Forex Online Trading at Marketiva

What Is Marketiva?
Marketiva is a market maker for instruments traded on the over-the-counter foreign exchange (forex) markets. Through Marketiva, you can buy or sell instruments like EUR/USD, GBP/JPY and others. Marketiva also provides services like discussion channels, latest forex news, trading signals and alerts, charting services and many more.

Marketiva provides spot forex on major currency pairs and crosses; $5 cash reward you can start trading right away; tight spreads from 3 pips; trading on 1% margin; virtual and live desks within one account; latest news, alerts on market events, signals, no market commissions; zero-interest on open positions, 24-hour support, chat channels, the most sophisticated and easy-to-use forex charting tool; ability to trade from the charts and the best forex trading software available!

Open your Marketiva Account Now!
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Forex Market
The Foreign Exchange market, also referred to as the "Forex" or "FX" market, is the largest financial market in the world, with a daily average turnover of approximately US$1.5 trillion. In comparison, the daily volume of the New York Stock Exchange is approximately US$30 billion per day.

Until now, professional traders from major international commercial and investment banks have dominated the FX market. Other market participants range from large multinational corporations, global money managers, registered dealers, international money brokers, and futures and options traders, to private speculators.

There are three main reasons to participate in the FX market. One is to facilitate an actual transaction, whereby international corporations convert profits made in foreign currencies into their domestic currency. Corporate treasurers and money managers also enter the FX market in order to hedge against unwanted exposure to future price movements in the currency market. The third and more popular reason is speculation for profit. In fact, today it is estimated that less than 5% of all trading on the FX market is actually facilitating a true commercial transaction.

How It Works
Foreign Exchange is the simultaneous buying of one currency and selling of another. The world's currencies are on a floating exchange rate and are always traded in pairs, for example Euro/Dollar or Dollar/Yen. In trading parlance, a long position is one in which a trader buys a currency at one price and aims to sell it later at a higher price. A short position is one in which the trader sells a currency in anticipation that it will depreciate. In every open position, an investor is long in one currency and shorts the other. FX traders express a position in terms of the first currency in the pair. For example, someone who has bought dollars and sold yen (USD/JPY) at 104.37 is considered to be long US Dollars and short Yen.

The most often traded or 'liquid' currencies are those of countries with stable governments, respected central banks, and low inflation. Today, over 85% of all daily transactions involve trading of the major currencies, including the US Dollar, Japanese Yen, Euro, British Pound, Swiss Franc, Canadian Dollar and Australian Dollar.

The FX market is considered an Over The Counter (OTC) or 'Interbank' market, due to the fact that transactions are conducted between two counterparts over the telephone or via an electronic network. Trading is not centralized on an exchange, as with the stock and futures markets. A true 24-hour market, Forex trading begins each day in Sydney, and moves around the globe as the business day begins in each financial center, first to Tokyo, London, and New York. Unlike any other financial market, investors can respond to currency fluctuations caused by economic, social and political events at the time they occur - day or night.

Factors Affecting the Market
Currency prices are affected by a variety of economic and political conditions, most importantly interest rates, inflation and political stability. Moreover, governments sometimes participate in the Forex market to influence the value of their currencies, either by flooding the market with their domestic currency in an attempt to lower the price, or conversely buying in order to raise the price. This is known as Central Bank intervention. Any of these factors, as well as large market orders, can cause high volatility in currency prices. However, the size and volume of the Forex market makes it impossible for any one entity to "drive" the market for any length of time.

Fundamental vs. Technical Analysis
Currency traders make decisions using both technical factors and economic fundamentals. Technical traders use charts, trend lines, support and resistance levels, and numerous patterns and mathematical analyses to identify trading opportunities, whereas fundamentalists predict price movements by interpreting a wide variety of economic information, including news, government-issued indicators and reports, and even rumor.

The most dramatic price movements however, occur when unexpected events happen. The event can range from a Central Bank raising domestic interest rates to the outcome of a political election or even an act of war. Nonetheless, more often it is the expectations surrounding an event that drives the market rather than the event itself.

Buying and Selling
In the forex market, currencies are always priced and traded in pairs. You simultaneously buy one currency and sell another, but you can determine which pair of currencies you wish to trade. For example, if you believe the value of the euro is going to increase vis-á-vis the U.S. Dollar, then you would go long on EUR/USD instrument (currency pair). Obviously, the objective of forex currency trading is to exchange one currency for another in the expectation that the market rate or price will change so that the currency you bought has increased its value relative to the one you sold. If you have bought a currency and the price appreciates in value, then you must sell the currency back in order to lock in the profit. An open trade or position is one in which a trader has either bought / sold one currency pair and has not sold / bought back the equivalent amount to effectively close the position.

Market Conventions
Market conventions are rules and standards imposed by a governing body. In case of decentralized forex market these conventions might differ due to many national regulators (FSA, FSC, CFTC, NFA, BCSC, etc.). Since there is no central governing body that sets forex market rules and standards, we will reference only these that are universal.

Quoting Conventions
The first currency in the pair is referred to as the base currency, and the second currency is the counter or quote currency. The U.S Dollar is usually the base currency for quotes, and includes USD/JPY, USD/CHF, and USD/CAD. The exceptions are the Euro (EUR), Great Britain Pound (GBP), and Australian Dollar (AUD). As with all financial products, forex quotes include a "bid" and "ask", which is more often called "offer" in the forex market. The bid is the price at which a forex market maker is willing to buy (and you can sell) the base currency in exchange for the counter currency. The offer is the price at which a forex market maker will sell (and you can buy) the base currency in exchange for the counter currency. The difference between the bid and the offer price is referred to as the spread.

Learn Trading: History of the Forex Market (B)

My name is Nadia Fleischer and I work for Marketiva Corporation (http://www.marketiva.com/). Marketiva is a foreign exchange (forex) dealer where people can start trading with as little as $1 and learn how to successfully participate in the largest financial market in the world.

INTRODUCTION

Currency exchange rates are shaped by economic data. The foreign exchange markets currency pairs depend on the strength of the respective economies they represent. Economic data are released almost every day by specialized government agencies located across the globe. Each agency is accountable for keeping an eye on specific economic issues. They collect data based on extremely stringent guidelines. They build formal econometric models in an attempt to pierce through the underlying patterns and developments evolving in the economies of their respective countries. In fact, it is the data that these agencies release that we will attempt to lift the veil on in this article. US fundamental announcements produce enormously spectacular moves in the currency markets. The large volume of these economic data releases in a 365 Gregorian calendar renders a trader's endeavor to predict the market more complex. All in all, economic data releases account for more than 80 percent of short term volatility in the currency markets. They are truly the source of momentum in the Forex market. Tom Peters said once "bigness is automatically badness unless you fight it every single day." Due to the sheer volume of announcements, trading these news announcements should be undertaken cautiously.

