Essence And Benefits Market Execution

The execution order is very important for forex traders, especially its quality. There are two types of execution, Market Execution and Instant Execution. What is the difference between the two?

Each type has its own features and is suitable for different trading strategies and goals. The type of execution is part of the trading conditions given by the broker. Some brokers offer both types of execution orders for his clients in the different account types.

Instant Execution means that an order will be executed directly at the price in question. If the current price does not match the price is due to the fluctuation of the market order processing time, then an order could not be executed. In other words, requotes can happen. Traders get notifications with new quotes, because the order will not be opened/closed without the approval of a trader will be a certain price. Market Execution is a type of execution instead. This type is faster and the execution of any order is assured. Let's now examine these methods.

Market Execution means good set up trading process as well as trading can be done immediately because of the absence of requotes. Under no circumstances, the order remains open on the current market price. However, such slippages could occur when market volatility is high, which means the order will be executed, but the new price level. The new market price can be higher or lower than the price which the trader wants. Even so, traders always have the opportunity to close a position in profit. This method is ideal for traders who established trading strategies from having entered the market, rather than the accuracy of the prices.

For all trading account, JustForex offers Market Execution. Orders are executed at the best price from leading liquidity providers. The liquidity of the company is provided by 18 of the world's largest banks.

Most traders have a Market Execution, because this method has several benefits:

• Speed of execution is very high-order execution requires only a few seconds and only dependent on the connection speed.

• No requotes-oder will be closed at the current market price, even if there is a change of price quotations.

• Direct access to the forex market-all orders are transferred to the interbank market. So, the price listed by the market, not by the broker.

• There are no restrictions on trading strategy. All Market Execution allow the use of any trading strategy, ranging from automated trading to hedging (auto trading). Although, this type of execution is more suitable for open transactions, medium-term and long-term.

• Accurate quotations, pricing decimal 5 system available for all financial instruments.

Floating Spread, the actual market of interbank spreak. As usual, the adjustment is smaller than a typical Spread of Fixed applied by Instant Execution.

Top 10 Guidelines to successful Trading from Jean Folger

Trading has proved to be a challenging career and open up many opportunities for me to be creative. "writes Jean Folger, a successful woman trader also writes and adventure. Through one of his article in Investopedia, Jean share 10 top guidelines for achieving success. But before searching any further tips, let's get acquainted first with the figure of Jean Folger.

Jean Folger, Day Traders Lovers Challenge

Experienced in the stock market and futures, Jean Folger is intraday trader author more adventurous. He likes the challenge and enjoy venturing into various corners of the world. Therefore, no wonder that traders at once regular contributor magazine this Investopedia Futures and plunge into the world of trading with one's expectations; could a career in a world full of challenges and provides plenty of room to continue coding right away.

In addition to being a trader, author, and adventurer, Jean Folger was also working with its role as one of the founders of the PowerZone Trading, LLC., a company that develops commercial indicators as well as custom trading solutions for the users of the platform TradeStation and NinjaTrader. Traders who base their analysis on market observation to design indicators and strategies unique to market intraday ever composing books best-sellers, Make Money Trading – How to Build a Winning Trading Business (2007, Marketplace Books).

ktif writing since ten years ago, Jean has been revealing many tips and trading strategies through his works. Different topics have been dealt with at, ranging from stocks, forex, property business, until technical analysis in General. He's also not picky in determining levels of readers. Hundreds of articles were in fact very Jean varies from topic to beginners like how to choose a forex broker, to a deeper discussion about chart patterns as well as psychological support and resistance.

Well, the following studies will uncover one of the tips Jean Folger which probably you can make use of to achieve the success of the trading.

Guidelines To Successful Trading Jean Folger

A range of advice and tips on many outstanding when we start trading, and no wonder if some of them are likely to be ruled out. According to Jean, a novice trader generally just want to know how to order and basic analysis so that they can quickly enter the market and hopes to get the money. If you want to be successful in the long run, avoid acting so. Instead, apply trading tips are beneficial to your career. Of the many recommendations, Jean pick 10 things below as a set of guidelines to successful trading:

1. Preferred Trading Plan
With a trading plan, you can set the rules of entry, exit, and money management. In order to be successful, don't forget that key trading plan is discipline. Useless right hard-hard putting together a trading plan and do a backtest, but then you disobeyed rules when trading live? Although impulsive act had for the ' mangkir ' of the rules can bring greater profit, trading as it remains a disservice, because it can eventually destroy your account. "So, develop Your trading plan, test its potency, and apply it with discipline," a suggestion of Jean.

2. Treat Trading As a business
"To be successful, trading one as you start a business, do not treat trading as a hobby or a job routine. If it's just a hobby, there is no commitment to learning, and you end up just wasting your money. Whereas if it is treated as a job, trading can make you frustrated because here there is no monthly salary, "said Jean. He also added that a not forex traders will look small business owners. He should be ready the first with various expenses, losses, uncertainty, also pressure stress. To that end, tekunilah trading with high commitment if it is to achieve success. Do not get tired of learning, as well as a set of strategies to maximize the potential of your forex trading.

