by Paul J. Easton
Debt is something that can be explained by one’s personal financial management. Some people with certain spending habits are much more to be lead to debt. We can recognize the habits of these folks with their frequent use of their credit cards but have recurrent missed payments.
These folks need the help to untangle themselves from the destined future financial collapse. But some of them might be in denial of their financial situation as this can be very humiliating.
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by Ahmad Hassam
Almost every forex broker offers a free practice account to new clients. This is used as a marketing gimmick by most of the brokers in order to entice new people to forex trading. All you need to do is to sign up with any good forex broker. The best way for new traders to get a handle on what currency trading is all about is to open a practice account.
Practice accounts give you the great chance to experience the forex market. You can see how the price changes at different times of the day. Practice accounts are funded with virtual money. So you are able to make trades with no real money at stake and gain experience in how margin trading works.
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by Ahmad Hassam
Many new traders think that a good entry into the markets is the key to success. Unfortunately, most are wrong. A risk to reward ratio compares the potential for reward with the potential for loss.
Risk is measured by the pips between the forecasted entry price and the forecasted price at which you want to exit the market in case of a losing trade. Risk is just a measure of how much you can lose in a trade. A trader must view each trade as a business transaction.
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by Ahmad Hassam
Many forex traders start trading live before understanding and learning good money management rules. Develop a few good money management rules and practices them on your demo account before starting live trading. Developing your money management rules mean how much of your money, you are willing to risk on one trade. It also means determining how many contracts per trade your risk tolerance allows?
The important thing when you start trading is to learn how you can improve your investment results by making small changes and tweaks to your trading strategies. Good money management rules can make a huge difference between becoming a successful investor in the long run or an unsuccessful one that blows up the account in a few weeks.
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by Ahmad Hassam
Investors use Fibonacci ratios to project future levels of support and resistance based on previous price moves in the forex markets. In other words, previous price moves in the currency market determine where the Fibonacci levels will be placed.
Fibonacci analysis is an exercise in identifying and determining the support and resistance during both the trend retracement and the trend continuations. It is based on a series of numbers and ratios derived from the Fibonacci sequence. This remarkable sequence was discovered by an Italian mathematician Leonardo Pisano.
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