Trading Decreased Volatility Breakout (Part I)

By Ahmad Hassam

Trading breakouts is one of the most popular ways of making pips from the forex market. Decreased volatility breakout is one of the subsets of breakout trading. While this strategy is similar to the strategy of trading breakouts, but it is specific to a certain conditions in the forex market.

Volatility tends to be high when prices change to a large extent within a short span of time. Volatility is a measure of the scale of price fluctuations over time. The reverse also holds when prices oscillate more or less close to a certain price level without deviating much from it over a long span of time, the volatility tends to be low during such periods.

It is the periods of high volatility that lets traders make pips and it is the volatile nature of the forex market that attracts the risk seekers in search of high returns. However, entering the market in periods of high volatility can be stressful for most of the traders as they dont know whether the trade will go their way or not. Why not concentrate on the low volatility period instead of focusing on the high volatility market.

Just like other financial markets, there is a tendency in the currency prices to alternate between periods of high volatility and low volatility in the forex market. This recurrent pattern is due to the crowd psychology which is the force behind changes in the forex market.

You must understand how trend is developed in the currency market and how the crowd psychology affects the different phases of the trend. There are four main stages of a trend and there is a different crowd psychology behind each stage of the trend. These four stages are: 1) Nascent Trend, 2) Fully Charged Trend, 3) Aging Trend and 4) End of Trend. These four stages are closely linked to the cycle of volatility in the market. Lets discuss these stages of a trend in detail.

First Stage-Nascent Trend: Most market players are still skeptical about the possible new trend direction during the nascent stage of the trend. In the beginning when the new trend just starts either upside or downside, volatility is low as both bears and bulls tread carefully and are cautious. Nothing is clear at this nascent stage of the trend when it is forming. Market players are trying to confirm or deny the start of a new trend. So everyone is cautious whether the new trend will continue or it will fizzle out.

Fully Charged Trend: This is the second stage of the trend and during this stage the trend becomes well established! The trend becomes fully charged as there is now evidence from fundamental data that supports the trend direction. The trend is in full progress and it is time for more action now. Traders who are caught on the opposite side of the market become exposed when the new information proves them wrong. They become desperate.

A lot of changing positions will take place during this period. Traders who were initially on the wrong side of the market become new converts to the trend. This causes the currency prices to move more dramatically within that stage.

New information convinces most of the traders of the direction of the trend. Traders become convinced of the direction of the trend. Everyone wants to jump in the trend. More and more positions are established bringing prices to higher highs in an uptrend or lower lows in a down trend. Hence volatility tends to be high during this period. - 23199

About the Author:

Mr. Ahmad Hassam has done Masters from Harvard University. He is interested in day trading stocks and currencies. Know These Forex Charts. Learn Forex Trading!

Great Annuity Marketing Earns the Trust of Annuity Prospects

By Bruce Darber

Don't sell annuities like their used cars. People aren't asking you for a sales pitch when they ask for your professional advice. They want answers that are straight and sound. They need information they can trust.

More than salesmanship, annuity marketing is educational in its purest sense. You may be selling a product that depends on building annuity prospects to build your business. If you aren't up front, truthful and education about the product you're selling, however, you'll never earn the all important trust of your clients.

Economies are shifting these days, and people have every right to be scared. They should understand, however, that annuity marketing is a far safer investment than the stock market when it comes to financing. Many annuity prospects seek security after watching their stock market savings evaporate with the economic collapse.

Let your clients realize they have the option to later sell the annuities as well. Annuities can be sold as well as bought, whether your clients need the money immediately for a financial emergency or just realize they don't need as much annuity as they thought.

While there are many ways to build annuities, ultimately you are building a relationship with your clients. Annuities promise a secure future for your clients. It's a relationship that needs to sustain into the future.

As relationships grow, so does trust. Honesty is always the best policy when it comes to annuity sales Your clients should be as valued and respected as family and friends. Keep their best interests as your main motivation when marketing annuities.

Salesmanship that doesn't spell it straight out is transparent. Ultimately, it hurt your business. While trust builds up overtime in a relationship, it cab be quickly destroyed.

Honesty is the secret building block in this business. Clients who like your work will recommend you to family and friends, building a portfolio overtime that starts to feed off itself. An ounce of truth in the annuities business is worth more than an ounce of gold. - 23199

About the Author:

The author of this blog is very knowledgeable in annuity marketing and if you are interested in learning more here are some other resources to learn about annuity prospects.

How to Sell Gold for Profit

By Tabitha Reaves

This is the worst recession for over 60 years and as we have all had to cut corners, tighten our belts and look for ways to save cash, many people have been taking a good, hard look at where they can make extra money. Many of us have old jewelry which is simply wasting away in a drawer or a box somewhere - it is unlikely to be ever used again and it is in every sense of the word, dead weight.

Selling gold and especially old jewelry has become a boom industry in the US and around the world.

Why?

The answer is simple - in times of recession, investors look to buy gold because it is considered a stable, secure investment - gold is what backs the currency reserves of the US dollar and currencies all around the world. When economic times get rough, gold is where the smart money invests and in turn, this drives up the price of gold while stocks and shares fall in value.

Because top dollar is now being offered for gold, it makes a good proposition for gold refiners to buy in the relatively small quantities of gold and precious metals included in your jewelry collection. The issue for you is how to get the best price for the collection you are looking to sell and how not to get scammed in the process!