3. Maximize the function of Trading Technology
The world of trading is very competitive, so to defend itself amid intense competition, it's good to arm themselves with the latest technology. "Always assume that other market participants have been equipping themselves with the State of technology. Currently, there are a lot of innovations that can be used such as traders, automated trading, market analysis tools, to mobile app makes it easy to monitor the opportunities, as well as placing position whenever and wherever. "said Jean.

We cannot guess what technologies are used every trader, but we can prepare with opening up to any recent developments in the world of trading, which no doubt always updated from time to time. Something like that is the implied message from Jean Folger blurb on this.

4. Protect your Capital as possible
With the various conditions of the customized forex broker to ease traders from all walks of life, you don't have to deposit a large funds to open an account. But if you want to last a long time and grabbed a large profit, no realistic it feels if the trader opens an account with just deposit $ 10 only. This is why some forex traders intend to open an account with the larger Fund, which is to collect it sometimes it takes great effort and time is short. The existence of the loss until the exposed Margin Call (MC) usually makes them difficult to recuperate, either financially or psychologically.

Therefore, the importance of maintaining the security of capital losses – losses do not have to. Try not to charge too much to risk on a single trade. You can set the minimum risk per trade as part of money management.

Jean Folger also stressed that protecting the capital is not the same meaning with the win continues. All traders certainly never loss, due to either win or lose is a reasonable part of a business. The difference is, whether all the whopping it actually could have been avoided or not. Try the re-evaluation, is so far you have been faithfully implementing the trading plan, or are likely to be out of line because it provoked emotions of trading. If you still haven't been able to establish trading discipline, then try to reduce the impulsive step like that to protect the capital from unnecessary losses.

5. Learned on the Market
Think of this as part of the learning process is continuously forex you do for being a trader. Although already successful harvest of profit consistently though, traders are expected to continually learn, because understanding the movement of the market and all the sophistication is a process no end.

"In the beginning, the traders indeed learned about economic news only to find out its effect on price movements. But the habit of focusing and observing the market will increasingly sharp instinct as well as an understanding of movement pattern traders will market, "noted Jean Folger.

6. use the funds Which are ready to be sacrificed
Like the blurb on the guideline number 4 trading success, you need to attempt everything possible to protect the capital from a loss-loss unnecessary. But sometimes, well, we tried, the movement of the market still could not be predicted. As anticipation steps, use the funds that will be sacrificed. Try to let your trading capital is not taken from money daily needs or other important funds.

"The loss of funds alone is traumatic, especially if it is money that should not be sacrificed for the sake of trading," said Jean Folger. Further, Jean also added that the trader should not be even thinking of "borrowing" money from trading capital already allocated to meet the necessities of life. "Every trader, even already successful though, must be prepared to face the risk of losing all funds in the account," he added.

7. Believe in Yourself
"Forex Trading can bring in profit 100%" or promos such, may often meet at various ads. Whatever his appeal, know that it all is just a sentence that is not completely correct towing. To build your trading career to success, don't develop a trading methodology of similar assumptions. The solution, trust the facts, learn trading from sources that are realistic, and wake up your forex trading plan from the results of his own experience.

In addition, you may be interested in trying to signal other traders because it seems to be able to give a shortcut. However, consider this 2 things before selecting a subscription on the other trader signals: first, the level of profit that could be generated from a promised signals, in fact is not always fulfilled. Second, the signal might be profitable for a trader, but not necessarily in accordance with the conditions of the other traders, including you.

Therefore, in setting up a trading plan or get a signal, believe in the ability of self stick better. In addition because it can be customized with your own conditions, fell in the wake of trading can serve as valuable experience as well as give a lot of useful lessons.

8. Always use Stop Loss
Stop loss is determined as the level of losses that are able to bear. Its function as delimiters is very beneficial to minimize the loss of emotion during trading. "Neglected their stop loss, although it could be endless profit, is not the proper course of action. Otherwise, exit a position with a stop loss, despite the loss, it would be much better since in accordance with the rules of the trading plan. "such is the opinion of the Jean.

Close all positions with profit is absolutely impossible. That's why the stop loss is required to limit losses that inevitably certainly upon your account. "Accept defeat, but learn from it. Successful traders do not just estimate how big the profit opportunities in front of the eyes, but also of what losses are able to bear, "said Jean Folger.

9. know when to Stop
According to Jean Folger, there are 2 reasons to stop trading: trading plan proved to be ineffective, or precisely when it is aware that the trader is problematic.

Trading plan not effective can be known of the losses that are greater than the results of a backtest. It could be due to a variety of reasons, ranging from changes in market conditions, the existence of a turn of the volatility, or because the trading performance of the plan did not meet expectations. If this is indeed the case, then it's time You stop for a moment, doing evaluations, and start again with a new trading plan.

Meanwhile, traders are problematic could be defined as those who cannot follow the trading plan. The influence of external factors such as emotion or bustle until health problems can be a major cause. If you feel too much deviate from a trading plan for any reason, take a break from trading fatigue. "Solve the first problem which affects emotions and your health before you back into the market," counsel Jean Folger

10. Have a long-term perspective
"One position loss not supposed to surprise you. Similarly one position profit, suppose just as one small part of the many steps towards success, "said Jean. This intraday traders stressed that the cumulative result was the one who brought the difference. Why we love to frequent profit, if after a certain period, summed up in the figure of her loss turned out to be bigger? Remember, the frequency of the win-lose cannot automatically determine your profit big.

