FOREX RAJPUT

Everyone know that the China is future's super power that's why China manage its currency and foreign exchange reserves. There are some extremely hot news from the newspapers of China about the foreign exchange reserves which are as follows:

China has overtaken Japan to become the world's biggest holder of foreign exchange reserves after its stockpile grew US$8.5 billion in February to US$853.7 billion, the China Business News reported on Tuesday.

Japan had reserves at the end of February of US$850.1 billion.

Growth in China's reserves last month slowed from US$26.3 billion in January, the Shanghai newspaper said.

"The massive foreign exchange reserves have brought about many benefits, but they also reflect continued imbalances in the economy," the newspaper said.

China's reserves have ballooned in recent years as the central bank, in order to hold down the yuan, has bought most of the dollars generated by a growing trade surplus, inflows of foreign direct investment and speculative capital.

The average increase in reserves of US$17.4 billion in January and February is close to the average rise of US$16.6 billion a month in the last quarter of 2005.

The reserves total would have been even bigger if Beijing had not used US$60 billion to recapitalise three big banks.

The central bank also sold US$6 billion from its reserves in November under a one-year swap deal with local banks.

Rajput considered and think about mistakes which is done by a trader. Therefore, with some suggestion we point out your mistakes during forex trading. Online forex trading is one of the most lucrative cash generating options available. I am about to reveal some common (and not so common) mistakes which can guarantee failure in forex. Let me show you how to profit where others will fall in online forex trading.

Mistake 1 – You Will Profit From Every Trade

There is no such thing as a foolproof system which can guarantee you profit on every trade – there is simply no such thing. If you are a newcomer to online forex trading pay attention – you can and will not profit from every trade you make.

Mistake 2 – You Can Make Money Without Understanding Forex

Not knowing your playing field is a sure way to hit every bump and hole in it. It’s not enough to read a few articles from your dealer. You should take the time to understand market fluctuations, so you have the knowledge upon which to base your trades.

Mistake 3 – Your Goal Is To Make Money

Many online forex traders fall into the trap of not planning their fx trades and strategy in advance. They honestly felt that having their eyes on their main goal of making money is sufficient to see them through to success. Before beginning, make sure you have an idea of what kind of trades you are going to potentially make. Open a demo and play around with different methods. If you have invested in a forex trading system, take the time to test it out via a demo account before you risk your won money.

Mistake 4 – You Should Stick With Losing Trades Cause They Always Come Good

Sticking with a losing trade for long enough can be the easiest way to lose serious profits. In fx trading you need to know when it is time to cut your losses and take your profits. It is quite possible to lose all your profits in one single trade so understand when to exit a trade.

Mistake 5 – Basing Trades On Instinct Rather Than Fact

Online forex trading is a numbers game – plain and simple. If you want to make money you must never base any trades on instinct or a gut feel. Only base your trades on fact and trends – this will ensure you have the greatest chance of success.

Mistake 6 – Trade More Currencies And You Will Increase Your Chances Of Profits

Every single currency has certain behaviours which if you take the time to learn, will improve your chances of profiting from market conditions. You are far better off taking the time to focus and understand 2 different currencies – rather than trying to spread yourself across multiple currencies.

Mistake 7 – Think Long Term – Trade Short Term

This is a big misconception – and a common one at that. Many fx traders fall into this trap – basing trades now on what they think will happen down the track. You have to focus in the present and trade in the now. Miss this and you will always be chasing your tail.

Mistake 8 – Make Money By Always Trading

There is often the temptation to always have a trade going – and that the more trades you make the greater chance of profits. This is not right. You have to be able to read the market, and choose your trades very carefully. This will protect your profits.

Results

Online forex trading is a brilliant way to make extra money, provided you have the knowledge and the tools. I hope I have shown you a few traps that you must avoid in order to succeed in fx trading.

Rajput realised the importance of currency in forex market because currency play an important part in import & export trading, business and mostly in forex trading. Although the foreign exchange market is often billed as a banker's game, currencies can sometimes be great diversification for a portfolio that might have hit a bit of a rut. It's a market that can also offer tremendous opportunity when other global forums enter the doldrums. As a result, knowing a little bit about forex, and the fundamentals behind it, can make significant additions to any trader, investor or portfolio manager's arsenal. Let's take a look at eight currencies every trader or investor should know, along with the central banks of their respective nations. (Absolute beginners might consider a trading course. Read Forex Courses Teach Beginners How To Trade for more information)

If you dont know the trading period of the forex market then read this information which is created by Rajput. Every trader has their own favourite trading methods and therefore will be drawn to particular time frames. So today I thought I’d discuss which time frame I consider to be the best one, ie the most profitable.
It all depends on your trading strategy of course, but in my experience the best time frame to use is the 4 hour chart.
There are several reasons for this. The first reason is simply because my main trading strategy (see right for more details), which I have been perfecting over the years, generates consistent profits on this particular time frame (with the help of the daily chart for determining the overall trend).
Secondly trading the 4 hour time frame gives you the best of both worlds in that it enables you to generate the kind of profits that a lot of short-term traders are able to generate every single day, whilst ensuring that you don’t necessarily have to be sitting at your computer all day long because you only need to be alert when a good set-up looks like presenting itself.
This brings me on to my next point which is that trading the 4 hour charts is a very relaxing way to trade the markets. You can analyze various different currency pairs and really take your time planning your trades. This is certainly not the case with short-term trading where you have little time to think and have to be very quick on the button to realize any gains, or minimize any of your losing trades.
This time frame is just about ideal in my opinion because you can generate winning trades of say 100-200 pips in a single day or you can let them run for a few days to capture 300-500 pips in some instances. Just one of these trades per week can give you an excellent full-time income and I think you would agree that it’s much better to spend your week looking for one or two high probability set-ups on this time frame rather than trading lots and lots of positions on the shorter time frames which may only give you 10-20 pips per trade.
Also because each trade doesn’t necessarily last that long (often no more than a few days at most) you avoid much of the boredom that arises when you trade the daily or weekly charts, for example. Some people like to trade the daily charts but you do need a great deal of patience. You also need to use fairly large stop losses to ensure that the price ultimately moves in your favour without being stopped out prematurely.
So as I say I personally think the 4 hour time frame is by far and away the best time frame to trade, although different time frames obviously suit different strategies.

