Sunday, December 18, 2011

Bollinger Bands

One simple and convenient indicators to analyze the market today are the Bollinger band. They were invented by the well-known analyst of financial markets - by John Bollinger. John Bollinger himself at this time is a technical analyst, founder and president of BCM Inc., Which specializes in asset management industry finance corporations and individuals.
Brought him fame, and his so-called "Bands Bollidzhera" that are recognized and are still used in many computer programs.
Bollinger bands are outwardly very similar to the percentages envelopes moving average line. If the protsentazhe, that is moving in an envelope outside the boundaries established by the direct line of traffic moving average up and down to a reasonable value, denoted as a percentage, the Bollinger Bands, this stretch of the shift is not constant and is expressed in a different number of standard deviations of the price.
The central bar, located in the middle, is a moving average. It is built from it and come Bollinger up and down. Distance bands from the central moving average is controlled by a coefficient which is multiplied by the deviation of the standard form. Because the extent of deviation depends directly on the volatility, in this case, the strip-adjusting themselves: it increases the volatility of the market, and is smaller in less volatile periods.

What is a trailing stop?

When you set a trailing stop (for example, by X points), the following happens: the terminal fails to take any action until such time as the position will not be released to the profit of X points (specified by the trailing stop). After that the terminal puts stop-loss at a distance of X pips from current price (in this case - on the break-even level). When you receive a quote, when the distance between the current market price and the stop-loss `bigger than X points, the terminal sends a command to change a stop at the distance of X pips from current price. Thus, the trailing stop - this is a specific control algorithm stop-loss - «movement after the current market price." Attention! Trailing Stop works only if your terminal is running and connected to the server through the Internet.

Friday, December 16, 2011

Trailing Stop

When you set a trailing stop (for example, by X points), the following happens: the terminal fails to take any action until such time as the position will not be released to the profit of X points (specified by the trailing stop). After that the terminal puts stop-loss at a distance of X pips from current price (in this case - on the break-even level). When you receive a quote, when the distance between the current market price and the stop-loss `bigger than X points, the terminal sends a command to change a stop at the distance of X pips from current price. Thus, the trailing stop - this is a specific control algorithm stop-loss - «movement after the current market price." Attention! Trailing Stop works only if your terminal is running and connected to the server through the Internet.

Favorite Stop and Limit orders

This order will be executed when the price reaches the value specified in the warrant. Limit orders (Buy Limit / Sell Limit) is executed only when the forex market is traded on the set in the order or a better price. Limit order to buy (Buy Limit) is placed below the market and limit order to sell (Sell Limit) - above the market. Stop order (Buy Stop / Sell Stop) is executed only when the market set in the order, or worse price. Stop order to buy (Buy Stop) is placed above the market and stop orders to sell (Sell Stop) - below the market.

Installation conditions of orders such as S / L, T / P, Stop and Limit

For all currencies, the order price to be different from the current market bid price or ask for at least 10 points depending on the direction of the position on the Forex.

What is stop-loss (S / L) and take-profit (T / P)?

Stop-loss - is an order that has a very important role in Forex trading, which can be installed during or after the transaction. The purpose of this order - to limit potential losses, ie reaches a certain value quotes stop-loss `a - your position is automatically closed at a loss, or perhaps with a plus, if stop-loss order has been moved either zero or a plus if the price reaches the side opening of the transaction. The term Take-profit - an order similar to warrant stop-loss, but the exact opposite, ie your position is automatically closed when the price reaches the value order.

Wednesday, December 14, 2011

What is leverage?

Leverage - the ratio between the collateral and allocated under its borrowed funds: 1:50, 1:100, 1:200. 1:100 leverage means that you do for the transaction must have a trading account with a broker an amount 100 times less than the amount of the transaction. Example: You buy 1.0 lot USD / JPY. With 1:100 leverage necessary margin would be $ 1,000, at 1:200 - $ 500, and at 1:50 - $ 2000, but the cost of this item is not changed.

Leverage when opening an account for Forex, is automatically set to 1:100. If necessary, you can change the shoulder by contacting technical support.

