Friday, January 31, 2014

Futures trading market orders

The market exists because of conflict buyers and sellers. For every trade, there must be a buyer and a seller;  it is necessarily battle, and in each individual transaction there can only be one winner; the other must lose. It is impossible for both sides to be right and the order flow goes in only two directions, up or down or short or long. So, the importance of knowing the order flow is very important. What should be noted here as well is that many of the order flow movements are case settlements which occur when a short is covered, or a long is sold.  Actually, a large percentage of price action is characterized by stops being hit, or in other words, the loser is liquidating. Only the loser must get out; the winner can wait. When the loser and winner leave the market, the market is vulnerable to a reversal – only winners are left. All price action is determined by an imbalance of orders over time. How and when those orders are filled creates price action. So, what you must attend to is whether or not your order is ahead of the next wave of orders in the direction of the price action. Your analysis, if you want to be consistently successful, must be designed to find where the eventual loser will be placing his orders.
Trading market orders

Thursday, January 30, 2014

Swing trading the Forex

Traders can use the EMA indicator in the Forex market.
The exponential moving average EMA and the MACD Moving Average Convergence/Divergence are watched by forex traders to determine the trend of the market.We presently are using a EMA of (20) and (10) as the chart settings for the forex market.We also have been using EMA 9 and 30 to indicate the price move for scalping the forex market but you need a good strong trend for this type of trading.You wait for the cross to happen and the candle close below or above the EMA to place your trade.The EMA puts more weight on recent FX price action.
The Macd proves most effective in wide-swinging trading markets with a good trend. Good charting software will have the EMA and the MACD indicators built into there charting software.
An indication that an end to the current trend may be near occurs when the indicator divergesand you see a cross of the trend lines. A bearish divergence occurs when it is making new lows while prices fail to reach new lows. A bullish divergence occurs when it is making new highs while prices fail to reach new highs. Both of these divergences are most significant when they occur at relatively overbought and oversold levels.
Most trader use candle stick charts to trade the forex market and these two chart indicators. Traders can use both candle stick charting and tick charts when trading the forex market.
When using the MACD indicator you watch for a cross of the 0 line to indicate a new trend might be developing. Macd Crossovers are used to trigger a buy signal or sell signal when the indicator falls below its 0 line. Similarly, a buy signal occurs when it rises above it's signal line. It is also popular to buy/sell when it goes above/below zero.
FX EMA Chart

Monday, January 27, 2014

Forex Spot trading

Trading the forex spot markets can make traders money you need to learn how to trade the forex spot market. Traders like to trade the Forex Spot Market is its is popular and easy to get involved in trading. You have many pairs to trade. With the US Dollar major pairings, traders have cross pairs to choose from, including , CAD/JPY, GBP/CHF and EUR/AUD, and many more.  When a trader takes a position, they are long on one pair and short the other. The FX has an incredible level of liquidity in the Spot market with no real danger of getting caught in a position.
 Margins from currency brokers are also relatively low due to the widely available 100:1 leverage but you should stay with fifty to one, which is especially attractive to forex spot traders of all skill levels as they are able to open trading accounts with as little as fifty to one hundred dollars. Remember stay with low leverage when your learning to trade the spot forex. The Spot market is the ideal place for trading large position sizes with a greater ease of execution, and the ability to get decent fills at a good price. Also remember that new legislation will soon be implemented into Forex regulation, which will reduce this leverage to between fifty to one and twenty to one. This will offer a greater level of risk control for new traders.
Trading spot forex

Forex signals

A Forex trading service may be a great helper in your Forex trading profits since its main goal is to help you calculate the risks involved in forex trading. The different pairs are being traded daily with one another from small lot to large lot sizes. On a daily basis more than three trillion dollars are exchanged in this world wide market.The currency markets can be confusing if you do not know what you are doing with all the conversions and currencies. Finding a program like a newsletter will allow education and utilization of pairs is something all fx traders should do. Traders need to find a forex program that works well with real time weekly updates is essential to there trading success.
Forex desktop signals alert software

Saturday, January 25, 2014

Forex whipsaw chart

Traders should be aware of its danger because a whipsaw may throw up an initially misleading this chop can be very hard to trade and not for the new trader. The chop is a strugle between buyers and sellers.

