About ForexGen

ForexGen LTD is an online trading service provider supplying a unique and individualized service to Forex traders worldwide. We are dedicated to absolutely provide the best online trading services in the Forex market.

ForexGen LTD serves both private and institutional clients. We have a strong commitment to maintain a long term relationship with our clients.

ForexGen principals
ForexGen LTD customer satisfaction is our major objective. To reach our business goals, we strive to put our client’s goals in focus. We highly value our clients and always aim to exceed their expectations and cross the limitations encountered by the sophistication of the Forex trading industry.

forex Broker

The main participants in forex market can be divided into the following types: banks, some commercial companies and some foreign currency brokers.
Broker is the intermediary who helps you access to foreign exchange (forex). Similar to a stock broker, these agents can also provide advice on forex trading strategies. This advice to clients often extends to technical analysis and research approaches designed to improve client forex trading performance

What is Leverage ?

This is the one characteristic that makes ‘FOREX’ trading so appealing trading more money than you have in your account. It’s of course a double sword and creates risk. The bulk traders fail at ‘FOREX’ trading
because the over leverage their positions. For example, for every
$1,000 you have, you can trade 1 lot of $100,000. So if you have $7,000
they may allow you to trade up to $700,000 of forex. Leverage to deal with it you need to enter & exit at optimum.

Forex Terminology PIP

Every trader in the Foreign Exchange ‘FOREX’ hopes to make a profit from something called ‘PIP’. It may sound silly, but gains in pips can potentially make you over wealthy .Take your time with this information, as it is required knowledge for all Forex traders.

What is a PIP ?

Pips stands for ‘PERCENTAGE IN PIONTS’. In the Forex trading, a ‘PIP’ is a unit of measurement which represents the smallest change in the price of currency or a currency pair. In the stock markets this is a classified as a ‘POINT’. As a result, some folks refer to pips as points. Pips are the last decimal point in an exchange rate or currency pair.

Pip Value Calculator

Pip value constantly changes according to the market currency price for indirect currency pairs.

Kindly enter the current value of the bid/ask of your desired pair in the price box then press retrieve button to get the pair pip value in dollar

Instructions

You may input any prices you need in the second column of the table. If you are using non-standard lots, you may input the size of your lot in the bottom cell.

Quick Review

ip (or Points) is a term used in Forex market to indicate the smallest incremental move an exchange rate can make. Depending on context, normally one basis point (0.0001 in the case of EUR/USD, GBD/USD, USD/CHF and .01 in the case of USD/JPY).

Trading Profit/Loss

The differential indicator is an indicator used to identify the profit/loss that would have been realized if any trader submitted multiple positions at the same time.

The indicator shows the rise and fall of the profit of positions opened at the red vertical line through a red graph line in a certain interval of time starting from the time of opening the positions and reaching to the current time, where each point is the total profit of opened positions at this time.

Multi Pair Chart Indicator

The multi pair chart indicator allows putting multiple currency pairs on a host currency chart and draw the difference between the these currencies.

The multi pair chart is an indicator which represents more than one pair symbol, it creates further correlations between the pairs through hedging.

It simulates the expected relations between more than one symbol to be more useful and to facilitate the trading process.

ATS™ Features

ATS™ Features

ATS™, offers traders the ability to open any number of positions at the same time, traders can choose whether to open a set of pairs together at the same time for hedging purpose or to open pair by pair when the used strategies confirms the entry, also the system provides the following features:

Ability to open a group of pairs according to hedging theory and correlations factors between different pairs.

Ability to determine using swing feature after closing the opened positions, trader can determine if the next positions of the same pair will be opened in the same direction of the first position or the directions will be reversed “swing between them”.

ATS™, offers traders the ability to close the opened positions together at the same time when they reache the predetermined profit/loss value, or close the positions one by one according to the determined stop loss, take profit, and trailing options , also the system provides the following features:

Ability to set stop loss in pips with any value to close the opened positions, no minimum or maximum amount is determined.

