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January 27, 2018

What are the best currency pairs to trade?

currency to tradeIrrespective of an ever-changing economic climate, some currency pairs will always be more appealing than others. This is because popularity and size of the market dictate what pairs are frequently traded. High liquidity and low spreads attract a higher number of traders.

The G10 are the world’s most liquid currencies. These are the US dollar, the euro, the Japanese yen, the British pound, the Swiss franc, the Australian dollar, the New Zealand dollar and Canadian dollar, the Swedish krona and the Norwegian krona. Traders regularly buy and sell these currencies, making them the most traded currencies in the world. From here, let’s consider the best currency pair to trade.

EUR/USD

As you might expect, the trading of the world’s two largest currencies would be popular, as a result of its stability and liquidity. It’s a safe bet particularly for beginners, the pair is unaffected by other trades and is not considered volatile. The predictable nature of the way this pair trades, benefits strategists and newcomers alike. The high levels of liquidity mean that this pair often has a tight spread, meaning low trading costs. These low spreads can be taken advantage of by scalpers.

GBP/USD

The aforementioned benefits of EUR/USD are also relevant for GBP/USD. It is liquid, relatively stable and predictable, although slightly less so than EUR/USD. Generally speaking, the similarities continue for performance, the two pairs tend to move in a similar manner, although Brexit developments can impact on this GBP/USD, which have made it more unpredictable than the euro over the past year or so. Beginners are usually advised to not trade both GDP/USD and EUR/USD simultaneously.

Risk Off Sentiment

When market sentiment is negative, investors tend to seek safety in currencies which are traditionally seen as safe havens. The two main safe haven currencies are the Swiss Franc (CHF) and the Japanese yen (JPY). Therefore, when considering which currency pairs are the best to trade, it is also worth considering the trading environment that you are trading in. If it is a risk off environment, where the market is responding negatively to a particular event, then USD/CHF and USD/ JPY could be the best to trade. You could expect USD/CHF and USD/JPY to move lower when investors are searching for safe havens.

Commodity Currencies

Commodity currencies are currencies that move in line with the world’s primary commodity prices. They are Australian dollar, New Zealand dollar and the Canadian dollar. They co-move with a particular commodity price because of these countries heavy dependency on the export of a certain raw material for income. If you are interested in commodity prices, the currencies could be the best to trade.

Which broker?

There are many different currency pairs to trade, depending on your personal preferences and interests. There are also many different brokers through which to chose to trade. However, it is important to choose a broker which provides first rate pricing and execution.

Vantage FX is an award winning Australian broker. It is a true ECN broker meaning that its pricing is inline with that of top institutions and it receives liquidity from the likes of JP Morgan, HSBC, Citibank and RBS to name but a few. Execution at Vantage FX is among the best in the industry meaning you have best chance of making your trade a winning trade.

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January 25, 2018

How to Pick the Right Overseas Money Transfer Company in Today’s World

transfer your moneyBanks and a limited number of high street forex brokers ruled the remittance market until the turn of the last century, giving individuals and small businesses little to no value for money. Now, just about everyone can get access to competitive exchange rates, mainly because a number of companies specialize in this realm alone. How, though, do you select the right money transfer company?

Supported Currencies and Countries

What good is a money transfer company if it does not support your desired currencies or countries? Start by determining if the company you shortlist supports both the countries and currencies in question. For example, while Transfer Wise and World First support most countries and currencies, Azimo lets you register only from a European country, and InstaReM operates mainly in Australasia.

Cost Effectiveness

Do not get carried away by great exchange rates because how much you pay as fees also requires your attention. An easy way to determine the most cost-effective alternative is to look at how much money the recipient will receive at the end of the transfer.

Transfer Methods and Speed

Transfers to bank accounts can take one to seven working days, depending on where you live, the destination country, and the company you select. If you’re in a hurry to send money overseas, a better bet is to look for companies that operate out of physical locations or have tie-ups with agents. Some companies that allow transfers to cash pickup locations include Azimo, Western Union, and MoneyGram. Bear in mind that these transfers tend to cost more than transfers to bank accounts.