Friday, January 24, 2014

Forex brokers

The bad news is that, like stocks, forex currency pairs do have a bid/ask spread  meaning a market maker will pay less for a currency than he is willing to sell it for. These spreads are extremely small, usually less than 0.05 cents, but the wider the spread, the more costly trading will be over the long run.
Not every brokerage has the same spreads, so it is important to review the typical distance between the bid and ask prices before selecting a broker.
Other Considerations
First and foremost among all other considerations are the currency pairs that a given brokerage deals in. For example, if you want to perform a Japanese yen for Swiss franc trade, you will need to find a brokerage that offers that currency pair. Virtually every forex brokerage deals in the main currency pairs   the U.S. dollar vs. each of the following currencies: The Euro, the British pound, the Australian dollar, the New Zealand dollar, the Canadian dollar, the Swiss franc, and the Japanese yen
Forex traders need to find the best Forex broker this is important for your forex trading success.
The best currency brokers will have a complete set of charts and software for you to use. The charts will be free to use and come along with their services. You should make sure the data transfer is fast and not delayed. Your internet connection should be high speed and connect directly to the forex broker's charts and trading platforms.
Online forex brokers

Thursday, January 23, 2014

Forex Buy and Sell signals

Some experts feel you should back what seems to be a good situation with all the investment funds at your command. Others will warn against getting greedy, and advise partial investment here and there, at different times, to spread the risk. This is not the place to discuss the merits of these techniques. The point is to give yourself the flexibility of moving either way your judgment dictates.
Remember: your income need not be large, so long as it is regular and enables you to put aside a surplus after you have taken care of your bills and the possibility of trouble. The surplus need not be large, either. Saving, as has been said many times, is a matter of regularity.
 No one considers five dollars too small an amount to put into a savings bank; don't worry if that's all you can save each week for your accumulating investment reserve. In most markets, brokers usually can suggest a number of sound, solid stocks, offering liberal yields, that sell for less than twenty dollars per share.
There is no rule about the number of shares an investor must buy.
The forex market on the other hand is the worlds largest market to trade so due diligence is most important. Each country can adjust their currency prices to reflect the supply and demand for their products. When you are trading and watching your charts news can effect the supply and demand for that forex pair.
Forex Buy and Sell signals

Food network company stocks

For example, its Pepsi Next drink has half the calories of regular soda. It also continues to expand overseas. To control its costs and improve its productivity, it's undergoing a restructuring that involves laying off 3% of its workers. In PepsiCo's latest quarter, its profits slipped to $0.94 a share from $1.17 a year earlier. Without unusual items, the company earned $1.12 a share, topping the Street's expectation by $0.03. Sales dropped 2%, to $16.43 billion. PepsiCo's wide range of businesses help steady its revenue.  you have to admit that the proposal has kickstarted the discussion around obesity. The problem is certainly a serious one: According to the Centers for Disease Control (CDC), 35.7% of Americans are now obese. This increases the risk of a range of serious health conditions, including heart disease, stroke, and diabetes.
From a financial point of view, cutting the obesity rate also makes sense. According to the CDC, obesity-related medical costs hit $147 billion in the US in 2008, with over weight people running up $1,429 more in medical expenses during the year than more fit Americans.
American businesses have taken notice: Last year, Wal-Mart (WMT) joined the Let's Move! campaign, rolling out a five-year plan to make its food healthier and cheaper. Many other such as Walgreen (WAG), have also signed on. Two Stocks That Will Profit From Thinner Waistlines There are a number of ways investors can cash in on the trend toward healthier eating.
Food Investments

