The Best Forex Broker: One for Everyone

Real Source: http://www.earnforex.com/articles/the-best-forex-broker-one-for-everyone

Dishonest and illegitimate brokers who defraud their customers are a disgrace to the online Forex brokerage business. Many traders are rightfully scornful of those who lack the basic decency to allow them to withdraw their funds, even after losses. And sometimes traders can't help but feel that if they could just locate that best Forex broker hidden somewhere in the far reaches of the cyber-jungle, trading and profiting would give the taste of fine French wines, instead of the usual vinegar. But are Forex brokers really such a wicked lot that even the Evil One himself is put to shame by his incompetence in comparison? Is the oversight of multiple government agencies, newspapers and the trader community insufficient to convince them to behave like normal people? Most importantly, since retail Forex is like a shower of gold and silver for online brokers, do they really need to kill their Golden Goose by defrauding traders and destroying their Forex strategies through misquotes and stop-running?

The fact of the matter is that the number of fraudsters in the Forex market is a lot smaller than what many disgruntled traders believe. If you have the misfortune of being a victim of one of them, no doubt, our words will not do much to help you trust the brokers. But we invite you to recall the fact that there are a significant number of firms which have been in operation for many years in nations where regulation and oversight is strictest. Surely, a broker with a long history in Switzerland does not prove much about the reliability of Forex brokers, but others headquartered in New York, and monitored and authorized by the authorities for years cannot have had the skills to keep everyone blind for so many years. Forex is risky, and requires patient study, but it is no longer a shady corner of the internet world: it is regulated and monitored, and more and more a part of the mainstream of financial business.

And while we'd love to send you to the best broker in this article, the good news is that we don't even need to. There are a large number of firms operating online today which cater to different kinds of investors with different expectations and skills. If you're a professional, you will not be equally satisfied by the offer of a decent, legitimate broker which caters to beginners and average traders for the most part. As a beginner, you're unlikely to have all your needs expectations fulfilled by a well-established firm with excellent services and yet a significant minimum deposit requirement. It is this diversity of offers that makes online Forex the field of pioneers, and such an exciting place to be for traders. If you're one of those brave people who want to explore this brave new world, go check your Forex broker ratings now, and who knows, maybe you'll grow to become the next Martin Schwartz of the century. Anything is possible in Forex.

By Carl Hayes

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Choosing Your Forex Broker... Important Facts

Real Source: http://www.earnforex.com/articles/choosing-your-forex-broker-important-facts

The best advice I can give to you is to conduct yourself like a boss interviewing a potential employee. This employee will be making major decision on your financial future (or lack there of) and therefore it is of most importance that you ask the right questions. This decision cannot be taken lightly as must be well thought out. I would interview (more like grill) at least 5 potential Brokers before picking the final two.

When choosing a forex broker there are many factors to take into account.

— Trust

— Experience

— References from past clients

— Level of success

— Amount of advice to be given

— Convenience

— Amount of margin offered

— Speed

All of the above are of course important. In any financial transaction it is important to trust the broker you work with. This trust is garnered by the experience level the broker has. Of course there are some new brokers starting out who are quite trustworthy, but most people would rather work with an experienced broker. For that reason most new brokers attach themselves to a firm where they can be mentored and gain experience.

References from past clients are important. If your broker has helped someone else is successful in the past and that person is willing to speak up for him that says a lot. You can gage the level of success your broker has had by speaking with past clients and seeing how well they did working with this broker. Next, take a look at the amount of advice your broker is willing to give you. Of course, you make your own decisions and will never take another person's word for everything, but it is good to have knowledge to work with, and advice from an experienced broker is key information to factor in. Convenience is also impotent. If you live in California then an Ohio broker might not be the best choice. But in the age of the internet that factor has become less relevant. With fax and email where you and your broker live has become less important.

The amount of margin offered is important. Margin is used to leverage your money. A broker who gives you a 50 to one margin is more valuable than one who gives you 20 to one. And of course speed. Is your broker quick? Does he return phone calls and emails promptly? If so, perhaps you can work with him.