The meaning of economic news In Fundamental analysis

Averagee Hourly Earnings
Is the growth rate between the average rate/hour in one month and the growth rate of wages, so that it can also be used as an indicator of inflation. The rate per year is also important for the record to provide an overview of the long-term trend.

Business Inventories
The inventory figures have been produced but not yet sold.
It is one component in the calculation of GDP and can provide important clues about the direction of the economy in the future.

CBI Survey
The largest employers organisation in the United Kingdom, focusing on creating maintain ideal conditions for competition and prosperity that is optimal for all. CBI survey published each month and four months against the judgment on the service sector and manufacturing past, present, and future. The resulting index showed the views of respondents to a variety of things like output, sales, pricing, investment, and export/import requests.

Chicago PMI (Purchasing Managers ' Index)
PMI data from the Chicago and surrounding areas. The scope of the survey include both industries sector, as well as the non-industrial sector. PMI is itself a composite index of five major indicators, which include the following elements: Order, Inventory Levels, production, shipping, and labor.
The number of the index above 50 means the sector of the business expansion, below 50 means experiencing contractions. This index are rated as important indicators and are considered the best indicator in measuring the activity of production. The index is also able to detect the pressure of inflation and industrial activity.

Consumer Confidence
This data measures the level of consumer optimism towards the performance of the economy. In General, Consumer Confidence will be high if the unemployment rate is low and high GDP. The data changes this month are considered not significant impact on overall trends.

The Consumer Price Index (CPI)
I.e. data that measures the average change in prices paid by consumers for a group of specific goods and services. CPI is an indicator of inflation is the most commonly used and considered also as an indicator of the effectiveness of Government policy. The rising CPI indicates rising inflation rate which will lead to a fall in the price of bonds and rising interest rates. Unlike other inflation indicators, which only covers the local production of goods, the CPI also includes imported goods. His weakness is on the small number of samples taken. Analysts typically focus more on Core (Core) CPI, a variant of the CPI does not cover the components of the change in price is most unstable. Core CPI is assessed more accurately measures the rate of inflation.

Durable Goods Orders
Is the data to calculate the volume of the order and delivery of the goods that belong to the category of durable (stuff that benefits the age 3 years or more).

The FOMC Minutes
Is the announcement from the Federal Reserve that explains about the meeting held the deciding American monetary policy institutions this before.

Gross Domestic Product (GDP)
Measuring the value of market goods and services produced a country, regardless of the nationality of companies that produce goods or services. GDP consists of 4 main components namely, levels of consumption, investment, Government purchases, and the total net exports. Per quarter, figures released this data shows the percentage growth from the previous quarter. The GDP report is divided into 3 release:
1. advanced – first release.
2. preliminary – the first revision.
3. final – the second and final revision. Revisions which usually affects significant for the market.

Help-wanted Index.
Is the index that calculates the number of job vacancies advertised in 51 newspapers scattered across the United States. The Chairman of the Federal Reserve, Alan Greenspan, often talk about and observe this index, because the index is able to give the condition of the employment market in the US at this time.

H I C P
More or less the same as the Consumer Prices Index (CPI). Is an indicator of inflation used by the European Central Bank (European Central bank).

IFO Survey
Survey about the condition of Germany's main business. Published monthly by the Institute for Economic Research, is one of the largest research institutions in Germany, the IFO index is generally considered an important indicator of the economy's activity, and is renowned for its reliability within indicate a change of trend in the growth rate of
economy of Germany. The respondents of this survey covers more than 7,000 companies.

Leading Indicators
Is a combination of several economic indicators. This index is arranged to get a signal about the trend of the economy that are more up to date (current) and consistent.

M4 – Money Supply
Is the data to calculate the amount of money in circulation in an economy. That is, the amount of money spread out in the shape of coin or of paper,
The number of loans in the bank, to obtain from individuals, corporations and other banks.

The amount of money borrowed by the Government.
Experts and world monetary experts believe that Money Supply is a good indicator to predict the rate of inflation. However, the korelasinya become unreliable since the financial liberalization in the ' 70s.

Net Capital Flows
Is the data to calculate difference between clean of total funds/capital in and out.

New York Empire State Manufacturing Index
The monthly survey of the businessman, who was held in New York and the surrounding area by the Federal Reserve of New York. Participants in this survey represent a wide range of industry sectors.

Non Farm Payrolls (NFP)
It is one of the most eagerly awaited news by most fundamental traders. Where is the Non Farm Payroll (issued by the US) appears on once a month on Friday the first week. Non Farm Payrolls to measure the magnitude of an expenditure of the Government in the payment of salaries that are outside the field of agriculture as compared from the previous month. Increasing the Non Farm Payrolls could lead to currency strengthened drastically in a matter of a few tens to hundreds of points. So NFP can be classified an indicator with high volatility is expected.

Personal Consumption Expenditures (PCE)
More or less the same as the CPI, PCE is reporting (more accurately part of Personal Income report) released by the Department of Commerce's Bureau of Economic Analysis. PCE measures the rate of change in the price of goods and services. The data component is composed of household spending-spending cash or credit for any type of
the good stuff is durable, long lasting, and not the service.