Wednesday, January 22, 2014

Financial speculation stocks

The stock market can be traded for profits but you need to sometimes speculate. Financial speculation in the stock market, the boundaries of profit and loss are constantly being tested be stock traders. If your stock trading is producing profitable results, you feel like your on the top of the world and can do no wrong. Smart traders cut their losses and use stops to protect profits. When traders are going through a losing period, their confidence suffers and it becomes very challenging to pull out of a slump and make winning trades. For most traders, rational thought is incongruent when going through lots of losses.
Traders need to stick to their trading plan without one is a set up for disaster. Lousy execution or the violation of the risk management rules set forth in the trader's trading plan. This is detrimental to long term success in trading, or life in general. What I'm referring to is the uneasiness that helps a trader stretch his or emotional boundaries and can assist in conquering some of the common trading fears experienced by trading participants. This is actually good for a stock or forex trader. Speculating in the stock markets does not come easy for most traders. Talk to most traders, and the mere thought of losing is enough to invoke uncomfortable feelings. Because of the inherent risk associated with this endeavor, conquering the aversion to losing is in itself part of the winning process in the make up of the trader.
Financial speculation stocks

Tuesday, January 21, 2014

The Forex 1- 2 Setup

The Forex 1- 2 Setup. The Forex 1-2  setup is a common technical signal that is widely used as an entry indicator for a Forex system. This an actual chart from our Forex charts

Monday, January 20, 2014

Fibonacci retracement lines

Fib Price Retracement Lines with the extensions turned on. You need to be aware of is that there are about as many rules methods for drawing in fibonacci as there are traders out there talking about them! Many traders and analysts disregard fibs entirely, as there are many traders who keep redoing in their fibs until the chart shows them what they want to see. By redrawing I mean choosing different highs and lows to measure until magically, the fibonacci line up with the trader's analysis.
While this complaint is valid, knowing that fibs indicator are only another indicator of many and that nothing works perfectly every time can give a trader enough confidence to use them effectively. There are many retail trading platforms that don't give data for more than ten or twenty years back in time. When you see the AUD/USD at all-time highs on your platform  only able to see back to 1990 , be aware that this pair has traded much higher than now back in the 1980's. In this case, using Fib extensions can be very helpful.
Candlestick charts Fibonacci

Saturday, January 18, 2014

Trading fear plan

Traders need to plan their trades properly before hitting the buy them, they should know three things:
1.Entry – The price and the reason for the entry (i.e. trend, supply zone, demand zone, overbought, etc.)
2.Target – Where you will exit prior to price turning against you
3.Stop – Where you will exit if the trade does not work out
So when traders think about it, they now have nothing to fear.  There is no reason the doubt the trade.  You know how much you will make if you are right in the trade and how much you will lose if you are wrong.  Since the only thing in your control is how much you will lose if you are wrong,so you need to stay focused through out the trade.
Trading fear

Fear and greed

Knowing your entry and stop is good because now you know how much you stand to lose if the trade does not work out. This minimizes fear in the trade since we fear what we do not know. Knowing and accepting the potential loss before entry reduces this. Knowing the target price is also a way to minimize fear. If you have identified the highest probable turning point for price and marked that as your target, you are less likely to be fearful and exit on small corrections on the way to that target. We cut our winners short because we are fearful of any adverse movement in price. Knowing where the high probability reversal point is allows you to ignore "speed bumps" that are only minor pullbacks in price.The second thing we can do to maximize our winning trades is to have a trailing stop system in place. By trading with a rule-based system, we are trading on logic and not emotion and are more likely to have success. There are several options for a trailing stop system and none is perfect. Having a system is an advantage, as I mentioned, to remove emotional trading. In our courses at Online Trading Academy, we teach our students many ways of creating this system and have them practice in class with real trading accounts to see which method is best for their own trading.
Make money trading