Ability to set take profit in pips with any value to close the opened positions, no minimum or maximum amount is determined.

Ability to set take profit in value to close the opened positions.

ATS™ offers traders the ability to have dynamic lots calculations, this feature is used to calculate the required lot to be opened for each pair without putting the account margin in risk, and this feature will be useful in gaining maximum reasonable profit based on the type of the account, deposited balance, and free margin of the account at any time

What Should be in Your Trading Plan?

There is an old saying in business: “Fail to plan and you plan to fail.” It may sound strange somehow, but those who are serious about being successful in trading and aware of gaining many profits, including traders, should follow these words as if they were written in stone
If you have a written trading or investment plan, congratulations! You are in the minority. While it is still no absolute guarantee of success. If your plan uses
flawed techniques or lacks preparation, your success won’t come immediately, but at least you are in a position to chart and modify your course. By documenting the process, you learn how to avoid repeating costly mistakes and to learn from your mistakes in order to make profit.If you want to succeed you need to learn well how to manage your trading plan, because the plan is the base of a well trading, if you don’t follow a well trading plan, you will receive a disaster every time you enter the market.Trading in the markets is a battle of give and take. The real pro’s are prepared and they take their profits from the rest of the crowd who are lacking a plan or from those who don’t stick to their plans, give their money away through costly mistakes

ForexGen Solutions

It’s more important that I progress as a risk-aversed trader. For newer traders, it’s very important for you to understand that learning methods to control your risk should be a priority. Making gains monetarily is obviously important but making gains and strides elsewhere are more important. When I first started trading mostly with demo accounts, I had some unbelievably profitable trades but my strategies were random and my risk and leverage too high. A lot of this is just pure luck and not going to take you to the next level. Your account balance shouldn’t be used as a guage for success. Some questions to ask yourself to guage your success may be:

Have you managed to minimize your risk and maximize your reward?
Have you maintained consistency?
Have you been able to control your emotions?
Have you developed a complete trading system that you’ve been able to follow without deviation?
If you haven’t been profitable, have you at least been able to turn those gushing drawdowns into slow bleeders?
For more information please contact us at www.forexgen.com

ForexGen Opens Doors for Complaints

I haven’t been able to make any progress monetarily in about a month. I’m up about 4% this month but breaking my account balance all-time high has been a struggle. I’m pretty much stuck where I was around this time last month. I’m not all that concerned and shouldn’t be considering I was preaching patience a couple of days ago. It’s just that every time I open my trading platform, the account balance is just staring me in the face. Read more…

Forex Trading Education with ForexGen

How To Learn Forex Trading To Become A Profitable Trader

If you are seeking to educate yourself about forex trading, most probably your main objective is to gain trading skills so that you are able to trade independently and to be able to create personal consistent wealth through forex trading. Most forex traders are independent traders or individuals who are trading from the comfort of their own homes and not institutional traders who are backed with large quantities of capital by commercial organisations or sponsored by large investing funds.
The distinction between private forex education and academic education
If you are an individual private forex trader, then what you need is a practical forex trading education that will encompass the practical aspects of trading and how to make money from your trades rather than an all comprehensive education involving the historical background of forex, the intricacies of price movements or the more mundane academic statistical studies of finance and currencies. So if you are someone entering into the forex market with the intention to make money from trading forex, then look for someone or a mentor or a trading course that can allow you to learn how to trade profitably.
As a wealth creator, this is what you should look out for in planning your own forex trading education or learning plan. Read more…

Money Manager with ForexGen

An individual who is responsible for the entire financial portfolio of another individual or another entity.