THE BEIGE BOOK

The Beige Book is released at 2:15 pm Eastern time, two Wednesdays before every FOMC meeting and published 8 times a year by the Federal Reserve Board. This Report is entitled "Summary of Commentary on Current Economic Conditions by Federal Reserve District". Each Federal Reserve Bank collects anecdotal accounts on current economic conditions in its district via reports from bank and branch directors and interviews with key business contacts, economists, market experts, and several other sources. This report reviews narrations of economic conditions by district and sector. The Beige Report is by no means a big market mover; it is only an attempt to gauge the vigor of the US economy. It does not reflect the more informed views of Fed members. The Beige Report can move markets when its tea leaves pronouncements are qualitatively superior to expectations by analysts. In fact, Beige report findings are timely and data is four weeks old. FOMC members peruse this report prior to their interest rates meetings for the following simple reason "How does one acquire knowledge about reality by working in one's office with pen and paper?", according to the economist Robert E. Lucas. The Beige book may anticipate the future direction of interest rates despite its downright descriptive nature, which lacks any data series models. It is indeed a report of economic conditions in a simple prose, or story-telling, fashion.
Information reported varies according to region's economic significance and contribution to the overall economy. One district may release comprehensive information on farms, while others will not, and there are 12 Federal districts In the US. The Beige book is reviewed and analyzed after its release. There are several individuals who supply the anecdotal information contained within the Beige book or report: directors of the 12 Federal Reserve Banks and their branches offer written economic reports of conditions in their respective regions. Reserve Banks presidents and economists journey through their districts and get together with business people and bankers to examine conditions in their industries. Reserve banks preserve a set of connections with industry executives who are contacted on a regular basis before FOMC meetings. However, these contacts are small in quantity and are not selected randomly, which undermines the predictive power of the Beige book. The Federal Reserve Board relies on formal models such as national economic models and aggregate statistics to set monetary policy. However, statistical data is reported with a substantial time lag, which renders reading the Beige book a necessity in order to evidence and support patterns and developments exhibited by these more advanced econometric models and data mining techniques. Monthly state employment and unemployment statistics are reported by the US Bureau of Labor Statistics with a one month lag.
Bureau of Economic Analysis final measures are subject to revisions as more robust data become available. One bank on a rotating basis writes an overview and summary of national economic conditions based on the twelve region's report. The predictive power of the Beige report surpasses that of the Blue Chip consensus Forecast. The Beige book can fill gaps in data series since setting monetary policy requires knowing as much about current and future economic conditions before making decisions. In fact, the Federal Reserve Banks began publishing this report in 1970. It used to be called "the red book" and it was used for exclusively internal decision purposes. In 1983 the report was released to the public, and the color of its cover was changed to beige.

ISM INDEXES

The Institute for Supply Management or ISM for short releases vital statistics about the US economy. Until January 02, 2002 the name of ISM was the National Association of Purchasing Management or NAPM. ISM is the producer of the highly sought after reports: Manufacturing and Non-Manufacturing ISM Report on Business. These reports are considered to be key reports. They are leading economic indicators and are followed by economists, profit and non-profit organizations and media across the world. Due to the significant change that took place in the supply management industry, ISM altered its name to reposition itself in the supply management industry as a leader. However, the contents of the Report on Business have not changed at all, and this report is commonly known as the ISM Report on Business. ISM produces several types of reports. The key report is the ISM Manufacturing Report on Business, which is released on the first business day of every month. The ISM Manufacturing Report on Business is considered by many economists to be the most reliable short term economic indicator available today. It is reviewed on a regular basis by government agencies and economic and business leaders for its contemporaneous and accurate information concerning the manufacturing sector of the US economy. The other report, which ISM also releases, is the ISM Non-Manufacturing Report on Business. This report provides insightful information about the services sector of the US economy, which accounts for more than 80 percent of Gross Domestic Product bottom line results. The ISM Non-Manufacturing Report on Business was first published in June 1998 and is released on the third business day of every month. The third report published by ISM is the ISM Semi-annual Report on Business, which is released to the public in May and December. This report offers insights into both the manufacturing and non-manufacturing sectors of the US economy. This report also offers projections for the next six months. Members of the ISM Business Survey Committee receive are surveyed every month. They are asked to identify month to month changes in each ISM index. The PMI is a composite index, which is used only in the Manufacturing Report on Business. Before September 01, 2001, PMI used to stand for Purchasing Managers' Index. Today, ISM still uses PMI despite its strategic repositioning within the supply management industry and abandonment of its purchasing role. The PMI index is based on seasonally adjusted diffusion indexes for five indicators with varying weights applied. New Orders 30 percent, Production 25 percent, Employment 20 percent, Supplier Deliveries 15 percent, Inventories 10 percent. A PMI index over 50 percent is tantamount to growth and expansion of the manufacturing sector of the US economy relative to the previous month. A reading below 50 percent suggests contraction and a shrinking US industry sector. A reading of 50 suggests no change in the industry sector. A diffusion index in a measure of dispersion; that is, the degree to which a change in something is spread out or diffused within a specific group. For example, if every member of a sample population is asked whether something has changed and in which direction, he or she would answer in one of the three ways: it has not changed, it has increased, or it has decreased. Every ISM index is a diffusion index and is an indicator of month to month change. The percentage responses to Increased, unchanged, or worse are not easy to evaluate against previous periods, hence the need to diffuse these percentages arises. A diffusion index exhibits the level to which the change is dispersed or diffused throughout the sample population.
Respondents to the ISM surveys indicate each month whether particular activities, for example new orders, have increased, decreased, or are unchanged from the previous month. The ISM indexes are computed by taking the percentage of survey respondents who report that the activity has increased and adding it up to one half of the survey respondents percentage who report the activity has not changed and totaling the two percentages. The use of half of the same percentages robustly measures the bias toward a positive 50 percent or negative index reading. To illustrate the computation of a diffusion index, Let's say the response from a sample population involving a specific attribute is 20 percent said better, 70 percent said same, and 10 percent said worse, the diffusion index would be 55 percent ,that is, 20 percent + 70/2 percent. A reading of 50 indicates no change from the previous month. Economists and statisticians have concluded that the farther the index is away from a 50 percent reading, the rate of change is greater. Therefore, an index of 70 percent suggests a faster rate of increase than an index of 60. All indexes in the Non-Manufacturing Report on Business are not composite indexes because there is not enough data to formulate a composite index for the Non-Manufacturing Report on Business. However, this report is assessed on a regular basis and the most analogous index is the Business Activity Index. The definitions of the indexes included in the Manufacturing and Non-Manufacturing Report on Business are as follow: These are the definitions for the ones included in the Manufacturing Report on Business: New Orders: mirrors the level of new orders from customers. Production: measures the rate and direction of change in the level of production.
Employment: reports the rate of increase or decrease in the level of employment. Supplier deliveries: discloses whether deliveries from suppliers are faster or slower. Inventories: reflects increases or decreases in inventory levels. Customer Inventories: measures the degree of customer inventories. Prices: reports whether organization are paying more for products and services. Backlog of Orders: measures the amount of backlog of orders, whether increasing or decreasing. New Export Orders: reports on the level of orders, requests for services, and other
activities to be provided outside of the US; Imports: measures the rate of change in goods imported. The following are definitions for the Non-Manufacturing Report on Business indexes: Business Activity: measures the rate and direction of change in the level of business activity. New Orders, Employment, Supplier deliveries, Inventories, Prices, Backlog of Orders, New Export Orders, Imports are all similar to their manufacturing counterparts as illustrated above. Inventory Sentiment: measures the rate of inventories based on a sentiment of too high or too low. Each month the industries reporting the most significant changes are listed in the ISM report. The ISM report does also list those commodities, which are up or down in price, and/or are in short supply. The ISM website is at http://www.ism.ws/. The ISM website contains extensive historical information for the PMI and Manufacturing and Non-Manufacturing indexes. Adjustments for seasonality effects are made every year in the January reports. In fact, the seasonal adjustments are developed by the US department of Commerce and handed over to ISM. As of January 2003, the indexes that are seasonally adjusted are the following: Manufacturing: New Orders, Production, Employment, Supplier Deliveries, Inventories, Export Orders, Imports; Non-Manufacturing: Business Activity, New Orders, Employment, Prices. There are regional reports on business but these reports are not produced by ISM; they are produced by ISM affiliates and often cover the market area for the affiliate. Some cover major cities areas while others are state- wide reports. A list of regional reports is available at http://www.ism.ws/ISMReport/index.cfm#regional page. There are countries that offer similar information to that found in the ISM Manufacturing Report on Business. The United Kingdom and Denmark are two such examples. In conclusion, the Report on Business is a month to month vital economic indicator. ISM releases semi-annual predictions in December and May that report on business conditions, trends, and expectations for the next year as well as for the final balance of the present year. These reports are both released via Business Wire and posted on ISM's website. All in All, the ISM manufacturing index is based on surveys of 300 purchasing managers across the US. They represent 20 industries within the manufacturing industry sector. The ISM manufacturing index is seasonally adjusted for the effects of variations within the year owing to differences due to holidays and institutional changes. The Manufacturing Business Report is released at 10 am eastern time. The ISM Non Manufacturing is also called ISM services index. It is based on a survey of approximately 370 purchasing executives in several services industries such as finance, insurance, real estate, communications and utilities. The ISM services Index is also released at 10:00 am Eastern Time.