Friday, January 17, 2014

Make money trading currency

Knowing your entry and stop is good because now you know how much you stand to lose if the trade does not work out. This minimizes fear in the trade since we fear what we do not know. Knowing and accepting the potential loss before entry reduces this. Knowing the target price is also a way to minimize fear. If you have identified the highest probable turning point for price and marked that as your target, you are less likely to be fearful and exit on small corrections on the way to that target. We cut our winners short because we are fearful of any adverse movement in price. Knowing where the high probability reversal point is allows you to ignore "speed bumps" that are only minor pullbacks in price.The second thing we can do to maximize our winning trades is to have a trailing stop system in place. By trading with a rule-based system, we are trading on logic and not emotion and are more likely to have success. There are several options for a trailing stop system and none is perfect. Having a system is an advantage, as I mentioned, to remove emotional trading. In our courses at Online Trading Academy, we teach our students many ways of creating this system and have them practice in class with real trading accounts to see which method is best for their own trading.
Make money trading

Wednesday, January 15, 2014

Trading the exchanges

High frequency trading has become the normal way for a large amount of stocks started by technological developments in investing. Automation that eliminated the use of specialists on the floor of the New York Stock Exchange and eliminated arbitrage opportunities for brokers and day traders has went through the world's financial centers like crazy. Some of the most recent uproar has started around  anonymous trading areas which don't show bids and offers.
These areas allow investors to make big trades without broadcasting their positions since the very act of bidding or selling publicly would change the price of a stock on an exchange.  But traders who think  this style of  trading hasn't been happening a long time is deluding themselves. Both market conditions and increased automation make it easier for traders to make trades outside of the stock markets, where prices of securities are shown during the day. But in reality, automation has now empowered threats to the old exchanges' dominance. More than anything, this has been generated by a feud between exchanges and brokerages for fees and the first site at information. The largets stockholders have long been able to trade while hidden from view. A 1993 New York Stock Exchange working paper described the practice  trading big "blocks" of stocks .
New York Stock Exchange

Monday, January 13, 2014

How to trade low volume ETF

Most commodity holdings are under the umbrella of an asset like crude oil or natural gas. Traders know that, energy products are among the most popular in the commodity world, but showing value towards these investments can have some adverse effects on their portfolio.  Energy products are quite often highly correlated to the movement of general markets, meaning that they will move closely in line with something like the S&P 500. One of the main reasons that commodity trades are needed in a portfolio is the low correlation and diversification benefits that these investments offer.  An energy heavy portfolio will likely only increase your losses on bad days which may not be enough to be erased by days in the black.
How to trade low volume Concerns over demand from China have weighed on iron ore prices for some time, and the world's largest producers of the raw material ended May 2012 in the red. But some say sentiment could improve in the second half of this year. It's not clear if sentiment alone, however, can prop up the sector. Annalists steel raw materials  weaker Chinese underlying demand, coupled with plentiful supply and ample stocks drove the iron ore market downward in May, as falling steel prices in China weighed heavily on sentiment in the iron ore market. In a recent Commodities Compendium on iron ore, trading analysts noted that the persistent supply struggles, coupled with grade degradation at existing assets, "highlight the challenges in bringing incremental iron ore supply to market and a need to discount heavily potential future growth."

Sunday, January 12, 2014

Exchange traded funds option trading.

If you are thinking about how to trade exchange traded funds or ETF options here are a few tips to get you started.ETF option trading.  The first thing you need to do is make sure you have a broker like Ameritrade or Etrade and that they have approved you for trading options such as ETF's. ETFs are  securities that you trade like a stock and are typically designed to follow an underlying index like the Russel 1000, symbol FAS, which can trade over 80 million shares a day. Most of the top brokerages will have ETF trading available for traders. They will also have a ETF screener that can help you get started trading options. Companies like Ameritrade have a option screener called options 360 and a strategy trading platform.  Exchange traded funds software On these options trading platforms you can enter the underlying symbol and it will tell you the current call and put options available.If you don't know the underlying symbol for the option you can type in the stock symbol and it will show you the option symbol. Most of these option platforms will also tell you the volume ,strike prices and what month they expire plus many other charts and so on.Call and put option contracts are 1 contract equals 100 shares of the stock.

