Finance, Financial Markets

Forex Trading: How To Make Money In Foreign Exchange

Foreign exchange trading is the buying and selling of one currency in order to buy another. Foreign exchange trading is a market where currencies are traded. The foreign exchange market is the largest financial market in the world with an average daily turnover of over $5 trillion per day. The foreign exchange market can be divided into two categories: spot forex and forward forex. Spot forex refers to transactions that take place on the same day, while forward forex refers to contracts that are made for later delivery dates.

Foreign Exchange Trading

In foreign exchange trading, investors rely on rising or falling exchange rates. The exchange rate determines how much of a currency is needed to buy another currency. Price changes in forex trading are expressed in pips and the unit of trading volume is a lot. Forex transactions are made when banks, trading companies, central banks, mutual funds, and private investors buy, sell, exchange, and speculate with currencies.

Until the turn of the millennium, global foreign exchange trading was only available to professionals, i.e. banks and institutional investors such as hedge funds. In the meantime, however, private investors can also participate in the trillion business.

Read also: Is it Legal and Safe to Engage in Forex Trading in Malaysia?

How to make money in forex trading?

Here is an example. You buy a EUR/USD at an exchange rate of $1.1355 and a few hours later sell the pair at 1.1389. Then you made a profit of $0.0034, or 0.3 percent. That’s probably more than the bank is currently paying you in interest each year.

The chances of profit and the risks of loss in forex trading become clear when you know that the transactions can also be carried out with a leverage of up to 500. In this way, you can multiply your earnings – but also leverage them down significantly (more on this below).

Before you engage in forex trading, you should have some experience. Note that exchange rates are unpredictable which can highly affect the way you trade.

Who Offers Forex Trading?

Foreign exchange is not traded on a central stock exchange, but exclusively electronically on the so-called OTC market (“Over the Counter”). While the banks are networked with each other, private traders need a forex account to trade foreign exchange. Specialized forex brokers and high leverage forex brokers offer their intermediary services with trading platforms.

What Fees Should Forex Traders Expect?

The Forex broker earns on the spread between the bid and asks the price of a currency pair. In trading one speaks of bid and ask prices. Due to the high level of liquidity in forex trading, these ranges are usually quite narrow, usually set to the fourth decimal place. The range (spread) depends on the currency pair, the liquidity, and the degree of fluctuation. The more frequently a currency pair is traded, the narrower the spreads.

The margin usually also covers the transaction costs that are due with every purchase and sale. They are lower than in stock exchange trading with shares or derivatives.

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Financial Markets

Investing In Your Online Presence By Bettering SEO Initiatives – Phoenix SEO Company

If you are managing the marketing department of a financial service company, regardless if it is in the banking, insurance, fintech, wealth management, advisory, or mutual funds industry, you should know the importance of being online, especially if you want to spread your brand and gain customers.

Given the fact that we are presently living in  a world where the Internet and the World Wide Web have become necessities in many aspects of society and human life, it is in the online space where businesses and companies will find their target audience. Because of this, having an effective presence on the web or online is paramount.

Invest In Your Online Presence, Work With A Reputable SEO Agency – Phoenix SEO Company

To have an effective online presence, the importance of Search Engine Optimization (SEO) cannot be stressed enough. However, not all businesses and companies have the knowhow to correctly and effectively optimize their online presence themselves. Fortunately, there are companies specializing and dedicated to providing effective SEO and digital marketing services, helping anyone in need of optimizing their online presence. The Phoenix SEO company is among the best.

Phoenix SEO is among the reputable SEO companies that you can reach out to. This Phoenix SEO company earned its  SEO certification  from eMarketing Institute and their digital marketing certification from SEMRush Academy. Being SEO and digital marketing certified, you can have that assurance and peace of mind that SEO knows their stuff and will definitely deliver results. 

Phoenix SEO, has been in the industry for quite a while now. With over 3 decades of experience in the field of digital marketing and search engine optimization, SEO has run more than 500 SEO campaigns in various sectors and industries, from small companies offering their services locally to large scale companies whose target audience are on a more global level. 

