Forex Trading Decisions Based on Emotions or on the Numbers?

By Richard U. Olson

As an investor, you know that there are two things which influence the decisions which people make on the market. These two prime motivators are greed and fear. These are two of the most primal human emotions. Fear can become panic and greed can lead one to make risky decisions. The most successful investors, including Forex traders are those who are not swayed by these emotions.

Smart Forex traders work using managed Forex trading. They use trading strategies which are based on proven mathematical models. These investors often use an automated Forex trading system and trading software to make their investments. Some of these investors also use the services of an expert Forex advisor to help them in making good decisions about their Forex trades.

Nevertheless, successful Forex traders are not acting or reacting on their emotions. They do not like taking a loss and their desire creates greed. They do however; consider the momentary losses and the strokes of increased profits. If they think their feelings will cause a negative action, they simply ignore their feelings.

No matter what sort of dire financial news comes out that day, no matter what sort of day you've had, you should not let these factors make your investment decisions for you. Stay to a carefully thought out Forex trading strategy and try to discount your emotional response to market movements.

Discipline is essential to the success of your Forex trading. You will drown if you let your feelings guide you. This may cause you to become one of the sheeple, if your fear causes you to stop-loss or take profits before you should. This can cause you to lose out on increased profit opportunities. Greed causes unreasonable stimulation of risking too much in heavy losses when instead you could have experienced great profits.

So a Forex trading discipline has to be based upon tried and true trading principles and strategies that have been proven to work. It has to be based upon real history.

A successful trader actually makes a lot of their money at the expense of those who make their decisions on an emotional basis. The movements in the market which can cause many to panic or become overconfident can bring large profits to the savvy Forex trader.

One of the best ways of staying true to a trading discipline in the Forex market is to use automated software. This software makes use of mathematics to analyze patterns and possibilities in the market. If you makes use of Forex trading software, you can help yourself stay true to your strategy and avoid getting caught up in your emotions. - 23211

About the Author:

Richard U. Olson recommends the state of the art Forex Expert Advisor that he uses to make consistent profits in the Forex markets. Grab his FREE e-course on Forex Trading Tips to realize your financial dreams.

Important Cash for Structured Settlement Facts

By Richard Panyan

Conditions you should be aware of in the transfer of cash for structured settlement payment rights.

If you need to get cash cash for structured settlement, there are some important matters that you should be concerned with. The long term cost of selling your structured settlements for a lump sum payout are substantial. Most people don't take these fees into consideration and only focus on the immediate impact of a large cash windfall.

If you finally do decide to go with a structured settlement brokerage company this what you need to know about the law.

If you're in a lawsuit, some services "offer" you the ability to "sell" your structured settlements to them. In exchange, they provide you with a lump sum of cash in the event you need this type of financial resource.

Laws do protect consumers from brokerage companies that are unscrupulous. Usually, the settlement agreement also specifies a nonassignability clause. Basically, this is unenforceable, though.

It's been estimated that more than 50,000 structured settlements go into the system every year. These settlements give premiums to annuity. What's important to remember is that these premiums are highly favored in terms of the tax treatment you get, whether you are the claimant or the insurer. In turn, this lowers insurers' costs.

The price terms usually unfair. Summary accounts show that some sales are completed with a 12 percent or 15.8 percent discount rate, but other sales have been completed with a rate as high as 55, 65, and 75 percent. In addition, since the discount rate is always calculated on the purchase price which includes brokerage and other expenses "agreed" to by the seller in the contract, the real discount rate and cost of the transaction to the seller is artificially depressed. Moreover, there is no requirement to disclose to the seller, in understandable terms, the total costs of the transaction. Given the unfairness of some of the transfer agreements, consumers need protection from factoring companies that take unfair advantage.

With a structured settlement that qualifies for preferential tax treatment, the claimant does not have the right to delay, accelerate, decrease or increase the future payments he or she receives from the structured settlement company. If the claimant's circumstances change, such that they need additional funds from the settlement, the only means by which the claimant can have access to these funds is to sell either a portion or all of the settlement.

Industry watchdogs also say that structured settlement factoring businesses that are dark are also rapidly increasing. One company, in fact, announced that it had undertaken almost 8000 structured settlement purchase transactions totaling $370 million in value. During the first three quarters of 1997, this same company "bought" 3700 structured settlements, and paid $74 million for $163 million in structured settlement payments.