The Purchasing Managers ' Index (PMI)
PMI is a composite index of five major indicators, which include the following elements: Order, Inventory Levels, production, shipping, and labor. The number of the index above 50 means the industry expansion, below 50 means experiencing contractions. This index are rated as important indicators and are considered the best indicator in measuring the level of production volume. This index is also able to detect the pressure of inflation and activity in the field of industry.
Productivity
Measure the change in the number of goods or services produced. Combining inputs of labour and capital. The price unit of the labour component is a useful indicator to measure the pressure on wages. The importance of productivity has been growing the past few years since the Federal Reserve has begun to pay attention to the development trend and the rate of inflation.

Producer Price Index (PPI)
Is a set of indices which calculate the rate changes to the selling price of goods and services in a specific time period received by domestic producers. In short, the PPI measures the rate of price change from the perspective of the seller.
Not as good as CPI inflation pressures indicated in. But since entering the component items which are in the process of production, the PPI often can simultaneously estimate the CPI.

PSNCR – Public Sector Net Cash Requirement
Is the amount of money to be borrowed by the Government to finance its expenditure-expenditure. Because the Government often took out more than they receive from tax revenues, and the only way to add the drawback was that of borrowing.
Real GDP
Experts tend to pay more attention to macroeconomic Real GDP data because it also takes into account the inflation rate, not as (Nominal) GDP that simply reflects the level of changes in prices.

Retail Sales
This data to calculate the total receipts of retail stores, without entering the service sector spending for components in it. This monthly data shows the percentage change from the previous month's data. A negative number shows the number of sales decreased daripenjualan the previous month.

Tertiary Index
Is the data to calculate the level of demand for the service sector.

TICS/Foreign Purchases of US Securities
Is the data that count the number of incoming capital flows from foreign investors.

ICS/Foreign Purchases of US Securities
Is the data that count the number of incoming capital flows from foreign investors.

Trade Balance
The trade balance is the difference between the net value of exports and imports of goods and services a country. A positive number indicates a surplus of exports exceeding imports, the deficit exceeded imports showed negative export.

Unemployment Rate
Is the percentage of those who are actively seeking jobs but has yet to get a job. Even though it is a very commonly known data, the Unemployment Rate is relatively less important to the market because it is considered less accurate (often late in providing signals of change trend of the economy).

How to determine the Market Trend Up and Down

One law that was agreed upon by the majority of forex trader is, "BUY only when the Trend UP and SELL only when the Trend is DOWN." But how to determine Market Trends UP or Down?

What is the Trend in the Market ??
is the TREND of the MARKET is the tendency of market price movement on a span of a certain period. Trending Market is where prices generally move in one direction. Bull market trend moving upward, while the bear market trend heading downward. So when we get in at the beginning of the trend and let out the trend, we get the point very much.

Here is a simple way to determine Market Trends UP or Down :
We simply viewed the opening of the market, if the opening of the market today was higher than market opening yesterday, then the trend is UP. If the opening of the market today is lower than the market opening day yesterday, then the trend is Down. For the beginner enough know it used to be, although there are times when opening today is lower than the opening day yesterday, but the trends are still UP.

How do I know the mMrket Trend has changed ??
Trend UP turns into a trend Down as prices could now penetrate the lowest price of the day yesterday, and the Down Trend changed to Trend UP if prices now penetrate the highest price yesterday. For beginners is quite aware of this in the past, although sometimes the price has yet to penetrate the high of yesterday but the trend can already be said to change from being UP, Down and vice versa.

Then how do I OP after knowing the Trend Market ??
Whether direct execution when opening the market. ..??
It is not. We are just hunting BUY position only if the trend is UP, and the hunting position SELL only when the trend is Down. Open fixed position using the indicators, can be MA, MACD, RSI, Stochastic, etc.

Does the OP should not SELL when the Trend is UP, or the CO-OP BUY time Trend Down ??
May-okay, maybe later after starting can analyze, you can sell when the OP Up trend, and OP Buy when the Down Trend, for example in the event of a correction.
But if you don't really understand about the habits of market, better avoid OP against the TREND of the MARKET.

Tips to buy Top Selling below

Often investors have bought, because the price trigger. The enthusiasm of the market towards a particular occasionally shares over the limit psiologis. Despite frequent occurrence after mroket prices directly down at lightning speed, and didn't get to cut loss.

Exchange experience concludes, that the prices always go up and down (fluctuations). After the ride will definitely go down again, though the actual price will continue to rise. That's the secret of nature! The secret that form the patterns and behavior of the market. By understanding the pattern and this behavior, many investors will at least understand what helped it buy top selling down (buy low sell high)

Buy top selling down, who doesn't know this style. Kick most of the older still not replaced until now. the question, when the price of a stock could be said to be cheap, because it is cheap or expensive is the perception. That's written by Fred Hager Monday "buy low sell high illusion". Many investors who stuck with this theory for hitting average for all stocks. Great stocks usually is not too appreciated cheaper than other stock prices, another case with shares of the Recycle Bin which is always cheap.