Tuesday, December 13, 2011

Terms Forex

Terms Forex trader should begin to understand the basics of the terminology of the market and understand how they work. Due to the fact that the international Forex market (Forex - Foreign Exchange), was born abroad, the set of terms and abbreviations are indicated in English. It is important to immediately grasp the basic concepts and terms, as they frequently will still meet you as you learn the forex market.

Fundamentals of Market

Forex Basics, this section, without which the novice trader, it will be very difficult to move on. Not knowing the highlights of the formation and development of the Forex market would be virtually impossible to understand it more complex mechanisms. Only by relying on these basics of the Forex market, the beginner trader can move on.
During the inception of the Forex market, the price of goods was expressed in the prescribed quantity of other goods, there was a kind of exchange between all market participants.
Money used from the time of the pharaohs, but then they were in various forms. For example, in Babylon at the time, began to use paper money and checks, but still the merchants in the Middle East were the first who began to trade currencies, changing the coins of one country to another coin. Already since the Middle Ages it became necessary to use other forms of money, not just coins.

Sunday, December 11, 2011

Dow theory

In the late 90s in «Wall Street Journa» an article entitled "A Century of Charles Dow Index," which talked about the possibility of predicting the future market direction based on the results of previous auctions. This article is a famous person Dow Jones, the creator of the popular theory of Dow and the Dow.
This theory is applied with success and now, in today's technical analysis and it is called the "Dow Theory". This theory is repeatedly refined and tested. And with the introduction of computer technology has become easier to perform and display calculations in the theory on the charts. Often, technical analysts are not even aware that a large portion of them as modern instruments like technical analysis, contains at its core concepts and principles of the theory, laid down the Dow Jones.

Monday, December 5, 2011

Dealing Centre

Dealing Centre Forex EuroClub gives you the opportunity to take part in the game on the lucrative financial market - the world currency market Forex (Forex).

Services Forex EuroClub:
  • Full legalization of settlements under the laws of the Russian Federation
  • Calculations are in Russian Rubles
  • The absolute minimum bankroll 1,000 rubles.
  • Unique software for online trading on Forex: TradingDesk Pro 5, which has the most user-friendly interface and includes all trading, settlement and information-analytical functions
  • A complete marketing program for mobile phones and devices on Java, Symbian, Android, iOS, Bada, etc.
  • Weekly Contest Forex traders with a prize of 6,000 rubles.Provision of funds in trust

Sunday, December 4, 2011

LED Virtual Trade Monitor

1. AutoDetectPairs (true / false). If true, the display of virtual trade will check if your broker supports the original set of currency pairs, or alternative, and selects appropriate. If set to false, it will use the alternate pair (IBFX), but you can overwrite the «Custom sell the pair," and «Custom buy a pair." Currently there are some pairs shown in parentheses in the row below "Virtual Trade Monitor" (near the top right corner of the diagram)
2. ShowJumps (true / false). If true, the link will be displayed visually lines and arrows. This may be one of the most important features of virtual trade monitor, as it shows how pairs move after the jump!
3. DisplayJumpInfo (true / false). If true display of virtual trade shows will be less than the amount to sell / buy a pair of additional information about the last transition. Especially after the jump happened last time (for example, if you do not sit in front of your computer all the time). In conjunction with the ShowJumps is a good tool to control the movement of jumping pairs.
4. ShowJumpAlert (true / false). If set to true, you will be informed on every jump through the window of a warning (with sound).

Saturday, December 3, 2011

Benefit of working at the Exchange

Today the game on Forex acquired enormous popularity. Why? The answer is simple: Forex market allows you to work only for themselves and earn respectable. But if you think that such success comes to every trader and forex market - a simple and effortless way to earn money, you are deeply mistaken. To find out what the stock market game, what are its pros and cons, we turn to theory.
 
What is Forex Exchange

Forex Exchange - an electronic system of trading world currencies over the Internet. Stock market game is available to any person who has a computer connected to the Internet. How so?

