Friday, October 5, 2007

The Benefits Of A Mechanical Forex Trading System

Most everyone knows that a lot of money can be made in a short amount of time and with a relatively small amount of money (a few hundred to a few thousand dollars). Some people make a tremendous amount of money regularly in the forex market. But you need to have a proven system or systems. And, especially for new traders, the system or systems used should be easy to understand and easy to use. They should also be mechanical.

Why is it good to use one or more mechanical trading systems when trading forex? Because a lot of emotions can come into play, especially greed and fear, that can destroy even an experienced discretionary trader. To make money consistently you need mechanical systems that keep emotions out of the equation. Like Mr. Spock on Star Trek.

It is that emotionless, logical trading with mechanical systems that have been proven to work over months of testing that will make even the new forex trader a winner almost immediately. Emotion free trading is the way to go. You can be one of the best forex traders anywhere when using proven mechanical forex trading systems. You want systems that are easy to understand and use, and require only an hour or two of work a day to give you the freedom and time you need to enjoy the other activities of your life. Emotion free mechanical trading is essential for success!

By Roger Bovee, Editor And Publisher of Forex Trading Machine Blog. Grab Your Copy of GBP/USD Mechanical System No Cost Ebook That Averages 70 Pips Profit A Trade There Right Now! $39 Value

Crude Oil & Unleaded Gas As Predicted Big Gains & More To Come!

These markets have exploded to the upside today as we thought ( see previous articles) and traders who took the stochastic crossover have fantastic gains on the day.

Can this market continue its upward momentum? Lets look at the trade in more detail.

Low risk and high reward trade

This market was trading near support, so it was a great place to enter if you were bullish, as the contracts were trading right at key nearby support.

While we said traders could enter at the support level, we waited for the stochastic crossover to confirm the move.

One of the most important points in trading an upward move is to look for some upward momentum (Even if you think support is going to hold) get confirmation of strength and the stochastic crossover got us the signal and in the market.

Can this market go to new highs?

We dont know and neither does anyone else.

This market is driven by trader psychology more than anything else at present, but if we step back and look at the charts, we can see things with a clearer none emotional perspective.

A break above resistance points to test of the highs

The huge move up is seeing prices right at the middle of the Bollinger band (resistance), if prices can close above this level tonight or near the highs we would stay with the trade.

If prices get past the mid bollinger band odds favour a run to new highs.

Its important here to keep an eye on how the trade finishes on the day and opens tomorrow. Watch for resistance at the mid Bollinger band and stochastic momentum to stay positive.

Note: Stochastics are great timing tool, to get into trades and the bollinger band represents a great way to define resistance, support and objectives. These two tools are a powerful combination when used in conjunction with charts - learn to use them and enhance your trading.

FOR more FREE info

On low risk / high reward trades and a FREE Energies newsletter which will help you spot trends such as they above as well as a number of valuable free trading tools visit

How To Make Money With Commodity Trading

Since the advent of the internet commodity trading has grown by leaps and bounds and just about anybody with a computer and a few spare dollars can get into the market. Heres how to make money with commodity trading. 1. Buy low-sell high. Sounds really simple but the number of investors that manage to do exactly the opposite is high. The success or failure of your investment will depend on this concept and that;s how to make money with commodity trading.

2. The only real thing on the stock market is the price of the stock and if you are planning to make money then you have to invest by mirroring the stock market itself. The market corrections are always right so follow the lead. Thats how to make money with commodity trading.

3. What goes up must come down and stocks are exactly the same. The trend will change the rule and the more it moves up or down the more extreme the move will be and that is how to make money with commodity trading

4. You can spend your days trying to figure out what the cause of the large directional moves are but youll be wasting your time and seldom will you find the answer. Its all about market perception if you want to know how to make money with commodity trading if you follow this path.

5. One of the biggest mistakes the majority of investors make is thinking that stock markets are rational. If you want to make money all you need to know is whether the market is moving up or down and how long its been doing it for.

6. Usually some type of news or world event affects the movement of a stock or stock. The news can be months in advance and not totally clear but you should not wait to invest or it will be too late and the how to make money with commodity trading skills you have will go down the drain.

7. The trends are like lovers you need to keep them close and understand their move. Its where all the profit or loss stems from. You will need long term trends if you want to make bigger profits and learn how to make money with commodity trading.

8. Discipline is key and without it you will not be able to make money over the long term. Sometimes you do have to cut your losses and get out. Know when to stay and know when to run.

Now that you know how to make money with commodity trading your ready to get started. One last thought. Much of your success depends on your individuality.

Joel Teo is the owner/webmaster of the free financial article directory. When you submit articles for free, your articles may be picked up by ezine publishers who might reprint your articles and give you links and send traffic to your website.

How to Learn Stock Investing Without Risk!

Airline pilots practice fly in simulators before taking off in an expensive new jet. They do this so that they dont kill themselves or their passengers. They also do this so that a very expensive airplane does not get destroyed!

In the futures markets people who trade commodities have been practicing for years by paper trading the markets. Paper trading consists of using long term price charts to get a feel for the markets. This was done before we had computers by learning to recognize and analyze simple trend lines using a pen and ruler in a catalog of price charts supplied by a technical analysis chart subscription service.