Again, we suggest you to trade with virtual money for as long as possible, before trading your own funds. We will continue this practice of sending educational e-mails in order to help you obtain further knowledge about the foreign exchange market.

Learn Trading: Basics of Fundamental Analysis

My name is Nadia Fleischer and I work for Marketiva Corporation (http://www. marketiva.com/). Marketiva is a foreign exchange (forex) dealer where people can start trading with as little as $1 and learn how to successfully participate in the largest financial market in the world.

In the previous e-mail ("Learn Trading: Marketiva Charting Basics") we covered the most basic issues of the Technical Analysis. In this e-mail, we will cover the main part of the other type of analysis: Fundamental Analysis.
Fundamental Analysis is based on the study of factors external to the trading markets, which affect the supply and demand on a particular market. It is opposed to the technical analysis as it focuses, not on currency rates, but on factors like government policies, domestic and foreign political and economic events and changing trade prospects. Thus, the main sources of information for fundamental analysis are news and economic indicators.

NEWS

Latest news is available in the Streamster on the "Latest News" tab and the news articles are collected from different sources on the Internet. By clicking on "Categories" button, it is possible to choose only specific category of news, making it easier for you to focus on topics you find the most useful in trading.

ALERTS

The "Alerts" tab in the Streamster announces market events five minutes before they occur. Market events are divided in two groups: events with high and normal priority. Streamster also has a feature (you can set it in the "Settings" menu, "Pronounce high-priority news, alerts and signals") that allows you to hear alerts narrated aloud.

ECONOMIC INDICATORS

Economic (business) indicators allow analysis of current and predicted economic performances. Economic indicators include various indices, earnings reports, and economic summaries, such as unemployment, housing starts, Consumer Price Index (a measure for inflation), industrial production, bankruptcies, Gross Domestic Product, retail sales, stock market prices, money supply changes, etc. The most important ones will be discussed below.

GDP (Gross Domestic Product)

The Gross Domestic Product (GDP) is the sum of all goods and services produced either by domestic or foreign companies. GDP indicates the pace at which a country's economy is growing (or shrinking) and is considered the broadest indicator of economic output and growth.

The GDP report contains information that gives an image of the overall economy and also tells investors about important trends within the big picture, so it needs to be tracked closely.

The most common approach to measuring and understanding GDP is the expenditure method: GDP = consumption + investment + exports - imports

The broad components of GDP are: consumption, investment, net exports, government purchases, and inventories. Consumption is by far the largest component, totaling roughly two thirds of GDP.

GDP reports are issued quarterly, thus they affect market in a long period rather than having an immediate effect. The reports are broken down into three announcements: advance, preliminary, and final numbers. After the final revision, GDP is not revised again until the annual benchmark revisions each July. These revisions can be quite large and usually affect the past five years of data.

Industrial Production

Industrial Production is a fixed-weighted measure of change in production of the nation's factories, mines and utilities as well as a measure of their industrial capacity, production and of how many available resources among factories, utilities and mines are being used (commonly known as capacity utilization). Since the manufacturing sector accounts for approximately one-quarter of the economy in developed countries, this report has a big influence on market behavior.

Manufacturing production, the largest component of the total, can be accurately predicted using total manufacturing hours worked from the employment report. One of the bigger wildcards in this report is utility production, which can be quite volatile due to swings in the weather. Severe hot or cold spells can boost production as increased heating / cooling needs drive utility production up.

Measure of capacity utilization is also provided in this report. Capacity is very difficult to measure, and it is essentially assumed that growth in capacity in any given year follows a straight line. One can therefore predict the capacity utilization rate quite accurately based on the assumption for production growth. Historically, the 85% mark is seen as a key barrier over which inflationary pressures are generated. Utilization rate getting too high (above 85%) can lead to inflationary bottlenecks in production. For example, The Federal Reserve watches this report closely and sets interest rate policy on the basis of whether production constraints are threatening to cause inflationary pressures, in that way greatly influencing Forex market.