Plan to buy top selling down, sometimes dispersed due to the influence of fear and greed, rather that happened to "buy up selling down".
This influence occurs usually because of the uncertain market fluktuais. Why can happen, because there is no my father learned was able to ensure the price movement that is so complex. The bearish market without lowering the stock price, those who buy stocks cheap menungguuntuk will feel cheated and serigkali, in the end no longer ignoring all warnings and plunged hit the market with a vengeance.

The chartist like strategy buy sell top down, simply by observing the trends based on line support and ressistance and various other indicators that provide a signal to buy, or with one of four strategies, which we will explain in the next article.

Tips to buy Top Selling below:

1. Select the stocks of big caps with good growth trends. In normal market conditions, the stocks of big caps have the trend continues to grow. Before the shares go up to a higher level, then the stock will go down for the ride back. Now a good time to go is when stock prices are already going down deep enough.

2. When crash or crisis, not to be tempted to sign in the market. Please wait for really cheap prices after the very deep down. Start collecting shares after there were signs however will end.

3. Collection of big caps stocks whose price is much cheaper than the average price of its industry.

4. Can follow four formula one.

5. Follow the trend

Technical Indicators

In the technical analysis we know some of the devices that are used to predict the trend of price movement, knowing the support and overbought-oversold and the ressistance. The device basing on historical data that occurred in the past. His name is an indicator.

The indicators created by many technical analysts and each has a specific purpose. Some experts created it to predict the trend is ongoing. Others create technical indicators to measure the OB and the OS. While there is also who created it to know the limitations of the soup and res.

The name of the technical indicators are also much the same with the name of its discoverer. For example an indicator named Bollinger Bands, created by John Bollinger, a Technical Analyst with descendants of Jews.

But if you want to apply the indicator actually investigated the principle of statistical science in the calculation. Yes, statistics. But don't worry, if you don't like the stats (just like me), the good news is, you don't need to do the calculation manually one by one in the create indicator. All software providers forex charts are usually already provides a built in indicator in it and we just use it alone. There are even some platform that allows us to make the indicators themselves. Yes, of course that if you are already advanced. I myself have no interest to make the indicators themselves. For me the present indicators are already adequate.

There are more than 300 indicators that you can use when doing technical analysis. But in its application later you only need 2 to a maximum of 4 different types of indicators only kok. Not that the more indicators will be the better. It is not. That there is an increasingly confusing. Use sparingly and start your familiar with some of the indicators that you think is very good.

On own Netdania there are over 20 different types of indicators that you can use. While at Capital GAIN amount there are about 15 fruit but lets you add your own indicators using an API (Application Programming Interface). In metatrader indicator you can add named Experts Advisors or other indicators that you have created yourself.

It needs to be emphasised here that knowing a lot of indicators are not necessarily guarantee your trading profit. The essence of the use of indicators lies in How You combine one of the indicators with other indicators as well as timing and period you use. If likened to a Kingdom, then the indicator acts as Advisor for you in determining policy for Your Kingdom. You decide whether the advice was followed or not. The more the more Advisory votes are given. Sometimes it becomes not only make time but often misleading and erode our emotions.

Impact of Over Trading

Anything exaggeration surely negatively impact others. Control the health of your trading trading plan with a good, calm your mind before committing trafficking.

Here are some of the factors that cause over trading:

1. Swallowed round-round brokerage recommendations
Broker recommendations should help you in your decision. But sometimes brokers are more interested towards fee. the more active you are transacting, fee increasingly heavy flow into the pockets of brokers. try to establish a market analyst with persahabatn or you can subscribe to market information and recommendations from the various sites that provide such services. Will help you to more objective decisions.


2. have a Dwarf and strategy
You should make some rational return target presentation in a month or a year, and the losses that you can receive, stop! use the kick a hangover, let alone the stock is stuck in the Pan, then the little apocalypse is coming for those of you off guard.


3. Advances in Technology
Advances in technology provide tremendous impact for our lives. However, not for the mentally assume that technology is everything. The speed of the uncontrolled trading could be a problem for you, which makes your portfolio the more depressed because you are too cool trading indefinitely.


4. Not to bet
Compare with such a stock exchange are betting is a big problem. You have to respect what you are doing. Spend the last coin in the same table will just rip your own pocket. Pray before trading! To remind yourself to make it more clear and patient when trading.

Took The Decision to Cut Loss

Cut loss is the hardest decisions because you have to realize a loss. Imagine if a stock crashes, stock prices are down and you are dealing with the situation are still holding stocks that join the avalanche or take it off. Instinctively You not bear saw money fly away. But that's the quick decisions you have to take so that losses would be minimized and you can be agile, open a new position.

You have to be realistic to realize that decision cut loss also applies to shares of big caps that have strong fundamentals. Although stocks of big caps is relatively faster than puling the small caps, but still long.

Many investors who just realize a profit only a few points, but have to bear huge losses as prices continue to fall and left. investors feel that the market is not fair. Although, there are also investors who do not pedulidengan fluctuations in stock prices. Prefer hold, wait and see, while doing averaging down, this step is quite effective if the drop in stock prices was not because of the crisis or the recession.