Once the computer was invented an observant, entrepreneurial, futures trader named Lan Turner recognized that the entire futures trading process could be simulated with software. He noticed that this could be done just like the Xbox games kids play today that are a lot of fun (but dont teach you how to get wealthier).

Mr. Turner created a simple software application with a programmer friend and began showing it around. Futures traders immediately recognized the enormous benefit of practicing in these highly leveraged markets before actually trading; just like pilots learning to fly a new aircraft use a simulator. With this first application Lan began hiring more and more programmers and today his company Gecko Software ( has the best futures trading simulator in the world because it really puts you in the trading seat without exposing your hard earned savings.

Now they have finally created an equity version that is being beta tested called TNT High Finance that allows me to actually practice in any past time in any stock. The software allows me to place positions and then roll time forward like a video player. This virtual environment allows me to see each day unfolding in any stock I want to practice an investment technique in the market without risking my assets.

The reason I am writing about paper trading in the stock markets is that you must understand how vitally important it is for you to find a stock investing technique that is just right for you. Each of us has different ways of thinking (psychology). A stock investing method that is just right for me may be horrible for you and vice versa. Paper trading in the stock market allows you to hone in on a stock investment strategy that works for you. Learn to paper trade in the stock market and you can get years of trading experience in a few short months of practice that is absolutely critical to your financial health!

Dr. Scott Brown, Ph.D. a.k.a. The Wallet Doctor can teach you how saving the daily price of a cup of coffee at Starbucks can make you a millionaire in the stock market through long term stock investing. Dr. Brown's website is:

Will Fibonacci Help Me Forex Trading? Successful Traders Say Yes

When you first start trading the forex and begin to have some understanding of what the currency markets are all about you will have the ambivalent impression that the behavior of the most traded currency pairs are quite predictable but without any certainty. Yes, you can contemplate the oscillation of the prices as they evolve during the trading day and easily say I knew it would drop there or something similar. But the reality is that although you contemplate pretty regular intervals of oscillation, they are not as easily predictable as it may seem to you when you are a rookie, and as the best traders know, your best guesses wont be enough to make you consistent money when trading forex.

Thats why every trader known has been given as his first homework the task of looking for a reliable forex trading system that will help him in his frequent encounters with the currency markets. There are many good systems out there that you can use depending on your trading psychology and capital you wish to risk (the least the best is one of the forex trader golden rules). But one of the most widely used by its reliability is the Fibonacci Levels system.

This is a forecasting system based on the legendary Fibonacci numbers that are known to be widely present in nature as hidden constants ruling the behavior of many phenomena. And the Forex markets are not exempt of this influence; thankfully for the traders, the way each of the oscillations you can see when you contemplate a forex chart behaves is directly related to the Fibonacci levels, having these constants imbedded inside their behavior. So by understanding how these Fibonacci levels work you will be able to have pretty accurate forecasts of the markets. Its not a perfect system but you can get very close once you have been trained.

For an extensive Fibonacci Forex Trading training you can go to this site:


Tyranosaurus Rex

Everyone knows T Rex was the most fearsome of all dinosaurs. He could and did kill everything in his path for food or maybe stupid meanness. His brain was very small and he did not survive.

There is a T-Rex among us today and it is disguised, but it is killing us in another way. This T-Rex is killing and eating our retirement portfolios. You may have noticed your stock account has lost some of its value during the past 3 years. Something or someone is nibbling away at it. It has gotten so bad that many people dont even want to look at their statements every month. Is there a way to keep the beast, whatever its name, from completely eating everything? Yes, there is.

Currently there is an advance in the stock market and you have been told by the talking heads on CNBC-TV that the bull market has resumed and it is best to "put whatever cash you might have into the market. Dont lose this opportunity to make back what you have lost".

This is a very sneaky T-Rex. It is out in the bushes and it may not have seen you yet. If you still currently own any equities you want to protect them from the beast. If this is a new bull market you may want to participate. OK, buy something, but you must know where to run to hide should the T-Rex come out again. How?

Now, I said now, you must decide how much you are willing to risk from here, not where you were 3 years ago. Dont try to get even. You cant. As this market rises you should be following every stock you own with an open stop-loss order. It could be 8%, 10%, 15%. Whatever you feel comfortable with. Do not try to outsmart the beast. Listen for his return and have your protection in place so it will automatically be triggered when T-Rex returns.

None of us knows how long you will be able to graze in the green pastures. It may only be days, but could be months or longer. If you are cautious the monster will not get you. The market itself will tell you when to run for shelter. No guessing. That is the wisdom of a stop-loss protection.

Take a few moments to review your stock and mutual fund holdings of 2000. Look up the price at that time for each issue. If you had placed loss protection on each one how much would you have saved?

In a bear market the best offense is a good defense. Dont let T-Rex get you.

Al Thomas' best selling book, "If It Doesn't Go Up, Don't Buy It!" has helped thousands of people make money and keep their profits with his simple 2-step method. Read the first chapter and receive his market letter at and discover why he's the man that Wall Street does not want you to know. Copyright 2004

Investing the Right Way

The world of investments offers a dangerous draw: huge rewards with the chance of terrible losses. Investors love the idea of accumulating wealth, but no one likes losing money. The trick is to know how to invest with minimal risk. Nobody can predict the fluctuations of the market completely accurately, but as you start investing, youll learn to take the losses and look forward to the next market high.