What that means is that the long-term fiscal security and careful planning so painstakingly set up to take care of the needs of the injured victim and his or her family are being tossed aside. This is all because factoring companies offer quick cash at deep discounts for future structured settlement payments -- but at what cost? Once these victims have given away their only source of assured future financial income, they may indeed have to go on public assistance to cover future basic living expenses and medical expenses -- even though this is what the structured settlement plan was set up to avoid. - 23211

About the Author:

Your move. Visit Cash for Structured Settlement or Sell Structured Settlements now.

Forex Trading Strategies for the Best Trading Results

By Steve Maenshel

Forex trading strategies are essential for a trader to know exactly when to sell or buy a currency pair. The time of purchase or sale of foreign currency pairs is the most important point of a trade. The better that the trader is able to determine the time of entry / exit, the more profitable is a potential transaction. This can be achieved with sound Forex trading strategies.

Forex trading strategies in combination with technical analysis is usually used, especially to determine the time of entry / exit. Most often, a decision is made within seconds or hours.

The most common Forex trading strategies are:

1. Using Support and Resistance levels

Forex trading strategies, based on the break of a resistance, often give a great signal to buy. Buy and protect your position by the stop-loss order, which should be placed below the level of the occurred break (break level now turns to a new level of support). A new position can also be opened, if in the downward trend the price went up to the line of resistance, or if at the time of a rising trend the price fell to support.

2. Scanning for the intersection of trend-lines

Most important is the intersection of a proven and several times checked trend-line, which would allow a trader to enter / exit early. At the same time, it is better to also keep an eye on other technical indicators. If you are using the trend-line as your Support / Resistance, buy when prices fall to a solid upward trend line and sell when prices rise to a solid downward trend-line. This is one of the sound Forex trading strategies.

3. Trading in the break

Forex trading strategies usually include 3 main options to trade in the break:

- Open a position in advance, in the anticipation of a break;

- Manage to enter the market at the moment of the break;

- Wait for the inevitable roll-back after the break, because in the market after a break, there is usually a correction.

You can additionally use a combination of the above Forex trading strategies, and try to open a position in each of these phases, i.e. before a break, after the break and during a correction, which is likely to follow a break.

4. Trading with positions of various time frames

1). Long-term holding of open positions ranging from a few days to several months, these types of positions are maximally effective in the emerging trends and the least effective at the time of flat trends. When working on long-term positions, fundamental analysis is just as important as technical analysis. This is one of the moderately safe Forex trading strategies.

2). Forex trading strategies, based on medium-long positions, i.e., few days. Also analyze short-term scales. Such positions are likely the most stable for profit, but their analysis is a bit trickier. Look, as usual, for the best time for the opening / closing positions. Again, use in addition to technical analysis also the fundamental analysis, which is perfectly suited for longer timescales.

3). Forex trading strategies, based on short positions, i.e., ranging from several minutes to several hours. Fundamental analysis is in fact useless in this case, so you can fully concentrate on the technical analysis. The price will not change unexpectedly at your absence, because you'll be constantly following it. However, risk of losses is very high, making short-term positions more suited to professional traders, and not for beginners. Another drawback is that you'll have to have focus on the prices throughout the whole day. Try to also use the volume indicators, which will help more accurately determine the direction of the market. Also, this type of position is good for trade in breaks, and rollbacks. Generally, these positions are not very suitable for the novice trader; a novice trader is better to stay with medium-term trends.

Forex trading strategies based on technical analysis indicators will help you achieve the best results. Forex trading strategies are especially useful for choosing the right time to enter and exit the trades. - 23211

About the Author:

Author Steve Maenshel has been a professional trader for ten years. He can help you better understand forex trading strategies. For more forex trading information, visit his forex resource center.

9 Things You Need From Any Forex Auto-Trading Software

By Richard U. Olson

If you, like a lot of others now are considering taking up online Forex trading, you may well be interested in a solution which allows you to make Forex trades while you sleep, work, even while you are on vacation! Technology has advanced, making software which was once thousands of dollars as cheap as $100. You can put this software to use right away using the industry standard trading platforms which are used by Forex brokers worldwide. Thanks to automated Forex trading, experts and newcomers alike are able to maximize their online Forex trading profits.

What you can gain from automated Forex trading software?

- Automated Forex trading robots can trade around the clock in all of the popular currency pairs and this is impossible to do manually.