A money manager receives payment in exchange for choosing and monitoring appropriate investments for the client.
Benefits of being a Money Manager with ForexGen:
Providing three different commission sources.
Weekly commission plan.
Easy & fast commission withdrawals.
Fixed percentage of the profits.
P = k * D “P=Profit, k=Variable Parameter, D=Deposits”
The money manager gets a fixed percentage of the profit previously agreed upon with the client for managing the client funds as a bonus feature. Read more…

ForexGen LTD History

ForexGen LTD is an online trading service provider supplying a unique and individualized service to Forex traders worldwide. We are dedicated to absolutely provide the best online trading services in the Forex market.ForexGen LTD provides a unique online trading experience based on our intelligent online Forex trading package, the ForexGen Trading Station, including the best online trading system.
ForexGen LLXserves both private and institutional clients. We have a strong commitment to maintain a long term relationship with our clients.Read more…

MA Summary

Moving averages are one of the most famous tools and also the easisest tool used by many traders.
We can find many types of moving averages .the 2 most popular types are: Simple Moving Average and Exponential Moving Average.• The simple form of moving average (SMA) will be the simple moving average, is formed by computing the average = price of a security over a number of periods• Exponential moving averages: EMA’s reduce the lag by applying more weight to recent prices relative to older prices.
• The best way to use moving averages is to plot different types on a chart so that you can see both long term movement and short term movement.
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SMA vs. EMA

EMA:IT HELPS TO SHOW RECENT PRICE SWINGS AND FAST MOVINGSMA:HELP TO SHOW EASY CHART, AND ELIMINATE THE FAKEOUTS. IT’S UP TO YOU TO DECIDE WHICH ONE IS BETTER TO USE A LOT OF TRADERS PLOT DIFFERENT MOVING AVERAGES TO GIVE THE SIDES OF THE STORY. THEY SHOULD USE THE SIMPLE MOVING AVERAGE TO FIND WHAT IS THE OVERALL TREND, AND ALSO USE THE EXPONENTIAL MOVING AVERAGE TO FIND THE BETTER TIME TO ENTER THE TRADE TIME.Read More : www.forexgen.com

Exponential Moving Average (EMA)

In order to reduce the lag in simple moving averages, technicians often use exponential moving averages (also called exponentially weighted moving averages). exponential moving average reduce the lag by applying more weight to recent prices relative to older prices. The weighting applied to the most recent price depends on the specified period of the moving average. The shorter the exponential moving average’s period, the more weight that will be applied to the most recent price.

For example: a 10-period exponential moving average weighs the most recent price 18.18% while a 20-period EMA weighs the most recent price 9.52%. As we will see, the calculating and exponential moving average is much harder than calculating an simple moving average. The important thing to remember is that the exponential moving average puts more weight on recent prices.
exponential Moving Average Calculation
Exponential Moving Averages can be specified in two ways - as a percent-based exponential

Simple Moving Average (SMA)

the simple moving average is formed by calculating the average price of a security over a particular number of periods. While it is possible to create moving averages from the Open, the High and the Low data points, most moving averages are created using the closing price.

For example: a 4-day simple moving average is calculated by adding the closing prices for the last 4 days and dividing the total by 4.
11+ 12 + 13 + 14 = 50
(50 / 4) = 12.5
The calculation is repeated for each price bar on the chart. The averages are then joined to form a smooth curving line - the moving average line. Continuing our example, if the next closing price in the average is 15, then this new period would be added and the oldest day.
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Fibonacci Extension

Fibonacci Extension
what is fibonacci and how to use it in the world of FX?

Leonardo Fibonacci was a 13th century mathematician who noted that there are certain ratios that tend to occur repeatdly in nature . The common ones that he identified were 38.2%, 50%, and 61.8%.
For example, the distance from your fingertips to your wrist is 38.2% of the distance from your fingertips to your elbow. There is overwhelming evidence of Fibonacci ratios operating throughout nature.
These are not always perfect, but surprisengly they work more than just often!! Many people have argued about why these work, but my opinion is that all the large institutions use them, so you might as well buy or sell at the same levels that they do and if these levels don’t hold you can get out with a small loss.

