What Is the Best Forex Trading Software in the Market ?

What Is the Best Forex Trading Software in the Market?

To get started with Forex trading, basically all you need is a computer and an Internet. But after signing up with a broker they will often provide you with their specialized software to make your trading easier. This software can be either web based or can be installed on your computer and run from your desktop.



The web based software has the advantage of being able to run on any operating system, without any installation. On the other hand, installed software generally runs faster and keeps your data stored locally.



A common question which brokers get asked is “what is the best Forex trading software on the market?” But in reality there really isn’t one specific software program that suits everyone. Forex traders will have their own preferences as to which type of software they find best suits their needs, and consequently will have their own opinions as to which is more effective for them.



But to give you an idea of what’s available we will look at some of the more popular platforms.



Meta Trade 4



Beginners to Forex trading quite often start off using Meta Trader 4 which can be used for Forex and CFD trading. This is a very powerful platform and popular with many of the more experienced and professional traders. Meta Trader 4 has a quick response time in regard to executing transactions and provides advanced technical analysis in addition to its automation capacity. You are able to access a wide variety of indicators and graphical instruments and create personalized expert advisers (EA). By using a software platform such as Meta Trader 4 you are able to enhance your trading time and experiences.



Market Trader



Market Trader is a similar platform to Meta Trader 4 in that it has a good CFD and Forex trading capacity. The downloadable graphical software is easy to install and use. It comes with a flexible interface that you can easily operate by using drag-and-drop commands with your mouse. You can gain a lot of benefits from your Forex trading experience by using real time graphics and professional analytical tools for developing a good and reliable trading strategy.



Market Web Trader is a simple platform that can be synchronized with your Meta Trader 4 account and the software provide access to all the exchange markets.



Market Java Trader



Market Java Trader is a Java based software and doesn’t require downloading and installing. It is intended primarily for those traders who need instant accessibility. Market Java Trader is equipped with all the powerful tools of Market Web Trader, allowing you to trade from any browser. Last, but not least, a professional Forex trader is able take advantage of any tool to keep trading and check out the updates including from their mobile phones.



Markets.Com



This application provides customers with three different mobile applications, being an iPhone application (Market iTrader), the well known Market Mobile Trader for smartphones and the WAP i-mode application Market WAP Trader.



So to go back to the original question as to the best Forex Trading software, only you can decide which one best suits your purposes, each has its own advantages and disadvantages. Whichever you decide to use, it’s important for you to feel comfortable and confident that it provides what you need.

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What Sets the Forex Market Apart?

What Sets the Forex Market Apart?

The forex market is one of the most interesting trading markets out there because there are so many different aspects that make it unique.  While many traders are familiar with the stock market and even commodities, these pale in comparison to the sheer volume traded on the currency exchange markets, more commonly referred to as the forex market.



The first thing to know is that the forex market is by far and away the largest trading market in the world with a volume that is in excess of $4 trillion USD a day.  No other market comes remotely close to matching this sheer trading volume.  Currencies are always traded in pairs, so a USD/JPY trade means US dollars are being used to buy Yen, while selling those positions means those Yen are used to buy dollars. 



While trading can be done with minor currencies, the majority of trades are from the eight "major currencies" of the U.S. Dollar, Canadian Dollar, British Pound, Swiss Franc, Euro, Japanese Yen, Australian Dollar, and New Zealand Dollar.  This is why economic reports from these eight regions are so important since those directly affect the price of each currency in relation to the others.



The next thing to know about the forex market is that trades are heavily leveraged.  This is what gives the opportunity for huge profits but also opens the door for impressively big losses as well.  Normally in the forex a trade is leveraged at 100 to 1.  This means a single dollar put down for trading controls $1,000 of currency that's being traded.  This is how a change of .001 can lead to profits or loss - because the leverage is so heavy.



So who trades the currency market?  The market is available and open for general trading, so anyone with an Internet connection can open up an account.  Day traders are a prime example of individuals who trade the Forex.  Many large banks and financial institutions participate as well.



One word of warning: trading the forex is nothing like trading in commodities or the stock market.  The combination of market volatility and leverage can be a very dangerous combination despite the opportunities that abound.  Many traders have gone in who were successful at stocks and commodities but ended up getting hammered when they tried to wade into the forex without doing their homework.



The forex is unlike any other market in the world.  Not only is trading so wide spread across many different nations and currencies, but the market is active 24/7, six days a week.  Forex might be relatively new on the scene when it comes to trading markets, but it's not one to be taken lightly and it's not one where you can rest on past laurels to carry you through.  To be successful a trader has to be on top of his or her game for every single trade because one bad run can completely wipe out a position.



At the end of the day however there's no denying that no market offers the opportunity of the forex market.

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Who Is Involved In Forex?

Who Is Involved In Forex?

There are in excess of one hundred different official currencies globally.  Most international trades and payments use the U.S. dollar, Euro or Yen and there are several players in this market.  Currency trades can be done via spot transactions, swaps, option contracts and forwards.



