of the syndicated radio show and financial newsletter "Wall Street to Main Street" which is featured on the NAMC Newswire Radio. He has been involved in the financial industry for over two decades, on the retail and investment banking ends. He is also well versed in the advertising and marketing industries, which has given him insight into market trends and unqiue companies that may be under the radar.

Relative Strength Comparison (RSC) The Key Success Tool In Trading: Part 3

In Part 2, of Designing a Trading System in MetaStock I covered how to code the first two of the four major components of a mechanical entry system. I had explained the coding of price and liquidity. In this article, I will cover the steps for coding the remaining two components, trend and volatility, into MetaStock. In the end, you will have the complete codes for a mechanical entry system.

Let's begin with trend identification. Remember, 'the trend is your friend' when trading. You always want to trade with the trend, not against it. Think of it this way, if you were swimming in the sea, and got yourself caught in a rip tide, is it easier to swim with the current or against it? It is the same with trading with a trend.

There are many ways to identify trends, and it's not particularly important which method you use. You just need to use one. One of my preferred methods for identifying trending stocks is to find stocks that are trading at their current highs. You can do this by stipulating that the highest high price must have been achieved in the last 'x' number of days.

Once again, the variables you use will depend on the time frame you are trading. But for this example, you want the highest high price in the last 240 days to have occurred in the last 20 days.

Using the formula reference section in the MetaStock Programming Study Guide, you can find the syntax of the highest high function, and then plug in the details. Then, using the 'less than' symbol, you can specify the number of days must be less than 20. In MetaStock language that would be:

HHVBars(H,240) 1.5 and

ATR(21)/Mov(C,21,S)*100 1 and

Mov(v,21,s)*C > 200000 and

HHVBars(H,240) 1.5 and

ATR(21)/Mov(C,21,S)*100 < 6

You now have now a workable entry system. Not only did you construct a robust system, but it also adheres to the KISS principal (Keep It Simple Simon). This system can be cut and pasted into the Explorer within MetaStock. However, the entry is only the beginning of a successful trading system. In later parts of this series, you'll find the rest of the components that you need to design a profitable trading system.

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About The Author
David Jenyns is recognized as the leading expert when it comes to
MetaStock and designing profitable trading systems. His MetaStock
website offers a huge free collection of trading related tips and tricks.
Gain free access now. Click Here ==> http://www.meta-formula.com/subscribe
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Forex Trading Systems

The foreign exchange currency market is the largest market in the world because it trades up to $1.9 trillion daily. There is an enormous scope of trade in Forex because it is global, and is open twenty-four hours a day, making the presence of buyers and sellers constant, and the fluidity of the market, grand. The market is ever present because it does not have a central venue like Wall Street or Tokyo. It is a series of internet and telephone communications between buyers and sellers and it is not overseen by any one main authority like the Securities and Exchange Commission. The Forex is made available to traders through platforms.

Traders of Forex commonly favor Forex trading systems. Forex trading systems are methods of trading currency based on ideas that have rules associated with them. Forex trading systems are a merging of theory and practice that have been tried and tested over and over, and the results of the tests have been documented.

Some Forex trading systems are based on the idea of going against trends. Other Forex trading systems are based on the idea of going with trends. Some Forex trading systems are based on the idea of tracking breakouts of a particular currency and these Forex trading systems rely heavily on the averages of a currencys highs and lows, and utilize Bollinger bands that track the average highs, the average lows and the moving average of the two.

Traders utilize Forex trading systems in order to work against human characteristics that can hamper trading, like greed, addiction, impulsivity, compulsivity and fear.

Kevin Anderson is the owner and operator of http://www.forextradingcenter.info a site developed to give users the most updated information, articles, and news related to the Forex Market.

How To Select An Online Forex Trading Broker System?

Today an online forex trading broker system is not just about providing superior solutions to Forex traders, but it is also there to accommodate the technology that is needed for the forex trading industry. Certainly in such a competitive trading world, the online forex trading broker system allows you to perform all trading functions related to Forex both quickly and in real time from anywhere in the world.

These systems are no longer limited to a person being able to order entry or carry out a trade execution. In fact you can now track all your online forex trading activity through a forex trading broker system.

When looking for a good online Forex trading broker system, it is vital that you take your time and do as much research as possible before making that all important final decision. Many systems now provide you demo accounts which you can use to see if you feel comfortable when actually using it. All you need to do simply follow the information and directions that they provide on their sites. However there are some points that need to be considered when using an online Forex trading broker system.

1. Low Spreads. By keeping your spreads as low as possible (the difference between the price you pay and the price you sell at) then the more money you are likely to save.

2. Look for a Quality Registered Institution. Any broker who has a online Forex trading broker system should be registered as a Futures Commission Merchant with the National Futures Association in the US or the Commodity Futures Trading Commission in the UK.

3. Tools. A good online Forex trading broker system should provide you with useful tools such as real time currency price charting, technical analysis tools, fundamental analysis commentaries and economic calendars. All of these you will need in order to successfully carry out Forex trading online.

Plus any online Forex trading broker system you use should provide you with follow up support in case of any doubts or questions that you may have with regard to the system. Preferably look for those systems which have forums, contact phone numbers, e-mail addresses or a support helpdesk.

When choosing an online forex trading broker system, you should also focus on both money management as well as risk management. Your personal financial and risk management skills also play an important role when trading forex.

Ricky Lim is the owner of http://www.learn-forextrading.net where he has forex tutorials and tips on forex currency trading for beginners.