Here are some Tips to do a Cut Loss :

1. You must always observe the world and regional economic development, world energy price movements, komodiatas, gold, interest rates, unemployment, economic crisis, and is sensitive to the political situation. Declining stock indices Dow Jones, Nikkei, Hang Seng, Kospi become alert signal for you to cut loss. Even if you are quite busy, you can monitor through a broker you trust.

2. You are also obliged to observe, if the cause of the decline in stock prices would affect the company's fundamentals in the long term such as the loss of a monopoly market price drop, interest rates rise, the drop in sales or earnings, and ersolan of the law. Dare to cut loss and move the other stocks being portofolioke the right decision.

3. Decrease of JCI will also depress stock prices bigcaps. When trending down continues, do cut loss and wait! Buy back at the moment the cheapest price.

4. Dare cut stock loss to the Recycle Bin, the only stock that has possess signal to continue to grow.

5. For tektok trader, reasonably price drop due to profit taking action with a bold cut loss and open a new position when the rates are cheap (touching the line support)

6. Be careful of red friday, usually the Exchange met profit taking sentiment, to anticipate the uncertainty of the market during the holidays.

7. Decision cut loss is very heavy, but turned into a relief because stock investors avoid big losses.

8, Don't panic, this way only aims to cut losses so that you avoid greater loss

There Are Two Important Things In addition to the Open Position In Forex Trading

There are 2 very important things when you will hold the position for a very long time, then you must understand two things, namely:

• Risk management
• Level close position.

If you have a forex trading account with $ 1000 or $ 1,000,000 then both of the above should be noted before committing trafficking

I will try to describe some of my mistakes when starting forex trading. Perhaps after reading this, you will be increasingly understand how importance because if has entered into this situation then this experience will be important, you will soon experience it.

When I started the transaction and learn, there comes a time when I am so sure that trade will generate profits as confidence is high going to obscure the sense of risk on forex trading.

Now, with power without a moment of loss will continue to increase to exceed comfort levels and ended up making a big loss! Stop loss is hit with large losses.

Right now I am struggling to re-create an account forex trading because just suffered huge losses.

How the risk per trade?
First decide how much you feel comfortable to take the risk of loss on each trade that you do. You need to specify, how many% (percentage) the risk per trade.

Let's make some calculations, if you have the risk of only 2% of your account on each trade, each 50 consecutive transactions defeat will remove funds on the trading account $ 10,000.

If you have the risk of 5%, then the funds on the trading account will be depleted by a whopping 20 times in a row. If the risk of 10% on each individual trade then you need only 10 times in a row suffered a losing trade.

Can you see the pattern here? the more you have high risk per trade on each.
If you have funds in your account $ 5,000 then with 2% risk per trade, this means the same as the $ 100 risk per trade. With the risk of 5%, You risk the $ 250 per trade.
With the risk of 10% then the risk per trade is $ 500.
Personally I traded with risk from anywhere between 1% to 5%. With meresikosikan 5% per transaction for me it is very detrimental.

Remember, the more you risk, the more quickly your forex trading account funds will be lost.
Here's what I do:
I have a risk of daily trade between 1% to 5%.
If I lose 5% on this day, then I would stop trading.
When I trade on the day tomorrow, I will be dealing with the risk trade is 1% or 2% per day.
I would trade with little risk to the original account.

Why is 2% for risk management? I have bought and read and books about risk management for forex trading and many of the books it says that we should take the risk of 2% per trade.

Close position strategy
Before you open a position, you must have a plan how to close position.

You'll close position when:
Stop loss hit
Take profit targets because the profits taxable
Trailing stop loss hit
Close a position when the loss was too much.
Close position when viewing an entry signal trade contrary to the open position.
Some traders have ata system ustrategi close position

So, it is important for us to know both of the above so we can use it on forex transactions daily.

Tips For Learning Technical Analysis Forex

Here are a few tips in conducting technical analysis:

Do not use too many Indicators
Most traders consider a growing number of indicators they use, the more accurate their predictions. This assumption is wrong. Thus the more indicators you use instead will make your getting confused for a decision. All you need to do is combine indicators, such as indicators for the trend of MA combined with indicators RSI or stochastics oscillator. Do too much, just two or three of a kind just so you don't get confused.


Use indicators that are understandable only
Learn carefully until you know how to use it, then practise. If you already feel comfortable and able to collect profit consistently with a indicator that, don't try something that you've never prove profitability.


Simple is better
Good or whether the indicator is not dependent on complicated or not, but the indicators or whether the trader could use it. The more simple, the more You readily understand its usefulness, that the easier you know the trick, the easier it is for you to collect the profit.


Many are practicing
Analysis of learning like learning to swim. Nobody will be able to swim if you only learn in theory without going down to the pool. To be able to do the analysis properly, you have to practice it. Though you practice using the demo account, deal like a real account, so you'll get used when a real transaction.

Strategies Choosing a Broker Right For Your EA

Expert Advisor (EA) forex is a software add-on that allows the trading process and analysis on MT4 trading platform automatically. With EA, we can catch every trading opportunities that arise 24 hours a day, even though not being in front of the computer. However, choosing the EA it is not easy, especially in choosing a suitable broker for EA.