Central Banks



The central banks form a very important part of the foreign exchange market.  Interest rate policies and open market operations of the central banks play a huge role in currency rates.  Central banks make decisions regarding the regime that will be used to trade their currency in the open market.  The different types of regimes are pegged, fixed and floating types.



The actions of the central banks are done mainly to increase the value of the currency or to stabilize the rate.  Central banks along with governments often intervene in currency trade to boost or limit their currencies.  For example, a central bank may decide to weaken its currency during prolonged deflationary periods.  To do this, the bank will create an additional supply and use it to buy foreign currency.  This causes a weakening of the local currency which makes exports in the global trading market more competitive.  Central banks utilize these different strategies in an attempt to abate inflation, but forex traders can use this to their advantage if they keep abreast of developments.



Banks



The interbank market handles the largest volume of currency.  The interbank market is the place where all banks trade currency.   Banks undertake foreign exchange transactions on behalf of their clients and do speculative trades as well.  Banks who undertake speculative dealings on behalf of their clients normally make a profit based on the bid-ask spread. 



Corporations



Businesses that are involved in importing and exporting require foreign currency to pay for services and goods.  An example of this is a European company who imports parts and components from an American company and sells their finished product to South Africa.  Once the sale of finished goods has been finalized, the South African Rand has to be converted to Euros.  The European company will need to exchange those Euros to Dollars to pay for the components bought from the American company.



To limit their risk of currency fluctuations, the European company may choose the option to buy U.S. dollars via the spot market, or it may enter into a swap agreement.  If it enters into a swap agreement it will obtain the U.S. dollars in advance to reduce the risk attached to fluctuation.



Hedge Funds and Investment Managers



Portfolio managers, hedge funds and pooled accounts are the second largest players in this financial market, second only to the banks.  The managers of investment funds usually trade currencies on behalf of large accounts such as endowments and pension funds.  Investment management firms who handle large international portfolios need to sell and buy currencies to trade with foreign securities.  Investment managers often undertake speculative trades as well, as do hedge funds.



The main players in the foreign exchange market are banks, investment management firms and hedge funds.  Central banks play a huge role and individual investors are the smaller players.

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Why Forex Is The Best Market For New Traders.

Why Forex Is The Best Market For New Traders.

It is my belief that Forex is hands down the best market for new traders. When everyone thinks about trading, they automatically think about the Stock exchange. What they don't understand is that it cost a lot of money to actively day trade the stock market. By law, the SEC, requires a large minimum balance for day traders. In this article, I will give you several examples why new traders will find it easier to trade the Forex market as day traders and as other short time frame based currency traders in this market.





There are some inherent advantage to Forex. The first benefit is that you can fund an account with a broker with as little as $5 and as much as a million. Forex makes it so that any trader, no matter their account size has an opportunity to trade. Another advantage of Forex is the fact that you have a lot of leverage you can use, you can use up to 1:400 leverage with some Forex brokers. Leverage is the same as buying with margin. Stock brokerage accounts do not provide this amount of leverage. All short term traders need high leverage to make the most out of their small incremental wins.





More opportunities to trade equals more money that can be made. The stock market opens at around 8 in the morning and closes before 5 pm, that is a short window to trade and makes it so that anyone with a day job can't trade. Forex doesn't have this problems. Forex is a 24 hours market that you can trade anytime of day. It is a global market with participants from all around the globe trading  at every hour of the day, it never closes. You can trade before work and after work.





Open crossover is another reason why Forex is so great. Although, the Forex market is open 24 hours, it does have several opens. An open is when a countries banks start trading. For example, London's open is at 3 am EST and the US open is at 9 am EST. There are also opens for the Asian countries too. What this means that their is a ton of liquidity being pumped into the market through out the day. When these trading periods cross over you have a ton of people moving the market. For day traders and scalpers this is a goldmine.





As you can see, Forex is the best market for a new trader to trade. They will find greater success in Forex than in any market. It is also easier to open an account and get high leverage in Forex. One of the great benefits of Forex is that it is a 24 hour market that you can trade day or night. A new trader can go to work in the day and come home and trade during his or her leisure time. It is a market that gives the trader the advantage.

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Why Use A Foreign Exchange Calendar ?

Why Use A Foreign Exchange Calendar?

Foreign exchange trading is more often than not based on assumptions determined by a volume of data.  It is possible to predict the future by the use of historical forex information, however, care should be taken when this is done.  The volatility of this financial market makes it difficult to predict the future.  You should consider using a foreign exchange calendar to provide you with an edge when you predict trends.



Events



One of the economic events that is currently affecting forex rates is the rate of unemployment.  News releases on this and other economic factors that affect financial markets are constantly being made available.  Some of the other events that you should be aware of for effective trading are non-farm payrolls, interest rates and consumer price indices.



Be Aware When Trading



Your trading method is an important factor, but it is also important that you keep up to date with current events and future events that will have an effect on your trading options.  If you are not aware of the latest economic trends, you may be unaware of adjustments that may be necessary to improve your strategy.  The use of technical analysis methods is highly dependent upon the current trends and global events.



Although you may be making consistent profits with your current strategy, if you ignore potential risky events, you could be putting your money at risk.  The use of a calendar will allow you the opportunity to access readily available information which you can prepare for.  This will help you avoid any sudden changes that could potentially turn the tide against you.