The Employment Report

In economics, unemployed person is a person who is able and willing to work at prevailing wage rate yet is unable to find a paying job. The unemployment rate is the number of unemployed workers divided by the total civilian labor force (people who are able to work). There are several different methods for measuring the number of unemployed workers. Each method has its own biases and the different systems make comparing unemployment statistics between countries, especially those with different systems, difficult.

The employment report is consisted of actually two separate reports which are the results of two separate surveys: the household survey (produces the unemployment rate) and the establishment survey (produces the non-farm payrolls, average workweek, and average hourly earnings figures, etc.).
Both surveys cover the payroll period which includes the 12th of each month. The employment data also provide information on how many people are looking for jobs, how many have them (what they're getting paid and how many hours they are working). These numbers are the best way to picture the current state and future direction of the economy. They also provide insight on wage trends, and wage inflation is high on the list of enemies for the Federal Reserve.

To depicture economy better, total payrolls are broken down into sectors such as manufacturing, mining, construction, services, and government. The market follows these components closely as indicators of the trends in sectors of the economy; the manufacturing sector is watched the most closely as it often leads the business cycle. The data also include breakdowns of hours worked, overtime, and average hourly earnings. The average workweek (also known as hours worked) is important for two reasons. First, it is a critical determinant of such monthly indicators as industrial production and personal income. Second, it is considered a useful indicator of labor market conditions: a rising workweek early in the business cycle may be the first indication that employers are preparing to boost their payrolls, while late in the cycle a rising workweek may indicate that employers are having difficulty finding qualified applicants for open positions. Average earnings are closely followed as an indicator of potential inflation. Like the price of any good or service, the price of labor reacts to an overly accommodative monetary policy. If the price of labor is rising sharply, it may be an indication that too much money is chasing too few goods, or in this case employees.

By tracking the jobs data, investors can sense the degree of tightness in the job market. If wage inflation threatens, it's a good bet that interest rates will rise and the currency strength will fall.

Jobless Claims

Jobless Claims represents number of individuals who filled for unemployment insurance for the first time.

It is very easy to see how this factor shows the strength of the market: less people without jobs, there is more income which gives a household spending power. Spending is highly correlated with growth of the economy, so the stronger the job market, the healthier the economy. On the other hand, if the number of job seekers fall to such a low level that businesses have a tough time finding new workers, investors might have to pay overtime to current staff, use higher wages to lure people from other jobs, and in general spend more on labor costs because of a shortage of workers. This would also lead to wage inflation and can weak economy and currency strength.

By tracking the number of jobless claims, investors can gain a sense of how tight the job market is. Lately, there is general problem with unemployment, so the rule is: the lower the number of unemployment claims, the stronger the job market, and vice versa.

Again, we suggest you to trade with virtual money for as long as possible, before trading your own real funds. In the learning process, fundamental and technical analyses have a very important place. We will continue this practice of sending educational e-mails in order to help you to get further into analysis secrets.

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Marketiva Online Forex Trading for Absolutely Free

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Marketiva is a market maker for instruments traded on the over-the-counter foreign exchange (forex) markets. Through Marketiva, you can buy or sell instruments like EUR/USD, GBP/JPY and others. Marketiva also provides services like discussion channels, latest forex news, trading signals and alerts, charting services and many more.

With more than 180,000 serviced users, 110,000 unique and live trading accounts, and more than 2.3 million live orders executed each month, Marketiva is one of the most popular over-the-counter market makers in the world.

Marketiva provides spot forex on major currency pairs and crosses; $5 cash reward you can start trading right away; tight spreads from 3 pips; trading on 1% margin; virtual and live desks within one account; latest news, alerts on market events, signals, no market commissions; zero-interest on open positions, 24-hour support, chat channels, the most sophisticated and easy-to-use forex charting tool; ability to trade from the charts and the best forex trading software available!

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Belajar Forex Trading Valas di Marketiva

Belajar Forex Trading Valas di Marketiva

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Real Forex Trading Valas tanpa Modal Sepeserpun di Marketiva

FOREX TRADING (Valas Trading) adalah perdagangan mata uang asing atau biasa disebut valuta asing. Perdagangan mata uang asing (valuta asing) merupakan pasar terbesar di dunia diukur berdasarkan nilai total transaksi. Hasil survei BIS (Bank International for Settlement – bank sentralnya bank-bank sentral seluruh dunia) yang dilakukan pada akhir tahun 2004, menemukan fakta bahwa nilai transaksi perdagangan valuta asing mencapai USD 1,900miliar per hari. Dengan demikian, prospek investasi di perdagangan forex adalah sangat bagus dilihat dari segi liquiditas.

Perdagangan valuta asing (forex trading valas) berjalan selama 24 jam, berputar mulai dari pasar New Zaeland & Australia yang berlangsung pukul 05.00–14.00 WIB, terus ke pasar Asia yaitu Jepang & Singapura yang berlangsung pukul 07.00–16.00 WIB, ke pasar Eropa yaitu Jerman & Inggris yang berlangsung pukul 13.00–22.00, sampai ke pasar Amerika yang berlangsung pukul 20.30–10.30. Dalam perkembangan sejarahnya, bank sentral milik negara-negara dengan cadangan mata uang asing yang besar sekalipun dapat dikalahkan oleh kekuatan pasar forex/valas yang bebas.

Forex trading (valas trading/perdagangan valuta asing) saat ini sudah sangat mudah untuk dilakukan oleh siapapun dan dari manapun. Dengan modal komputer yang tersambung ke internet, kita sudah bisa melakukan forex trading (valas trading) baik dari rumah, kantor, warnet, dan darimana saja yang penting ada fasilitas sambungan internet. Dengan mendaftar di Marketiva, Anda tidak perlu lagi memikirkan modal untuk melakukan forex trading (valas trading), begitu daftar langsung bisa trading karena Anda mendapatkan cash reward $5 real money untuk live trading dan $10,000 virtual money untuk simulasi dengan kondisi pasar yang sesungguhnya. Belajar forex trading (valas trading) dengan metoda belajar sambil praktek akan membuat Anda lebih cepat memahami segala hal tentang forex trading (valas trading).

Transaksi real maupun belajar Forex Trading (valas trading/jual beli valuta asing) di Marketiva adalah pilihan terbaik bagi para calon trader dalam mengembangkan ilmu, maupun bagi trader profesional dalam bertransaksi forex trading (valas trading/jual beli mata uang asing).