The market is uncontrollable, but it helps to know what youre investing in. Become familiar with the products and businesses you invest in before you make the jump. Too many new investors invest in a hot stock from the previous year, excited by the market high. Remember: market highs never last. Its smart to invest in a strong stock with a record than a trend thats in one year and out the next.

Just as important as the product is the reasoning behind your choosing it. If you know why youre investing in a stock, youll always know what your next move is. For example, if you invest for the sake of profits only, when prices fall youll know to drop out, instead of fretting over whether to wait and cross your fingers for the next market high, or cut your losses.

Investments are all about timing - not the timing of the market highs and lows, but the timing of your moves in relation to them. You have to know when to take profits and when to cut losses. Some say when the market is up, run a profit in case the market keeps climbing. However, others worry the market will fall, so its best to back out while youre up. When the market is low, everyone knows to cut your losses - back out before it gets worse.

Dont invest in what you cant afford, and dont invest without a good reason. While the market highs are satisfyingly rewarding, the market lows are part of the ride. Although much of investing is gut instinct, you cant afford to make reckless decisions. Invest to your advantage, rather than let the market rip at your bank account.

The best thing to do is study the market. Dont jump to invest before you study the products record and think over your reasoning. Some good books about investing include The Real Life Investing Guide by Kenan Pollack and Eric Heighberger, The Only Investment Guide Youll Ever Need by Andrew Tobias, and The Wall Street Journal Guide to Understanding Money and Investing (3rd Edition) by Kenneth M. Morris and Alan M. Siegel. Know what youre doing and why before you start investing.

When you make informed choices, you can gain many benefits from the market. The business world is unpredictable, but when the markets up, the rewards are well worth the gamble.

Investing the Right Way Copyright 2005

Alan Jason Smith is the owner of which is a great place to find investment links, resources and articles.

For more information go to:

Mutual Fund Honor Roll - Buy High, Sell Low by Chasing Performance

Buy high and sell low -- It's not a typo.

Millions of investors guarantee their failure by selecting mutual funds and stocks based on quarterly or annual performance records. Do you chase performance? You might be buying high and selling low!

As the year draws to a close, millions of mutual fund investors begin an annual event to divine next years winners. Yet most of these individuals rely heavily on a time-honored but terribly wrong method of evaluating strength. Whether analyzing screening tools from websites, reviewing fund honor rolls in magazines, or using star ratings from fund analysts, normally savvy business people foolishly chase the returns of last years hottest investments.

This begs the question: Can top performing mutual funds lead two years in a row? Consider a study commissioned by Vanguard Investments Australia and released by Morningstar. The five best performing funds were analyzed from 1994 to 2003. Here are the results:

-- Only 16% of top five funds make it to the following years list.

-- Top five funds average 15% lower returns the following year.

-- Top five funds barely beat (by 0.3%) the market the following year.

-- 21% of all top five funds ceased to exist within the following 10 years.

Academic studies and market statistics confirm the typical investor acts in direct opposition to the sage advice buy low, sell high. Its only after high returns are realized and reported that investors pour money into both stock and bond mutual funds. In fact, Financial Research Corporation compared investor cash flows into mutual funds. Purchases immediately following best-performing quarters exceed 14 times those immediately following their worst-performing quarters. In other words, you are 14 times more likely to buy funds at their highest price than at its lowest. Buy high and sell low.

Just what kind of damage are they inflicting to their investment returns? DALBAR, Inc., conducted a well-known study called Quantitative Analysis of Investor Behavior. The study confirms investors poor timing and the resulting financial carnage. Investors buy funds immediately after a rapid price appreciation. This just happens to be right before investment performance wanes. Prices fall soon after and the investors quickly dump their holdings to search for the next hot fund. The resulting returns fail to even beat inflation! When measured over the last nineteen years, the average equity investor earned a meager 2.6% annual return. Compare that to a 3.1% inflation rate and a 12.2% return from the S&P 500 over the exact same time period. Not only did investors fail to keep up with the market, they also lost money to inflation.

Weve all seen the warnings on packages of cigarettes. Even smokers understand their relevance; smoking is not a healthy activity. So why do investors not heed warnings about mutual fund returns? Youve all seen those statements too. But can you remember what is said? Past performance is not a guarantee or indicator of future results. Research and studies have proven this fact, yet the majority of investors choose to ignore this warning. Yes, its an easy means of comparing funds. It also happens to be completely irrelevant. Let me evangelize these words for you. Past performance does not predict future results!

Heres how you can stop chasing short term performance and stay focused on your financial goals. Identify appropriate long-term investments by evaluating the following:
(1) Leadership: How does the fund perform relative to similar size and similar style funds?
(2) Tenure: How long have the managers and advisors been at the fund?
(3) Management: Managers well-known, highly-regarded (e.g. remember Peter Lynch)?
(4) Consistency: Are the 3, 5, and 10 year returns all above average?