Do you want to change your life style? Your answer is Yes, because everyone in this world want luxuries and healthy life style. In order to be rich and make loads of money with forex, it is a must for anyone who is serious to have accurate knowledge with the trade. Sure there is no need for any diploma in trading Forex, but in order to succeed, investing time and effort to learn profitably is a dogma.

Lately people have been buzzing about how a great income potential is forex. Getting tired of a monotonous life in the corporate world, there will come a time that people want to be free from all and have a rich lifestyle, to work from home and enjoy the greater things in life. Indeed Forex is a serious consideration and worth inveting on.

Before Forex was not accesible to anybody. But thanks to the modernization and internet, everybody has the fighting chance to get rich and be merry. 

Yes Forex has low cost to operate, lower cost to start, very abundant information resources, flexible trading hours and very high income potential, everybody can get started in Forex in one way or another.

It is one thing to start trading and being profitable Forex trader is different. In order to become profitable in every trade, you will find it imperative to invest some time in learning courses and practicing in a demo account rather than saving all the pain of losses. Concepts such as Moving Averages, Fibonacci levels, Bollinger Bands, etc; are the basic knowledge every trader must have.

But having a good knowledge of these concepts is not everything you need. Fear is your worst enemy. To become a profitable trader, one thing that can free you of this fear is education. As you learn in the ways of the trade, you will find yourself more confident to what trading plans you have. You have to understand that there will be losses and it has happend to the richest traders today. If you truly understand that, there is no way that you can get poor in Forex.

You want to change the way you live for the better? A profitable forex trader must be ready with education and psychological preparation. This is the only way to make the market work in your favor.

You know Rajput needs money that why we wrote this article to improve your financial position. Everyday, currencies are traded in an international foreign exchange market, otherwise known as the forex market, with the main marketplaces (otherwise known as bourses) existing in the world's financial centes New York, London, Tokyo, Frankfurt and Zurich. Historically, the only way to participate was from the trading floor of one of these bourses, but today, people can trade forex from anywhere through a secure internet connection and a PC. 

Today's traders operate in a global network, taking positions in the market and making investment decisions based on either relative value between two currencies, or a particular currency's actual price. Currency value fluctuations are constantly renegotiated through trading activity, and this activity, and the corresponding currency values are also indicators of the levels of currency supply. 

An example of market behaviour greater demand for the Euro might indicate a weakening supply. Low supply and increased demand will drive the price of the Euro up against other currencies like the dollar, until the price better reflects what traders are prepared to pay when short supply exists. Another way to look at this situation is this higher demand means it will cost more dollars to buy the Euro, which equates to a weakening of the dollar in comparison. Analysis of situations such as in this example forms the basis for a trader's investment decisions, and they will purchase or sell currency accordingly. 

This should be remembered, as while many see the foreign exchange market as the vehicle for converting their home currency while travelling abroad, many others choose to use the market to advance their financial position and secure their future. In the end we all thanks to Rajput for this act of kindness from him.

Rajput wants to know helpful strategy before going into forex market. Therefore, two important aspects of forex market are available for you. Technical analysis and fundamental analysis are the two basic genres of strategy in the forex market - just like in the equity markets. But technical analysis is by far the most common strategy used by individual forex traders. Here is a brief overview of both forms of analysis and how they apply to forex: 

Fundamental Analysis 

If you think it's difficult to value one company, try valuing a whole country! Fundamental analysis in the forex market is often very complex, and it's usually used only to predict long-term trends; however, some traders do trade short term strictly on news releases. There are many different fundamental indicators of currency values released at many different times. Here are a few: 
Non-farm Payrolls 
Purchasing Managers Index (PMI) 
Consumer Price Index (CPI) 
Retail Sales 
Durable Goods 
Now, these reports are not the only fundamental factors to watch. There are also several meetings from which come quotes and commentary that can affect markets just as much as any report. These meetings are often called to discuss interest rates, inflation, and other issues that affect currency valuations. Even changes in wording when addressing certain issues - the Federal Reserve chairman's comments on interest rates, for example - can cause market volatility. Two important meetings to watch are the Federal Open Market Committee and Humphrey Hawkins Hearings. 

Simply reading the reports and examining the commentary can help forex fundamental analysts gain a better understanding of long-term market trends and allow short-term traders to profit from extraordinary happenings. If you choose to follow a fundamental strategy, be sure to keep an economic calendar handy at all times so you know when these reports are released. Your broker may also provide real-time access to such information. 

Technical Analysis

Like their counterparts in the equity markets, technical analysts of the forex analyze price trends. The only key difference between technical analysis in forex and technical analysis in equities is the time frame: forex markets are open 24 hours a day. As a result, some forms of technical analysis that factor in time must be modified to work with the 24-hour forex market. These are some of the most common forms of technical analysis used in forex: 

The Elliott Waves 
Fibonacci studies 
Parabolic SAR 
Pivot points 
Many technical analysts combine technical studies to make more accurate predictions. (The most common is combining the Fibonacci studies with Elliott Waves.) Others create trading systems to repeatedly locate similar buying and selling conditions.