KEUNGGULAN

Marketiva provides spot forex on major currency pairs and crosses; $5 cash reward you can start trading right away; tight spreads from 3 pips; trading on 1% margin; virtual and live desks within one account; latest news, alerts on market events, signals, no market commissions; zero-interest on open positions, 24-hour support, chat channels, the most sophisticated and easy-to-use forex charting tool; ability to trade from the charts and the best forex trading software available!

Untuk bisa memulai transaksi sekaligus belajar forex trading (valas trading/jual beli valuta asing) di Marketiva, ikutilah langkah-langkah berikut secara berurutan.

MENDAFTAR

Untuk mendaftar, silakan buka website Marketiva, setelah terbuka, klik Open Account, isilah data diri Anda secara lengkap. Untuk field dengan tanda * (bintang) harus Anda isi, yang lain boleh Anda kosongkan.

• Username: pilihlah username yang indah, karena akan Anda gunakan untuk chatting dengan sesama trader, misalnya: cinta, cantik, handsome, dsb.
• Password: minimal 8 karakter gabungan huruf dan angka.
• First Name: isi nama depan Anda
• Last Name: isi nama belakang Anda, jika nama Anda hanya terdiri dari satu suku kata, masukkan nama Anda tersebut di field First Name dan Last Name. Contoh: jika nama Anda adalah Rini, maka masukkan First Name: Rini, Last Name: Rini.
• Untuk data alamat isikan sesuai dengan KTP Anda.
• E-mail: diisi alamat e-mail Anda yang masih aktif.

PERHATIAN: Seluruh data diri yang Anda isikan harus sama dengan KTP, karena akan dilakukan proses verifikasi untuk bisa melakukan transaksi forex trading (trading valas).

Setelah selesai mengisi, klik tombol Continue>

• User Template: pilih Standar Forex Trader
• Coupon: boleh dikosongkan
• Recovery Question: pilih yang paling cocok dengan Anda, misalnya Anda memiliki kucing dengan nama miau, maka pilih: What is your pet's name?
• Recovery Answer: dalam contoh ini maka jawaban anda adalah: miau

Setelah selesai mengisi, klik tombol next>

• Berilah tanda chek pada pilihan: I have read, understood, and agree with the Service Agreement under which Marketiva Corporation provides it services and products. I have also read and understood the Risk Disclosure statement and I am willing and able to assume such risks.

Setelah itu klik tombol [finish]. Maka proses pendaftaran Anda sudah selesai. Anda akan menerima email perihal pembukaan account anda di Marketiva.

VERIFIKASI IDENTITAS DIRI
Setelah Anda mendaftar, maka Anda perlu mengupload data diri Anda untuk diverifikasi, Anda hanya diizinkan membuka satu account. Anda tidak bisa melakukan penarikan dana sebelum melakukan identifikasi, dan ada kemungkinan account Anda di-suspend (dibekukan) jika Anda menggunakan komputer dengan IP address yang sama dengan trader lain. Untuk itu segeralah melakukan verifikasi identitas diri, berikut data yang diperlukan:

• Image ID: Scan KTP/SIM/KTM atau kartu identitas lain yang ada foto dan nama Anda tertera di kartu identitas tersebut.
• Image Adress: Scan data tagihan yang alamatnya sama dengan KTP/SIM/KTM Anda, misal tagihan listrik, tagihan telepon, rekening bank dll, data di tagihan ini digunakan untuk konfirmasi alamat.
• Scan data harus berwarna dan masing-masing file ukurannya maksimal 100kb, jadi sewaktu scan, resolusi di set ke 72-100 dpi saja.
• Bila Anda tidak mempunya data tagihan yang ada nama dan alamat Anda disitu, maka anda boleh mengupload scan ktp saja, scan bagian depan KTP sebagai ID image, bagian belakang sebagai Address image.
• Upload scan data tersebut di sini

Setelah mengupload data, melaporlah ke live support yang ada di situs Marketiva. Beberapa saat kemudin Anda akan diberitahu bahwa data diri Anda telah selesai diverifikasi.

MEMBUKA ACCOUNT E-GOLD
Proses deposit dan withdrawl termudah adalah dengan e-gold, silakan Anda baca secara lengkap tata cara membuka e-gold, klik disini. PASTIKAN: Nama lengkap Anda di account e-gold harus sama dengan nama lengkap di Marketiva, jika tidak sama maka Anda akan mengalami kesulitan dalam proses deposit dan withdrawl.

MENDOWNLOAD DAN MENGINSTAL STREAMSTER
Untuk memulai transaksi forex trading (valas trading) di Marketiva, Anda memerlukan software Streamster, silakan Download dengan cara menekan tombol get streamster di bagian kanan atas website Marketiva dan install di komputer Anda, kemudian jalankan program Marketiva, Login dengan username dan password yang baru saja Anda buat. Setelah selesai Anda download, double klik file hasil download Anda tersebut untuk menginstallnya di komputer Anda, ikuti langkah-langkah yang diminta.

LOGIN DAN MULAI BERTRANSAKSI

Setelah Anda login masuklah ke room chat international dan indonesia, caranya klik tombol groups di bagian atas jendela streamster, tunggu sebentar sampai ditampilkan daftar room yang ada, pilih international dan indonesia, klik OK, maka otomatis Anda masuk room international dan indonesia. Untuk mulai bertransaksi, bertanyalah kepada support personel dari Marketiva menggunakan bahasa indonesia, boleh di room international maupun di room indonesia. Support personel adalah orang dengan nick yang ada huruf ' i ' (information) di depan nicknya, mereka akan dengan senang hati membantu Anda memahami cara-cara bertransaksi di Marketiva.

MEMBUKA ACCOUNT E-GOLD EXCHANGE

Bila Anda ingin mencairkan e-gold ke dalam bentuk mata uang Rupiah, yang perlu Anda lakukan adalah menjual kembali e-gold Anda ke merchant e-gold di Indonesia contohnya indochanger. Dalam transaksi tersebut Anda akan mentransfer e-gold ke rekening merchant dan Anda akan menerima uang dalam bentuk Rupiah (biasanya melalui ATM atau transfer bank, disarankan Bank Central Asia). Untuk mengisi e-gold, yang Anda lakukan adalah langkah sebaliknya, Anda setorkan Rupiah ke merchant, dan merchant akan mengisi account e-gold Anda. Silakan buka account e-gold exchanger Anda di: indochanger.

Demikian uraian singkat Step by Step Forex Trading (Valas Trading/jual beli mata uang asing/valuta asing) di Marketiva. Selamat mencoba, Good Luck!

