Forex Trading Mastering the Global Foreign Exchange Market the Ultimate Guide with the Best Secrets, Strategies and Psychological Attitudes to Become a Successful Trader in the Forex Market: WARREN MEYERS, #5

By WARREN MEYERS

• Do you know how to operate in Forex?
• Would you like to know how to exploit the full potential of technical and fundamental analysis?
• Do you know how best to plan your trading?
• Do you know the potential of the various trading strategies in Forex?
• MT4 and MT5...mean anything to you?

 

If this is what you are looking for, this book can help you!

 

Forex Trading can be a dangerous game!

If you are trying to make a big win by betting your money on your gut feeling ....…! try a casino!

Successful trading is achieved with study, organization,  discipline and more discipline and finally… discipline!

Starting from this belief, I have written this manual in a simple way especially to help, but not only that, also to help people understand how to be successful in trading.

 

Together we will see:

• What is the Forex market;
• How Forex works;
• All the benefits of working in Forex;
• Technical and Fundamental Analysis;
• Swing - Day - Margin and Scalping Forex Trading;
• How to get the right mindset;
• How to build a Trading Plan;
• We will learn about MT4 and MT5;
• We will look at how to create money management and which broker to choose.

 

But above all, whether you are a novice or not, I strongly advise you to read everything up to the last chapter carefully.

Trading can be a tool for obtaining a second income, or, in many cases, even a main activity.

Making a living through trading... is possible!

 

If you think this could be useful, well, the only thing missing is your action!

 

Invest in yourself… Press the button and buy the book, study and… Happy Trading!!

• Language: English
• Publisher: WARREN MEYERS
• Release date: Jul 29, 2022
• ISBN: 9798201248987

Book preview

FOREX TRADING

Mastering the Global Foreign Exchange Market

The Ultimate Guide with the Best Secrets, Strategies and Psychological Attitudes to Become a

Successful Trader in the Forex Market

WARREN MEYERS

WARREN MEYERS ACADEMY

Acknowledgment

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I want to thank you for buying my book and for the trust, sincerely ...Thanks!

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Writing a book is harder than I thought and more rewarding than I could have ever imagined.

My thanks go to all of you, readers, I thank you because without you I could not be what I am, without you my books simply...would not exist!

I would like to invite you to know all my books and audiobooks that I have written and if you like my works, please, leave a positive tought, this will help me to move on on my work and will help other people to buy what they are find!

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Again...Thanks You!

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Find my Books and my Audiobooks

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Copyright 2022 by Warren Meyers

All rights reserved.

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- From a Declaration of Principles which was accepted and approved equally by a Committee of the American Bar Association and a Committee of Publishers and Associations.

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Respective authors own all copyrights not held by the publisher.

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TABLE OF CONTENTS

INTRODUCTION

CHAPTER ONE - The Forex Market

What is the Forex Market

Forex, from its Origins to Today

Forex Market Operators

How to Trade on Forex

The Main Currencies of the Forex Market

CHAPTER TWO - How Does Forex Work

How Does it Work

What Moves the Currency Market

CHAPTER THREE - Volatility

CHAPTER FOUR - Benefits of Forex

Trading Fees

The Forex Market is Open 24 Hours a Day

Market Liquidity

Forex- The Most Liquid Market in the World

CHAPTER FIVE - Technical and Fundamental Analysis

Fundamental Analysis

Technical Analysis

CHAPTER SIX - Forex Swing Trading

CHAPTER SEVEN - Day Trading Forex

CHAPTER EIGHT - Margin Trading

CHAPTER NINE - Forex Scalping

CHAPTER TEN - Trading Psychology

CHAPTER ELEVEN - Trading Plan

CHAPTER TWELVE - MetaTrader 4 or 5

CHAPTER THIRTEEN - Money Management

CHAPTER FOURTEEN - Which Forex Broker to Choose?

Conclusion

INTRODUCTION

There are people who, thanks to trading, have changed their lives and that of many people who have believed in them. It is enough to mention the name of Warren Buffet or George Soros because dreams and visions begin to start in the heads of many traders.

Trading success is achieved by staying very down to earth.

Starting from this belief, I wrote this manual in a simple way with the aim of helping newbies to find the right way to be successful, but above all to find the right methods to avoid losing money, very often, saved with many sacrifices. .

Trading is not synonymous with gambling. Trading on the financial markets is neither a game nor a hobby. Your approach must be extremely serious and disciplined, especially your attention must be paid to safeguarding the capital you decide to invest. Knowing your character, your fears, your goals, knowing how to use all this to your advantage, is certainly an added weapon.

CHAPTER ONE

THE FOREX MARKET

What is the Forex Market

The stock and bond markets are not the only ones that allow you to invest in the hope of being able to grow your capital and thus earn money.

Alongside these markets that are more known to the general public, there are lesser-known markets which, however, also offer excellent opportunities in terms of returns and earnings. The Forex market, for example, is the market where currencies are traded and the value of a currency is quoted. The way Forex works is not too dissimilar compared to the stock market. In the latter, investors and traders seek to take advantage of changes in the share price of listed companies; in the Forex market, traders will seek to take advantage of fluctuations in the prices of various monetary currencies and increase the value of their investment portfolio.

Forex is the abbreviation of Forex Exchange, which is the currency market, where currencies are traded with each other. These operations in the Forex market create fluctuations in the price of currencies, which the Forex trader will seek to exploit to increase the value of his investment and thus create profit.

The Forex market is a global market, the second largest in terms of trading volume after the interest rate market. A market that does not stop growing all over the world.