For example, you have opened a buy position on EURUSD at the price of 1.4312. An hour passed, and the price shot up and the pair was already 1.4612. Closing position at this point, you bail out the 3 cents of every dollar. Not impressed? Now imagine that your gambling is in larger amounts. What you bought and then sold more than 100 and not $ 200, and assume $ 500 000. Gambling with such a sum and the difference between the purchase price and sale price only 3 cents, to bring you $ 15 000. A similar exchange rate fluctuations on the exchange taking place every minute, and at the same price and can vary in a much larger range. And one day you may not make a deal. A week? A month? For the year? If successful trade speculation brings traders high and stable income.

Friday, December 2, 2011

Peculiarities of taxation

The activities of Russian companies, providing dealing services in full, subject to Russian taxes. Dealing Center (or bank) pays income tax, and Bets - a tax on gambling (Moscow - 100 minimum wages per month with each bookmaker offices). Revenues from value-added services (training, consulting, training, etc.) are also subject to taxation on income and taxes. A foreign company pays tax on income from services rendered in Russia, only if they are provided through a permanent establishment of the company. Otherwise - Russian taxes, the company does not appear.

Income clients dealing centers shall be taxable at the rate of personal income tax of 13%. If the broker is a Russian company, the obligation to calculate and withhold from the client and the payment of the tax be passed on to the broker for a client who serves as fiscal agent. Otherwise, the client is obliged to calculate, declare and pay individual income tax.

Market size and liquidity

 The daily turnover of the Forex market, 1988-2007, changes. Billions of dollars

It is believed that the daily turnover on the Forex market was as follows: 
1977 - $ 5 billion
1987 - $ 600 billion
at the end of 1992 - $ 1 trillion
in 1997 - 1.2 trillion dollars
in 2000 - 1.5 trillion dollars
in 2005-2006, the volume of daily turnover on the FOREX market fluctuated, according to various estimates, between 2 to $ 4 trillion
in 2010 - $ 4 trillion. [5] In this case a further increase in intraday turnover to $ 10 trillion in 2020.

Thursday, December 1, 2011

In Russia and Ukraine

Oversight of foreign currency operations in Russia or the Ukraine Central Bank and National Bank of exercise, respectively. However, free unlimited conversion operations of their legislation does not provide. In Ukraine, as of July 2009 as there is no legislative framework for margin trading. Due to the nature of foreign exchange and tax legislation are registered in Russia or Ukraine-brokers usually do not have the legal right to financial services. Most often, they are a licensed bookmaker in the activity. Most major dealing centers generally have a foreign registration, and the local offices do not accept any legal responsibility or they do not officially registered. A client of a company usually has no real opportunity as a challenge of its action and obtain legal protection in conflict situations.

Almost no one confuses that your professional mediator will legally be in the area of ​​offshore regulation, or, for example, that all the contentious issues customers have to settle no closer than the London Court of Arbitration. But as the guarantees of safety of customer deposits from fraudulent attacks will be the license of the Federal Agency for Physical Culture, Sport and Tourism on - attention! - The organization and content of the betting and gambling establishments. In general, the Russian market access to the Forex reigns almost complete freedom.

Forex and government regulation

Forex is based on the principle of free convertibility of currencies, which implies the absence of government intervention in foreign exchange transactions conclusion (there is no official exchange rate, there are no restrictions on the direction of prices and transaction volumes), and the guarantees of freedom of such operations. At the same time, usually set rules and limits on the provision of intermediary services, which are regulated primarily customer relationships (trader) and intermediary (broker).

Office of Financial Regulation and Supervision (English Financial Services Authority, FSA) performs regulatory functions in the financial markets in the UK.

In the U.S., the regulator of the currency market is the government's "Commission on futures trade in goods" (born Commodity Futures Trading Commission, CFTC). In addition, a lot of work to develop rules of trading, the conditions for granting brokerage services and conflict resolution NGO conducts "National Futures Association" (English National Futures Association, NFA). The organization also collects and analyzes special reports, which are required to provide brokers - the members of the association. To listen NFA requirements, not only in the U.S., as U.S. traders and private funds will not open accounts in the company, which does not comply with them.