- These trading robots can be had for under $100. There are a lot of automated Forex trading programs which integrate with the industry standard Meta Trader 4 platform used by Forex brokerages all over the world.

- Forex trading robots make trades based on mathematical modeling (Fibonacci formula) and previous market behavior, not emotional responses.

- You can use demo accounts to familiarize yourself with the market and to adjust the software settings for the best performance before you start risking real money on trades.

There are features which any automated Forex trading software you are considering should have. There's a lot of confusion out there about software, especially among new traders. You should never by automated Forex trading software which does not meet these 9 criteria:

1. The ability to analyze market conditions to give you the information you need to make profitable trades.

2. Mathematical modeling of market movements should be used (the Fibonacci formula) to make trades which have the best chances of being profitable.

3. The software has to have an integrated system of money management which makes the decision which ensures you profitable trades even in unfavorable market conditions

4. The trading software should know precisely when to make trades in order to make you the maximum profit. It needs to be able to identify trends when looking at the big picture.

5. Automated Forex trading software should let you keep your position open for as long as you are still making money on your trades, as well as knowing when to close the deal to make you the largest possible profit.

6. Monitors currency pairs in several markets simultaneously and watches massive amounts of trades over time easily.

7. The software absolutely must work with the Meta Trader 4 platform.

8. The software is user-oriented and follows the "Keep it Simple Stupid" approach for effective and profitable trades.

9. Automated Forex trading software has to allow you to work with demo accounts to make yourself familiar with how the Forex market works and to adjust the software settings to suit your trading style and optimized its performance.

The automated Forex trading software is for all levels of Forex traders, whether you're at the beginner level or a financial expert. Trading experience or knowledge in the Forex market is not a prerequisite to use the Forex robot software. But if you're looking at Forex trading as a business venture you should gain some Forex knowledge from the course at the link below. - 23211

About the Author:

Richard U. Olson recommends the state of the art Forex Autopilot System that he uses to make consistent profits in the Forex markets. Grab his FREE e-course on Forex Trading Tips to achieve your financial freedom.

Automated Forex Trading Systems For Money Management

By Richard U. Olson

A money management program for investors is a system that they use to tell them when to buy or sell and what amounts of money to risk at a given time. For those involved in the Forex markets, an automated Forex trading system - an electronic system - can be an ideal money management program.

Some people might be skeptical about an automated Forex trading system - after all, don't such systems try to "time the market", and isn't that a no-no for investors? But experienced Forex traders know that good automated software to help them with trading can be set up with their chosen parameters so that no market timing is involved. Instead, the system uses the stop-loss, retracement, and other real-time parameters and couples those stipulations with mathematical algorithms such as often-used Fibonacci formula in order to automatically place buy or sell orders on behalf of the trader.

The Forex market is a global market which is open nearly 24/7 since at almost any time there is a currency market doing business somewhere on the planet. An automated Forex trading system is therefore ideal for use as an investor's money management program, since the software can stay up and running whenever there is trading to be done.

Knowledgeable individuals may wonder why use a money management program. Perhaps they think that investing is a gamble ranking about the same as visiting a casino. They may reason why you would use such a program if it makes no difference at all.

Of course, the answer is they're wrong - if you know how to manage your money and your Forex activity. While there is definitely a large amount of uncertainty in the marketplace on a short term, hour by hour and day by day basis, if you pull back a little and look from a more distant, all-encompassing perspective that takes in a longer timeline, you begin to see patterns. Forex automated trading systems take these patterns into consideration and use them to analyze asset trading charts. Using historical perspectives and tried and true mathematical algorithms, it's possible to do far more than just gamble in the Forex or any other investment market.

Speaking of gambling, there are various professional gamblers who are multimillionaires. No one can be that lucky, although ambiguity and luck do have their own roles, however these professionals do know how to see the hidden patterns and then take their calculated risks with informed anticipations. Their essential long-term gains absorb their short term losses.

So, yes, there are systematic ways of approaching Forex trading. These ways work. Just get it from the horse's mouth - the multimillionaire Forex traders themselves!

And turning both good and bad luck to your long term advantage and profit is entirely possible with a sound money management program - and that, once again, can be enhanced by an automated Forex trading system. - 23211

About the Author:

Richard U. Olson recommends the state of the art Fully Automated Trading System that he uses to make consistent profits in the Forex markets. Grab his FREE e-course on The Crucial Facts On Forex Trading to achieve your financial freedom.