Fibonacci Retracement

fibonacci retracement is a very popular tool among technical traders and is based on the key numbers identified by Leonardo Fibonacci. However, Fibonacci ’s sequence of numbers is not as important as the mathematical relationships, expressed as ratios, between the numbers in the series. In technical analysis, Fibonacci retracement is created by taking two extreme points (usually a major peak and trough) on a stock chart and dividing the vertical distance by the key Fibonacci ratios of 23.6%, 38.2%, 50%, 61.8% and 100%. Once these levels are identified, horizontal lines are drawn and used to identify possible support and resistance levels. Before we can understand why these ratios were chosen, we need to have a better understanding of the Fibonacci number series.

Fibonacci

We should know from the beginning that the Fibonacci is a big subject and there are many ways to study the Fibonacci .there is a lot of types of the Fibonacci but we will show 2 types only: the Fibonacci retracement and extension.

The Fibonacci ratio can start from this number: 1, 1, 2, 3, 5, 8, 13, 21, 34
The number series starts from the number 1 then the number 2 and after that we add 1+2 we will get 3 ,it will be the third number ,then we add 2+3 we will get 5 and that will be the fourth number.
Fibonacci extension: the levels of Fibonacci extension will be 0, 0.382, 0.618, 1.000, 1.382, 1.618.many Traders can use the Fibonacci extension as profit taking level and when they watch the same levels ,they can buy or sell to enter the trade or cancel it, so this will become a due self-fulfilling expectation.

Channels

There are 2 types of channels in the forex market :1-If you want to create a down channel, it may also be called a descending channel, you can simply draw a line at the same angle as the downtrend and after that move the line to a new place where it can reach the most recent both valley.

For the both channels ,it should be done at the same time to you to create the trend line.It may be a sell signal when the prices hit the up trend line and it can be a buy signal when the prices hits the down trend line

Trend Lines

The trend lines are a popular and an important type in technical analysis for trend identification and confirmation, They are also one of the most underutilized as well.

There are two kinds of trends:Stock up trend: it can be used like a sell signal, deemed to be complete with the formation of a lower high or a lower low.Stock downtrend: it can be used like a buy signal , deemed to be complete with the formation of a higher low or higher high.

Support and Resistance

The concepts of support and resistance are undoubtedly two of the most important and highly discussed attributes of technical analysis and they are often regarded as a subject that is complex by those who are just learning to trade.

Most experienced traders will be able to tell many stories about how certain price levels tend to prevent traders from pushing the price of an underlying asset in a certain direction.Most technical traders incorporate the power of various technical indicators such as moving averages, to aid in predicting future short-term momentum, but these traders never fully realize the ability these tools have for identifying levels of support and resistance

Lagging Indicators

An index published monthly by the Conference Board that is used to confirm the direction of the economy’s movements in past months.

1. the value of outstanding commercial and industrial loans.2. The change in the consumer price index for services from the previous month.3. The change in labor cost per unit of labor output.4. The ratio of manufacturing and trade inventories to sales made.5. The ratio of consumer credit outstanding to personal income.6. The average prime rate charged by banks.
As it measures the economic activities of previous months, the Composite Index of Lagging Indicators is used as an after-the-fact way to help confirm economists’ assessment of current economic conditions.

Oscillators

The Stochastic Oscillator comes in 3 flavors: Fast, Slow, and Full. The Stochastic Oscillator is a momentum indicator designed to show the relation of the current close price relative to the high/low range over a given number of periods using a scale of 0-100. It is based on the assumption that in a rising market the price(s) will close near the high of the range and in a declining market the price(s) will close near the low of the range. The Full Stochastic Oscillator is calculated by the formula:
Fast %K = ((Today’s Close - Lowest Low in %K Periods) / (Highest High in %K Periods - Lowest Low in %K Periods))

Leading vs. Lagging Indicators

Leading vs. Lagging Indicators

Leading Indicators
An index published monthly by the Conference Board used to predict the direction of the economy’s movements in the months to come. The index is made up of 10 economic components, whose changes tend to precede changes in the overall economy.

