News Trading Results - 2016

Our news trading experience has been wonderful ever since we developed a unique news trading strategy. The performance last year was great and there's a lot we still need to perfect in 2016.We intend to add the result of other news trading systems along with ours here. Feel free to share yours. See full 2015 results

*NEW: Good news.... We recently discovered a new trading strategy not on news trading. The trading strategy is currently being tested on the same account used for our news trading. Therefore we shall be sharing the results along with the news trading results here. For now we do not have a name for the strategy but it is identified here as Morning Rise or Night Sniper. More details soon.....

December Live Statistics - Source MT4i

Monthly Performance Result
(Click On The Month To Display/Download Detailed Account Statement)

January Capital $100,000.00 Profit   $266,038.60	February Capital $10,000.00 Profit  $12,492.54	March Capital $10,000.00 Profit $149,703.87	April Capital $10,000.00 Profit $22.24	May Capital $10,000.00 Profit $31.53	June Capital $10,000.00 Profit $1,750.27
July Capital $10,000.00 Profit  $33,618.44	August Capital $10,000.00 Profit  $48.66	September $10,000.00 Profit  $	October Capital $10,000.00 Profit $57.34	November Capital $10,000.00 Profit $9,727.91	December Capital $10,000.00 Profit $97.42

 KEY: A = Actual, F = Forecast, P = Previous -r = Revised

See Latest Result

Date	News Item	Act	For	Prv	Result
January	**New Test Account $100,000.00
Week 1 Jan Jan 4, 2016	US ISM Man PMI	48.2	49.1	48.6	No Trade
Jan 6, 2016	UK Services PMI	55.5	55.6	55.9	No Trade
	US ADP Non-Farm Empl. Chg.	257K	193K	211K -r	-$24,653.42
Jan 8, 2016	US NFP	292K	203K	252K -r	$19,170.71
	CAD Empl. Change	22.8K	10.4K	-35.7K	-$18,076.84
Week 2 Jan Jan 14, 2016	AUD Empl. Change/Unem. Rate	-1.0K	-11.0K	74.9K -r	-$13,704.13
	UK Bank Vote	1-0-8	1-0-8	1-0-8	No Trade
	UK Interest Rate	0.50%	0.50%	0.50%	No Trade
Jan 15, 2016	US Core Retail Sales	-0.1%	0.2%	0.3% -r	$3,091.3
Week 3 Jan Jan 19, 2016	UK CPI y/y	0.2%	0.1%	0.1%	Missed Trade
	NZD CPI y/y	-0.5%	-0.2%	0.3%	$62,361.69
Jan 20, 2016	US Core CPI m/m	-0.1%	0.2%	0.2%	Missed Trade
	CAD Interest Rate	0.50%	0.25%	0.25%	Missed Trade
	BOC Press Conference				Missed Trade
Jan 21, 2016	EUR Interest Rate	0.50%	0.50%	0.50%	No Trade
	ECB Press Conference				$109,277.02
Jan 22, 2016	UK Core Retail Sales	-0.1%	0.1%	1.3% -r	No Trade
	CAD Core CPI m/m	-0.4%	-0.3%	-0.3%	No Trade