Finally, measure returns based on your entire portfolio. History shows that no single investment success repeats. Accept the fact every year is different and brings new leaders and laggards. Use an asset allocation strategy to guarantee balance and increase long term returns among all your investments. Invest in a diversified portfolio to meet your financial goals and stick with it.

Not yet learned your lesson? Consider this: Fourteen mutual funds topped the 2003 charts with returns over 100%. In 2004, these fourteen funds lost over 4% while the S&P 500 gained 3%. Congratulations, chasing performance lost 7% of your money this year.

Tim Olson
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Mr. Olson is the editor of The Asset Advisor, a financial investment service providing proven strategies for no-load mutual fund investors. He brings 26 years of education and experience from Stanford University, Ernst & Young financial consulting, personal wealth management, and venture capital investing.

Dubai Lifestyle - The History of the City and Day to Day Life in Dubai

Background Information to the United Arab Emirates and Dubai: -

Dubai is one of the seven states that make up the United Arab Emirates (UAE); it is located in the Middle East. The UAE borders the Gulf of Oman and the Persian Gulf and is situated between Oman and Saudi Arabia. The United Arab Emirates was formed in 1971 by the then Trucial States after their independence from Britain.

The UAE is governed by a Supreme Council of Rulers, the council is made up of the seven emirs and they appoint the prime minister and the cabinet for the country. Despite being ultimately ruled by the Supreme Council, as with the other six states, Dubai maintains a large degree of autonomy from the UAE when it comes to general decision making for the citys development.

Oil was first discovered in the United Arab Emirates in the 1950s, before that the countrys economy was built on fishing and pearling, since 1962, when Abu Dhabi became the first of the emirates to begin exporting the oil, the country's economy has been completely transformed.

Sheikh Zayed, who has been the president of the UAE since its inception, quickly understood the economic potential for the country from the oil industry. He has continued to ensure that each of the emirates benefits from the oil generated wealth, he has insisted on the reinvestment of oil revenues into the healthcare system, the education system and the general national infrastructure.

The development of the oil industry has led to a large influx of foreign workers to the UAE, in fact Dubais population is the fastest growing in the world and the foreign population makes up about three quarters of the entire UAE population! As a direct result of this fact the UAE is one of the most liberal countries in the Gulf, with other cultures and beliefs tolerated. Dubai has also been quick to understand the need for diversification. Oil in the region is only projected to last for about 30 years and so Dubai has successfully embarked upon a major diversification program aimed to at developing industries and commercial enterprises to take the place of oil as the predominate commodity of the state's economy.

The climate in Dubai is sub-tropical and arid or desert like. The city enjoys almost year round sunny blue skies. Rain is infrequent and if it does fall, it falls in the winter.

Temperatures range from lows of 10C to extreme summer highs of 48C. The average maximum daily temperature in January is 24C and the average maximum daily temperature in July is 41C when humidity is very high.

About the city of Dubai

Dubai is recognised as the commercial and tourism capital of the UAE and is globally regarded as one of the most sophisticated, futuristic and cosmopolitan cities in the world, in fact Dubai is something of a phenomenon! It is an Arab Muslim society with the fastest growing foreign population in the world, and it has successfully developed harmony through ethnic diversity. It is a city with unrivalled levels of economic energy and architectural ambition, a unique city of contrasts where the most modern and architecturally stunning skyscrapers stand alongside traditional beautiful Arabic structures.

The experiences and attractions available in Dubai are many and varied. From the miles of immaculate beautiful white sandy beaches to the richly exotic Arabian heritage, from the awe inspiring majesty of the desert to the lively international bars, restaurants and nightclubs a visitor to Dubai is guaranteed an incredible, never to be forgotten experience. In 2003 Dubai was voted safest holiday destination in the world by Conde Nast Traveller magazine, and in fact Dubai is recognised globally as one of the safest cities in the world. Living in Dubai you will find that it is virtually crime-free with the Dubai police ensuring personal safety and security. Anyone found guilty of committing a serious crime will be severely punished. Alcohol and drug related offences are considered serious.

The economy of the city of Dubai is a mainly service-driven economy, with every business amenity from banking to telecommunications offered. International trading and industrialisation are actively encouraged through the provision of favourable taxation advantages, offshore status, specialist free trade zones etc. Recent innovative projects in the city include the foundation of Dubai Media City and Dubai Internet City, bringing 21st century technology to Dubai in the world's very first Free Zone wholly dedicated to e-business.

Day to Day Life in Dubai


If you are considering moving to Dubai one of your first thoughts will no doubt be finding somewhere to live. This is not something youll find too tricky, there are many companies advertising rental accommodation in the classified sections of local newspapers and they offer everything from private villas to luxury apartments or even shared accommodation. Whatever your budgetary and lifestyle requirements are, the specialist relocation and housing companies will be sure to have something to assist you. If you prefer to find your accommodation privately and avoid any agency costs, many people use supermarkets notice boards to advertise or request accommodation.

In terms of which areas of the city offer the type of accommodation you are after, Jumeirah, Umm Sequiem and the Safa Park area are upmarket and offer villa-type accommodation. Satwa and Garhoud also offer villas but are slightly cheaper. Rashidiya, Mirdif and Al Quoz are mainly Arabic areas and they actually attract a lot of expats.