Your broker will b a trusted advisor and someone that you may be working with for years to come so choose the relationship carefully. Ask friends and acquaintances who are active in forex trading what broker they use and how they met. It is quite possible that you can get a referral from a friend or acquaintance you trust and acquire a good forex broker that way.

Another good way to find a forex broker is to go online. There are message forums, chat rooms, and email groups through portals like Yahoo, Google and MSN that contain a wealth of information. Getting onto one of these online communities and asking other people for advice is the way that many people found their broker. If a broker has several clients in an online community who are happy with what he has accomplished for them, then that is a good indication that you might be happy with him as well. Take advantage of the number of people who are on the internet and join some of these online communities. Ask question and you'll probably learn a great deal from the experiences that other people have had. Also find trade journals, magazines and ezines to subscribe to. Read as much as you can about the subject of forex trading before going into it. Become a smart shopper and smarter trader.

Finding a good forex broker is a job in itself. When you visit with a forex broker you are in essence conducting an employment interview to determine if this is the broker you wish to handle your financial affairs, so be thorough. Ask plenty of questions. Ask for references. Don't be shy. Also check with other people in the office of the broker and see if you would trust them to fill in for your broker if he were not available. And, see if the broker is willing to offer you a demo account to use to get in some practice before you actually make an investment. If the broker is able to do so and encourages you then it means that the broker wants educated clients and is not just out for the quick buck. See what kind of training and tutoring the broker is willing to offer. A good broker will offer to answer your questions and help you through the learning process.

by David Mclauchlan

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How To Spot Forex Fraud

Real Source: http://www.earnforex.com/articles/how-to-spot-forex-fraud

As the popularity of Forex increases so do the number of scam artists attempting to cash in on the Forex gravy train. Since Forex involves trading money internationally, often over the Internet, a whole new breed of scams have come about. Ironically many of these scam artists are finding their marks through newspaper, television or other print media advertisements.

While these scams are generally easily spotted by experienced traders, new speculators may have problems knowing the difference between what is real and what isn't. It is absolutely essential to thoroughly research Forex trading, and any potential companies you may trade with before making an initial investment. The last thing you need is to find out that the company you have invested with is under investigation by the SEC for fraud. In this type of circumstance it can often be impossible to retrieve your money as the claims from all fraud of participants will be higher than the total payouts the government can guarantee.

One way to spot a scam on Forex is when someone promoting a Forex system guarantees no risk. It is a fact that there is risk with Forx trading, and generally anyone who claims otherwise is a liar, or more likely a criminal. Trading in Forex successfully requires knowledge, discipline, and a trading strategy. But there is no magic software or no risk way to assure that you will make money.

Another red flag indicating a sure sign of a Forex scam is a web site that guarantees profits. Nobody can guarantee profits and Forex trading. It is up to you as an investor to perform. If it were possible to guarantee profits in Forex trading then nobody would need to start a business showing others how to make guaranteed profits. The profit potential for anyone who could guarantee profits would be so enormous in Forex trading, that they would quickly become a billionaire by trades. So why would they waste time teaching others?

Another common tactic of Forex scam artists is to promise employment opportunities for people using their system. This is usually a trick to get you to spend your money with them. They are fishing for people with capital who can fund their enterprise. They typically promise to offer firm money to people using their system. But why would they do this? Instead what happens is they lure people into their training systems and convince people that they have done so well in the training session that they should start using their real money in order to make a fortune.

All reputable Forex trading web sites will be a member of the CFTC or the NFA. Make sure to check the company's claims out and assure that they are members of one of these organizations before dealing with them.

Keep in mind that Forex is a relatively unregulated system of exchanging money. In many cases Forex scams can become highly technical, involving brokers manipulating prices in ways that cannot be tracked by the average trader. Because of this is essential that you not become a mark for such brokers.

