Trade Exotic Currency Options

By Ahmad Hassam

Currency Options are used by companies as risk management tools. What are Options? Simply stated, it is a contract that gives the buyer the right but not the obligation to buy an underlying asset under specific conditions on payment of a premium.

The buyer may exercise the right to buy/sell the underlying asset if it makes a profit. On the other hand, the buyer may not exercise the right if it is unprofitable. However, if the buyer of an options contract exercises the right to buy/sell the underlying asset, the seller is obligated to sell/buy the asset at the specified price.

In every foreign exchange transaction, one currency is purchased and another is sold. Consequently, every currency option is both a call and a put. A call conveys the right to buy the underlying currency. A put gives the buyer the right to sell.

In your opinion, why options are important as a risk management tool? Lets make it clear. Suppose a Japanese company is going to make the payment for its imports of raw material in three months time in US Dollar.

The Japanese company can remain unhedged and purchase USD in prevailing spot rate in 3 months time. It can hedge by buying USD forwards or it can use an options strategy.

One of the strategies available to the Japanese company is to buy JPY put and USD call option. Buying the JPY put option will put a ceiling on the cost of imports in case JPY goes down. The company limits the cost to a maximum at the same time not limiting the minimum. You can trade these exotic options to make profits under different market conditions.

Digital options are simple, easy and inexpensive to trade. If you think, the EUR/USD rate is going to be above 1.0800 after 2 months but you are not sure about the timing of this move taking place within the next two months, buy a digital option. If after 2 months, the EUR/USD rate is indeed above 1.0800, you get your profit. If not, your digital option will expire. You with lose only a small premium that you had to pay while purchasing the digital option.

One Touch Options are perfect for those traders who believe that there will be a retracement and the price of a given currency pair will test a support/resistance level. The one touch options pay a fixed amount if the market touches the predetermined barrier level.

A No Touch Option is a way that you can use to profit from a trending market; it pays a profit if the market never touches the barrier level that you choose. All you need to do is to determine the desired payoff or profit that you want, the currency pair that you are interested to trade, the barrier price and the expiration date.

A Double No Touch Option is perfect for you if you have the track record of identifying and profiting from breakouts but always lose money in a ranging market. On the other hand, you can use a Double One Touch Option if you know how to pick the tops and bottoms in a ranging market but always lose in a breakout market. - 23211

About the Author:

Mr. Ahmad Hassam is a Harvard University Graduate. He is interested in day trading and swing trading stocks and currencies. Learn Forex Nitty Gritty. Discover A Revolutionary New Forex Robot. Develop your own Forex Trading System.

Identity Theft - Crime Connected with Social Security Number

By Rob

Learning to be in charge for all our tenures is very important for us to avoid different kinds of impediments and one of those very important tenures that we should learn to take care of is our social security number. We have to handle it with utmost care to make sure that no corrupt individual gets a hold of it; otherwise, difficulties will certainly happen.

The economic recession that we are experiencing today has increased the crime rate greatly. This has even caused the unemployment rate to escalate. For this reason, many have become desperate in order for them to survive. They even resort to stealing your social security number resulting to identity theft for them to endure the economic difficulty that all of us are experiencing.

How does someone steal somebody elses identity? There are many possible things to achieve this especially if a person is so desperate that his judgment is clouded by the hunger for money. One can be through credit card theft or credit card fraud wherein a person uses another persons credit card and splurge on things without the real owner knowing it. Well, the owner can find out but its already too late, the culprit has done damage enough to ruin the owners life.

Stealing somebody elses social security number is also one of the ways to steal somebody elses identity. But how do you know if someone else is taking the ownership of your social security number? Its actually hard to find out. Frequently, what happens is you will only find out that you have been swindled when you begin to get calls from a company demanding payment for things that you never bought.

In the United States, one of the fastest growing crime is identity theft. A horrible individual will find ways and means to gather information from you and before you know it, he has taken advantage of your name and all your hard earned possessions. They overdo and spend your hard earned money buy using credit cards they have applied under your name with no payment involved. You will only find out when its too late which is the worst part.

Someone who has stolen your identity through your social security number can greatly cause many problems but there are actually many ways to avoid these things. - 23211

About the Author:

Tools are available offline and online and you can visit free social security number search to find out and if you want to know more about social security numbers, you can try ssn search.

Win Big With The Right Forex Trading Course

By Bart Icles

If you have your heart set in making a living in the forex market, you should be armed with all the knowledge about forex trading. You will be able to learnt he basics and more when you take advantage of a forex trading course. Enrolling in one, may it be online or not, will make tons of difference once you get involved in the forex market.

A good forex trading course will:

1. Be able to teach you what you need to know about forex trading - how it all started, what the characteristics of the forex market is, the different forex trading jargons, how to compute for losses or gains, etc.

2. Be able to equip you with a workable strategy along with a structure that is easy for you to follow or track.

3. Provide an area for advancement of your forex trading skills by providing you with different options for forex trading strategies.

4. Be able to present to you the whole forex market and forex trading scenario in an easy to follow manner, making everything simple and to the point. This way, you would not have to struggle to understand and just simply be able to absorb what you need to absorb.