If you are after an apartment the most popular areas are around Bur Dubai, the Sheikh Zayed Road with cheaper flats are available in Deira, Satwa and Karama. Some of the more exclusive apartment developments offer shared gym and pool facilities together with garaged car parking and the like.


If you are considering moving to Dubai with family and are interested in finding out about the education system and the availability and quality of schools, one of the best ways is to ask around! Because of the numbers of expats in Dubai there is actually a large number of primary and secondary schools from which you can to choose. Most schools are private fee paying schools and really the best way to get an idea of the reputation of a school is to ask friends, colleagues and other expats who live in Dubai. Many of the schools also have their own websites where you can learn about the curriculum they follow, after school programs etc.

When it comes to enrolling your child in the UAE there are a few restrictions you should be aware of. For example you are not allowed to change your childs school during the academic yearunless approval is given by the Ministry of Education and the circumstances are special. This means that you have to make sure the school you choose for your child will definitely suit them. Another restriction you should be aware of is that is you move to Dubai on or after the 1st May each year you cant enrol your child into the schooling system for that year. Instead youll have to enrol for the beginning of the new school year which is usually the beginning of September.


Another consideration you may have if thinking about relocation to Dubai may be the state of the health care system available there. It is fair to say that Dubai has many very well equipped hospitals and surgeries. Dubais Department of Health and Medical Services runs Dubai, Rashid, Maktoum and Al Wasl hospitals, with Dubai Hospital one of the best medical centres in the entire Middle East. Al Wasl is a maternity and gynaecology hospital.

The Department of Health also run out patient clinics or surgeries and in addition there are a number of quality private hospitals in Dubai offering in and out patient facilities e.g., The American and Welcare Hospitals. Overall both the private and publicly offered health care services in Dubai are first class.


Working in Dubai you will enjoy a tax free salary and all shop goods can be bought at tax free prices, making it an incredibly attractive city to international workers and international companies. Job opportunities in Dubai and diverse and plentiful, particularly since the additions of the Media and Internet citiesDubai is a city expanding its horizons at an unrivalled rate.

It is important to mention that some countries worldwide have tax laws enabling them to tax their nationals on their worldwide income. It is important to check your status with an international accountant before taking up employment in the city.


Dubai has a thriving expat population who make the most of their tax free lifestyle in this amazing city of opportunity. The nightlife in the city is excellent, with cocktail bars, wine bars, themed bars and typical British or Irish pubs available, many of which offer food and entertainment as well.

High standard international cuisine is available in the citys many restaurants and if you are looking for lively evening entertainment there are numerous night clubs around the city. Some of the clubs attract international DJs; there are also Middle Eastern, Indian and Asian nightclubs offering entertainment with singers and dancers. Dubai also welcomes international touring singing and entertainment acts which cater to all tastes and agesfrom traditional theatre groups to ballet, from opera to international rock and pop bands - all are regular visitors to the United Arab Emirates.

You can be assured of an exciting pace of life in Dubai and a high standard of living.

Rhiannon Williamson is an experienced publisher who has produced articles for leading travel and tourism guides and financial magazines. Her specialist knowledge about both travel and finance gives her site Shelter Offshore the unique ability to literally cover every single aspect of moving & living abroad - including the often less discussed offshore tax advantages that can be available when leaving our homeland.

Forex Trading Understand the Risks for a Money Making Second Income

What is The Foreign Exchange trades market (also known by the acronym FOREX) is sometimes called the Spot market. Every day the value of trades made on Forex is anything up to $2 trillion. There are no physical goods or stocks traded in Forex: the currency is, quite simply, hard cash money.

Traders in the Forex market buying one currency at the same time as they selling another, using a Forex broker to make the trade. This paired form of trading means you might be selling US Dollars (USD) at the same time as you are buying GB Pounds (GBP). The trading of currencies is a barometer of current confidence in a country and its economic prospects. The strength of one currency is a demonstration of its position against other competing nations economies.

Newcomers to Forex might want to know where the hub of the market is situated: the answer is it has no physical location. The Trading in the Forex market operates electronically through the Interbank network. Unlike other markets, there are no opening or closing prices on Forex, as the market runs 24 hours a day, from Sundays to Fridays.

It is now easy for any individual to start trading in Forex as the high entry thresholds, which served to restrict Forex trading to financial institutions, no longer apply. No longer do you need to have millions of dollars to enter this market, so individuals can start trading online from their homes.

Unlike traditional stock markets, there are no commissions payable to brokers: they receive a bid-ask payment instead. The bid-ask spread value varies: usually 0.1 per cent of much lower depending on the dealer and the lot or contract size.

Why is Forex trading becoming more popular with private investors?

Here are some of the attractions of getting involved in Forex trading:

  • You pay no commissions, clearing fees, exchange fees, government fees, or brokerage commission.
  • You deal direct in your chosen currency market, you cut out the middle man.
  • The minimum trade is low, so it is easy to start trading in Forex.
  • Transaction costs are not excessive.
  • The market is open 24 hours a day between Sunday evening and Friday afternoon so you can star Forex investing even if you have a full time job.
  • Traders compete on equal terms because nobody can corner this vast market.
  • Huge capital reserves are not necessary, and investor can start with less than $1000.
  • Your investment is instantly available so your money is not tied up if you need it.
How you can get started in Forex trading from home

All you actually need to get started is a computer with a high-speed Internet connection. Most of the reputable Forex trading sites have helpful step by step instructions to help you, and you can even start out with dummy trades where you do not even risk any of your own money.