In the United States the CFTC is the federal agency responsible for regulating the trade of Forex currency. If you suspect that you have been a victim of some type of fraud contact the CFTC. They have jurisdiction for investigating and enforcing the laws.

by Willie Reynolds

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Forex Signal Services

Real Source: http://www.earnforex.com/articles/forex-signal-services

What are Forex signals? Forex signals are paid services offered by some brokers and independent Forex annalists. Companies that offer forex signals monitor and analyze the market for you, providing you with their data via desktop alerts, email or even SMS and pager alerts.

Forex signal services analyze several factors when preparing their data. They do a technical analysis of market conditions and use a combination of indicators to identify trends and isolate profitable entry and exit points. They then send you the results via the venue of your choice and you can choose to use the signal in your own trading, or pass on it.

Most forex signal services offer signals for only a handful of the most popular currency pairs, such as EUR/USD, USD/JPY, GBP/USD, USD/CHF. Occasionally, you can find specialty services that offer signals for other lesser traded pairs. Forex signals can be costly, even upwards of $100 / mth. The benefit of subscribing to such a service is that they analyze and crunch the data for you, saving you time. It should be noted, however that using a signal service is no substitute for a proper education in the Forex markets. Signal services give you data, you still need to know what to do with it.

When shopping for a signal service, make sure that they provide you with historical data so that you can see their track record for yourself. Remember, that like any trader, Forex signal services also have loosing trades. You shouldn't expect a signal service to be a sure ticket to instant Forex wealth, but rather look at them as another tool in your trading toolbox.

by Amber Lowery

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Trade Idea Wrap-up: USD/CHF – Buy at 1.0050

USD/CHF - 1.0132

Most recent candlesticks pattern : N/A
Trend : Down

Tenkan-Sen level :1.0086
Kijun-Sen level :1.0085
Ichimoku cloud top :1.0045
Ichimoku cloud bottom :1.0009

Original strategy :

Buy at 1.0075, Target: 1.0200, Stop: 1.0025

New strategy :

Buy at 1.0050, Target: 1.0190, Stop: 0.9995

As dollar has retreated after intra-day rally to 1.0171, suggesting minor consolidation would be seen, however, as temporary low has been formed at 0.9933 earlier this week, downside should be limited to 1.0045-49 (previous resistance turned support and current level of the Ichimoku cloud top) and renewed buying interest should emerge there and bring another rise. Above said resistance would bring retracement of recent decline to 1.0210 minor resistance, however, near term overbought condition should limit upside to 1.0250/55 (61.8% Fibonacci retracement of 1.0451 to 0.9933) and price should falter well below resistance at 1.0278.

In view of this, we are looking to buy dollar on pullback, only below intra-day support at 0.9997 would abort and signal the correction from 0.9933 has ended, bring resumption of decline for retest of 0.9933.

No update on 17 Sept and next update on Monday 20 Sept.

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Euro's long term uptrend started in Feb 1981 at 0.5039 and is unfolding as a (A)-(B)-(C) move with (A): 0.8433 (Feb 1993), (B): 0.5682 (May 2000) and

Real Source: http://www.actionforex.com/trading-signals/elliott-wave-daily/trade-idea:-eur%10gbp-%E2%80%93-sell-at-0.8450-20100916122491/

EUR/GBP – 0.8378

Recent wave: v of wave 3 has possibly ended at 0.8067 but wave 4 should hold below 0.8600

Trend: Down

Original strategy :

Sell at 0.8450, Target: 0.8300, Stop: 0.8510

New strategy :

Sell at 0.8450, Target: 0.8300, Stop: 0.8510

As euro has risen again after intra-day brief retreat to 0.8310, suggesting near term upside risk remains for the corrective rise from 0.8143 to bring stronger retracement of the fall from 0.8532 to 0.8415/20 and possibly towards 0.8450/60, however, as wave 4 top has been formed at 0.8532, upside would be limited and bring another retreat retreated later. A drop below 0.8300/10 would be the first sign that top has been formed, bring weakness to 0.8250/60, however, only break of support at 0.8202 would confirm rebound from 0.8143 is over, then retest of this level would follow.