Sometimes the EA look nice, but after many bought and installed it turned out did not fit with our broker. There are also incidents where the EA has been running a while, turns out when will the profit be taken even banned brokers because called uses the strategy the arbitration is prohibited. To avoid this, here are some steps we can do:

1. Know strategies used EA
EA is obtained from free, buy or make your own. Whatever it is, the first step in choosing a suitable broker for Your EA is to figure out what strategy used by robots, and if trading conditions at your broker allows for EA is executed.

There are several popular strategies used in the forex trading robots, including the following :

• Technical Indicators

EA users technical indicators use a pattern or chart patterns technical indicators for open and close positions. Some of the popular indicator for EA include: Moving Average, MACD, Momentum, Stochastic, Candlestick, etc. If the EA you are using technical indicators, then it needs to be noted is the interval of time that means: do the indicators applied in the short term chart of M1, M5, M15, M30 medium, long-term or H1, H4, D1, W1, MN.

The smaller the chart, then need broker with high accuracy. But in General, brokers usually allow this strategy because the daily trading volume of only medium.

• Arbitration

Arbitration is arguably one of the most complex EA strategy because many brokers do not openly forbid arbitration, but just mention it in the mildest Terms and Conditions that are not necessarily read trader while registering. As a result, many traders are not aware when he violates.

What is Arbitration? Simply put, arbitration strategies users using EA 2 the broker (or more) to open buy and sell on the same Currency pair and attempting to profit from the difference between the two quotations in the broker. If EA is using arbitration, then you need to choose a broker who allowed this strategy, while also allowing high-volume trading.

• Scalping

There is not much different with the ala trading scalping EA users generally, scalping strategy will also open/close dozens to hundreds of trading positions in a day in order to capture profits from small movements in the Currency pair. Need a broker that allows High volumes of Trading and Fast Term Trading Strategy. Avoid brokers that require quite a long time before open positions can be close.

• Hedging/Grid

Forex trading robots that use Hedging seeks to profit by placing buy and sell orders in on certain intervals above and below a certain price level. These orders are usually placed at a distance of 10 or 15 points, thus creating a grid. The grid is not a problem, but to note here, not all brokers allowing hedging.

• Dollar Cost Averaging/Martingale

Investment strategies Averaging/Martingale essentially raised the number of lots on the second open position if the open position first loss. If used the ordinary man, this strategy is high risk, and when it is used forex trading robots will be more high risk anymore. However, the Expert Advisor user this strategy usually can be used anywhere because brokers can run medium or long term, with medium or high trading volume, depending on the setting of his money management.

2. Speed of execution Brokers
After learning the strategy of EA, the next step is to investigate the broker. How fast is the broker accepts and executes the order? Does the broker provide own VPS, VPS or whether you should hire from outside? Note that the longer an order is confirmed, then the more likely target target price escaped to come by, especially if the EA using the Scalping strategy.

3. Last Look/No Last Look
Last Look this means that brokers have the right to refuse an order within a certain period, while No Last Look means brokers will honor any price quotations that appear, despite slippage occurs later. This rule does not usually disseminated in promotion of the broker, so be aware of Terms and Conditions.

4. Broker DD/STP/ECN
DD broker will execute trading on his own desk, whereas STP/ECN broker will transfer orders directly to the providers of liquidity or bank affiliates. Remember you will not be keeping an eye on EA 24 hours a day, then it is important to know who is there across the table there and whether they can be trusted.

5. Do EA Backtest
Never use forex trading robots without doing a backtest. Likewise, in choosing a suitable broker for EA, need a backtest with historical data on the broker. It is important to ensure that the performance of the EA will run seamlessly in the same liquidity conditions.

6. Leverage
There is no fixed rule about leverage, but it is clear that leverage will determine whether or not EA or smooth running. If forex trading robots that you buy good trading performance samples indicate with a capital of 10.000 USD and brokers with a leverage up to 1:500, but you try to use it in the broker with the maximum leverage 1:200, then it is likely his money management will not fit. The author of the EA could profit, but your loss.

7. Spread/Commission Fee
Examine the magnitude of the spread of this vital trading and commissions. In particular, because of the spread is the difference between the bid price and the offer of a broker. If trading costs are too high, then it can turn back the results of trading EA, even before success in backtesting.

Important Factor Affecting The US Dollar

When confronted by a decision, whether you should buy or sell dollars, it all boils down to the economy activity is occurring. Why?? Because a strong economy will attract investment all over the world. Safety factor of funding and the ability of the return on investment will be the choice of the investor.

On the other hand, American consumption to the needs of import goods and services from other countries has caused the dollar to flow out of the country. Although the U.S. become the engine for the world economy, currently the US has become the country's largest pengutang for consumption.

The U.S. was able to attract foreign capital to offset the trade deficit (if imports are greater than exports then the balance sheet transactions running will experience a deficit).


Factors that affect the Value of the Dollar Currency
The bottom line is that when going to take positions in the dollar, forex traders actually need to know the various factors that affect the value of the dollar.

Such methodology can be divided into the following three factors:

1. Supply and demand factors
2. Market sentiment and psychology factors
3. Technical factors

Supply Versus Demand For Dollar

When we do export product or service then the activity will create demand for the dollar because the exporter requires a payment for goods and services in the form of the dollar should be converted from local currency into dollars. Therefore, exporters will sell currencies and buy the dollar so they can make the payment.

