Forex the life changer
Everyone loves money. Money makes the mare go. World is revolving around 7 major currencies and a lot of other currencies. Dollar, Pound, Euro, Yen, Franc, Cad, Aud Dollar and Nzd Dollar are most attractive currencies in the world.
Before boarding our hottest topic we should always remind ourselves
Risk Disclaimer
Forex is a risky business so don’t jump blindly and never put the money befor understanding it.
In this video I discuss 4 important aspects that we should know and fully understand before jumping in the market.
1. Forex as a Business:
Like all other businesses if we are going to join forex as a business its great. Forex is in one aspect is a dreaming business. Trillions of dollars float all the day to grab for those who know how to enter and exit the market. 24 hours working market for five days (Monday to Friday) is really attractive market for everyone. Most beauty of market is its hot cash. You get profit you can withdraw any time. No bothering of work and get paid weekly or monthly. Be your own boss.
2. Forex Hours:
It’s really important to know when the market is opening and closing. As forex is not centralized market and it is scattered in four major markets.
- 1. Sydney (Australia)
- 2. Tokyo(Japan)
- 3. London(U.K)
- 4. New York(U.S.A)
These four markets cover all the time (24 hours)for forex market. It’s also important to know that two common time frames are usually used in the forex market. EST and GMT/UTC.
Pakistan is +5 GMT/UTC and +10 EST
Trader should know the time setting accordingly as per their country time specification.
According to Pakistan the time frame of major markets are as below.
Name of Market Opening Closing
Sydney 3.00am 9.00am
Tokyo 4.00am 11.00am
London 12.00pm 8.30pm
New York 5.30pm 2.00am
Maximum volume of the market can be seen during London New York overlapping time from 5.30pm to 8.30pm.
Note: Day lite timing for different countries changes the time span for one hour which should be noted for the trading setup.
3.Forex Calendar
Like every other business we should aware what is happening in the market. If we are not aware our business event how we can earn or more suitable words are how we can survive.
Forex in the meantime mostly moves with the news. A news can make a market moving in a trend from a range bound position or halt the market from trend to a range bound position. So understanding about the forex calendar is very important.
In forex calendar there are four types of news.
a. No impact news
b. Low impact news
c. Medium impact news
d. High impact news
High impact news are the most important news or event and most fluctuated part of forex business time. So one should understand and prepare itself for that particular news event and time. This is the time when we should care our already opened positions or regulate our positions according to news and the behavior of the market.
are some sites to get the news timing
4.Currency Pairs
As forex is related to the currency pairs so the understanding and behavior of currency pairs is obviously important to know.
Currencies as a whole are divided into three groups
a. Major Currencies
b. Minor currencies
c. Exotic currencies
Major Currencies:
The 7 pairs are called major currencies
EUR/USD, GPB/USD, AUD/USD,NZD/USD,USD/CAD,USD/JPY,USD/CHF
Minor Currencies:
Interchanging of major currencies with each other are called minor currencies.
EUR/CHF,EUR/AUD,GBP/CAD,NZD/JPY,AUD/CHF etc
Most vulnerable currencies are exotic currencies
(Note: as a new trader first of all use Demo account and try to trade in Major currencies)
