Thursday, October 12, 2017

38 Steps to become a Successful Trader



1 We accumulate information - buying books, going to seminars and researching.

2 We begin to trade with our 'new' knowledge.

3 We consistently 'donate' and then realize we may need more knowledge or information.

4 We accumulate more information.

5 We switch the commodities we are currently following.

6 We go back into the market and trade with our 'updated' knowledge.

7 We get 'beat up' again and begin to lose some of our confidence. Fear starts setting in.

8 We start to listen to 'outside news' and to other traders.

9 We go back into the market and continue to 'donate'.

10 We switch commodities again.

11 We search for more information.

12 We go back into the market and start to see a little progress.

13 We get 'over-confident' and the market humbles us.

14 We start to understand that trading successfully is going to take more time and more knowledge than we anticipated.

MOST PEOPLE WILL GIVE UP AT THIS POINT, AS THEY REALIZE WORK IS INVOLVED.

15 We get serious and start concentrating on learning a 'real' methodology.

16 We trade our methodology with some success, but realize that something is missing.

17 We begin to understand the need for having rules to apply our methodology.

18 We take a sabbatical from trading to develop and research our trading rules.

19 We start trading again, this time with rules and find some success, but over all we still hesitate when we execute.

20 We add, subtract and modify rules as we see a need to be more proficient with our rules.

21 We feel we are very close to crossing that threshold of successful trading.

22 We start to take responsibility for our trading results as we understand that our success is in us, not the methodology.

23 We continue to trade and become more proficient with our methodology and our rules.

24 As we trade we still have a tendency to violate our rules and our results are still erratic.

25 We know we are close.

26 We go back and research our rules.

27 We build the confidence in our rules and go back into the market and trade.

28 Our trading results are getting better, but we are still hesitating in executing our rules.

29 We now see the importance of following our rules as we see the results of our trades when we don't follow the rules.

30 We begin to see that our lack of success is within us (a lack of discipline in following the rules because of some kind of fear) and we begin to work on knowing ourselves better.

31 We continue to trade and the market teaches us more and more about ourselves.

32 We master our methodology and our trading rules.

33 We begin to consistently make money.

34 We get a little over-confident and the market humbles us.

35 We continue to learn our lessons.

36 We stop thinking and allow our rules to trade for us (trading becomes boring, but successful) and our trading account continues to grow as we increase our contract size.

37 We are making more money than we ever dreamed possible.

38 We go on with our lives and accomplish many of the goals we had always dreamed of.

Source: http://financefloor.blogspot.my/2012/01/38-steps-to-becoming-trader.html?m=1

Monday, July 17, 2017

Is Forex Trading a Scam?





Forex is not a scam, but there are plenty of scams associated with forex. Regulators have significantly caught up to the scammers over the years, making them increasingly rare.

Scams are a big problem faced by everyone in the forex industry. As with any new industry, there are plenty of people out there looking to take advantage of newcomers.

Forex itself is a legitimate endeavor. Forex trading is a real business that can be profitable, but it must be treated as such.

It is not a get rich overnight business, no matter what you may read elsewhere. However, it is possible to have a profitable legitimate forex business. Like any other real business, though, there is no free lunch.


Defining a Scam


A scam or fraud is an intentional deception in order to take unsuspecting money from a person. In this sense, scams are rare and are becoming increasingly so. There is a distinct difference between a poorly run brokerage and a fraudulent one. Even a poorly ran brokerage can run for a long time before something takes them out of the game.


Why Do People Believe It to Be a Scam?


Forex trading became available to retail traders in 1999. The first handful of years was wrought with overnight brokers that seem to shut up shop without notice. The common denominator was that these brokers were based and non-regulated countries. While some did take place the United States, the majority seem to happen overseas where all it took to set up a brokerage was a few thousand dollars in fees.

Since 2007, the occurrence of shops vanishing with clients funds has become very rare. Over the last few years, Forex brokers mainly have been acquired by others, or the shops of the shutdown have been futures brokers whose clients were also able to trade Forex futures but not spot Forex such as MF Global.

Due to the Swiss National Bank removal of the Swiss peg to the Euro, two brokerages went under. One broker in New Zealand and Alpari's UK division due to losses exceeding excess capital.


How to Avoid Being Scammed?


