Forex Interest Rates

Many professional Forex traders use the short-term interest rates (set by the countries’ central banks) as one the main factors in the medium- and long-term trading decisions. The currency pairs consist of two currencies and each of them is associated with the FX interest rate set by the central bank of the issuing country (or monetary union for the euro). The higher is the interest rate the more attractive is the currency as the Forex traders may get the leveraged gain on this rate. The lower is the interest rate – the less attractive the currency is for buyers but the more it’s being lent by the traders and investors in order to exchange into higher yielding currencies and assets.

It’s very important to know the actual values of the global Forex interest rates and also to know about the latest changes in them. For the long-term Forex traders this information will help to make the right trading decisions and manage their position portfolio properly, while for the short-term Forex traders this info is a good opportunity to trade on Forex news. News on interest rate changes boost market volatility allowing more intraday breakout and scalping trading opportunities.

Understanding the Forex Market

Understanding the Forex Market Trading

These days a Foreign exchange market or is commonly known as a forex market trading has been growing so fast that it becomes the leader of financial market in the world. To the traders, Forex market is something familiar in which they know how all the systems in it work. But, to most people, they don’t have a very deep understanding of what is the Forex market? So, this article will try to explore and show you the basic important things about forex market trading.

The activity of foreign exchange to pay for a business has been commonly done. If you are travelling abroad, you will of course need to exchange your money with the currency of the country you are going to. Or a traveler’s check can be another solution when you need to pay for a transaction abroad. When you are doing all these, you already engaged in foreign exchange, but it is NOT the kinds of activity happened in the Forex market. In the Forex market, the traders are trading foreign exchange in which the main purpose is 100% to make a profit from certain currency being traded for another currency.

Forex market trading is done all over the world 24 hours a day and 5 days a week by dealers at major banks or forex brokerage companies. Before the development of online trading, the market is dominated by banks, major currency dealers and large speculators. But now, thanks to the internet, small traders are also able to take part in the Forex market. The larger sized inter-bank units are broken down into small units by Foreign exchange market brokers so that it is affordable for individual traders to buy or sell the units. This way, the brokers give the opportunity for any traders to take position in the market at the same rates and price movements as the big players who once dominated the market. The traders can also have an overnight position without waiting for the opening market because the market itself runs 24 hours a day. Trading in Forex market moves from major banking centers of the U.S. to Australia and New Zealand, to the Far East, to Europe and finally back to the U.S., so that the currency trading is not centered on an exchange. This is where the difference from the futures and stock markets lied down.

Unlike the stock market, the price movements on the forex market trading are relatively very smooth. It is because the market is 24 hours-open non stop in which the trade can be continuously executed so that there is no gaps occurred. Even on September 11, 2001, the forex market was still open. The danger in which an investor is not able to enter and exit positions whenever they want is eliminated because the Forex market’s daily turnover reaches a fantastic number around $1.2 trillion.

What is Forex Trading?

Foreign Exchange market is commonly known as Forex market that has been established since 1970s. It is successfully recognized as the leader of liquid financial market these days. The transactions compared to the New York Stock Exchange reaches hundreds times bigger. The market is basically selling and buying money freely. It involves buying one currency and selling another.The main currencies in Forex will be US dollars competes with British Pound sterling, Japanese yen, Swiss franc, and Euro. The currencies here are symbolized in three letters, for example USD, GBP, JPY, CHF . The first two letter are indicating the name of the country, and the last letter is indicating the name of the currency. The trading of these currency pairs are constantly going because it’s done in all around the world. The value of each currency is pretty much determined by the demand in the market, not by the exchange as in the futures and stock markets. So it can be rising or failing. This is when the trader can take any position in the market, and if the market moved favorably from their position, they may gain profit. Forex trading also allows an immense leverage so that a trader can take position even up to 100 times of their actual capital. The trading can either be done in short period of time within the same day, or in an extended duration or overnight period.

Forex trading market is unique because it requests a quite simple qualification for the traders to invest and also the market is done worldwide, so it’s not based in any particular place. It is where a free competition runs in the market without having any external control. The market is considered objective too because the prices can’t be manipulatively changed unless one has tens of billions dollars to operate.