	CAD Core Retail Sales m/m	1.1%	0.4%	0.0%	No Trade
Week 4 Jan Jan 27, 2016	AUD CPI q/q	0.4%	0.3%	0.5%	$33,030.07
	US FOMC/Int. Rate	0.50%	0.50%	0.50%	-$45,730.47
	NZD Int. Rate/Statement	2.50%	2.50%	2.50%	-$1,590.15
Jan 28, 2016	UK Prelim GDP q/q	0.5%	0.5%	0.4% -r	-$47,657.17
Jan 29, 2016	US Advanced GDP q/q	0.7%	0.8%	2.0% -r	No Trade
	CAD GDP m/m	0.3%	0.3%	0.0%	No Trade
TOTAL					$266,038.60
February Week 1 Feb	**New Test Account $10,000.00
Feb 1, 2016	UK Manufacturing PMI	52.9	51.8	52.1 -r	-$2,445.54
	US ISM Manufacturing PMI	48.2	48.6	48.2	$117.00
Feb 2, 2016	NZD Employment Change q/q	0.9%	0.8%	-0.5% -r	Missed Trade
	UK Services PMI	55.6	55.4	55.5	-$1,468.81
Feb 3, 2016	US ADP	205K	193K	267K -r	-$1,480.19
	US ISM Non Man. PMI	53.5	55.1	55.3	No Trade
Feb 4, 2016	UK Bank Vote	0-0-9	1-0-8	1-0-8	$4,614.44
	UK Interest Rate	0.50%	0.50%	0.50%	Shared Result
Feb 5, 2016	US NFP	151K	189K	262K -r	-$513.16
	CAD Employment Change	-5.7K	5.2K	22.8K	$236.93
Week 2 Feb
Feb 12, 2016	US Core Retail Sales	0.1%	0.0%	0.1% -r	$695.81
Week 3 Feb
Feb 15, 2016	NZD Retail Sales q/q	1.2%	1.4%	1.5% -r	-$764.66
Feb 18, 2016	AUD Employment Change	-7.9K	12.9K	-0.8K -r	$746.71
	AUD Unemployment Rate	6.0%	5.8%	5.8%	Shared Result
Feb 19, 2016	UK Retail Sales m/m	2.3%	0.8%	-1.4%-r	$1,150.35
	CAD Core CPI m/m	0.3%	0.2%	-0.4%	No Trade
	CAD Core Retail Sales m/m	-1.6%	0.5%	1.0%-r	No Trade
	US Core CPI m/m	0.3%	0.2%	0.1%	$961.66
Week 4 Feb
Feb 26, 2016	US Prelim GDP q/q				$642.01
TOTAL					$12,492.54
March Week 1 Mar	New Test Account $10,000.00
Mar 1, 2016	AUD Interest Rate	2.00%	2.00%	2.00%	Missed Trade
	CAD GDP m/m	0.2%	0.1%	0.3%	$2,238.87
	US ISM Non-Man PMI	49.5	48.5	48.2	$293.55
Mar 2, 2016	AUD GDP q/q	0.6%	0.5%	0.9%	$3,750.55
	US ADP Non-Farm	193K	185K	214K -r	$-7.61
Mar 3, 2016	UK Sevices PMI	52.7	55.1	55.6	$60.00 #qu
	US ISM Non-Man PMI	53.4	53.2	53.5	-$1,108.81
Mar 4, 2016	AUD Retail Sales m/m	0.3%	0.4%	0.0%	No Trade
	US NFP	242K	195K	272K -r	$2,506.52
Week 2, Mar
Mar 9, 2016	CAD Int. Rate/Statement	0.5%	0.5%	0.5%	-$642.23
	NZD Interest Rates	2.25%	2.50%	2.50%	$23,835.21
Mar 10, 2016	EUR Interest Rate	0.00%	0.05%	0.05%	$16,513.12
	ECB Press Conference				$1,668.40
Mar 11, 2016	CAD Empl. Change	-2.3K	10.2K	-5.7K	$5,441.57
	CAD Unem. Rate	7.3%	7.2%	7.2%	Shared Result
Week 3, Mar
Mar 15, 2016	US Core Retail Sales m/m	-0.1%	-0.2%	-0.4% -r	$966.52
Mar 16, 2016	US Core CPI m/m	0.3%	0.2%	0.3%	$823.17
	US Interest Rate	0.50%	0.50%	0.50%	$26,535.79