The first advice we could give you is to check where the brokerage is headquartered. Regulations have increased greatly in the last 5 to 10 years, and it has, rightfully so, become increasingly expensive to do business in highly regulated countries like the United States or the United Kingdom.

Outside of location, you can do diligence based on how willing the broker is to talk about execution and their books. In other words, you can ask them how long they've been in business and how many countries they are regulated in. The more the better.

The simple act of finding out who you should call if you feel that you've been scammed (before investing with a brokerage) can save you a lot of potential heartache down the road. If you can't find someone to call because the brokerage is located in a non-regulated jurisdiction, it's best to find alternatives who are regulated.


What to Do If You Feel You're Being Scammed?


Depending on your location, you should speak to your governing authority.

Most of the regulations that have passed have come from requests of clients at brokerages that have failed or if it clients feel they have been cheated. Therefore, you can have a role in cleaning up the FX market continually.


Source: The Balance

Sunday, July 16, 2017

OPEC: Can it ride out the storm?

1
0


Istanbul (AFP) – For cartel OPEC — created in 1960 with the aim of supporting a sustainable price on the oil market — it is in some ways a perfect storm.

Stocks have surged thanks to the rapid emergence of oil from US shale deposits. And due to the abundant supply, the price of oil now stands at currently less than $50 per barrel, around a third of the level of 10 years ago, when it topped a high of $147.

This has been terrible news for the leading members of the group — including Iran, Saudi Arabia and Venezuela — who have seen holes blown in their hydrocarbon-dependent budgets.

Meanwhile, on a longer term horizon, the focus has switched from when “peak oil” will be reached — the moment oil extraction starts to decline due to dwindling resources — to when demand itself could fall.

So the mood as top energy bosses and ministers met at the World Petroleum Congress in Istanbul this week ranged from pensive to sombre.

“It’s hard to come to terms with the fact that this is a different oil industry,” said Daniel Yergin, the vice chairman of IHS Markit, who wrote the acclaimed book “The Prize” on the history of the global oil industry.

“The US will later this year or early next year reach the highest production in its history,” he told the congress.

– ‘Prices are stuck’ –

OPEC has no control over the revolution caused by the production of shale oil in the United States, which is not a member of the cartel.

In a bid to push prices up, OPEC and key non-cartel members — including Russia, but not the United States — agreed coordinated output cuts in December to push up prices.

The cuts were envisaged for six months and extended for another three. But so far, they have had hardly any effect — with oil prices still hovering at 45 dollars a barrel.

The oil industry was confronted by market forces “which are strong, stubborn and as a result we are here today with prices that are stuck… where they were six months ago,” said International Energy Agency (IEA) director Fatih Birol.

“It will be a very, very difficult six months for the oil industry, a case of riding out the storm,” he said.

OPEC Secretary General Mohammed Barkindo admitted there had been “high expectations” that markets would respond to the deal in 2017, but so far these had not been realised.

The failure of the deal to make a difference is particularly irksome for OPEC as compliance — the implementation of the pledges — has been over 100 percent.

Undeterred, OPEC and the non-cartel members party to the deal will have a committee meeting in Saint Petersburg on July 24 to review its effects.

Meanwhile, an effort to tighten coordination, Barkindo revealed that OPEC had held “very useful preliminary meetings” with US shale producers.

OPEC’s own influence has also slipped in recent years and it now counts for just a third of global oil supplies compared with 40 percent a decade ago.

As well as the US shale revolution, the greater importance of additional non-OPEC market players — including Brazil and Mexico — is also being felt, according to Sarah Emerson, head of the US-based Energy Security Analysis.

– ‘Long and complex’ –

Meanwhile, rapid global changes could also hit demand for oil in the long term, especially with the expected growth in electric cars.

“At what point demand stops growing is very much linked to the automobile,” said Yergin.

“We are seeing now a convergence of a whole lot of technology which will change the nature of what vehicles are,” he said, pointing also to the growth in ride-hailing apps.

But participants in the congress emphasised that the growth in electric cars was starting from a very low base and petrol would likely still be needed in trucks and planes for years to come.

Renewable energy is also seeing unprecedented growth — encouraged by some traditional oil majors like BP — while companies are under pressure to reduce emissions in line with the Paris Agreement on climate change.