This Phoenix SEO company has  the proper SEO and digital marketing knowhow and competence to help you  improve your online presence to a great extent. But, they also give attention to and listen intently to your needs and goals, whether that is to start and launch a social media campaign, create more content for your blog, or perhaps want to redesign and make better your website or email newsletter. With your needs, goals and even the challenges you face duly noted, SEO make use of their expertise to provide you a tailored and solid SEO and/or digital marketing structure in order for you to resolve the challenges you face and achieve your SEO and digital marketing goals.

So, when looking to optimize your website, webpage or web content but don’t know where to begin or how to do it, working with an SEO agency is one of the best investments you can make.

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Financial Markets

4 Reasons Why You Should Hire a FOREX Broker

FOREX Broker

 

Today’s interchange market is the largest and therefore the busiest market within the world. It’s given lots of opportunities to traders, allowing them to form plenty of cash in a very short span of their time.

However, forex trading isn’t all sunshine and rainbows, and you wish to own an understanding of the market before making any hasty decisions.

Just like with the other investment, you ought to spend a while and do plenty of research. Many of us select a forex broker within the start to assist them to get to grasp the ins and out of forex trading and avoid any frustration.

So, here are four benefits of hiring a forex trading broker for anyone who wishes to form some money.

1. Forex Brokers facilitate your Understand the Market

If you’re a newbie to forex trading, you may face plenty of challenges. The most effective way to avoid any mishaps and losses is thru the assistance of an expert forex broker. A decent professional broker like xmtrading won’t only make bids on your behalf, but he also will teach you the way to create trades and provide you tips to avoid making any mistakes. Knowing how the market works is the key step in making profits through forex trading. Forex brokers facilitate you through the initial phase of the journey so you have got a solid foundation.

2. They Help you create Profits

Most people step into the globe of forex trading in hopes of constructing profits during a short period. If you recognize folks that have tried forex trading and didn’t get the results they wanted; they were missing the vital link within the chain called forex brokers. Exchange markets are very disruptive and volatile. If you expect to form profits, you wish to stay an open mind and keep your expectations to a minimum. Making millions overnight may be a stuff of dreams, and things don’t work like that actually.

 

ALSO READ: Choosing A Reliable Forex Broker To Work With

 

3. They Help You Save Time

Most entrepreneurs opt for forex trading as a side business. Forex trading isn’t for impatient people because it involves learning, understanding, and implementation, which takes time. If you’re already wedged in an exceedingly lot of things, the most effective decision for you is to urge the services of a forex broker. You’ll be able to take the assistance of forex trading platforms and open an account in any of the mentioned brokers. These brokers will take some commission from the profits earned after conducting trading on your behalf. At the top of the day, it’s still better than investing your precious time in learning to trade on your own.

4. They Make Use of Technology

All brokerage firms have certain strategies and software in situ to stay up with the changing trends of the market. Additionally, they also keep a tab on previous ups and downs of a currency to research and estimate future trends. This implies that after you work with a knowledgeable broker, not only are they experienced in interchange, but they also make calculated risks supported by a devised strategy to form maximum profits for you.

The Bottom Line

If you would like to venture into the planet of forex trading, you have got to proceed cautiously, and plenty of enthusiastic traders have lost plenty of cash as a result of fraud schemes that promised them to induce rich in no time. The forex trading market might sound just like the most suitable choice for you, but there are lots of rules and regulations you wish to follow. Each broker has his own quoting method in situ, and before making any decision, you wish to analyze that the worth you’re paying for a broker is getting you the simplest deal possible.

 

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economy, Finance, Financial Markets

Decentralized Finance: How Banks Benefit Services

finance-bank

The term Decentralized Finance (DeFi) has come into focus in recent months. DeFi can be broadly described as an ambitious attempt to leverage distributed ledger technology (DLT) to provide services without human intervention.