	US FOMC Press Conf.				$1,085.20
	NZD GDP q/q	0.9%	0.7%	0.9%	$15,758.15
Mar, 17 2016	AUD Empl. Change	0.3K	11.6K	-7.4K -r	$12,064.50
	AUD Unem Rate	5.8%	6.0%	6.0%	Shared Result
	CHF Libor Rate	-0.75%	-0.75%	-0.75%	No Trade
	UK Interest Rate	0.50%	0.50%	0.50%	$8,307.38
	UK MPC Bank Rate Vote	0-0-9	0-0-9	0-0-9	Shared Result
Week 4, Mar
Mar 22, 2016	UK CPI y/y	0.3%	0.4%	0.3%	$46,329.40
Mar 24, 2016	UK Retail Sales m/m	-0.4%	-0.7%	2.3%	No Trade
Week 5, Mar
Mar 29, 2016	US Fed Chair Yellen Speech				$209,735.30
Mar 30, 2016	US ADP Non-Farm	200K	195K	205K -r	-$38,361.87...
Mar 31, 2016	UK Final GDP q/q	0.6%	0.5%	0.5%	-$207,686.32...
	CAD GDP m/m	0.6%	0.3%	0.2%	$17,921.87
	CHF Gov Board Member Speech				$9,603.87
TOTAL					$149,703.87
April Week 5/1 Apr	New Test Account $10,000.00
April 1, 2016	US NFP	215K	206K	245K -r	$4,826.68
	US ISM Man PMI	51.8	50.8	49.5	-$5,968.76
April 4, 2016	AUD Retail Sales m/m	0.0%	50.8%	49.5%	No Trade
April 5, 2016	AUD Interest Rate	2.00%	2.00%	2.00%	No Trade
	UK Services PMI	53.7	53.9	52.7	No Trade
	US ISM Non-Man PMI	54.5	54.1	53.4	No Trade
April 8, 2016	CAD Empl. Change	40.6K	10.4K	-2.3K	No Trade
April 11, 2016	Anonymous Trade				-$419.25
TOTAL					$22.24
May	New Test Account $10,000.00 +  New Trading Strategy Included
Week 1, May
May 3, 2016	Night Sniper/Morning Rise				$2,153.85
May 3, 2016	NZD Empl. Change	1.2%	0.6%	1.0% -r	-$775.28
May 4, 2016	US ADP Non-Farm	156K	205	194 -r	No Trade
	US ISM Non-Man PMI	56.7	54.9	54.5	No Trade
	Night Sniper/Morning Rise				-$4,563.93
May 5, 2016	Morning Rise/AUD Retail Sales	0.4%	0.3%	0.1% -r	$2,367.98
	UK Services PMI	52.3	53.6	53.7	$2,367.98
May 6, 2016	US NFP	160K	203K	208K -r	-$3,181.07
	CAD Empl. Change	-2.1K	0.2K	40.6K	$936.81
Week 2, May
May 10, 2016	Morning Rise				$1,492.04
May 11, 2016	Morning Rise				$378.01
May 12, 2016	Morning Rise				$397.70
	UK Bank Vote/Int. Rate	0.50%	0.50%	0.50%	-$81.22
	UK BOE Carney Speech				$129.29
	NZD Core Retail Sales	1.0%	1.1%	1.3%	-$899.65
May 13, 2016	Morning Rise				-$838.74
Week 3, May
May 17, 2016	UK CPI y/y	0.3%	0.5%	0.5%	$915.74
	US Core CPI m/m	0.2%	0.1%	0.1%	$41.64
May 18, 2016	Morning Rise				$1,134.28
	US FOMC Minutes				$2,119.00
May 19, 2016	AUD Empl. Change	10.8K	12.1K	25.7K -r	-$2,861.75
	General Trades				-$5,537.35
TOTAL					$31.53
June	New Test Account $10,000.00 +  New Trading Strategy Included
Week 1, June
June 1, 2016	UK Man PMI	50.1	49.6	49.2	$209.74
	US ISM Man PMI	51.3	50.5	50.8	No Trade
