When you look at the daily chart of GBP/USD you can see that it tested the significant support at 1.5278 and rebounded, forming asymmetrical triangle. Read more
Many traders wonder how to analyze the market – via the chart or via the news and events, many traders think that the news lead the movement of the price… But our opinion(and not only ours) is that the influence of the major events is not as big as you think. Trader’s Sentiment is what moves the price up or down. And you can see the sentiment of the traders at the chart. Most of the time the bad news are coming as a result of the previous downtrend movement and the good news are coming as a result of the previous uptrend movement. Read More
Recently I explored a lot of websites and forums orientated towards Forex traders and I realized that the most of the beginners (especially in India) think that if they “trade” on Demo Account for several months they will learn how to analyze the market and they will gain experience. And what happens? In the end when these “Demo Traders” put(eventually) their money counting on their “Forex experience” most of them loose everything in a short period of time.
Now I will tell you what I know about Demo Account:
For the Forex Brokers this is a tool to seduce people who are afraid of the risk in Forex market.
For the Forex Traders this is a tool to understand how reliable the platform is and to get used to it.
For the Demo Traders this is waste of time.
If you think that analysis is everything you are totally wrong! Yes, it is important, but you can find more important things. If you put 4 year old kid on the PC it will have approximately 50% success in its predictions. A grown up can do much better if he dedicate just a little bit time to learn. But 95% of the people who invest on Forex loose their investment. Of course this is because of bad Money Management.
But how can you learn how to manage your real money when you are trading with virtual money? The simulation of the market is almost the same as with real money, however your emotions are not the same – you loose 10 000$ on Demo Account and you don’t care, you just open another position with leverage 100 and take the 10 000$ back – It is so easy to trade on Forex… And then you finally decide to open a real account – it is great. You have read an article for Money Management and you decide to trade at low risk. And it works – you make 20% profit in the first week. And you become involved with the trading, you overestimate yourself and you start trading with bigger lots so when the price hits your stop loss level it is just like Mike Tyson hits your head – Knock Out in the first Round.
So dear Demo Traders, I recommend you to open live account! Of course with smaller amount – I am aware that you are afraid to loose! But this is the truth…no pain – no gain! I guarantee that your first position closed on loss will show you that I am totally right! You will feel demotivated, you will loose confidence and you will consider to stop with this Risky Forex Market – unfamiliar feelings for you till that moment. And when you start getting over this feelings – this is the point where you can say the words “I have experience!”
When you look at the weekly chart of AUD/NZD you can see that since August 2008 till now it perfectly formed uptrend Elliott Wave movement. It also formed Symmetrical Triangle. This can give us the signal that the price more likely will break the resistance levels at 1.3050 and 1.3270 and will target the strong resistance at 1.3720. So we recommend you to open long positions if it breaks the resistance at 1.3050. You decide where to put your stop loss!
In the last few years the number of Muslims interested in Forex trading kept on growing, however how could they trade when it was in a contradiction with their religion – According Shariah (the Islamic law) the interest payment is prohibited. Of course the brokers figured it out and created Islamic Forex Accounts which became very popular recently. The main difference between the regular Forex Account and the Islamic Forex Account is that with the second one there is no swap and practically this way they don’t pay interest to the broker.
The brokers also offer Islamic Forex Account that is managed by a professional trader. The difference between the regular managed account and the Islamic Managed Account is that with the second there is no other fee involved but the spread of the broker.
However our recommendation for the Muslims is to choose carefully who to manage they money! Ask a lot of questions, read a lot of articles and reviews an then decide which broker would be good for you!
Here you can see some good companies who offer very good Islamic Forex Accounts. We recommend you to register for all of them and to decide which one is suitable for you!