The cost of trading in Forex

You can open an account with a deposit of around $250 in your account - this is called your margin. To get a true feel of the market, it would be better to allocate around $1000 if you can afford it remember you should only deposit this money if you are ready to risk losing it!!

How you can make money in Forex trading The key is to buy low and sell high, of course but easier said than done. Any currency that is fluctuating is a potential candidate for a trade, and you can profit well from a change as low as one per cent in the value of a currency.

How you can get started Have a look at any of the major Forex websites on a Business Opportunity Review website where you can check how they are rated, deposit your initial margin and you are ready to become an international Forex Trader. Think of me when you make your first million...

Adrienne Davis runs Forex Trading Help with advice on the risks and rewards of Forex Trading. She has extensive experience in marketing and business start up and publishes a FREE Internet Business Tips Ezine.

Kuala Lumpur Stock Market Outlook - Forecast for the Day - 27 June 2007!

Profit-taking depressed local market. But Dow should stage rebound on Tuesday night.

Technically speaking:

1. As at Tuesdays close at 1366.99 the KLCI was lower by 10.14 points or 0.74%. Losers led gainers 648 to 286.

2. The lower close is a dampener especially after a breakout into new highs last Friday.

3. But as chartists one should expect the unexpected. In other words, if the KLCI should fall further to and violate its lower Bollinger band, one should consider exiting the market at 1348 or lower.

4. But until then, it is possible for the KLCI to stage a rebound.

5. Until the present circumstance, we would be cautious and not buy further.

6. We would wait-and-see and wait for a rebound before adding more positions.

7. Stocks-to-watch for today will, understandably be low. They are: LMCEMT and YTLCMT.

8. We were right about TRANMILE going down to hit the floor. We hope you have exited this stock as based on technical analysis it can make lower lows.

9. We observed that the local stock market moves in tandem with the strength of the ringgit. For the market to rally we would want to see a stronger ringgit. Right now the ringgit is weak.

CONCLUSION: Although it is too early to call a trend reversal, the local market has taken a beating from sellers as funds sell out for fear of further weakness from the U.S. markets. But the technical of the Dow do not seem to suggest that a market plunge is near. Instead we are seeing a Dow rebound. If so, we expect the KLCI to rebound in tandem.

Long-term Upside Targets:1492 (Target amended on 15/6/07).

Immediate downside targets: 1334/1291/1222

Fred Tam is the owner of and F1 Trader Online - Know when to enter & exit the markets.

Income Deposit Securities - Income and Growth

Investors everywhere seek opportunities that can provide stable income while increasing the value of their initial investment. Traditionally, these investors turn to stocks that pay dividends. Income Deposit Securities are designed to more directly meet these goals. Read on to learn about three such investments you should consider now.

A money managers job is to help investors adjust their portfolios to changing market conditions. In uncertain times like these, I believe it is important to use investments that pay healthy dividends. Im not talking about the dividends you see in the big well-known companies found in the Standard & Poors 500. Most of those companies pay a paltry 2-3% in dividends.

Nor am I impressed by the dividends you can get from mutual funds. The size of most mutual funds means that they have to search for dividends among the large, well-established companies. As a result, the dividends they pay dont cut it either.

But there is another dividend option that is far better, found in an Income Deposit Security (IDS). The Income Deposit Security was developed in coordination with the American Stock Exchange. It is a combination of a corporate bond and a common stock. That means it can provide the interest certainty associated with a corporate bond, but also the potential for long-term growth found in a common stock.

A lot of people dont understand the two-part nature of an Income Deposit Security so when they try to analyze it as an investment it doesnt appear as attractive. Its only by breaking it down into its components that the true valuations can be found.

One IDS that continues to work well in my clients accounts is B&G Foods (BGF). This company makes condiments and spreadable preserves. It makes pickles, peppers and hot sauces under the Red Devil, B&G and Trappey labels. B&G Foods produces the staples that people continue to buy regardless of how fast the economy is growing. That makes it very defensive.

It also is a company that generates a steady, consistent cash-flow. It pays a dividend of around 7.5%. Thats very attractive compared to the interest paid on many corporate bonds. Thats considerably higher than the measly dividends paid by the companies in the S&P 500.

Theres more to B&G Foods than a healthy dividend. Its generated excellent growth as well. According to Morningstar (, an investment in B&G Foods grew 52.3% in 2006 and is already up over 20% this year. Not bad for a defensive, dividend-oriented company!

Another example of an IDS that you might consider is Coinmach Service Corp (DRY). This isnt a company you will hear about from the analysts at the big firms. You cant even find out much about it from Morningstar. Thats OK; I know that there is a lot of money to be made for my clients in solid businesses such as Coinmach Service Corpand its my job to find them.

Coinmach Service Corporation is the leading owner and operator of laundromats across the nation. Its another boring, defensive company whose revenues arent dependent on a surging economy. In fact, the slower the economy the better this company will do because more people will rent apartments as opposed to buying homes.