First of all, deal with a gold buyer who is prepared to offer you a published price for the precious metal involved - not just gold, but also platinum and silver - reputable dealers will publish a daily buy-price for metals so you can easily see what you will get for your metal and be able to compare prices with other dealers. If you cannot see a published price or the dealer is not ready to come forward with a price when you ask, avoid doing business with them - this is something which is basic and fundamental.

In addition, when you are dealing with a dealer using the internet (or indeed in any advertizing medium) you should take some basic precautions to make sure you are dealing with who they say they are! Remember, you are trusting a substantial amount of money to their gold buying process and you want to be sure you are going to receive payment from the person you are sending the precious cargo to. If they have an internet site, check the contact information and make sure you are dealing with a real company at the end of the telephone number. If you call the company and you only get a call-center or customer service staff who do not appear willing to discuss your potential sale, then quite simply, don't deal with them. You should also make sure that the address they give is a physical mailing address for their business and that it can be verified.

When you have decided who you are going to transact the business with, make sure that they provide you with secure and insured courier or mailing services so you can be assured that the jewelry makes it to their refinery and if there is a claim, you are going to be fully compensated for any loss or mistake. - 23199

About the Author:

The best online resource to sell gold or sell silver can be found at www.refinity.com

Forex Blogs and the US Dollar

By Bart Icles

Foreign exchange trading has indeed earned its place in the finance world. More and more new investors are joining this trading arena as each day passes and they are all attracted by the constant challenge of a risks and rewards game. Of all the currencies involved in this market, the US dollar remains as a popular in many forex articles. It is not unusual for a currency trading newbie to come across a forex blog that follows the changing trend in the performance of a US dollar.

Although seasoned forex investors will advise against following a single currency, one cannot avoid following the US dollar. This currency remains as one of the most popular headlines of many forex journals, newsletters, and articles. There are still many people banking on currency pairs that involve the US dollar. Thus, it is no surprise that there are lots of investors who are on the lookout for what will happen next to this intriguing currency.

In the past year, the US dollar has been facing against currency giants as its value plays around its lowest levels for the past decade. With all the economic, financial, and socio-political issues that haunt the US, many people thought that it would be unlikely for the dollar to climb up the ranks again. During the first quarter of this year, many forex investors were caught by surprise by the 200 pip changes between the US dollar and the Euro. They were even more surprised when they found out that the US dollar suddenly started to settle along the mean. Over the past few months, its value has safely danced on smaller pip changes.

Many forex blogs predicted that this apparent stability might again return to its volatile state with the surging oil prices and price hikes. Indeed, these factors have affected the US dollar in the past quarter but it did not result to significant pip movements. This led many speculators to think that there might be calmer times ahead for the US dollar.

In the forex world, nothing is constant. Changes happen every minute. Any forex blog will tell you that anything can happen to the US dollar between now and the next 5 minutes. If you are new to the forex market, it indeed helps to start trading using currency pairs that involve the dollar. This will allow you to learn more about the volatilities of the market as this currency surely attracts lots of changes. - 23199

About the Author:

Forex education starts with a desire to learn and a drive to become a great trader. A forex trading education takes dedication and a good teacher. But once you learn how to trade and do so successfully your life will change and you have options and financial resources you never had before.

Beating Automatic Forex System Trading

By Bob K. Drummond

FAP Turbo has become almost synonymous with automatic Forex system trading since its release. It uses 2 strategies to increase profits: the short term scalping strategy and the long term advanced FAP strategy. The initial thing to keep in mind is that the software doesn't perform the work of generating signals for you, but rather it is an autopilot trading Forex robot.

We can learn reliable information from a number of sources:

1. Automatic Forex system trading experiments conducted on back data over a few years showed that FAP Turbo delivers profitable outputs over time. This is a good indication of how the robot will perform over time.

2. FAP Turbo was run on real accounts. When you plug it into the Metatrader4 platform, it begins the evaluation of the market for you, it will place trade for you automatically once it discovers a money-making trade. Developers of FAP Turbo use REAL LIVE trading results to prove that their robot makes money, doubling, tripling and quadrupling the money in your account. This alone is a huge thing in the success of this robot as most other products post the results of back testing, which are based on "what if" scenarios and vary under different market circumstances.

3. There are innumerable reviews by regular Forex traders and experts alike which speak very highly of FAP Turbo. FAP Turbo is designed to give serious investors who are afraid of high-risk trading a piece of mind by implementing a highly effective Stop Loss Strategy.

While it is true that you can get rich overnight trading Forex, doing so would be financial suicide. A general rule of thumb is to never risk more than 2% of your account on any single trade. Indeed, there is risk involved in all trading including trading with FAP Turbo. There is no zero risk trading.

Automatic forex system trading is not perfect, and it is possible that you would lose trades once in a while but I know for sure that the earnings with FAP Turbo will be greater than the losses it makes. That is the way forex works, losses and gains and I know you will agree with me that there is no Forex trader that doesn't make losses. Its 60-day money back guarantee, gives you the opportunity to buy the robot, test it with fake money on a demo account for about a month and return it if it doesn't deliver the results you were hopeful for. - 23199

About the Author:

Bob K. Drummond does full-time currency trading from home. He often writes on trading, work from home opportunities and finances. To find out more about FAP Turbo, visit http://fapturbo.iiqtec.com.