However, you must be aware that Forex trading is a high risk high return business. Although you can get a great amount of money, you can also lose a great amount of money as well. The way of investing is not complicated and it is a solid investment where you can gain a good profit if you do it right. So, before jumping in the field, learning Forex , both technical and fundamental analysis, are an obligation steps. Finally, does Forex suit you? Are you ready with all it needs

Global Forex Trading

There are many kinds of trading in the market exchange, but these days the most favorite one is the Global Forex Trading. Its daily volume even reaches $2 trillion dollars. It becomes popular since the speculator George Soros of the Quantum Hedge Fund was able to get over $1 billion dollars profits in couples of days by shorting the British pound in 1992. A fantastic number, isn’t it? But, what is it that makes more and more people interested in it? Well, the lures of Global Forex trading lie on these reasons:

First attraction will be the market’s hour. The Global Forex trading markets are almost always open, 24 hours a day and 5 days in a week non-stop. It is possible because the currencies fluctuate all day and night that any trader can do any trading without being limited by market hours. This is something that other equities might fall behind. They can be effective only during the market hours when the stock exchanges are open. Furthermore, the advance online Forex brokerages that allow people to trade comfortably from their homes or offices will be another excellent charm.

Secondly, the immense leverage will be the most charm for most traders. In the Global Forex trading, a trader can obtain 20 times, 50 times, or even 100 times from his original capital. It is unlike in stock trading where the leverage can only be twice as much as the original capital. To give you a better understanding, here’s the number illustration:

You open an account in an online Forex brokerage worth $10,000 dollars. In Forex market, trading is realized in lots where 1 Lot = 100,000. With an immense leverage, you may control $500,000 positions or worth as 10 lots. And if your positions moved favorably, let’s say giving you 5% gain, you already have $25,000 dollars in your pocket.

While in stock trading, you can either trade with the available funds or you can open a margin account and trade with double leverage only. So,when you have $10,000 dollars account, you can control only $20,000 dollars worth of equity positions.

Hopefully, this illustration can give you a better understanding on how the immense leverage in Global Forex trading can lure a lot of players into the game. However, you also need to know that although the immense leverage may give you benefit, it’s possible to wipe out your fund as well.

Somehow, the most important reason will be the large sums of money that can be made in the Forex markets. These are the reasons more and more people interested to jump in the market, including those who are full time traders and those who make it as merely a hobby.

If you decided to play in the Forex trading, you need to learn about Forex analysis first. This analysis involves two very important aspects, fundamental and technical. Dan Ho is an expert on technical analysis who does the trading too. You can get his book, or newsletter to help you start of with Forex trading. Or An online Forex course which is highly recommended for those who want to start this business can be a good option to consider.

However, you should never forget that global Forex trading is a highly speculative business where you can get a fantastic profit, or you can lose all of your funds as well. There is no guarantee here. Even having the best newsletter analysis service or Forex trading course are also not a guarantee for you profits nor able to prevent you against any losses.

What’s best needed here is having strong control over your impulses and emotions besides any methodological and technical tools. You also need to be disciplined and is alert to any fault in order to get your success in a global forex trading market.

Forex Funnel :The Martingale EA

Download

Instruction :

• Copy the .ex4 to your Metabroker\Experts folder and the .dll file to your libraries folder
  Then open your USD/JPY chart , 1H and active the EA , in the setting tick the box say Allow live trading and the "Allow import of external experts" box.

Requirement :

• Minimum equity of 2500$ per 0.01 lot traded so if you wish to trade 0.1 lot then you should have 25000$
• Leverage : 1:200 or higher

Setting :

• You can change the lot size to 0.01 per $2500 equity.
• The use time function is used if there is a big news announcement i.e non-farm payroll comes out on the first Friday of everymonth.
  This will stop the EA from making trades on that certain day so if you want to set it not to trade on that Friday, you would have "usetime" set to true then Sunday, Monday, Tuesday, Wednesday, Thursday, Saturday set to false and Friday set to true.
  Then once Friday has passed simply turn "usetime" to false again.
  Everything else would run on autopilot, please be informed that if trading 0.01 lots make sure your broker support this otherwise the system will not trade.

Disclaimer : This is full test version only. Use it at your legal-own-risk. For legal authentication please visit original website !