Petunjuk Lengkap Forex Trading Valas di Marketiva Bagian I

Kami kumpulkan beberapa pertanyaan dan jawaban yang sering diajukan oleh para trader baru di marketiva. Berikut ini petunjuk marketiva dalam bahasa indonesia yang akan selalu dilengkapi setiap ada update terbaru. Petunjuk lengkap penggunaan platform trading Marketiva bisa anda dapatkan secara gratis dari saya apabila anda mendaftar atas referensi saya. Silakan kirim email ke khairulyanis [at] gmail.com dengan menyebutkan username anda di marketiva, nama lengkap dan tanggal pendaftaran. Segala pertanyaan bisa anda kirimkan ke email saya tersebut atau melalui yahoo messenger.

Marketiva adalah tempat untuk bertransaksi valuta asing atau forex trading (valas). Anda mendapatkan modal gratis dan proses pendaftarannya sangat mudah. Di sinilah anda bisa mendapatkan secala sesuatu secara gratis, mulai dari modal sampai pembelajaran yang anda perlukan dalam mencari uang gratis dari internet. Segera buat account anda, sudah banyak trader dari indonesia yang berhasil. Anda bisa ngobrol dengan fasilitas chat secara langsung di platform dengan para master trader dari Indonesia. Marketiva didirikan pada tahun 2005 dan telah menjadi fenomena di Indonesia untuk urusan trading valas, Marketiva sudah sangat terpercaya. Ayo buruan!

Marketiva provides spot forex on major currency pairs and crosses; $5 cash reward you can start trading right away; tight spreads from 3 pips; trading on 1% margin; virtual and live desks within one account; latest news, alerts on market events, signals, no market commissions; zero-interest on open positions, 24-hour support, chat channels, the most sophisticated and easy-to-use forex charting tool; ability to trade from the charts and the best forex trading software available, live support dalam bahasa english, indonesia, china, arab, malaysia, rusia, dsb.

Anda tidak perlu melakukan setoran awal untuk bisa melakukan trading. Saat anda membuka account baru, kami memberikan reward sebesar $5 yang bisa langsung anda gunakan untuk trading. Anda juga mendapatkan uang virtual sebesar $10000 untuk berlatih trading. Untuk membuka account baru silakan isi formulir dengan lengkap di halaman Open account.

Untuk membuat account baru, silahkan isi form di halaman open account. Proses ini hanya membutuhkan waktu kurang dari 3 menit. Anda juga akan mendapatkan reward $5 gratis dan uang virtual untuk berlatih trading sebesar $10.000. Sebaiknya anda memasukkan data personal dengan sebenar-benarnya, karena user yang memasukkan data palsu atau membuka dua account yang sama akan diwajibkan untuk memberikan bukti-bukti keabsahan tambahan.

Anda bisa trade dengan $1 pada platform kami, dan bahkan anda bisa trade dengan dana yang jauh lebih kecil pada account anda. Sebagai contoh, apabila anda memiliki $1 anda dapat membuka satu posisi pada eur/usd dengan quantity 10, yang akan membutuhkan 10 cent margin pada account anda. Anda mendapatkan reward $5 ketika pertama kali membuat account, maka dengan dana tersebut anda bisa trade quantity 200 atau 300.

Platform trading kami mengizinkan anda untuk menentukan berapapun quantity yang ingin anda tradingkan pada form order anda, termasuk 10000 (mini) atau 100000 (standard). Apabila anda memasukkan quantity 1, maka margin yang diperlukan adalah 1 cent (1%). Tidak ada batasan dalam penentuan lot, anda dapat memasukkan nilai quantity dengan angka berapa saja: 1, 5, 457, 7864, 10000, 100000 dan quantity berapapun yang anda inginkan.

Kami menyediakan layanan spot forex trading untuk pasangan mata uang berikut: EUR/USD, USD/JPY, GBP/USD, USD/CHF, USD/CAD, AUD/USD, NZD/USD, EUR/JPY, EUR/GBP, EUR/CHF, GBP/JPY, AUD/JPY, CHF/JPY, GBP/CHF, EUR/CAD, EUR/AUD, AUD/CAD. Kedepannya mungkin akan ada instrument lain yang akan ditambahkan.

Mata uang yang paling sering diperdagangkan atau yang paling liquid adalah mata uang dari negara-negara dengan pemerintahan yang stabil, bank central yang disegani, dan tingkat inflasi yang rendah. Saat ini lebih dari 85% dari transaksi harian melibatkan perdagangan dari mata uang major, yang termasuk di dalamnya adalah U.S. Dollar, Japanese Yen, Euro, British Pound, Swiss Franc, Canadian Dollar dan Australian Dollar.

Leverage yang kami gunakankan adalah 1:100 (margin yang diperlukan adalah 1%), yang berarti jika anda ingin trade dengan quantitas 200, anda harus mempunyai minimal $2 di account anda. Kami akan mengunci sementara $2 tersebut (untuk mengantisipasi jika terjadi pergerakan pasar yang sangat cepat) hingga anda close posisi tersebut maka uang anda yang kami kunci akan dikembalikan. Maka jika anda mempunyai $5 di “live trading desk”, anda dapat dengan mudah menggunakan quantitas 200.

Kami tidak membedakan antara account demo dan account live. Ketika anda membuka sebuah account, anda akan mendapatkan satu live trading desk dan satu virtual trading desk dalam account anda tersebut. Anda dapat menggunakan keduanya kapan saja. Membuat account baru adalah gratis dan bahkan anda akan mendapatkan reward sebesar $5, oleh karena itu anda bisa langsung melakukan trading pada pasar yang sesungguhnya segera setelah account anda selesai dibuat. Untuk membuka account anda, silakan klik disini.

Marketiva menggunakan kebijakan “One Person One Account” (satu orang satu account) dengan tegas. Sekalipun suatu account dalam keadaan baik, ter-cancel, ataupun tertutup, kami tidak memperkenankan user yang sama memiliki dua account yang berbeda. Jika sistem administrasi kami mendeteksi adanya beberapa account yang terdaftar oleh satu user yang sama, user tersebut diwajibkan menyediakan dokumen-dokumen yang diperlukan. Apabila terjadi beberapa pelanggaran berat atas kebijakan ini, Marketiva berhak menghentikan semua akses pada user tersebut. Kebijakan ini diterapkan semenjak banyak terjadi penyalahgunaan yang dialami Marketiva di masa sebelumnya.

PENTING: Jangan membuka lebih dari satu account untuk orang yang sama, kalau anda lakukan anda bisa kena blacklist selamanya dan tidak bisa membuka account lagi di Marketiva.