Saturday, January 11, 2014

Ltd Commodities futures

 Remember that word diversification? Well, it applies in
ETFs also. By investing in ETFs that track the broad Commodity indexes as opposed to Commodity specific indexes such as Gold, Oil,
Natural Gas, you will have a portfolio of a group of Commodities and not all of them will be in conflict at the same time.
Some may actually be inverted markets and this offers great pricing at rollovers for the ETFs. You should see how inverted
markets offer lower prices with each succeeding contract. One note of caution about Commodity ETFs: Always read the broker's prospectus and make sure that the ETF is tracking the physical Commodities and that the ETF is not tracking companies related to producing or processing these Commodities.
ETFs that have baskets of Commodities in each:
RJI - Rogers International Commodity
GSG – S&P GSCI Commodity Index
GCC – Green Haven Continuous Commodity Index
DJP – Dow Jones Commodity Index
DBC – Powershares DB Commodity Index
Ltd Commodities

Friday, January 10, 2014

Trading with Equity Feed

The latest evolution of the Equity Feed platform provides its users with:
Timely and actionable market data through an information platform that’s rock-solid in terms of stability, accuracy and as near zero-latency as possible. EquityFeed has achieved this through an algorithmic-grade ticker plant and proprietary client-side compression technology.
Data that is clean and simple to use. Reducing clutter makes it easier for you to access the data you need to make trading decisions. Unlike others tools we’ve tried, EquityFeed places a strong emphasis on making their tools easy to read and interpret – the super-slick user-interface clearly reflects that.
TradeConnect gives TD AMERITRADE™ account holders the ability to trade directly through EquityFeed’s proprietary trading platform.
An unwavering commitment to innovation and education, with their video tutorials and weekly webinars.You cannot always pick the highs and lows. Try and stay near the support and resistance levels when making a stock or especially a forex trade. The more you learn how to read stock and forex charts the less risk you will take when trading.
Equity feed

How to chose the right entry point

 Stock traders need to have a trading plan in place to decide when to enter or buy a stock. Having the right entry point will make a trader more money and have less risk on their trades. Smart investors always have a well designed buying strategy. They have back tested the trading plan and know when to take good trades from chart analysis and research. This is most important when determining the entry point when buying a stock.
Stock and Forex Entry Points  Traders need to look at the trend to make sure when they make a buy that they are not trading against a strong trend. make sure to look at how long the trend has been in place. You need to look at the profit potential before you make the trade. Ask yourself is the amount of profit worth the risk. You should always assets the amount of risk before worrying about the profit. Of course the larger number of stock shares purchased will get you to a smaller profit faster with less risk.

Thursday, January 9, 2014

Best emini day trading signals

The emini futures market makes price swings every day and to experienced traders these are predictable, using either fundamental analysis, and watching the trend. Emini traders all know, technical analysis or a combination of both will reduce the risk and make more money on the emini futures trades.  Futures traders will use some form of strategy based around news events and a thorough understanding of the macro economic mix. Emini futures traders need to decide on which charting tool works the best for them. There is an inherent need for futures traders to try out what charting indicator works the best and learn it inside and out.
Emini trading

Wednesday, January 8, 2014

Learning stock options call and put option trading

The Two Types The trade for stock options is fast becoming increasingly popular in the market these days. With its many trading advantages and high promises for financial profit, quite a few have become quite serious about buying and selling many of these stock options. Let us learn about the two types of these stock in order to better understand how to trade them. Knowing how each of these options would work to your benefit as the contract holder can surely come in handy with the volatile trends ongoing in the stock market. The two major types of option contracts are the call option and the put option. Each of these contracts holds rights and benefits for their owners. Let us discuss each of these and how they can be useful to you. Call Options A call option is a type of contract that gives its owner the right to buy the underlying stock at a certain fixed price (also called the strike price) within a specified time frame, which should be on or before the expiry date. The buyer of a call holds the right to purchase shares at the strike price until the date of expiry. The writer or the seller of the call on the other hand, holds the obligation. If a call buyer chooses to exercise his or her option by deciding to purchase the underlying share, then the call writer is then obliged to sell his or her share at the negotiated strike price. For example, an investor purchases a call option from a certain business with a strike price of $10, which will expire in two months, then that buyer secures the right to exercise their own option by paying the value of $10 for each share. The writer, on the other hand, would be obligated to give up the shares in the exchange for $10 for each of them. Put Stock On the other hand, a put option is the complete opposite of the previous. It is a contract that allows one to sell the underlying stock at a specific price on or before the expiry date. A put purchaser secures the right to sell shares at the strike price, and following this, a put writer will then be obliged to sell at the negotiated price.