These 5 components include:
1. the average weekly hours worked by manufacturing workers.2. The average number of initial applications for unemployment insurance.3. The amount of manufacturer’s new orders for consumer goods and materials.4. The speed of delivery of new merchandise to vendors from suppliers.5. The amount of new orders for capital goods unrelated to defense

The Million Dollar Question

How do you figure out whether to freakin’ use oscillators, or trend following indicators, or both? After all, we know they don’t always work in tandem.
For now, just know that once you’re able to identify the type of market you are trading in, you will then know which indicators will give accurate signals, and which ones are worthless at that time.

Summary
There are two types of indicators: leading and lagging.
A leading indicator gives a buy signal before the new trend or reversal occurs.
A lagging indicator gives a signal after the trend has started .
Technical indicators into one of two categories: Oscillators and trend following or momentum indicators.

Double Bottom

A charting pattern used in technical analysis. It describes the drop of a stock (or currency), a rebound, another drop to the same (or similar) level as the original drop, and finally another rebound.
The twice touched low is considered a support level.
Most technical analysts believe that the advance off of the first bottom should be 10-20%. The second bottom should form within 3-4% of the previous low, and volume on the ensuring advance should increase.

ForexGen Putting It All Together

In a perfect world, we could take just one of these indicators and trade strictly by what that indicator told us. The problem is that we DON’T live in a perfect world, and each of these indicators has imperfections. That is why many traders combine different indicators together so that they can “screen” each other.

We urge you to study each indicator on its own until you know EXACTLY how it reacts to price movement, and then come up with your own combination that fits your trading style. Later on in the course, we will show you a system that combines different indicators to give you an idea of how they can compliment each other.

Everything you learn about trading is like a tool that is being added to your trader’s toolbox. Your tools will make it easier for you to “build” your trading account

Attention! Do You Have a Trading Plan?

Are you interested in making a lot of profits? There is No need to answer - who isn’t? You can fill your mind with plenty of information, but without a good trading plan and the discipline to stick to it, you will NEVER be profitable.Any profitable traders have a trading plan and they were planning for it very well They also confident of there profit.

“If you fail to plan, you are planning to fail!”
The ideal trading plan model always use is as follows

Trading the News

Is a popular technique in the forex markets … Everyone wants to trade the news as you can see currency pairs move dramatically within seconds after the release of major news like “The US Retail Sales” and others and it responds not only to U.S. economic news, but also to news from around the world. That’s easy money! Depending on how are you trading this news. So for those who want to trade news there are plenty of opportunities and you will be able to know different strategies through this lesson.Our goal is to make the most of your trading knowledge and we willl provide you with all of the steps needed to know how to trade the news.

Getting Sentimental with Forex Trading

Sentimental analysis is what it sounds like – gauging the market sentiment. What does that mean? Well, as traders, a part of our job is to determine if a market is bullish, bearish, overbought, oversold, and to plan a trade for those market conditions – basically putting all of the things we’ve learned up until this point all together. So how do we do that? What tools can we use? And how do we react to certain conditions? Well, that’s what we’re going to find out today – we’re going to take a look into sentiment analysis in forex trading.Now there are a couple of ways to gauge different market conditions. Does anyone know what those two things are? You guessed it: technical and fundamental analysis. Now, in the School of Pipsology, we’ve covered most of the commonly used technical indicators out there for forex trading, so you should be an expert at that already right

Commitment of Traders Report

The Commitments of Traders (COT) reports can be a very powerful trading tool to help anticipate market direction as it provides a breakdown of each Tuesday’s open interest for market reports in which 20 or more traders hold positions equal to or above the reporting levels established by the CFTC., and it measures the net long and short positions taken by traders in the futures market. Of course, it is very important to know that For reportable positions, additional data is provided for commercial and non-commercial holdings, spreading, changes from the previous report, percents of open interest by category, and numbers of traders

The report is pretty straight forward, but here’s a quick run down of what each category is.
• Non-Commercial – Traders such as individual traders, hedge funds, and financial institutions. who are looking to trade for speculative gains.
• Commercial - These are the big businesses that describes an entity involved in the production, processing, or merchandising of a commodity that uses currency futures to hedge.