June 2, 2016	EUR Int Rate Decision	0.00%	0.00%	0.00%	-$1,252.94
	BOE Gov Carney Speech				-$268.20
	US ADP	173K	174K	166K -r	$239.63
June 3, 2016	US NFP	38K	159K	123K -r	$3,607.27
June 6, 2016	US Fed Chair Speech				$443.75
June 8, 2016	NZD Interest Rate	2.25%	2.25%	2.25%	$7,482.45
June 8, 2016	NZD Press Conference				$346.16
	Miscellaneous Trade				$83.08
	Gov Poloz Speech				-$147.33
June 9, 2016	CAD Empl. Change	13.8K	3.1K	-2.1K	$5,830.38
Week 3, June
June 14, 2016	Morning Rise				$1,412.62
	UK CPI y/y	0.3%	0.4%	0.3%	No Trade
June 15, 2016	US Interest Rate	0.50%	0.50%	0.50%	$3,520.95
	US FOMC Press Conf.				$150.00
	NZD GDP q/q	0.7%	0.5%	0.9%	$4,576.80
June 16, 2016	AUD Empl.Change	17.9K	14.9K	0.8K -r	-$11,896.57
	CHF Libor Rate/Press Conf.	-0.75%	-0.75%	-0.75%	No Trade
	UK Retail Sales	0.9%	0.3%	1.9K -r	No Trade
	UK Interest Rate	0.50%	0.50%	0.50%	No Trade
Week 4, June
June 23, 2016	UK Pre-Brexit Vote				-$23,362.59
June 24, 2016	UK Post-Brexit Vote	Leave	Leave	Leave	$1,313.68
TOTAL					$1,750.27
July	New Test Account $10,000.00 +  New Trading Strategy Included
Week 1, July
July 1st, 2016	UK Man PMI	52.1	50.0	50.1	No Trade
	US ISM Man PMI	53.2	51.3	51.3	$135.63
Week 2, July
July 4th, 2016	UK Construction PMI	46.0	50.6	51.2	$128.56
July 5th, 2016	Morning Rise				$1,348.39
	AUD Interest Rate	1.75%	1.75%	1.75%	-$885.61
	BOE Gov Carney Speech	Dovish			$1,538.54
July 6th, 2016	Morning Rise				$661.69
July 7th, 2016	Morning Rise				-$3,538.82
July 8th, 2016	US NFP	287K	175K	11K -r	$4,617.36
	CAD Empl. Change	-0.7K	5.5K	13.8K	-$1,512.83
Week 3, July
July 13th, 2016	CAD Interest Rate	0.50%	0.50%	0.50%	$1,664.71
	AUD Empl. Change	7.9K	10.1K	19.2K -r	-$96.48
July 14th, 2016	UK Interest Rate	0.50%	0.25%	0.50%	$10,481.15
July 15th, 2016	Morning Rise				-$10.94
	US Core Retail Sales	0.7%	0.4%	0.4%	No Trade
Week 4, July					-$10.94
July 19th, 2016	UK CPI y/y	0.5%	0.4%	0.3%	No Trade
July 21st, 2016	Morning Rise				$219.31
July 19th, 2016	UK Retail Sales	-0.9%	-0.4%	0.9%	$1,032.74
	EUR Interest Rate	0.00%	0.00%	0.00%	No Trade
	ECB Press Conference				-$2,763.47
July 22, 2016	CAD Core CPI	0.0%	0.0%	0.3%	Shared Result
	CAD Core Retail Sales m/m	0.9%	0.3%	1.3%	-$514.71
Week 5, July
July 27, 2016	AUD CPI q/q	0.4%	0.4%	0.4%	$2,810.04
	Morning Rise				$6,478.99
	UK Prelim GDP	0.6%	0.5%	0.4%	No Trade
	US Interest Rate	0.50%	0.50%	0.50%	$6,117.29
July 29, 2016	CAD GDP m/m	-0.6%	-0.5%	0.1%	$309.03
TOTAL					$33,618.44
August	New Test Account $10,000.00 +  New Trading Strategy Included