Why decentralized finance?

Since the meteoric rise of Bitcoin in 2017 and the extremely rapid development in the crypto market in late 2020 with new all-time highs, the blockchain has been on everyone’s lips again. However, the technical complexity and limitations of purely digital currency still prevent widespread adoption in the financial world. Currently, the Bitcoin blockchain can only be used as a decentralized payment method and does not offer the possibility to use the blockchain as an open ecosystem for other applications.

Decentralized Finance: Obstacles and Challenges

As with any new technology, there are some obstacles and limitations to overcome in order to achieve widespread adoption in the mass market. Some specific obstacles have already been explained. Basically, the following challenges for decentralized finance can be named:

Further development of software solutions

Decentralized applications that have not been officially tested and that have only been insufficiently tested are often found as easy targets for third-party attacks. Also, there is no guarantee that smart contracts will work as intended in every situation, so security and end-user acceptance are not always increased.

Lack of control

Traditional central bank money is traditionally held stable by a supervisory authority. It ensures the efficiency of the medium of exchange, for example, the euro, by intervening in the market. Therefore, any money supply, regardless of whether it comes from banks, private companies, or online communities, must follow a state-prescribed order or

Ease of use

The implementation of DeFi projects is less driven by existing gaps in the market and more by technology. innovations. This creates applications that have a high degree of technological innovation, but can only be operated by end customers with well-founded knowledge. Consequently, establishing itself in the market is difficult.

Regulation

Smart contracts are exposed to a high level of uncertainty, especially when it comes to regulation. To date, there is still no universal responsibility for cryptocurrencies and smart contracts.

Conclusion on decentralized financing

While Bitcoin brought the blockchain to life, but restricted its use, DeFi has the opportunity to start there and make it socially acceptable. The question of whether DeFi is really starting to disrupt the banking sector and to what extent banks are benefiting from it remains unanswered. DeFi projects carry systematic risks that banks must assess for their business model. Additionally, regulatory hurdles need to be removed and DeFi projects must overcome their initial stability, quality, and safety issues.

Now banks have to do the same, otherwise, this point will also go to Silicon Valley corporations. The topic needs to be addressed specifically to answer the house’s specific question about what customer issues can be solved with DeFi apps. Find out more about banking and finance at.

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Financial Markets

Is it Legal and Safe to Engage in Forex Trading in Malaysia?

Trading on foreign currencies is popular among Malaysian retail investors looking to grow their small capital by way of short term investment opportunities. The advent of modern Malaysia-based online trading platforms have made such opportunities accessible, not only to local investors but also to non-Malaysian residents.

Are Malaysia-Based Online Trading Platforms Legal and Reliable?

https://youtu.be/p4216r1Q3tY

Generally, forex trading by way of Malaysian online trading platforms is legal but only if the platform is operated by market intermediaries or brokers, duly licensed by the Securities Commission of Malaysia (SC). The SC, being the financial regulatory body of the Malaysian government, issues a Capital Markets Services License (CMSL) to those who satisfactorily meet the legal requirements, as well as abide by the laws and regulations prescribed by the government.

The CSML license held by Malaysian financial institutions and market intermediaries gives Malaysian investors the confidence to engage in investing and trading activities in the country’s financial markets. As a rule, the Securities Commission of Malaysia awards a CSML license to investment brokers only if they meet the following factors:

Proven probity, a characteristic pertaining to honesty and beyond, as it also denotes the refusal to lie or to deceive in any way or manner and for whatever reason.

Verified Financial Status, which refers to a license applicant’s level of income as required under a specific category, which determines the extent of one’s financial ability to provide market intermediary services.
Proven ability to carry out efficiently, equitably and honestly, financial servicing functions based on their role as intermediaries in Malaysia’s financial markets. As an example, Rakuten Trade became the first fully developed online trading platform to operate in Malaysia in 2017, as it merited the SC’s approval for a CSML license.
Proven reputation, reliability and integrity in performing related functions, including providing sufficient protection to investors from defaults or insolvencies.
Through its authorit,y the SC regulates the financial markets by ascertaining that such factors and other regulatory requirements are met before a CSML license is awarded.