Another example is when the U.S. Government or the large American exporters published bonds to raise capital when bonds bought by foreigners, once again the payment will be made in the form of dollars.

Likewise, if economic growth occurred in the U.S. will bring foreigners to own shares of the U.S. company then again stock investors will sell the local currency to buy dollars to pay for the stock purchase.


Market Sentiment and Psychology
Also note if the U.S. economy weakened, slowing consumption and unemployment on the rise? and then the US was faced with the possibility that foreigners will sell bonds or stocks where investors again want the cash from the sale of stocks and bonds. This activity will make dollar for sale and was purchased in local currency investors.


Technical and Fundamental Factors
As a trader, we must measure whether the supply of the dollar will be greater or smaller associated demand for dollars. To help determine this, we need to pay attention to various news and events released by the Government economic data such as salary, GDP data and measurement of the information economy that can help us to determine what is happening in the economy and predict whether the economy strengthens or weakens.

In addition, we need to determine public sentiment about what the market thinks. To add to the mix of estimate, then the historical patterns generated on the level of support and resistance, technical indicators and so forth will be important.

Many traders are confident that these patterns will be repeated and can therefore be used to predict movements in the future.

Technique Combines Forex Indicators

Combining indicators with one another can help you to find other perspectives on price movements. This design can also make the indicators complement each other. This kind of thing commonly referred to as the trading system. For example, a moving average which is basically equipped with trend indicator stochastic oscillator lines to determine which is the timing the buy or sell.

We will discuss this time just a simple and popular system only, as the basis for building trading systems. Usually, traders combine two or three different indicators in their trading system. The decision to buy or sell a third taken while the indicators have been "confirmed" the same signal.

1. The utilization pattern
This is a very simple system. You only need to recognize patterns that appear to predict further price movement. Of course, to be able to recognize the emergence of a pattern, you must reproduce the exercise so that your observations are increasingly observant.


2. Fibonacci retracement + price/candlestick pattern
This technique can be said quite simply. All you need is the trend line and a little help from Fibonacci retracement and a little help from the candlestick and/or price pattern.

This system is based on trends. Therefore, it is of course a good understanding of the trend itself is absolutely necessary. This system also uses a strategy that leverages trading bounce reference Fibonacci retracement level.

First you should do is determine the trend. The next step, pull Fibonaci retracement based on last swing you see on the chart. Then, note the reference the Fibonacci retracement area, i.e., 38.2%, 50% and 38.4%.

Next, find the reflection of the underlying area of Fibonacci. Confirm that you can use is the candlestick patterns or pattern.

So you have to wait for a short-term pullback to areas of reference of Fibonacci and then seek confirmation whether there is a pattern of bullish/bearish. Candlestick patterns can be, morning/evening star, price, or engulfing pattern such as a double top, double bottom, and others.


3. Fibonacci retracement + stochastic oscillator + CCI
Still with Fibonacci retracement, but this time we are going to combine that with stochastic and CCI. Its use is also quite easy. We wait until a short-term pullback occurs to the reference signal, and then wait a Fibonacci buy/sell of stochastic and CCI. Signals should emerge from both these indicators to obtain a strong signal confirmation.

Trading systems described above are just a few examples that you can use. You can experiment to integrate some indicators to be a trading system that suits your trading style.

How To Know Interaction Between Stock Market And Forex Market

Forex traders always saw the trend and economic conditions to predict price movement of the currency pair. Many of those who always follow the fundamental data release for example such as interest rates, GDP and so on, but you can also predict future price movements in the forex market by looking at the stock market. The stock market is made up of large companies from around the world that provide its business condition report and can be used as one source of information for forex traders through the price movement of stocks or stock index, along with the world's major commodity prices such as crude oil.

Supply and demand factors
In the end the movement of the currency pairs are determined by supply and demand factors in the market. If the demand for a currency increased, the value of the currency will tend to be higher compared to other currencies. Conversely, if supply increases, the value of the currency would tend to weaken. The basic principle is influenced by several factors that cause fluctuations in the movement of the currency pairs every day. One factor is the movement of stock prices.


See the market globally
Currently the forex market is the kind of market that the world's largest, far bigger than the stock market in any country. If you discuss the interaction between the stock market and the forex market, you should look at the market conditions globally. Companies that are worthy of being used as a reference is operating internationally and make transactions with different currencies. For example, the company is the world's largest retailer Wal-Mart will more often Transact using foreign currency compared to other big companies which are not classified as a multi-national. Another big name is Coca-Cola. The second condition of the large multi-national corporations that have always cared for the forex market, especially its stock price.

The stock exchange of a great country can be influenced by the forex market. A weak currency is very supportive of the exporter in the country. If the currency is being weakened, then for its trading partner countries, the export products of the country are becoming increasingly expensive. This encourages the increased export volume which means the increase of the profit the exporter and also product manufacturers domestically. If these countries increased production growth is going up, and the stock market in the country will be more passionate. The main share price will increase, or stock price index rises. Such a situation occurred in nearly all the world's major stock exchanges are supported by major currencies like the US dollar Japan, Yen, Euro, Pound Sterling, and others.