Learn Trading: Basics of Fundamental Analysis (2)

My name is Nadia Fleischer and I work for Marketiva Corporation (http://www.marketiva.com/). Marketiva is a foreign exchange (forex) dealer where people can start trading with as little as $1 and learn how to successfully participate in the largest financial market in the world.

In the previous e-mail ("Learn Trading: Basics of Fundamental Analysis") we explained the usage of Alerts and News Tab in the Streamster and listed four basic Economic indicators: GDP (Gross Domestic Products), Industrial Production, the Employment Report and Jobless Claims.

In this e-mail, we will cover other important Economic indicators that affect economic performance and that can be used to predict future performance: Producer Price Index, Consumer Price Index, Leading Indicators and Consumer Confidence.

PPI (PRODUCER PRICE INDEX)

The Producer Price Index (PPI) is a measure of price changes in the manufacturing sector. It measures average changes in selling prices received by domestic producers in the manufacturing, mining, agriculture, and electric utility industries for their output.

The Producer Price Index (PPI) measures prices of goods at the wholesale level. There are three broad subcategories within PPI: crude, intermediate, and finished. The market tracks the finished goods index most closely, as it represents prices for goods that are ready for sale to the end user. Goods prices at the crude and intermediate stages of production often provide an indication of incoming inflationary pressures.

The PPI is often used as a leading indicator of consumer inflation in the future, as additional costs of producing goods are often passed on to the consumer in due course.
The consumer price index (CPI) is a related index, but differs in that the CPI measures the price paid by the end users. Other price indexes are sometimes used, for example a labor price index.

The PPI measures price changes in the manufacturing sector. Inflation at this production level often gets passed through to the consumer price index (CPI). By tracking price pressures in the pipeline, investors can anticipate inflationary consequences in coming months. Investors need to monitor inflation closely. Just knowing what inflation is and how it influences the markets can put an individual investor head and shoulders above the crowd.

As the rate of inflation changes and as expectations on inflation change, the markets adjust interest rates accordingly. By tracking the trends in inflation, whether high or low, rising or falling, investors can anticipate how different types of investments will perform.

CPI (CONSUMER PRICE INDEX)

The Consumer Price Index (CPI) measures the rate of inflation experienced by consumers. The reading represents the monthly change in the average price of a fixed basket of goods and services purchased by consumers. Higher inflation generally leads to higher interest rates, which tend to strengthen the country's currency.

The Consumer Price Index (CPI) is a measure of the average price level paid by urban consumers (80% of population) for a fixed basket of goods and services; it also measures the rate of inflation experienced by consumers. CPI reports price changes in over 200 categories and also includes various user fees and taxes directly associated with the prices of specific goods and services.

The CPI is a fixed quantity price index and a sort of cost-of-living index. It has been criticized for overstating inflation, because it does not adjust for substitution effects and because the fixed basket does not reflect price changes in new technology goods which are often declining in price. Despite these criticisms, it remains the main inflation index.

CPI EXCLUDING FOOD AND ENERGY

"Core rate" of inflation representing movement in volatile food and energy prices have been introduced. It represents CPI excluding food and energy, however including some other volatile components as apparel, tobacco, airfares, and new cars. User fees (such as water and sewer service) and sales and excise taxes paid by the consumer are also included; income taxes and investment items (like stocks, bonds, life insurance, and homes) are not included.

By tracking the trends in inflation, whether high or low, rising or falling, investors can anticipate how different types of investments will perform.

LEADING INDICATORS

The Leading Indicators report is a composite index of ten economic indicators that typically lead overall economic activity: - Average workweek of production workers in manufacturing. - Average weekly claims for state unemployment. - New orders for consumer goods and materials - Vendor performance (companies receiving slower deliveries from suppliers) - Contracts and orders for plant and equipment - New building permits issued - Change in manufacturers unfilled orders, durable goods - Change in sensitive materials prices - Index of stock prices - Money supply - Index of consumer expectations.

The leading indicators series was previously published by The Commerce Department, however, the collection and publishing of these data is from 1996 done by the non-profit Conference Board, which also produces the Consumer Confidence Index. That increased usefulness of the leading index. Conference Board researchers quickly scrapped two of the old components - the change in sensitive materials prices and unfilled orders for durable goods - and added the interest-rate spread that appears in our list above.

The index of Leading Indicators is designed to predict turning points in the economy such as recessions and recoveries. Of course, even a strong trend like that does not guarantee that a recession will not form over the coming six to nine months. But we can get additional help from looking at the leading index with the coincident index, which is also published by The Conference Board, and alongside a couple of other leading indices.

CONSUMER CONFIDENCE

Like the index of Leading Indicator, Consumer Confidence is a survey conducted by The Conference Board in five thousand households across the country. It pictures consumer attitudes; concerning both the present situation as well as expectations regarding economic conditions. The level of consumer confidence is directly related to the strength of consumer spending.

The index consists of two sub indices - consumers' appraisal of current conditions and their expectations for the future. Expectations make up 60% of the total index, with current conditions accounting for the other 40%. The expectations index is typically seen as having better leading indicator qualities than the current conditions index.

Again, we suggest you to trade with virtual money for as long as possible, before trading your own real funds. In the learning process, fundamental and technical analyses have a very important place. We will continue this practice of sending educational e-mails in order to help you to get further into analysis secrets.

Learn Trading: History of the Forex Market (A)

My name is Nadia Fleischer and I work for Marketiva Corporation (http://www.marketiva.com/). Marketiva is a foreign exchange (forex) dealer where people can start trading with as little as $1 and learn how to successfully participate in the largest financial market in the world.

We shall provide in this article an overview of the colorful history of the foreign exchange market. The foreign exchange market as we know it today is the sheer outgrowth of the flexible exchange rate regime, which was officially mandated by the International Monetary Fund, IMF for short, in 1978.The shift from a fixed to a flexible or floating exchange rate system was adopted in consequence of the failure of previously implemented international monetary systems, specifically, the Gold Exchange Standard, the Bretton Woods Accord, and the Smithsonian Agreement, to sustain international economic stability.

THE GOLD EXCHANGE STANDARD

The predominant international monetary system until 1944. Under this system, currencies were pegged to the price of gold, and a nation's economy would incur sharp cyclical periods of economic booms and busts. For instance, when a nation's economy was strong, its imports would increase until the gold reserves were depleted because a nation had to redeem its notes in gold.
Money supply would drop in turn since the value of its currency was a function of its reserves of gold. In addition, interest rates would soar high, leading to an economic recession and less demand for money, meaning borrowers find it costly to borrow funds from lending institutions. The prices of that nation's exports would eventually become attractive to foreigners who would ultimately engage in a buying frenzy of its export goods. This demand for that country's exports would inject more gold reserves into the nation's economy and lead to an economic expansion. This monetary system was superseded by the Bretton Woods system as it failed to maintain international economic order.