How to Use the COT Report

In this section we will show you how to use the Commitment of Traders (COT) reports to accomplish this goal as we will skillfully explain how to break down the COT data into producers, consumers, and funds so you understand the positions and activities of these key market participants. In addition, you will be able to detect position imbalances that could be harbingers of major trend changes.By analyzing the data provided by the COT report, traders can see the market participants prepared or positioned themselves ahead of significant market turning points and in front of extensive bull and bear markets.tracks the positions (longs and shorts) held by all market participants, my analysis further breaks down this data and applies proprietary statistical measurements and indicators to identify trading opportunities. We combine these indicators with proprietary price indicators and graphically present the results to you.

What is the U.S. Dollar Index?

If you’ve traded stocks, you’re familiar with all the indices available such as the Dow Jones Industrial Average (DJIA), NASDAQ Composite Index, Russell 2000, S&P 500, Wilshire 5000, and the Nimbus 2001. Oh wait, the last one is actually Harry Potter’s broomstick. Well if U.S. stocks have an index, the U.S. dollar can’t be outdone. For currency traders like us, we have the U.S. Dollar Index (USDX).The U.S. Dollar Index consists of a geometric weighted average of a basket of foreign currencies against the dollar. Come again?! Okay before you fall asleep on us after that super geeky definition, let’s break it down. It’s very similar to how the stock indices work in that it provides a general indication of the value of a basket of securities. Of course, the “securities” we’re talking about here are other major world currencies. The BasketThe U.S. Dollar Index consists of six foreign currencies.

The Carry Trade

A strategy in which an investor sells a certain currency with a relatively low interest rate and uses the funds to purchase a different currency yielding a higher interest rate. A trader using this strategy attempts to capture the difference between the rates - which can often be substantial, depending on the amount of leverage the investor chooses to use. Here’s an example of a “yen carry trade”: let’s say a trader borrows 1,000 yen from a Japanese bank, converts the funds into U.S. dollars and buys a bond for the equivalent amount. Let’s assume that the bond pays 4.5% and the Japanese interest rate is set at 0%. The trader stands to make a profit of 4.5% (4.5% - 0%), as long as the exchange rate between the countries does not change. Many professional traders use this trade because the gains can become very large when leverage is taken into consideration.

How Does the Carry Trade Work for Forex(Gen)?

As a forex trader you know that forex trade in pairs, for example you trade USD/JPY that mean’s buying a US dollar and sell JP Yen. So you pay for JPY and collect the USD.Technically, all positions are closed at the end of the day in the spot forex market. Brokers close and reopen your position, and then they debit/credit you the overnight interest rate difference between the two currencies.The amount of leverage available from forex brokers has made the carry trade very popular in the spot forex market. Forex trading is completely margin based, meaning you only have to put up a small amount of the position and you broker will put up the rest.

Capital aka Cash Money

Money is required to make money. All of us know that, but how much does it need to start trading? It totally depends on how you are going close to your new start-up business.Firstly, keep in mind how you are going to be educated. There is a lot of ways to learn how to trade: mentors, classes, by yourself, or to combine between the three.As there are many mentors and classes out there ready to teach Forex trading, most of them will charge fees. The benefits of them is that a well-taught class or great mentor can defiantly shorten your learning curve and gets you on the way of profitability in a very short time in comparing it with doing it on your own.The negative aspect is the pre-paid cost for these programs, which could varies from hundreds to thousands, it depends on which program you choose. For those who are new to trading, the requirement (cash money) to get these programs is not available.