Trading is nothing more than the purchase and sale of financial assets to take advantage of the increase or decrease in their prices. The trader, on the other hand, is the market operator who makes purchases and sales on markets of various kinds: from the stock market to the bond market, passing through government bonds and, obviously, currencies.

Unlike a classic investor who buys a product and waits for its value to increase over time before reselling it, a trader usually adopts a more dynamic approach, with transactions that can last a few days, minutes or even seconds. This is a potentially more lucrative but also riskier approach.

Forex trading, therefore, consists of buying or selling currency pairs on Forex, trying to predict which direction the pair will take in the following days or minutes. Forex trading can be risky, so you should try to be well prepared and make sure you understand the risks before investing your money.

The basic principle of the operation of the Forex market passes from the concept of couple. While in the stock market we operate and invest on the shares of individual companies, in the Forex market we operate on currency pairs. This means that the value of one currency is expressed not in an absolute sense, but in relation to that of another currency.

Forex, from its Origins to Today

The currency trading market from which Forex is born has very ancient origins, but it has evolved especially in the last few centuries, hand in hand with the financial innovations of the markets.

Background

The modern foreign exchange market was born in 1971 when exchange rates were allowed to float. Before 1971, in fact, the currencies were regulated by an international agreement called the Bretton Woods Agreement, with which the participating nations had decided to keep the value of their currencies within a narrow margin of exchange with the Dollar. On the same day of August 1971, the Nixon Administration unilaterally interrupted the convertibility of the Dollar with gold and started the era of free fluctuations of currencies of which Forex is a child. In the eighties the international movements of capital accelerated after the arrival of personal computers that led Forex to be a continuous market.

According to a 2018 Reuters study, London has established itself as the leading global currency center, with the amount of currency trading recently exceeding 40% of the average daily value, growing since Britain voted to leave the European Union. A sign that London will likely continue to be one of the world's two leading financial centers for currency trading even after Brexit.

According to a study by the Bank for International Settlements (BIS), the Forex market reached $6.6 trillion a day in April 2019, up from $5.1 trillion three years earlier.

Forex: the turning point

The system of fixed rates began to falter as early as the 1950s and 1960s. In 1971 the Bretton Woods agreements were abandoned, thus leading to the opening of a new phase of Forex. From this date, the era of the Gold Standard ended and the era of flexible exchange rates began. Since 1973, the currencies of the various countries have freely begun to float again and thanks to this, the market for buying and selling currencies was born, the Forex.

From the Eighties onwards, with the advent of computers and the internet, the spread of Forex has had an extraordinary acceleration, because the market has taken on a global dimension. London has represented and currently represents the center of the Forex market. The British capital also has a dominant position within the Euromarket. Today Forex is the largest market in the world and it is expected that in the next few years the volumes of the Foreign Exchange Market will further increase considerably also thanks to the success of online Forex operations, which is making this market very popular even among private investors.

Forex Market Operators

Banks and Funds

When we talk about the Forex market, like it or not, we are talking about the interbank market, the market in which banks and credit institutions operate. In the interbank market, banks in excess of liquidity offer excess capital to banks in need of liquidity through deposits made by one bank with another for a specified period of time at a given interest rate. The interbank market or even the residual money market is the fulcrum of the currency exchange market, in this regard, just think that the prices viewed on the online trading platforms are precisely the result of the negotiations conducted on this market.

The protagonists of the Forex market

With a minimum lot of one million units of the base currency (one million euros for the EUR/USD pair or one million Dollars for the USD/JPY pair) lots of 10 million to 100 million Dollars are routine for this market, a market that still remains to all intents and purposes an over-the-counter (OTC) market or a market whose transactions are concluded directly by the parties outside the official stock exchanges, it is therefore an unregulated market.

The interbank market is made up of a network of international banks that carry out trading operations aimed at increasing their capital or the one of their customers through electronic brokerage services (EBS) or more commonly electronic trading platforms. However, with the contribution of new trading technologies, the monopoly of banking institutions has disappeared, new financial companies have entered the Forex market and in a few years the trading volumes produced by Hedge Funds, pension funds and mutual funds of investment have far exceeded those of the interbank market although the latter undoubtedly remains the primary source of liquidity.

Financial operators and speculators

Now given the above premise, Forex market players typically fall into two categories: financial traders and speculators. Financial operators operate on the Forex market purely as a function of their financial activity without necessarily implying some lucrative purpose, on the contrary, speculators operate on the foreign exchange market exclusively for profit.

Although financial operators account for a significantly lower daily trading volume than speculators, who alone make up 90% of the FX market volumes, their transactions play an important role for several reasons:

the amount of their transactions is often large enough to exceed one billion;

their transactions are usually a circumscribed event that does not tend to repeat itself;

their transactions do not tend to take account of price fluctuations and their purpose is not to maximize profits.

For all the aforementioned reasons, financial operators are able to produce counter-trend fluctuations which, if exploited in the appropriate way, can often constitute excellent profit opportunities.

Speculators, needless to say, operate on the markets with the sole aim of making the maximum possible profit from price fluctuations. Speculators, as already announced, account for 90% of the volumes of the FX market and generally tend to operate in the form of Hedge Funds or Speculative Funds, mutual funds managed with speculative criteria that use the financial leverage offered by derivatives to maximize their profits thereby exposing themselves to the risk of large losses.

Financial investors

Among the Forex market operators, a significant component is undoubtedly given by financial investors. The latter category is mostly made up of international companies engaged in mergers and acquisitions.

Trader

This is undoubtedly the category to which we will ascribe ourselves and most of our readers. Due to their nature as daily traders, traders tend to focus on