Payment Methods

Just about every overseas money transfer company lets you pay through bank account transfers. Some let you pay using debit and credit cards. You can also find companies that accept payments via region specific methods such as ACH, SOFORT, and POLi.

Trustworthiness

An easy way to determine if a company is trustworthy is to check if it is registered with and regulated by relevant regulatory bodies. Depending on where the company is based out of, it may be registered with the UK Financial Conduct Authority (FCA), the U.S. Financial Crimes Enforcement Network (FinCEN), the Financial Transactions and Reports Analysis Centre of Canada (FINTRAC), or the Australian Securities and Investments Commission (ASIC).

Keeping Track

Once you initiate a transfer, keeping track of its progress should be simple. Good money transfer companies let you track your transfers through their websites or through apps designed for mobile devices.

Customer Service

The top players provide local phone support in different countries. Online support is easier to find, through email or chat. Since you might need to contact customer service now and again, select a company that rates well on this front. Turning to platforms such as Trustpilot and Feefo gives you easy means to determine how previous customers feel about the companies you shortlist.

Conclusion

There is no single overseas money transfer company that works equally well for everyone, given the varied requirements. To narrow down on one that suits your best, pay attention to aspects such as cost and speed as well as transfer and payment methods.

Jon works as a researcher for iCompareFX. The website lets its users compare leading overseas money transfer companies, and also provides in-depth reviews. When he’s not working, Jon likes to discover new music.

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August 7, 2017

The Path to Paper Trading and Beyond

trading papersBecoming a day trader is a great way to start an alternate career that will prepare you as jobs become obsolete and independent sources of income are needed. And to become a good day trading you need to spend time in a trading simulator.

As we make our way in a world that is awash in information, the future for traditional jobs is bleak. You are not going to sit at a desk for years, poring over spreadsheets and writing articles for a paltry salary and benefits. That model is going to go away, slowly and then very quickly.

The question is: what do you do about it? Here is one solution: Start day trading. Day trading penny stocks is an exciting and interesting business that can be very lucrative for the right people. It takes time to be able to learn the techniques that will make you a good day trader and it takes grit to work your way through the hard-knock experience it takes to become profitable.

But by cultivating an independent source of income, you can insulate yourself against the trials and tribulations of the regular economy. Not many companies, and not many industries, for that matter, are ready for the coming waves of technological change.

So day trading is a way to protect yourself from what is ahead. In fact, to get good at day trading you need to be OK with volatility and uncertainty. Volatility is a day trader’s great friend. However, you need to be able to see the patterns in a chaotic market in order to profit from them.

Day trading education sites like Warrior Trading can teach you skills and strategies for spotting those patterns. You can learn about stock scanning and advanced chart reading, it is just as vital to move from study to practice.

That is where the paper trading comes in. Spending time in trading simulator is important, because it allows you to understand how to trade at the speed of the regular market, but with virtual currency, so you are not risking any real money. That allows you to make mistakes and learn from mistakes without endangering your life savings.

Working in a trading simulator with Warrior Trading means you will be able to trade in real time, with Level II quotes and veteran traders looking over your shoulder as resources to rely on. It is the ultimate practice for becoming a profitable day trader and creating an independent source of income for yourself.

To learn more about how working in a trading simulator can bring you from novice to expert, check out Warrior Trading on Facebook.

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September 21, 2016

The Right Strategy for Your Binary Trade

knowing tradeExperience is an important ingredient to success in any kind of investment trading. However, it is not the only thing that will enable you to trade successfully. Even if you have never trading in any financial market before, you will be able to quickly understand what is involved in this type of trading and start making successful trades. In essence all you need to do is calculate whether the price of an item will go up or down. Some of the best traders use the simplest strategies for binary options trading and have excellent results.