Good luck :)

The Affluent Desktop Currency Trader

The Affluent Desktop Currency Trader

By following the training and methods taught in this manual, you can utilise the time before you leave for work in the morning and the time you return home in the evening to earn you an extra $500-$1000! We’ve got to go through a lot of information in order for you to start trading successfully. I do understand that you want to rush out there and start making lots of money but this particular course takes time. Please make the effort to go through this manual at least twice so it gives time for the information to sink in.

To achieve $500-$1000 a week as spare income, it will take some time to learn the basics and then some more time to implement a method and various techniques to trade profitably.

Download

Blazing Trading System

Blazing Trading System

Exponential Moving Average 7-period (EMA7, Black Color in the illustrations)
Exponential Moving Average 21-period (EMA21, Blue Color in the illustrations)

These are standard, common indicators and are included in every
charting program. You can use any charting software program you
like: E-signal, MetaStock, TradeStation, MetaTrader….

Download

Smashing Forex

Smashing Forex

MACD Histogram (3,6,3).
That means MACD histogram set up with Fast EMA 3-period,
Slow EMA 6-period, Signal Line 3-period.
Exponential Moving Average 9-period (EMA50, Purple Color in the illustrations)
Exponential Moving Average 20-period (EMA20, Blue Color in the illustrations)
Exponential Moving Average 50-period (EMA50, Green Color in the illustrations)
Exponential Moving Average 200-period (EMA20, Orange Color in the illustrations)

These are standard, common indicators and are included in every charting
program. You can use any charting software program you like: E-signal,
MetaStock, TradeStation, MetaTrader….


Download

Surefire Trading Plans

Surefire Trading Plans

Download

BIRD WATCHING IN LION COUNTRY

BIRD WATCHING IN LION COUNTRY

by
Dir Du Toit

Download

New Signals by Winning Solution System Forex

WINNING SOLUTION SYSTEM SIGNAL
By: Winning Solution System V.9.4.3 Final Version


Hi Guys,

I have been busy recently, so I that I apologize that I can't continnue update the daily signals of winning solution system.

If you like to get winning solution system forex signals, you can visit this blog :
Winning Solution System Forex

Thank you for visiting my Blog!
Good Luck ^_^

Forex Fundamental Analysis - 26 February 2008

Fundamental Analysis

Tuesday, February 26th, 2008 (4:00 a.m. New York Time) GERMANY
At 4:00 a.m. we will have German IFO coming out. I don't recommend trading that.

Tuesday, February 26th, 2008 (8:30 a.m. New York Time) USA
At 8:30 a.m. we will have U.S. Core PPI m/m. This is a quite small indicator. It is expected to come out at 0.2%. In order to move the market, we would need to have a large deviation here. I would enter a trade with 0.2 deviation on Core PPI supported by 0.5 deviation in the same direction on headline. If the core goes the other way than the headline, or headline is just as expected, probably you would want to exit the trade rather sooner than later. Having said all that, if the core PPI m/m comes out at 0.4% or higher, I would sell GBP/USD and look for about 35 pips. If it comes out at 0% or negative, you may want to buy GBP/USD and also look for 35 pips move.

Tuesday, February 26th, 2008 (9:00 a.m. New York Time) USA
At 9 a.m. we will have U.S. S&P C20 House Price Index coming out. It is expected to come out at -9.7. I would enter only on positive deviation unless there is a great opportunity to enter at negative deviation. If it comes out at -9.3 or less negative, I would buy USD/JPY and look for 25 to 35 pips. I don't have a trigger for a negative deviation so I would say it would be a no trade - unless there is something crazy going on.

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Winning Solution System Signal - 26 February 2008

Forex Signals

WINNING SOLUTION SYSTEM SIGNAL

By: Winning Solution System V.9.4.3 Final Version

(Time Frame 30M)
Use 5-10% margin only! no more!
Valid Time 00.00 - 17.00 London Time


GBP/USD



[CLICK ON IMAGE TO ENLARGE]

Buy : @1.9683 | TP @1.9721 | SL @1.9653
Sell : @1.9643 | TP @1.9611 | SL @1.9673


GBP/JPY



[CLICK ON IMAGE TO ENLARGE]

Buy : @212.15 | TP @213.70 | SL @211.85

Sell : @211.75 | TP @210.59 | SL @212.05



EUR/JPY



[CLICK ON IMAGE TO ENLARGE]

Buy : @160.06 | TP @160.95 | SL @159.76
Sell : @159.66 | TP @159.03 | SL @159.96

Happy Trading ^_^

Disclaimer:
Trade the signals at your own risk.