Aug 2, 2016	AUD Interest Rate	1.50%	1.50%	1.75%	-$796.64
Aug 3, 2016	UK Services PMI	47.4>	47.4	47.4	$220.34
	US ADP	179K	171K	176K -r	$729.56
Aug 4, 2016	AUD Retail Sales m/m	0.1%	0.3%	0.2%	-$2,300.58
	UK Interest Rate	0.25%	0.25%	0.50%	$1,981.70
Aug 5, 2016	US NFP	255K	180K	292K	$1,076.84
Week 2, August
Aug 10, 2016	Morning Rise				$1,871.50
	Anonymous Trades				-$305.02
	NZD Int. Rate/Press Conf.	2.00%	2.00%	2.50%	$1,005.85
Aug, 11 2016	NZD Retail Sales q/q	2.3%	1.1%	1.0% -r	Missed Trade
Aug 12, 2016	US Core Retail Sales m/m	-0.3%	0.2%	0.9% -r	$2,121.98
	*Accumulated Trades				-$15,076.06
TOTAL					$48.66
September	New Test Account $10,000.00 +  New Trading Strategy Included
Week 1, Sept Sept 1, 2016	US ISM Man PMI		52.0	52.6	No Trade
Sept 2, 2016	US NFP	151K	180K	275K -r	-$99.65
Week 2, Sept Sept 6, 2016	AUD Int. Rate	1.50%	1.50%	1.50%	-$759.90
Sept 9, 2016	Morning Rise				$2,360.32
	AUD GDP q/q	0.5%	0.6%	1.0% -r	-$1,370.21
	CAD Int. Rate	0.50%	0.50%	0.50%	$408.90
Sept 8, 2016	Morning Rise				$700.91
	EUR Int. Rate	0.00%	0.00%	0.00%	$464.25
Sept 9, 2016	CAD Empl. Change	26.2K	16.0K	-31.2K	$127.59
Sept 13, 2016	Morning Rise				$1,442.82
	UK CPI y/y	0.6%	0.7%	0.6%	$1,692.04
	Unaccounted				-$11,160.18
TOTAL					$896.61
October	New Test Account $10,000.00 +  New Trading Strategy Included
Week 1, Oct Oct 4, 2016	Morning Rise				-$393.45
	Miscellaneous				$686.00
	Morning Rise				-$1,018.49
Week 2, Oct
Oct 14, 2016	US Core Retail Sales	0.5%	0.4%	-0.2% -r	-$490.59
	Unaccounted				-$8,726.13
TOTAL					$57.34
November	New Test Account $10,000.00 +  New Trading Strategy Included
Nov 1, 2016	CAD GDP m/m	0.2%	0.2%	-0.4% -r	-$181.94
Nov 2, 2016	US ADP	147K	166K	202K% -r	$191.00
Nov 3, 2016	UK Interest Rate	0.25%	0.25%	0.25%	$727.27
Nov 4, 2016	CAD Empl. Change	43.9K	-10.9K	67.2K	$967.52
Nov 4, 2016	US NFP	161K	174K	191K	No Trade
Week 2, Nov
Nov 8, 2016	US Elections				-$232.73
Nov 11, 2016	NZD Interest Rate	1.75%	1.75%	2.00%	$1,051.78
Week 3, Nov
Nov 15, 2016	UK CPI	0.9%	0.5%	0.7% -r	-$404.23
	US Core Retail Sales	0.8%	1.1%	1.0%	$52.17
Nov 17, 2016	AUD Empl. Change	-9.8K	20.3K	-29.0K -r	-$1,315.23
	UK Retail Sales	1.9%	0.5%	0.1% -r	$873.69
	CAD Core CPI	0.1%	0.2%	0.1%	$534.97
	US FOMC Speech				-$1,753.78
Week 5, Nov
Nov 29, 2016	EUR ECB Speech				-$1,841.80
	US ADP	216K	161K	119K -r	$1,015.68
TOTAL					$9,727.91
December	New Test Account $10,000.00 +  New Trading Strategy Included
	Accumulated Trades				-$9,925.58
TOTAL					$72.42