Long Term Investing

The most important part of binary trading is to learn which of the available strategies best meets your needs and risk tolerance. Once you have established this you will be able to refine and improve your technique and obtain consistent, favorable results. When first starting in this industry it is best to stick to an area you already know something about and to stick to one asset type:

Trading with the Trend

One of the most straightforward approaches is to look at a price chart and see which direction the price is current moving in. If the general trend is up then place a call option, if down go with a put. Most traders place a trend line alongside the chart; from this you should be able to pick a price that the asset will not reach and utilize the no touch trade strategy.

Pinocchio

When the market is particularly volatile you may be expecting some rapid rises and falls in price. This chart will highlight when these events are likely to happen and allow you to trade accordingly. Alongside the usual price movement trades you can opt for a one touch trade where the asset drops (or rises) significantly and hits your expected price. This is higher risk but can be lucrative.

Sitting on the Fence

This is also known as straddling and is another good technique for a volatile market. Instead of trying to decode which direction a market is likely to move in you place two trades; one for it to go up and one for it to go down. The profit on either of these trades should cover the costs of both trades and generate a small profit. You are effectively decreasing your risk.

Reversed Risk

This is very similar to the straddling technique. However, with this strategy you need to place both trades, up and down, at the same time. You are guaranteed to get one of the trades right, but unlike the straddling technique you do not have a chance of getting both right.

The Hedge

This technique is very similar to the reversed risk approach, and serves to protect your funds and reduce risk whilst still generating a small profit.

Fundamental

An important strategy which should never be overlooked and works well in conjunction with any other technique is the analysis of the general economy and the specific situation of your chosen company. You will then be able to assess what the price is likely to do on the strength of the company and the economy.

We also suggest you to check 15 minute binary options strategy in order to rise the profitability of your trading.

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February 16, 2016

Employing Forex Applications Offered By XFR Financial

forex informationIt may surprise many to know that nearly eighty percent people who go for forex trading burn their fingers badly before deciding to quit trading of forex currencies. So, you’ll need to be extremely careful when trading forex, lest you should also fall in the category of those who failed. The causes of failure are many, though some of those are common among those who failed. Despite this abnormally high failure rate, forex trading presents the opportunity of making considerable sums of money. Nevertheless, it is quite challenging to become successful trader. It demands plenty of hard work, dedication and appropriate learning. Some traders at XFR Financial fail to devote the required amount of time and the type of hard work it necessarily requires for being successful. Forex trading is not the way of making money for you if you aren’t willing to invest the time and hard work it entails.

Essential Qualities of any successful trader

Here, hard work implies studying and learning various aspects of trading for being a successful trader at XFR Financial. You can’t take this type of trading as a hobby. Consider this like any other professional job that needs to be taken seriously. It should be pointed out here that during the early stages you should aim at learning the tricks of trade and not at making money easily and quickly. You should know it is a very volatile market. So, instead of experimenting and killing time, you need to understand its fundamentals and gain confidence before entering this market. Make sure to draw your plan and stick to that. You are most likely to become successful in due course of time provided you continue to consistently put in hard work.

Money Management through XFR Financial

The two most important things that you have to learn include managing your funds and emotions. One of the most important factors causing most traders to fail is lack of control over emotions like greed and fear. Often, after having suffered financial loss in the market, traders start believing that they have the capability of making the market reimburse the loss they suffered. This type of approach frequently causes them further losses and they fail miserably. Managing your funds or remaining financially disciplined is another essential feature for becoming a successful forex trader and you’ll find XFR Financial helpful in this regard.

Financial discipline simply means setting firm limits for your trades as per the volume of finances available with you. The plan should be to gain money without undue exposure to risks. This limit for good traders is up to two percent, though a number of traders stretch it up to 10% of their finances. You should understand that a significant advantage of exercising financial discipline is that you are always left with some money for trading the next day or in future because you don’t lose all that money in making a few trades on the same day.

If you take care to follow the above mentioned steps given by XFR Financial, you are most likely to succeed in your efforts of making decent amount of money through forex trading. You should understand that it takes time to become successful. You would know there are no short cuts to become successful in any profession and forex trading is no exception. You should continue to be disciplined at all times and don’t try escaping hard work if you like to be a successful trader by making considerable gains through this form of trading.

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