But the chief of the Saudi Arabian energy giant Saudi Aramco, Amin Nasser, said he was optimistic that fossil fuels would remain part of the world’s energy mix for decades to come.

“The renewables still have major challenges and they do not compete with oil,” he said. “The energy transition underway will be a long, complex process,” he added.

Monday, June 5, 2017

Stock Market Advice

In bull market, there are many retailers outside there come out and shout this and that but how many of them actually making money from stock market. To be honest, stock market is a cruel place that treat everyone fair. You will see stock price up nonstop for those weak FA counters and price getting lower and lower for those strong FA counters. You will see engineers, doctors, CEO of a company or whatever loss big in stock market. Don't ever apply your common sense on stock market. What you studied in university or working place doesn't apply in stock market. Stock market is a good place to train your emotional, fast thinking & how to manage your own risk. Learn how to protect your own capital before thinking to earn money from stock market. They will loss back what they earn in bull market when the market turns bad. Forever remember that, there is no such stock will up nonstop till sky high and never drop back. It is a cycle that what goes up will come down. Always remember that don't be greedy in stock market. There no such thing that forever winning in stock market. Be grateful if you are winner in stock market. Be humble always. No matter how long you in stock market you will not know what happen next day. Once again, we are glad that everyone making money in stock market. However, our advice is try not to loss back to stock market included your capital. Happy weekend and be a winner & survivor in bull or bear market.

Source: Stock Alliance Telegram Group

Sunday, June 4, 2017

The story of the Nine of the Wealthiest people in the world





In 1923, nine of the wealthiest people in the world met at Chicago's Edge Water Beach Hotel.

Their combined wealth, it is estimated, exceeded the wealth of the Government of the United States at that time. These men certainly knew how to make a living and accumulate wealth. Attending the meeting were the following men:

1. The president of the largest steel company,

2. The president of the largest utility company,

3. The president of the largest gas company,

4. The president of the New York Stock Exchange,

5. The president of the Bank of International Settlements,

6. The greatest wheat speculator,

7. The greatest bear on Wall Street,

8. The head of the World's greatest Economy
&

9. A member of President Harding's cabinet.

That's a pretty impressive line-up of people by anyone's yardstick.

Yet, 25 years later, where were those nine industrial giants?

Let’s examine what happened to them 25 years later.
1. The President of the then largest steel company (Bethlehem Steel Corp), Charles M Schwab, lived on borrowed capital for five years before he died bankrupt.

2. The President of the then largest gas company, Howard Hubson, went insane.

3. One of the greatest commodity traders (Wheat Speculator), Arthur Cutten, died insolvent.

4. The then President of the New York Stock Exchange, Richard Whitney, was sent to jail.

5. The member of the US President’s Cabinet (the member of President Harding's cabinet), Albert Fall, was pardoned from jail just to be able to go home and die in peace.

6. The greatest “bear” on Wall Street, Jesse Livermore committed suicide.

7. The President of the then world’s greatest monopoly, Ivar Krueger, committed suicide.

8. The President of the Bank of International Settlement, Leon Fraser, committed Suicide.

9. The president of the largest utility company, Samuel Insull, died penniless.

What they forgot was how to "make" life while they got busy making money!

Money in itself is not evil; it provides food for the hungry, medicine for the sick, clothes for the needy. Money is only a medium of exchange.

We need two kinds of education:

a) One that teaches us how to make a living,

and

b) One that teaches us how to live.

There are many of us who are so engrossed in our professional life that we neglect our family, health and social responsibilities.

If asked why we do this, we would reply that "We are doing it for our family".

Yet, our kids are sleeping when we leave home. They are sleeping when we come back home!! Twenty years later, we’ll turn back, and they’ll all be gone, to pursue their own dreams and their own lives.

Without water, a ship cannot move. The ship needs water, but if the water gets into the ship, the ship will face existential problems. What was once a means of living for the ship will now become a means of destruction.

Similarly we live in a time where earning is a necessity but let not the earning enter our hearts, for what was once a means of living will surely become a means of destruction for us as well.

So take a moment and ask yourself, "Has the water entered my ship?"
I hope not!

Hope the above story will drive all of us in a better direction in life..

Source: Copied from Whatsapp