It pays a healthy dividend, too. Currently, the dividend is around 7.5%. Overall it was up over 25% in 2006 and has already increased in my clients portfolios by 13% so far in 2007.

A third IDS that you should consider for your portfolio is Centerplate (CVP). Ive mentioned this darling in my column beforehopefully you purchased it then. Centerplate runs the concession stands in most major stadiums and ballparks. Theyre the ones selling those expensive hotdogs!

Centerplate has a yield of almost 9% right now. And it produced a return of over 60% in 2006. It is down 5% this year because of an attack by some short-sellers. If your investment time-frame is only 30 days then move on. But is you are looking for a solid, growing company that pays an attractive dividend, consider Centerplate.

Income Deposit Securities are an investment that can help your portfolio. But you cant just pull one up in Morningstar and get an accurate picture of their worth. With a little digging, though, you may uncover a real gem.

Nationally-syndicated financial columnist and Certified Financial Planner Jeffrey Voudrie provides personal, in-depth money management services and advice to select private clients throughout the USA. Hell answer your financial question FREE at

Nationally-syndicated financial columnist and Certified Financial Planner Jeffrey Voudrie provides personal, in-depth money management services and advice to select private clients throughout the USA. Hell answer your financial question FREE at

Portfolio Caffeine

The effects of caffeine on the central nervous system were first discovered in the 6th century in the Ethiopian highlands by a sheepherder called Kaldi. After his sheep ate red berries from a coffee tree, they seemed a bit jumpy and had difficulty sleeping.

The berries next made their way to a local monastery where the Abbott made a drink by mixing the beans with water into a concoction that kept him alert through the long hours of evening prayer.

Coffee most likely made its way to Asia in the latter half of the 17th century when a Dutch trader brought a seedling from Yemen to Java where the soil proved hospitable leading to a thriving and profitable industry to this day. Vietnam is now the worlds second largest coffee producer while India and Indonesia are in the top ten.

Despite substantial coffee production in Asia, much of the growth in the popularity of coffee in this predominantly tea drinking region can be attributed to instant coffee and the marketing efforts of Nestle. It rolled out the first commercially viable instant coffee in 1938 and it spread to Asia becoming a prestigious alternative to tea.

As incomes rose in Japan, coffee consumption grew as well making it the third largest consumer in the world. This is a trend that could continue in countries with rising disposable incomes such as China.

Coffee is now big business and as a world commodity is second to only oil. This size and growth potential for a habit forming product like coffee sure sounds like an investment opportunity to me. But how should you play the rise of coffee in Asia.

Since it takes about 4-5 years for a coffee tree to bear cherries, investing on the production side is not for the faint of heart due to hard to predict coffee price fluctuations. As one of the largest coffee plantation companies in Asia, Tata Coffee Ltd. of India, is worth a good look especially since it is an integrated coffee company with roasting, exporting and retail operations.

Nestle is also a possibility since it is the leader in instant coffee in China and many parts of Asia. A drawback is that the coffee business represents only roughly 10% of the sales of this diversified food powerhouse.

The most attractive option is to invest in the retail coffee market which is highly fragmented. Starbucks (SBUX) is the global leader with 10,500 retail outlets of which 3,500 are outside North America. Starbucks began in Asia with its first store in Japan in 1996 and now has 165 stores in mainland China, 221 in Hong Kong, Taiwan and Macau, 595 in Japan, 64 in Australia and 34 in Singapore.

Starbucks is a classic growth story. It added over 1,000 stores last year and plans 1,800 more in the fiscal year ending September 2006. 35 million people visit a Starbucks store each week and it has operations in 37 countries.

Its global goal is to reach 30,000 outlets with half of them located overseas. China could perhaps become its second largest market after America.

The core of Starbucks is its premium branded coffee but it offers much more. It has become a second gathering place outside of work and home. Starbucks Entertainment produces CDs and is considering providing music download facilities in its stores.

I am one of the millions around the globe that use Starbucks as a second office. During my last visit, I got behind a gentleman who added several pricey pastries, and a CD to his coffee for a whopping bill of $27.

One caveat for investors is that sales growth expectations are high and any significant disappointment would likely hit the stock rather hard. Another is that its China expansion may run into some difficulties though I have been impressed with its incremental strategy since its first store in Beijing opened in 1999.

With its financial strength, knowledge of markets and attention to detail, Starbucks seems to have the recipe for success in the fragmented retail coffee business. Since it is opening 4-5 stores a week, competitors will need to scale up rather quickly to pose a threat to its growth. Copycats are a problem though. Starbucks recently gained a key judicial victory when it won a court case against a Chinese company that infringed on its copyright.

Meanwhile, back in Ethiopia, another Starbucks knock-off called Kaldis does a brisk business. While Starbucks is not amused, it cannot help but be flattered by the imitation in the very birthplace of coffee.

Carl Delfeld is head of the global advisory firm Chartwell Partners and editor of the the "Chartwell Advisor" newsletter. He served on the executive board of the Asian Development Bank and is the author of "The New Global Investor." For more information go to or call 877-221-1496.