Interested to Join Winning Solution System?
Click on the image below to get more information :

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Daily Market Comment - 26 February 2008

Daily Market Comment

EUR-USD	1.4830. It should be subject to more sell off towards 1.4802 or 1.4774. Corrective upward swings should face resistance around 1.4851 area. A break of 1.48615 is bullish.
USD-CHF	1.0894. Current upmove should continue up to 1.0932 or 1.097. Any correction should find support in 1.0892 - 1.0873 zone.
USD-JPY	108.06. Current upmove should continue up to 1.0932 or 1.097. Any correction should find support in 1.0892 - 1.0873 zone.
GBP-USD	1.9672. Current upmove should be over between1.9687 and 1.9663. A correction down to 1.9578 is anticipated. A break of 1.9710 is bullish.
EUR-CHF	1.6155. Current rise seems to be over near 1.6166 or 1.6189 for a retracement towards 1.6143 - 1.6127 area.
EUR-JPY	160.27. Current rise seems to be over near 160.34 or 160.81 for a retracement towards 159.87 - 159.60 area.
EUR-GBP	0.7538. One more dip to 0.7523 or 0.7508 is likely followed by a grind higher to above 0.7547 or 0.7570. After which it can resume its downtrend.
AUD-USD	0.9270. Currently uptrend should end around 0.9298 - 0.9290 area. A correction down to below 0.9233 is expected. A rise above 0.9310 will abort the expected correction.
USD-CAD	0.9962. Market should meet resistance at 1.0013. We expect then an extended move down to 0.9909 -0.9808 area.

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Forex Calendar - 26 February 2008

Forex Calendar
(GMT -5) Eastern Time (US & Canada)

Tue Feb 26	2:00am	EUR		German GDP q/q (r)			0.3%	0.3%
	4:00am	CHF		Consumption Indicator			2.150	2.200
	4:00am	EUR		German Ifo Business Climate Index			103.0	103.4
	4:00am	EUR		German Ifo Business Expectations Index			98.7	99.0
	4:30am	GBP		Business Investment q/q (p)			1.0%	2.0%
	6:00am	GBP		CBI Distributive Trades Realized				4
	8:30am	USD		PPI m/m			0.4%	-0.3%
	8:30am	USD		Core PPI m/m			0.2%	0.2%
	9:00am	USD		National HPI Composite-20 y/y			-9.9%	-7.7%
	10:00am	USD		Consumer Confidence			82.0	87.9
	10:00am	USD		House Price Index q/q			-1.0%	-0.4%
	10:00am	USD		Richmond Fed Index			-10	-8
	11:00am	CAD		BOC Deputy Governor Jenkins Speaks
	12:15pm	USD		Fed Vice Chariman Kohn Speaks
	4:45pm	NZD		Building Consents m/m				-5.2%
	7:30pm	AUD		Construction Work Done q/q			2.0%	2.8%
	9:00pm	NZD		Business Confidence			-25.0	-24.9

From: ForexFactory

	High Impact
	Medium Impact
	Low Impact

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Winning Solution System Signal - 25 February 2008

Forex Signals

WINNING SOLUTION SYSTEM SIGNAL

By: Winning Solution System V.9.4.3 Final Version

(Time Frame 30M)
Use 5-10% margin only! no more!
Valid Time 00.00 - 17.00 London Time


GBP/USD



[CLICK ON IMAGE TO ENLARGE]

Buy : @1.9682 | TP @1.9726 | SL @1.9652
Sell : @1.9642 | TP @1.9601 | SL @1.9672


GBP/JPY



[CLICK ON IMAGE TO ENLARGE]

Buy : @210.95 | TP @211.71 | SL @210.65

Sell : @210.55 | TP @209.79 | SL @210.85



EUR/JPY



[CLICK ON IMAGE TO ENLARGE]

Buy : @158.97 | TP @159.53 | SL @158.67
Sell : @158.57 | TP @158.09 | SL @158.87

Happy Trading ^_^

Disclaimer:
Trade the signals at your own risk.

