Economic data releases are essential for a foreign exchange trader. These important economic indicators create volatility, and plenty of speculation is always surrounding them, and The United States' gross domestic product (GDP) is one such report. Not only do Forex traders continue to monitor this important piece of economic data, they use it to either establish a new position or support a current one. Gross domestic product is simply the total market value of all goods and services produced in a particular country. In the case of the...
The US has disappointed forex traders with several economic disappointments over the past few weeks. Most notably two non-farm payroll reports which came in much weaker than expected; last month’s non-farm payroll report was especially bad as weather had no impact on the disappointment in the US labor market. In addition plenty of regional manufacturing reports all came in much worse than expected which further pressured the US Dollar. Some have started to speculate that the US Federal Reserve may started to slow down its tapering or...
Forex trading is not something where you can just dive into without any experience and preparation. Even when you think that you are ready and prepared it seems it will become real once you send an actual trade to the forex market. Any broker that you will choose to trade with will offer you a demo account or real account. It is up to you to decide where you going to dive in, demo or real forex trading. Your forex broker will give you an opportunity to open a demo account with the exception that the money in the account is not real....
You have probably read about professional traders hedging their forex trades and wondered what exactly that means and how it is done. Most traders do not understand how to hedge or do not see the benefits of it and dismiss hedging altogether. You are likely to come across more uneducated traders claiming that hedging is counter-productive or lacks positive impacts than those who understand hedging. When you trade your own money in your own forex trading account then you need to make your own decisions on what you think is the proper way to...
We have previously answered the question: Do you trade the proper lot size in your forex account? There are plenty of new traders who did not understand the importance of trading the proper lot size and how it affects their overall portfolio and trading performance. Too many trade a lot size which is far too excessive for their portfolio size and over the long-term are faced with heavy losses as a result of that. Today we will cover how many trading positions your forex portfolio can hold while not exposing you to a dangerous amount of risk....