A Closer Look at Rakuten Trade and Its Online Trading Platform

https://youtu.be/d6hXLypWrwg

Rakuten Trade is a fintech firm founded by Japan-based Rakuten Securities Inc and Kenaga Investment Bank Berhad of Malaysia. The company received approval from the SC in 2017 to operate a web-based trading platform. The technology serves as a self-service investment portal that Malaysians can use in accessing Malaysia’s financial markets, including Bursa Malaysia. In 2018, Rakuten Trade won the coveted ‘FinTech Company of the Year.’

Through Rakuten Trade’s user-friendly online trading platform and by using their individual Rakuten Trade accounts, retail investors and day traders can carry out their investing and trading activities, as well as execute trading strategies. The web-based platform enables users to view their respective account summary, such as their transaction history, portfolio of corporate subscriptions and their reward points along with related conversions.

Readers looking for more information about Rakuten Trade and the usability of its platform, its fees, customer service support and user reviews, can find a comprehensive review published by AskTrader.com in this page https://www.asktraders.com/broker-reviews/rakuten-trade/.

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Finance, Financial Markets

Rapid Changes in Oil Prices Spur Spike in Oil Futures Derivatives

A spike in oil future derivatives is likely to transpire now that oil-producing countries finally took action to arrest the continuing decline in oil prices.

What Caused the Collapse in Global Oil Prices?

The collapse of global oil prices went as low as $2. per barrel, only to slump further at 25 cents per barrel. Price drops were driven by the excessive supply of oil amidst the coronavirus crisis. Inasmuch as the economies of countries across the globe halted, the demand for oil rapidly vanished and caused a reverse trend on how oil prices go in the global oil markets.

As prices continued to drop, member countries of the Organization of Petroleum Exporting Countries (OPEC) finally came to an agreement to cut their supply of oil. That way, a semblance of balance will be achieved if less will be available until such time that supply, becomes more or less, proportionate to current demand.

A more significant step that was taken, was the suspension of oil production. Since nearly all storage tanks remain full, none will be available if oil fields and drilling sites continue to pump out oil. Currently, the price of oil is coursing at an upward trend, as the demand for oil and petrol products is likewise increasing in countries that are gradually reopening their economies.

Still, rapid changes in oil price are  taking place, as countries in Asia where Russia’s oil are being delivered, are currently experiencing a second wave of the COVID-19 pandemic. In the U.S., several states are also experiencing a second wave; although it is widely suspected that the additional cases are mere extensions of the first wave.

Nonetheless, stock market investors have little confidence in buying shares of oil companies despite their ridiculously low prices. The general consensus is that it will take time before oil companies can recover from the losses caused by the oil-price collapse. That being the case, not a few, but many financial traders are turning their attention to oil futures and their related derivatives.

https://youtu.be/85zBz9aGjAQ

 

Newbies are Advised to Practice First Before Participating in Derivatives for Oil Futures

Although derivatives for oil futures may have the appeal of being a straightforward yet lucrative transaction, it would be best for newbies not to quickly jump in. The matter of making decisions on whether to agree (Yes) or disagree (No) to a proposition requires careful thinking and assessments of global conditions. A wrong decision over a proposition could spell substantial losses that one might find hard to recover.

Newbies should first take time to practice by using a demo or practice trading platform like the one that they will find at https://ipoption.com/

The platform is offered free of charge by leading CFD broker IQ Option Europe Limited, which comes with a 10,000 demo money value. This broker is licensed and regulated by the Cyprus Securities and Exchange Commission, which requires licensed brokers to offer a demo trading platform that has the same and exact features as the platform used for real money. The only difference is that the demo software runs only on demo-money.

Another great thing about using the IQ Option demo trading platform is that for a minimum deposit of $10, new members can practice all they want and for as along as they want.

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