Interested to Join Winning Solution System?
Click on the image below to get more information :

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Daily Market Comment - 25 February 2008

Daily Market Comment

EUR-USD	1.4831. One move lower to 1.4792 or 1.4752 is anticipated while below 1.4847 - 1.4867 area. Stop loss above 1.4902 zone.
USD-CHF	1.0849. It may meet resistance in 1.0849 - 1.0868 zone for a drift down to 1.0793 zone, after which bounce to 1.0884 is anticipated.
USD-JPY	107.21. Market should hold major support at 106.36 before rising towards 107.61 or even 108.01 limit.
GBP-USD	1.9671. One move lower to 1.9618 or 1.9564 is anticipated while below 1.9690 - 1.9717 area. Stop loss above 1.9762 zone.
EUR-CHF	1.6091. It should register further gains to 1.6151 while 1.6049 caps downside attempts. Stop loss below 1.6006 zone.
EUR-JPY	159.01. Market should hold major support at 158.32 before rising towards 159.47 or even 159.94 limit.
EUR-GBP	0.7540. It should test higher than 0.7554. Entry point are at 0.7532 and 0.7524. A break of 0.7509 is bearish.
AUD-USD	0.9234. Uptrend is still intact in a triangle configuration. It should continue to rally to 0.9254 or 0.9298 if support around 0.9219 hold. After which a pullback to 0.9219 - 0.9203 zone is possible.
USD-CAD	1.0122. It looks set for gains to above 1.0169. Supports at 1.0098 and 1.0121. A break of 1.0074 will damage this bullish structure.

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Forex Calendar - 25 February 2008

Forex Calendar
(GMT -5) Eastern Time (US & Canada)

Mon Feb 25	4:00am	EUR		Italian Retail Sales m/m			-0.1%	-0.3%
	4:30am	GBP		BBA Mortgage Approvals				42.1K
	9:50am	USD		Fed Governor Kroszner Speaks
	10:00am	USD		Existing Home Sales			4.80M	4.89M
	Tentative	CHF		SNB Chairman Roth Speaks
	1:50pm	EUR		ECB President Trichet Speaks
	3:30pm	USD		Fed Governor Mishkin Speaks
	6:50pm	JPY		CSPI y/y			1.4%	1.4%
	9:00pm	NZD		RBNZ Inflation Expectations q/q			2.8%	2.7%

From: ForexFactory

	High Impact
	Medium Impact
	Low Impact

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Forex Fundamental Analysis - 22 February 2008

Fundamental Analysis

Friday, February 22nd, 2008 (8:30 a.m. New York Time) CANADA
At 8:30 a.m. we will have Canadian Retail Sales coming out. I recommend trading the headline number but be aware if there is a conflict, the initial spike may be in direction of headline but then it may be muted or go the other way depending on numbers. I think 0.6 trigger can be used because every time we had 0.6 deviation or greater, we had pretty good price actions. It is expected it will came out at 0.7 (or sometimes 0.8). If the headline comes out at 1.4%, you may sell USD/CAD and look for 35 to 40 pips. If it comes out 0.2% or lower, you may want to buy USD/CAD and expect 35 to 40 pips in the first hour of the report.

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Forex Fundamental Analysis - 21 February 2008

Fundamental Analysis

Thursday, February 21st, 2008 (4:30 a.m. New York Time) UK
At 4:30 a.m. we will have U.K. Retail Sales m/m coming out. It is expected to come out at 0.25% (some people say 0.2% and some 0.3%). If it comes out at 0 or negative, I think it would be a good sell signal on GBP/USD or GBP/JPY, looking for 50 pips of a price action in a first hour of the report. If it comes out at 0.5% or more positive, I would recommend to buy GBP/USD or GBP/JPY. For more details how the price moved in the past, please watch the video.

Thursday, February 21st, 2008 (8:30 a.m. New York Time) USA
At 8:30 a.m. we will have U.S. Initial Jobless Claims. It is expected to come out at 349 K. If it comes out at 370K or more, sell USD/JPY and look for 30 to 35 pips move. If it comes out at 330K or lower, I would buy USD/JPY and look for 30 to 35 pips move.

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