In view of this, we are inclined to sell euro on next rise. Above 0.8500/10 would risk a retest of 0.8532 but only break there would signal only a leg of 4 has ended at 0.8532, followed by b leg at 0.8143, then c leg of 4 may bring stronger rebound towards 0.8590/00.

On the downside, only break of support at 0.8143 would retain our bearishness and signal wave 5 decline from 0.8532 has resumed and extend weakness to 0.8100/10.

Our preferred count is that, after forming a major top at 0.9805 (wave V), (A)-(B)-(C) correction is unfolding with (A) leg ended at 0.8400 (A: 0.8637, B: 0.9491 and 5-waver C ended at 0.8400. Wave (B) has ended at 0.9413 and impulsive wave (C) is now unfolding with 1: 0.8603, 2: 0.9150 and wave v of wave 3 has ended at 0.8067 and the wave 4 correction has either ended at 0.8532 or may bring stronger retracement but reckon 0.8603 (wave 1 trough) would cap upside, bring subsequent selloff in wave 5.

No update on 17 Sept and next update on Monday 20 Sept

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EUR/GBP Elliott Wave Analysis

EUR/GBP – 0.8372

EUR/GBP – Wave (A) from 0.9805 top ended at 0.8400 and (B) ended at 0.9413

Although the single currency has rebounded after finding good support at 0.8202, if our view that wave 4 correction has ended at 0.8532 is correct, upside should be limited to 0.8410/20 and bring another decline later. Break of said support at 0.8202 would add credence to this view and bring retest of 0.8143, however, a daily close below there is needed to retain bearishness and bring further weakness to 0.8100 in wave 5, then retest of recent low at 0.8067 and later test of psychological support at 0.8000.

Our latest preferred count is that the wave V of a 5-wave series from 0.5682 ended at 0.9805 earlier and major A-B-C correction is unfolding with A: 0.8637, B: 0.9491 and wave C is a 5-waver with 1: 0.9158, 2: 0.9418, extended wave 3 ended at 0.8576 followed by wave 4 at 0.8868. The wave 5 has ended at 0.8400, this also mark the end of larger degree wave C as well as (A).

The rebound from there to 0.9413 is the wave (B) which followed by wave (C) and the break-down is 1: 0.8603, 2: 0.9150 and wave 3 has possibly ended at 0.8067 and a leg of wave 4 correction has met indicated upside target at 0.8481 and the retreat from 0.8532 suggests A leg has ended and B leg may bring weakness to aforesaid downside target but 0.8150 should contain downside. Looking ahead, a daily close below 0.8100 would signal the wave 5 of (C) is underway and bring retest of 0.8067, then psychological support at 0.8000 and possibly to 0.7900 but reckon 0.7744 (50% Fibonacci retracement of 0.5682 to 0.9805) would hold.

On the upside, above 0.8490/00 would prolong consolidation and risk test of 0.8532 but only break there would signal c leg of wave 4 is underway for stronger recovery, however, price should falter below wave 1 bottom at 0.8603.

Recommendation: Hold short entered at 0.8400 for 0.8150 with stop above 0.8490.

Euro's long term uptrend started in Feb 1981 at 0.5039 and is unfolding as a (A)-(B)-(C) move with (A): 0.8433 (Feb 1993), (B): 0.5682 (May 2000) and impulsive wave (C) should have ended at 0.9805 with wave III ended at 0.7254 (May 2003), triangle wave IV at 0.6536 (23 Jan 2007) and wave V as well as wave (C) has ended at 0.9805.
Therefore major correction has commenced from 0.9805 and weakness to 0.8230 (38.2% Fibonacci retracement of 0.5682 to 0.9805) would be seen first, then to 0.8000 and later 0.7744 (50% Fibonacci retracement).

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