The calendar is used to keep up to date about major announcements released by different countries across the globe.  If you are aware that an announcement is pending, it is best not to trade.  The best method is to abstain from trading for at least two or three hours before you expect an economic data release for your trading currency pairs.  For example, if you are trading GBP/USD and you are aware of an impending event such as interest rate announcements, you should refrain from trading before it is released.  This will aid you in avoiding the major slides that often take place when the announcement is finally released.



Currencies generally experience a huge swing just before these major announcements.  Once the market settles down, the trend will be reversed.  You do not want to get caught up in these fake signals as it might cause panic.  It is advisable to check the signals once the market has had time to settle which should be about half an hour after the event.



When you use a foreign exchange calendar, you will be able to mark the events that you feel are relevant to your trading pattern.  You will have the opportunity to highlight the main announcements linked to your trading pairs.  Many of the websites where you are able to access the calendar have tutorials on how to effectively use the calendar.  They also indicate when you should make your trades and explain how the economic announcements may affect your trades.

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Free Forex Advice For Beginners

Free Forex Advice For Beginners

There are many ways of making money in life, and one of them that has gained a massive following in the last few years is Forex trading. This involves the trading of currencies, and you are basically betting on whether the market will move up or down over a period of time. In its basic form, this is no more than a 50/50 coin toss, so a strike rate of 50% is the worst you should do. To make a profit you will need about a 60& to 65% success rate though, as you need to take into account the broker fees you pay on each trade, win or lose.



Software



There is so much software available to trade on Forex these days, a newbie can get confused before they have even started. The best advice is to use MT4, as it is free open source software that nearly all brokers use. It is well supported and is great for the beginner and experienced trader alike. Once you really get under the bonnet of MT4 it allows you to program your own bots, and that is not as difficult as it may sound. You can use the brokers own software, although if in the future you switch broker to take advantage of lower fees then you will have to learn new software from scratch, you will not have that problem with MT4.



Brokers



There are a lot of brokers around these days, but you are best sticking to the well-known ones that have been established for a few years. Do not be drawn in by the offer of low fees, a flashy looking web site, all may not be what it seems with smaller brokers. Always do your research first before registering for an account, and ask about the company you are interested in on Forex forums before giving them any of your money. The established brokers want you to win, and so will give you a lot of excellent free advice. This is because the more you win, the longer you will stay with them and trade higher amounts of money, as this equals more profit for them.



Money



If you have never traded on Forex before then you should never deposit more than $100, and use a micro account where you are only trading in cents. In fact, use the brokers demo account first. If you then find yourself making consistent profits, then switch to a real money micro account and see if you continue to make profits for at least a month. Only then should you increase your stakes. Beginners who go in and deposit $1000’s are just stupid, and more than often than not they will lose all of their money.



Trading on the Forex markets can be as easy or complex as you want it to be. The best thing it to keep it simple, ignore all of the graphs, and just watch the markets. Always go with the trend of a market that has been moving in one direction for a few days, as this will improve your strike rate.

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Forex Why I Use An Empty Chart

Forex Why I Use An Empty Chart

I am one of the few traders who doesn't use any type of technical indicators. I trade using a raw candle stick chart with nothing on it. I don't even use moving averages. How did I come to trade like this? I came to trade like this after losing my money over an over again. The methods that called for using these indicators didn't work for me and it didn't fit the way I think and trade. I find that those lagging indicators just get in the way of what truly matters in the market, price.





Price is the only thing that matters when you trade Forex. The only thing you should care about is where was the market, where did price go and where do you think it will go. Trading is not a science and it is far from a solved game. Everyone is using guess work to make their trades. The only difference is that some have advanced computers and mathematicians who create predictive algorithms that help them guess without human subjectivity and others are making uneducated guesses. We will never be able to make predictions like the super computer using banks but we can give ourselves a leg up by using price action.





When the chart is empty, all you have to look at is the flow of prices staying steady or moving up and down. I really enjoy this because it gives you a true picture of the market. People cloud their screens with technical indicators because they falsely believe that they can help them predict the market but this is not true. Just watching the price action is all you need to predict the direction of the market. It isn't 100% accurate but nothing is in trading.





What are some methods I use to trade without indicators. I like to trade trends and I have created many methods to try and spot when price will go up or down. One method that I like to use that is based on price action is to watch how banks accumulate shares. The accumulation stage of trading is when the price action is a bit choppy. It's not going to much up or down and it always reverts back to a central trading range. Many traders do what is called range trading during these times of consolidation.





What I like to do instead is follow all the false starts. A false start is when the price action start to make an acute move up or down. Normally when this happens, a banks is either buying or selling. They are also often times trying to fake out their competitors (you and I) to jumping onto a false move. When enough people jump onto  a false move these fake outs gain temporary momentum. The institutional traders know that this  movement in price can't last so they start to take the opposite side of the trade and when the price corrects itself and everyone is selling our buying off in fear or greed, the institutional trader who started this fight collects a ton of pips.





An indicator could not provide you that type of insight.

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