5. Be able to give you the confidence to trade since the knowledge that it will inculcate in you will put you a step ahead of forex traders who have not undergone a forex trading course.

6. Allow you to develop techniques and strategies that will pave the way to your forex trading success by teaching you when to call stops, how to read forex signals - basically how to weigh the pros and cons of all the shots you will be calling during forex trading.

7. Teach you how to open a demo account so that you will get a feel of how it goes with forex trading. It will also teach you how to set up the software/s needed for you to be able to play with your forex trading cards.

8. Inculcate in you the discipline that you need to acquire to be able to not lose too much when you're on the losing end.

9. Teach you how to spot a forex trading scam by letting you know what the real picture is. Too good to be true offers should usually be avoided.

The most important thing to consider in a forex trading course is that it should be simple, clear-cut, and to the point. This way, you are assured that you will be able to get equipped with everything that you need to know before you get your feet wet in forex trading. - 23211

About the Author:

Forex Training starts with a desire to learn and a drive to become a great trader. Becoming a Forex Trader 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.

Cheap Commercial Insurance For Business Vans!

By Simon Normski

Commercial van insurance online quotes will typically be geared towards the small business owner or someone who works as a contractor in their field of choice. These vehicles are usually leased or purchased new in order to alleviate serious mechanical maintenance during work hours.

For leased vehicles, the terms of van insurance coverage will be slightly different depending on where you have your lien holder and what their recommendations are for the vehicles. Personal coverage can be limited to a minimum package for coverage or can also be bundled with a variety of options in order to create the most comprehensive package for your van/s.

Be sure to examine each insurance policy very carefully since even though the costs may only differ slightly, their packages can be completely different in what they will cover. It would be in your best interests not to rush into purchasing cheap insurance online for vans since making a hasty decision could cost you more money in the long run. Take your time to collect enough information to make a sound decision and you will not feel as though you made a mistake.

The age of your vehicle can affect your van insurance online quote so be sure that when you are filling out automatic forms through the Internet that they are correct for the age of your van/s.

Some insurance brokers will provide cheaper insurance for vans that are over 5 years old or that have an up-to-date mechanical inspection performed. If you have chosen to purchase a vehicle that is over 5 years of age from a dealership that will provide a mechanical inspection certificate, be sure to make your insurance broker aware since you may qualify for additional discounts on your overall cost.

Gone are the days where you would have to drive around and go into insurance broker offices personally to apply for van insurance or phone each and every number in the local business directory in order to gather enough information.

This endless waste of time and energy can be now summed up into a few keystrokes on your computer and you will have an entire page of phone numbers for insurance companies, online quotes and information for your van policy that you would have never had access to previously. Cheap insurance online for vans, trucks and cars has never been easier.

Driver training or self-defence driving courses can bring down insurance rates significantly with some insurance brokers. For a small cost and just a few hours of your spare time to complete a driver training course on a weekend can save you hundreds of pounds in van insurance on your current or new policies. - 23211

About the Author:

Simon Normski is an authority in the field of Van Insurance, Visit our site for essential information on online insurance for vans and online van insurance quote.

The Importance Of A Top Quality Driving lesson

By Nathan Lewit

Something that we all get excited about sooner or later is when we learn to drive. Remember when you were approaching the driving age and the excitement that you felt? There are many ways that a person can learn how to do this. Here we look into the most popular ways that people tend to lean towards when thinking of driving lessons.

Some people want to learn from a driving teacher. This route offers the coaching of a teacher that sits in the car with you as you drive with them. They will explain how to manoeuvre the vehicle in the manner that is necessary to achieve certain results, such as parallel parking. This seems to be one of the most difficult tasks that new driver's seem to have trouble with.

Schools have been offering driver's education programs throughout the years and have been high on the list for popularity as an option. Kids like that they can still be with their friends while learning something of such importance. Parents like that the cost of the classroom and the in car portions of the course are all included in one price.

There are also driver's education courses that schools often offer to the students. Doing this includes both in classroom type of training as well as in car at one fixed price. This could be one of the more economical ways for someone to learn how to drive. Many parents prefer this option to others for this reason in particular, especially in the tough economic times that we are in at the present time.

Either of these options are good choices. Keep a few things in mind though when making a decision though as taking driving lessons is a very important thing. Look into the qualifications of the person or course that you are opting to take.

Prices can be different depending on where you live, the number of lessons, and a variety of other factors as well. Being smart when making your decision is very important.

Another way that a person can learn to drive is through family members. This can be a good way for people that are on a very tight budget as the only real cost is that of the fuel needed for the car. Be aware though that come family members may not be the best driver's out there and there are things that you may be taught that are incorrect when it comes to when you take the real driving test.

Once again we are going to suggest that a person look around the internet. There are a lot of places that offer practice tests and have videos that can help the person that is learning to drive. Along with this there are many, many articles that are out there that can offer very useful information about driving and other related areas. Examining what is out there can be the smartest thing that you can do when thinking of driving lessons. It can save you a lot of money as well as being unhappy down the road. - 23211

About the Author:

Nathan Lewit is the president and the hands on instructor of Nathan's Driving School located in Georgia. Before you select anyone else for driving lessons in Georgia, make sure you check out Nathan's Driving School's crash course driving lessons.