Options Education : Opinion versus Fact!

The most basic aspect of trading is learning to differentiate between what is FACTUAL and what is OPINION. If you stay interested in the financial markets long enough you will discover that there are a lot of sharks out there who have become expert at making that task very difficult.

Several subscribers of this newsletter have contacted me over the last few weeks asking for my opinion of certain promoters who also advocate Options Trading Strategies. I make it a point to not comment on other services. However, without mentioning any names I feel that it is necessary to inform you of some of the most common and deceptive practices used by some promoters.

One of the great appeals to Options trading is that there are so many possibilities and trading strategies that can be used to manage risk. However, most services when promoting options like to demonstrate the tremendous REWARDS that are achievable. Although tremendous gain is possible, options are considered speculative instruments and potentially very risky in untrained hands. Since an Option gives the owner the right to buy or sell something for a specific period of time the OPTION is considered to be a deteriorating asset. Since all options have an expiration date, if all things are considered equal, the closer you get to that expiration date the less that the option will be worth.

There is an abundance of literature available on OPTIONS written primarily for locating and marketing to the GREEDY INVESTOR. One promoter who charges over $3,500 for his seminars on Options Education touts that investors in his seminars earn returns in excess of several thousand percent per year! He provides and documents several real time examples and shows how some traders made a 12,000% annualized return. (Just in case you thought that was a typo that is twelve thousand percent!)

My statistics teacher in college used to say that "The figures don't lie, but liars figure." Listen Up....because if you don't learn how to read the fine print that these deceitful promoters espouse you too will make those types of returns but probably won't be able to pay your rent!

Most traders enter into the financial markets seeking that ONE home run trade that will permit them to check out of the rat race. Knowing this FACT deceitful promoters arm themselves with examples that will lead you right into their arms. Here is a common example of their con in action:

Let's say that you purchased an OPTION at $1 per share. On that very same day the market moved in your direction and you were capable of selling that option at $1.50 per share. Since Option contracts are all standardized sizes of 100 shares your net profit before commissions would be $50. You also would have established a profit of 50%. This is a great return considering that most money managers earn 15% a year!

To determine your Return on Investment you only need to divide your net profit by your initial investment. In this instance you had a 50 cent profit per share on an initial investment of $1 per share.

Now the promoters bait the hook....... Even though your profit was $50, your return on investment was 50%. This is indeed factual. Think of how EASY it was to earn that return, after all you did it in only one day! So since there are 365 days in a year, to calculate an annualized return we would multiply 50% times 365. The result is a staggering return of 18,250%. (Now if your stomach is turning by this type of deceit, GOOD!)

I offer you the MATH below:

Buy Price 1

Sell Price 1.5

Profit $0.5000

Gross Profit $50.00

% Return 50%

# of Days 1

# of periods in a year (365 days) 365

Initial $ Investment $100.00

Net Profit $50.00

Annualized Return 18,250%

Now what infuriates me about these promoters is how successful they are at providing the public with this type of "financial snake oil!" One promoter in particular has actually written a best-selling book on options that is filled with these types of misleading and deceitful computations. Hard to believe but an 18,250% return will barely pay for the price of the book!

Although this is a technical point. many of you have probably realized that the above example is further complicated by the fact that the financial markets are not open 365 days a year. If you take weekends and holidays into account you literally only have 252 days to play with. So the more mathematically oriented con men would offer you the following calculation:

Buy 1

Sell 1.5

Profit $0.5000

Gross Profit $50.00

% Return 50%

# of Days 1

# of periods in a year (252 days) 252

Net Profit $50.00

Annualized Return 12,600%

Hey 12,600% annualized return...sure beats those low yielding MUTUAL FUNDS!

Now, I wish I was making this stuff up, but my mailbox is filled everyday with variations of these examples. No mention is ever made of the fact that your profit BEFORE commissions was $50 bucks which is not bad and might pay for DINNER out on the town.

This may seem extremely elementary and basic to many of you. However, I have seen many extremely successful individuals taken in by this type of deceit. I think you'll agree that although the numbers are accurate they are completely unrealistic and the INTENTIONS of the promoters are what is in question. Nonetheless, you'd be surprised how many $3,500 seminars the above example will SELL.

The financial markets only require one thing of you if you are to be successful and that is that you manage your risk on each and every trade. THERE IS NO OTHER SECRET. In my own trading I must admit that it took me years to learn how to TAKE a LOSS. Once I learned how to lose and accept it as part of doing business my trading dramatically improved. Although I consider this to be among the most profound truths that I have learned regarding trading I readily recognize that it is nowhere near as marketable as promoting 18,250% returns. Or was that 12,600%? After all 50 bucks IS 50 bucks!

Sometimes it is difficult to differentiate between FACT and OPINION. In those instances I heed the words of the great Yogi Berra, "You can observe a lot by just looking." Nuff said.

Next article I'll get back to LOW RISK trading ideas in these high risk markets.

Study away.....and remember, let's be careful out there!

-Harald Anderson

Harald Anderson is the founder and Chief Analyst of a leading online resource of Options Trading Information. He writes regularly for financial publications on Risk Management and Trading Strategies. His goal in life is to become the kind of person that his dog already thinks he is.