BRETTON WOODS ACCORD

In 1944, The United Nations Monetary Fund convened in Bretton Woods, New Hampshire in the United States with delegates from the United States, Britain, and France to set up rules and institutions to regulate the international monetary system. The International Monetary Fund was founded and became fully operational a few years later. National currencies were fixed to the US dollar and the US dollar was also pegged to gold at 35 dollars per ounce. The US dollar became the benchmark and the reserve currency for major economies since the United States was the only nation which was not scarred by war. The British economy was destroyed and many counterfeits of the British Pound were being circulated by Nazi Germany.
Hence, the British Pound could no longer serve as a reserve currency to which other currencies could be compared.

Under the Bretton Woods system, currencies were allowed to fluctuate one percentage point from a fixed or par value and an equivalent rate in terms of the price of gold. In addition, the goal of the Bretton Woods conference was to prevent cross border money flight and restrain speculative demands for a currency. Also, countries were not allowed to devalue their currencies by less than 10 percent in order to stimulate demand for their exports. The Bretton Woods accord collapsed in 1973 as a result of substantial movements of capital during the post-war reconstruction period, which led to destabilization of currency rates and economic crises in several nations.
There are several theories which account for the collapse of the Bretton Woods system, namely, marginal tax rates, budget deficit, and the government expenditure on the Vietnam War.

SMITHSONIAN AGREEMENT

An adjustment to the Bretton Woods Agreement, which was signed by member countries of the GROUP OF TEN at the Smithsonian Institution in Washington, D.C in USA in 1971. This accord included the adoption wider floating ceilings and floors of plus or minus 2.25 percent of a fixed or par value. Furthermore, member countries appreciated their currencies vis-a-vis the US dollar. On August 1971, the US dollar was devalued and the United States abandoned the system of convertibility of the US dollar into gold. The value of gold was also increased to 38 dollars an ounce, which meant a devaluation of the US dollar. The price of gold reached even higher prices a few years later.
The US dollar was over-valued in 1970 owing to excessive government spending on the Vietnam War and a high inflation rate. This monetary system was doomed to crash as it failed to preserve order in international trade.

FREE FLOATING EXCHANGE RATES

During that time, another regional monetary system was implemented in Europe, namely, The European Monetary System, which was created in 1978. European currencies were pegged to one another, mainly the ones showing strength, in an attempt to gain independence from the US dollar. However, the EMS failed as well when the Bank of England failed to stabilize its currency, which was subjected to downward pressure from private speculators, and England withdrew from the EMS. The Forex Market deregulation was deemed to be a necessity at best seeing that the International Monetary Fund mandated its application in 1978. A currency may be traded by anyone, and its value is a function of the forces of supply and demand.

Increased volatility of currency rates continued to prevail on the Forex market with the advent of free trade agreements, new financial instruments and technological advances in the eighties, such as the personal computer. The Forex market became so large that even governments cannot control exchange rates anymore as a significant size of transactions is in the hand of private traders. It is estimated that the daily turnover of the foreign exchange market reaches more than 2 trillion dollars. The year 1998 marks the start of online retail Forex trading and currencies can be bought and sold by any individual investor.

UNDERSTANDING FOREX

If New York is considered to be the largest center of equity trading, it only ranks second to London, which is considered to be the most active trading session in the Forex universe in terms of volumes. When the US and European session overlap, volume reaches the highest levels. Forex travels with the sun around the world. Trading begins in New Zealand, and then moves to Sydney, Tokyo, Hong Kong, Singapore, Frankfurt, London, and New York. Forex is a seamless 24 hour market and hence it is free of market opening and closing gaps unlike the equities markets. Currency traders are must continuously monitor countries news and events related to currency pairs they trade.

For example, an investor trading the pair EUR/USD should constantly examine the latest news and events relating to the macroeconomic performance of both the Euro zone and the US. Currency traders can react to news and events around the world and make informed decisions based on the latest news before deciding which positions to take.

The Forex daily turnover exceeds 2 trillion dollars, which means that the Forex can dwarf all the equities markets combined together. The Forex is an over the counter market, or OTC market for short, meaning that trading Forex is not centralized on a single exchange; rather trading is conducted via computer terminals at major banks and dealer/broker houses, a reason for which the Forex is sometimes referred to as the inter-bank system.

Forex is a true network of dealers (banks and market makers) each quoting their bid and offer (ask) rates. Bid is the price at which a dealer is willing to buy the base currency, and ask, or offer, is the price at which a foreign exchange dealer is willing to sell a base Currency. There are Forex dealers in every time zone and in every financial center in the world.
Dealers make profits from their spreads, or the difference between bid and offer rates. Market participants in the Forex include institutional and individual investors. Corporations with international operations trade the Forex to hedge currency fluctuations risk. The US Federal Reserve System and other countries central banks participate in the Forex through their monetary policies by increasing or decreasing interest rates, which in turn has an impact on the money supply in their countries. Central banks also engage in the buying and selling of foreign reserves to guard against severe fluctuations in their currencies and to stabilize their macroeconomic performance. International banks, hedge funds, large commodity trading advisors (CTAs), and private traders play the Forex as well.

It is estimated that 95 percent of Forex transactions are speculative in nature and only 5 percent represent hedging activities against currency rates fluctuations. Major currencies are the most commonly traded currencies in the Forex and they account for nearly 85 percent of total volume. Potential for making profits exists 24 hours a day as one currency of each pair is gaining and the other is losing. Currencies are traded in lots, or quantities.
Leverage makes the Forex market an attractive investment vehicle as traders can control larger funds than they can actually afford. For instance, the minimal required investment amount in the equities markets is 25000 dollars.
Marketiva offers a 1:100 leverage, which means that an investor can control a quantity 100 times larger than his investment. Leverage does play a role of amplifying profits and losses but does not make Forex any riskier than any other financial market as the risk to reward ratio is only 1 percent.
Currency traders geared with appropriate money management skills, knowledge of the basics of technical analysis and fundamental analysis stand to make profits in the Forex market. Forex investors must be big picture individuals and information is available to enable them to react to events on time.

It is estimated that more than 95 percent of currency traders have no prior knowledge of the aforementioned methodologies of analyzing the market and hence experience major draw downs in their equities. The Forex market is the most liquid market and traders can enter and exit trades with ease. There are always buyers and sellers of a currency pair and a currency trader would never have to worry about finding a buyer or a seller of his pair because there is no market interest.

Again, we suggest you to trade with virtual money for as long as possible, before trading your own funds. We will continue this practice of sending educational e-mails in order to help you obtain further knowledge about the foreign exchange market.