December 10th, 2013
Savings are generally put into the safest places which make it possible for you to have a free access to your money whenever you want. Savings products contain checking accounts, savings accounts, and certificates of deposit. Actually most smart investors put money in saving product for covering an emergency such as sudden unemployment. Most of them try to put their income of six months into savings to feel safe that they can take it whenever they need.
However it’s essential to turn out whether your saving account is safe if you leave all your money there for a long time. To illustrate what is said we can bring an example. You save let’s say a dollar when it can buy a loaf of bread. And some years later when you already need to withdraw that dollar plus the interest earned on it you can buy only half a loaf. Therefore a lot of people save their money and meanwhile try to invest so that they earn more over long periods of time. Continue reading…
December 6th, 2013
Deciding on the best investment depends on one’s goals, need for money and risk tolerance. Different purposes require different approaches and hence places of investing. Now let’s take retirement; if you want to invest money 30 year before you retire you will be likely to consider rather riskier investment products. This is because you take into account that in case of sticking to only “savings” products or to less risky investment products your account will increase very slowly.
The investment for short-term goal, let’s say a few years, does not require risky investments, as during the time of sale you may have losses. People usually make a mistake by putting the money in investment which they won’t need for a long term and thus pay a low amount of interest. Considering that investments frequently move up and down in value you can wait and sell at the best possible time.
December 3rd, 2013
Spread trading is the simultaneous buying and selling of two related securities. These two transactions (buying and selling) are tied together and form a single unit. Each of them is accepted to be called “leg” which consists of options and futures.
The objective of spread trading is making a profit from the difference between the two legs, named spread. It serves as a way of taking advantage from market inequities. By the use of relatively small investment traders can make a big profit.
Spread trade combines long and short positions put on simultaneously which helps to reduce the risks of holding only one of them. Let’s assume that the trade is based on a spread in oil. If its price increases, the profit on the long position will compensate the loss on the short one. And, conversely, the reverse situation will occur if the price falls. Continue reading…
November 29th, 2013
How it becomes possible that some traders are successful and trade with profit whereas a group of people complain that everything goes bad and mainly leave the position as losers. The same prices, the same news and chart patterns are available to all of them however not everyone manages to reach the trading goal. So what is the reason that some of them let the trade as winners and for some traders it is a real catastrophe?
Your trade and your feelings
In Forex trading and CFD trading psychology is of vital importance. It can influence the trade both positively and negatively. However, note that emotional trading mostly tends to make negative impact. Now let’s understand one by one which feeling and psychological state what consequences may bring. Continue reading…
November 26th, 2013
From the two analyses technical and fundamental it has always been quite difficult for traders to decide which one to use and consider more profitable. Most traders contradict those two types of analysis considering each of them separate approaches to trade. Now let’s understand the objective of each analysis method and most importantly reveal their correlation.
Fundamental analysis helps to determine the price of an asset by taking into account the macroeconomic events, financial analysis and business strength.
Technical analysis relies on the analysis of market considering the past performance of market, statistics of various outcomes, chart activity of price movements, volume and moving averages. Continue reading…
November 19th, 2013
Eurozone consists of nearly two dozens of countries, each having its own economic characteristics. The sovereign debt crisis that erupted in the region has brought down stock markets of all countries. But the reaction could not be quantitatively the same everywhere. In this article we will try to investigate the behavior of the major German index DAX and the major French index CAC 40, to compare their dynamics in order to determine the relative pace of recovery of each of them in the last several years.
The idea of comparing the two indices, DAX and CAC40, is based on the assumption that the German economy in recent years has been the locomotive of the euro zone, almost a guarantor of stability in the region.
November 15th, 2013
Trading platform is a computer software by which traders and investors can quite easily open, manage and close market positions, as well as chart the markets, place orders for financial products and perform stock screens. Traders from diverse parts of the world are able to carry out trading transactions due to the availability of online trading platforms. It is a type of software that serves as a transmission of information between a trader and a broker.
Carefully scrutinizing the platforms will make apparent the diversified nature of Forex trading platforms. Some platforms are intended to allow individuals to enter financial markets letting them take advantage of margin trading and derivatives such as contract for difference (CFD). Some platforms may be designed for high-frequency trading or for automatically trading specific strategies based on technical analysis.
Through currency trading platforms traders have an opportunity to use charts and order-taking methods. Most trading platforms offer other securities like stocks or futures hereby they may vary in cost.
November 12th, 2013
New Capacities of NetTradeX Trading Platform
The trading-analytical platform NetTradeX, developed by a group of highly qualified programmers of a company with the analogous name NetTradeX Corp. (www.nettradex.com), has been recently gaining more and more popularity among traders and investors, trading in financial markets. An active appliance of NetTradeX is observed in such countries as Japan, Iran, India, Indonesia, Arabic countries, Russia and others.
This platform provides clients with wide opportunities for technical analysis, as well as for trading various instruments in financial markets, such as Forex, CFD, Futures, Stocks, etc. NetTradeX can be used by installing it on a PC, it is also available on mobiles and tablets.
November 8th, 2013
Forex and CFD trading are considered the most popular and modern ways of making money. Nevertheless, trading is not something to be realized quite easily and without much effort.
The most important factor in trade is trader’s psychology and his sentimentality into making decisions. Surely, each trader is provided with the same conditions to make money, but because of different individual attitudes and reactions not all of them succeed in trade.
Here we’ll understand the main features and psychological aspects one should have to reach high profits.