Using a Pivot Point Calculator in Forex Trading

Many traders and investors use the concept of support and  resistance in Forex trading, in order to make profits in the market for currencies. Support lines and resistance lines typically act as barriers, which prevent the prices of currency pairs from moving furthermore into a certain direction. Forex traders use lines of support and lines of resistance in order to spot additional, potentially profitable opportunities in the market for currencies. Pivot points are very popular and are used by all kinds of Forex traders and investors, including the ones at the very top. They are one of the most popular ways to determine both support lines and resistance lines, as well as market turning points. In order to calculate pivot points quickly, easily and accurately, you will need a pivot point calculator. They can seem perhaps a little daunting at first, especially to beginners, but after some practice they can be very easy to use. All you have to do with these sorts of calculators, is: 1) Input the high price of the currency pair in question. 2) Input the low price of the same currency pair. 3) Input the closing price of the same currency pair. After inputting the high, low and close of the currency pair that you are looking at, with a push of a button you will be able to have the pivot point of the same currency pair calculated for you within an instant. Pivot point calculators are free and there are many available on the internet. Some of these types of calculators will allow you to calculate the pivot points of multiple currency...

Using a Pip Calculator in Forex Trading

Among other types of tools, Forex traders can find pips calculators to be very useful, when trading currencies. These calculators are actually very simple, but they are great for all kinds of traders and can allow you to become more organized and aware of what you are doing in the Forex market. A pip, also known as a point, is simply the smallest incremental change that a particular currency pair can make. It ultimately depends on the context, however in general, 1 pip = 1 basis point. So in the case of EUR/USD, GBP/USD and USD/CHF for example, one single pip would be equal to 0.0001 and in the case of the USD/JPY currency pair, one single pip would be equal to 0.01. Pips have different values across different currency pairs and across different prices. However, they will also be greatly affected by the contract size (in other words the size of the lot) being traded. Generally, besides standard lots, there are mini and micro lots. A standard lot = $100,000, a mini lot = $10,000 and a micro lot = $1,000. There are actually nano lots and such available, but these are much rarer and not all Forex brokers can provide these. A very small majority of currency traders actually trade nano lots anyway and even for a beginner, nano lots aren’t necessary. However just bear in mind that the size of the lot that you are trading will affect the pip size; the larger the contract size, the larger the pip size will be in a trade. As already mentioned, the value of a pip will change...

Using a Currency Converter in Forex Trading

There are plenty of different tools that you might find useful, during your Forex trading career. Some are more useful and of course more important than others, however one of the more obvious Forex trading tools that you might have already heard of, is the currency converter. Although these sorts of tools are generally used by business people going away on meetings, holiday-goers going to different countries and just about anyone going abroad to a different country with a different currency to their home nation’s currency, they can also prove to be useful to currency traders. A currency converter will be able to provide you with constant, valuable information, so long as the converter is up-to-date. These types of tools will be able to tell you the retail exchange of one currency in terms of another. This basically means that these types of tools will be able to tell you how much one currency is worth, in terms of another currency. Because you are always buying or selling one currency against another, converters can of course prove to be very useful, despite the fact that they are actually very simple tools indeed. You should bear in mind when using a converter though, that the rate that you do see on your converter won’t match or reflect the currency prices that you will be given by your broker. This is because Forex brokers make money through spreads; brokers embed the costs of their services into the differences between the buy and sell prices of currencies. Also, you might want to remember that the price feeds that your broker delivers might...

Using an Economic Calendar in Forex Trading

When trading currencies, you want to surround yourself with as many useful resources as possible, in order to maximize your chances of profiting and success in the Forex market. Some Forex traders will focus more on technical analysis, by looking at price charts and graphs more than studying fundamentals. Similarly, some will focus on fundamental analysis more and neglect the technical aspects of trading currencies. No matter what type of analysis you prefer or focus on, you should try to conduct both types of analysis. An economic calendar can prove to be a great tool and these types of calendars can greatly assist a Forex trader’s conducting of fundamental analysis. These types of calendars can definitely help to increase your chances of profiting and success in the market for currencies. There are many Forex trading calendars available on the internet. The majority of them are free too, so you have nothing to lose when implementing a calendar of economic events into your trading of currencies. Some are obviously going to be better and more thorough than others though, so you should really just look around and perhaps even consider using more than one economic calendar. The calendar you use might even depend on your Forex trading system and the currency pairs that you trade. When looking for a Forex trading calendar, you should definitely look for one that has all of the financial world’s most important economic events, such as the ones that develop in the United States. The US is very important and plays a significant part in the world of the financial markets. Some news, announcements, releases...

Using a World Clock in Forex Trading

In the currency market, you have a lot to worry about. What most traders and investors worry about, especially beginners, is making a profit. Forex trading is like any other business in the world and by investing in currencies, you won’t necessarily make back what you put into it in the first place. This is because risk comes with trading currencies. However, there are many elements to currency trading; one element of Forex trading is time. Forex trading is international of course, because when you trade a currency pair, you are actually buying one currency from one nation and selling another currency, which is obviously going to come from another nation. Different nations will tend to work in different time zones – this will ultimately depend on the countries in question, but this is generally the case. For example, you might buy USD and sell GBP, but the United States is in a completely different time zone to the United Kingdom. A world clock in Forex trading is an important tool. Although this is actually a very simple tool, it can help you out a lot when trading currencies. All good desktop computers will allow you to place a good world clock on the desktop of your desktop computer, which means that it is also very easy and convenient to use a world clock. Once you have a world clock that you can access on demand, you will want to learn about the various trading sessions there are and when the Forex market is most active. There are multiple different trading sessions and it will ultimately depend on your...

Making Profits with Forex Trading Signals

Forex trading has become exceedingly popular over the years and the Forex market presents many opportunities to traders and investors. There are also many different tools and services that Forex traders can take advantage of, in order to maximize their chances of success and increase their profits. The more successful and professional Forex traders and investors tend to have better trading tools at their fingertips. It’s true that if you surround yourself with the right tools and software, you will be much more likely to experience success and make more Forex trading profits. There are many Forex trading tools available. Many traders and investors look around to find the so-called “best” ones, however, in reality there are no “best” tools. It really comes down to you as an individual; the best Forex trading tool for you, might not be the best one for another Forex trader. You need to test what is available to you and you need to find what works, when you look for currency trading tools.¬†Generally speaking though, automatic Forex trading signals can be very effective. If you are looking into tools that will be able to maximize your chances of success and increase your profits, you might want to consider looking into Forex signal services. Signal services in Forex trading, do not place your orders for you automatically. What they do, is they generate signals for all of their clients. The currency traders and investors who use signal services, then have to make a decision on where or not they would like to act upon the signals they are given, in their Forex trading. Signal...