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Copyright: Image ID-100122522 courtesy of Renjith Krishnan / FreeDigitalPhotos.net

The Stick Sandwich Interpretation

While analyzing technical charts, whether in a bear or in a bull market, have you ever stumbled on a pattern that looks like a sandwich? You know, 3 candles: 1 at the middle and the 2 that are located on both sides. The set doesn’t simply show up to remind you of food; in fact, it shows up to indicate a trend – and a profitable one!

Technically, the said pattern is known as the Stick Sandwich in the foreign exchange market.

What Is the Stick Sandwich?

The Stick Sandwich is a technical trading pattern that resembles a sandwich; it was developed by the internationally recognized trader, Thomas Bulkowski. It is composed of 3 candles; 1 is engulfed by 2 similarly colored candles. When compared to the external candles, the middle candle has a relatively small trading range. 

Moreover, the Stick Sandwich draws light on the formation of support and resistance levels in the Forex market. It follows that other than point out strong and weak market conditions, it distributes hints with regard to particular closing prices.

Points to remember:

• Continuations are more likely to occur on the 3rd of the year’s lowest price
• It can produce a signal for a downward retrace in an uptrend
• It can produce a signal for an upward retrace in a downtrend
• Reversals can be detected from  the position of the closing price

It’s all about Perspective

As mentioned, the Stick Sandwich can appear in any given market condition; it can be identified in a bearish market, as well as in a bullish market. It is said that if there’s a small, red candle on the middle, and it is surrounded by 2 long, green candles, you are trading in a bear market. If you are in such a trading environment, you are more likely to participate in a downtrend.

Conversely, the Stick Sandwich can appear in a bull market where price action goes in line with positive trading behavior; since the prices are up and rising, pursuing the ongoing uptrend seems best. Particularly, if the middle candle is the short, green candle, which is located between 2 long, red candles, you’re said to be on bullish conditions.

According to the Analysts

For many analysts, the Stick Sandwich has a questionable reliability; while it can sometimes show trend reversal, it can also lead to trend continuation. On most instances, you’re left uncertain of what it indicates. Although it can be used to establish support and resistance levels, it can yield two-ended results. It is, therefore, recommended to await price confirmation.

How Rollover Affects Your Account - List of Negative and Positive Swap Rates

This article presents a comprehensive list of swap rates according to positive and negative rates. The essence is to let traders get a good knowledge of currency pairs that attracts extra profits or additional loss in terms of interest when a position is left open to the next day.

Go straight to the list of swap rates

In simple terms Forex Rollover or otherwise known as swaps is the interest paid to you or paid by you for holding a position overnight. Each world currency has an interest rate connected to it. So this means that when a position is left open till the next day, it attracts interests irrespective of when it was opened. This should not be an issue for short-term traders and scalpers, but for long term traders it is definitely an issue.

Effects of Negative Swap Rate - Rollover

Effects of Positive Swap Rate - Rollover

Apparently most traders do not bother about rollover policies when choosing a broker because they do not know the effects of rollover (swaps) until they find themselves in such situation. In the illustration above we can see an account with open positions running for more than 4 to 6 days. On the right column (swap) we can see the effects of

holding the positions overnight. The swap values (interest) has been added to the profits. For instance in the GBPCHF position with 10 lots the actual profit should have been $19,103.93 but a negative accumulated swap value of -$386.04 was added to it. If the trader knew about the swap rates for the GBPCHF pair he probably would have avoided holding on to the position overnight or taken a better decision to reduce extra loss while hoping for a price rebound. In the other illustration we can see the positive effect of leaving the EURCAD position overnight. The trader gained extra $25.54 added to the profit.

Rollover (Swap) Rates
See below a detailed swap rate list for currency pairs. The list is derived from HotForex Broker. The values might not be the same for other brokers.

Long (BUY)- Positive Swap Rates (Interest Paid To The Trader) click to expand/collapse

Long (BUY)- Negative Swap Rates (Interest Paid By The Trader) click to expand/collapse

Short (SELL)- Positive Swap Rates (Interest Paid To The Trader) click to expand/collapse

Short (SELL)- Negative Swap Rates (Interest Paid By The Trader) click to expand/collapse

NB

Swaps are valued in pips/lots, and may be adjusted daily based on market conditions, and rates provided by Liquidity Providers applicable to all open positions. Some brokers double or triple their swaps on certain day(s) of the week. For example HotForex applies Triple Swaps on Wednesday of each week.