Monday, January 6, 2014

Using stops and stop losses in forex and stock trading.

  Any good trading plan will include how to use stops, and stop losses. Your trading rules will put stops at the top to save your money and protect profits. It should be logical in your trading process for executing profitable trades. You should have your setup written down in your plan. As a trader you should use patience and discipline to wait for the best area to buy. You will have more success because you have tested your trading plan and know that it has a profitable track record. Knowing your buy strategy will help you execute your trading plan in an smooth manner with no hesitation.

   Your risk management is also thought out so your initial stop is set on entry and you know when you will be moving your stop loss to breakeven after the forex or stock moves in a positive direction by a certain percentage. You should  have a set price target, a trailing stop, and stop loss already figured into the trade. If your trade is in the money and you are seeing profits, you may want to start to using trailing stops to help you lock in your profits. If the trade is following a good trend just re-set your trailing stop.
  Experienced traders know the percentages are in their favor if they stay with the trend. It is much easier than trying to pick tops and bottoms of a range bound trade. The top and bottom pickers will eventually lose the money in their trading accounts. Support and resistance levels are really not the same as tops and bottoms so you need to adjust your trading to make it less risking and lock in profits. Staying with the trend is much safer than countertrend trading. Trading  the forex market with the trend will have a better risk reward. The trader will be in the money for a longer period of time.

Trading trends in the forex and stock markets

 Stock and forex trading trading is often stressful, emotional, and hard to do. Prior to any forex trade is ever made, a trader must make all kinds of decisions, decisions that can influence the out come of the trade and the traders confidence. Learning to read the uptrends and downtrends on a chart will make you money. Good traders will use systems that minimize the risk and increase profits.
Profitable traders are great at what they do that decisions make them money on most of their trades.
First, one has to spend years learning how to trade and reading trends and charts is a big part of being successful. You need to study the stock and forex markets, you need to keep up with world economics, developing a trading system with proven strategies. Forex traders need to search out help, which exist, even if around every corner another inexperienced traders promising you that short cuts do, in fact, exist.

Saturday, January 4, 2014

Chasing a trade or greed

Chasing a trade or greed will work against you especially if you buy at the top of the green candle and the sellers now start to take their profits. As you see the next candle turn red you sell out of fear this is a trap most new traders get caught in. if you are basing your trading decisions on emotions you will quickly wipe out your trading capitol.
  Traders who get past trading out of emotions will learn to follow their trading plan and become profitable. Money management is most important to new traders especially in the forex markets. There are many candle spikes in the currency markets and to trade with poor money management will kill you in the end. You need to wait for the right set up before you enter your trade. Trends change all the time due to news and the world markets which goes on everyday. You need to understand your not missing anything so be patient and wit for your trade to develop.

Followed your trading plan

You need to understand technical analysis and working on your trading skills and the profits will come. You need to feel good when a trade goes your way and also if you get stopped out. If you get stopped out its because you followed your trading plan,which is a good thing. Having a positive mental attitude is most important in both winners and losers. You expect winning trades and having a positive mental state will help you achieve your goal.
  Being a disciplined trader and taking the trades when your trading plan indicates is what making money is all about. If you don't take the trade you should not beat yourself up over it but learn from the experience. Most new forex traders will have a negative trading experience when they first start trading. They will usually quit and never return the currency markets. The mental aspects of the defeat are long lasting and can be reversed with proper adjustments to you trading style. You need to learn the losses are part of every traders experience. Getting more stock or forex education will start you on a profitable trading business.