So when choosing a broker consider their swap rate. Wish you a successful trading.

FXTradeCity Recommends HotForex Broker - Click here to find out why....

Image "Money Exchange Between Dollar And Euro" courtesy of tungphoto / FreeDigitalPhotos.net

Choosing Low Spread Forex Broker Will Save You Money

In currency trading, the spread, calculated in pips, refers to the difference between the price at which a currency could be bought and the price at which it could be sold at any point in time. Most brokers will not charge commission or fees, so the spread is how they make revenue. In choosing your Forex broker, you need to take a closer look on the spreads, because the difference is as great as the difference in the commissions in the stock market.

Some Forex traders believe that getting the lowest possible spread is the most essential prerequisite in choosing a Forex broker. Lower spread could minimize the possible losses and it is important for those who open and close several positions for every session.

Many forex brokers can provide either variable or fixed spread with common and minimum value. However, low spreads are applicable for accounts that require high deposits. It is still possible to get low spread accounts with Forex brokers who are offering micro accounts. It will help you a lot not to confuse these brokers that are offering accounts with zero spreads.

Forex traders who follow the scalping strategy are often more interested in opening accounts with low spread brokers. As a matter of fact, more and more low-spread deals are being opened every day. Commissions that are valued at 100 pips are provided under these conditions. Traders find it easy to deal with low spread desks because it minimized their operational costs. This is usually regarded as a primary criterion in selecting a forex broker.

When you choose lower spreads, you can pay less for every trade. Even though this is not always as easy as it sounds, you will find that this is quite easy. Low spread accounts are even beneficial for big traders. In case you choose a Forex broker who offers low spreads and still charging for commission, you will pay smaller amount as you increase the volume of your trade. Beyond individual trading, you are actually helping the Forex market to become a more competitive place because you are directly incentivizing the competitors to decrease the spreads.

In the case of small accounts, there are Forex brokers who yield low spreads. Small Forex traders are attracted to such brokers and they are willing to pay the required initial deposit. Lower commissions for trading and spreads are recommended for a trader. It is ideal to choose a broker, which can provide you with such a platform.

This article has been written by Mr. James, a Forex analyst from Admiralmarkets.ae – an Arabic Forex broker.

What Are Forex Contests

A Forex contest is in essence a trading contest organized by a broker. These Forex contests frequently provide expensive prizes, in some cases they are in the form of large cash rewards, iPads, Blackberries, or fancy cars. A trader who has a high percentage gain which beats all others might win cash prizes. In other contests traders may qualify for a raffle just by meeting the contest rules. Forex contests are usually planned in the form of either demo or live trading contests.

Some Forex contests are carried out risk free on practice accounts and one may participate without any charge—these are the demo contests. Some demo contests function in the form of virtual reality.

Forex Demo Competitions are perfect for beginners and give them the ideal chance to not only try out their trading skills but to gain a little experience with Forex. Demo contests are not for beginners alone, however, and many skilled traders often participate in them because many demo contests still offer real prizes. In fact, some demo contests are actually geared towards experienced traders. Some demo contests are set up the same as live/real contests on certain websites, but this ultimately comes down to the individual broker. It is good to start with a demo account and then move to a real contest, and if you are successful with a demo contest you should have success with a live contest. In a live contest the money you move around is real whereas it is virtual in a demo contest. Most traders agree that the biggest difference between demo and live is the psychology behind it; real money vs. fake. The biggest key is to believe in yourself and stick to your plan. Some contests require you submit a deposit.

For most Forex contests the objective is to identify the best trader and then reward them. It is not uncommon for a Forex contest to last for one or two years. Most contests typically consist of a series of rounds lasting a set period of time in which traders will compete with one another. While some rounds may last months, others can last a much shorter period of time such as days or weeks. Some contests require that you enter them prior to the beginning, but others allow you to enter at any point during the duration of the contest. Often times prizes are given away at the end of each round, and sometimes there are weekly prizes and an annual prize. When the prizes are given and what the prizes are depends on the contest and can vary significantly.

Article Source: Forextradingbonus.com