Sigma Forex Services

What Is A Spread?

FIRST, spread is the difference between the ask price (the price you buy at) and the bid price (the price you sell at) quoted in pips. If the quote between EUR/USD at a given moment is 1.2222/4, then the spread is 2 pips. If the quote is 1.22225/40, then the spread is 1.5 pips.

SECOND, it is how brokers make money. Wider spreads result in a higher ask price and a lower bid price. As a consequence, you pay more when you buy and get less when you sell, making it more difficult to realize a profit

Brokers don't typically earn the full spread, especially when they hedge client positions. The spread compensates the market maker for taking on risk from the time it executes a client trade to when the broker's net exposure is hedged (possibly at a different price).

Why Are Spreads So Important?

Spreads affect the return on your trading strategy in a big way. Probably more than you think. As a trader, your sole interest is buying low and selling high. Wider spreads means buying higher and having to sell lower. A half-pip lower spread doesn't sound like much, but it can easily make the difference between a profitable trading strategy and an unprofitable one.

Tags: broker, buy and sell, forex, forexgen, make money, pip, price trading, profitable trading, spreads, trade, trading strategy

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You can make money with individual stocks no matter what the market is doing.
But it is important to look at some key measurements. One of these measures is the moving average. Short-term moving averages help gauge the short-term direction of the market, while longer moving averages take a big picture view.
For example: if a stock breaks the 200-day moving average on its way down, that's generally thought to be bearish, and the longer-term trend could be reversing. The 200-day moving average can also act as support. If a stock comes down, but stops at the major moving average and then starts moving higher from there, it can act as a firm underpinning of support for the stock.
Looking at the 50-day moving average can be quite useful as well. It's more of an intermediate snapshot of the price trend and is more sensitive than the longer-term 200 day. A rising moving average with the price trading above it is bullish, while a descending moving average with the price trading below it is bearish. More short-term signals can be seen with the 10- and 20-day moving averages. Moving average crossovers can also be valuable. When the quicker moving average (50 day for example) is above the slower moving average (200 day), this is thought to be bullish. Likewise, when the shorter term is trading below the longer-term moving average, this is thought to be bearish.
Using a screener can be helpful in finding stocks that meet this criteria. Of course, moving averages alone don't tell the whole story. But a company with solid fundamentals while also trading above these momentum indicators can help you find stocks bucking a downtrend or confirming an uptrend.
The screen that I'm running today looks for stocks trading above their short term (10 and 20 day), intermediate term (50 day) and long-term (200 day) moving averages. I'm also demanding that their current quarter earnings estimates have been raised within the last 4 weeks (or at the very least, not lowered); their average broker rating has been upgraded (or at the very least, not downgraded): and they have a Zacks #2 Rank or Zacks #1 Rank (Buy or Strong Buy).

Tags: averages, broker, forex, forexgen, fundamental, make money, price trading, trade

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What Is A Spread?

FIRST, spread is the difference between the ask price (the price you buy at) and the bid price (the price you sell at) quoted in pips. If the quote between EUR/USD at a given moment is 1.2222/4, then the spread is 2 pips. If the quote is 1.22225/40, then the spread is 1.5 pips.

SECOND, it is how brokers make money. Wider spreads result in a higher ask price and a lower bid price. As a consequence, you pay more when you buy and get less when you sell, making it more difficult to realize a profit

Brokers don't typically earn the full spread, especially when they hedge client positions. The spread compensates the market maker for taking on risk from the time it executes a client trade to when the broker's net exposure is hedged (possibly at a different price).

Why Are Spreads So Important?

Spreads affect the return on your trading strategy in a big way. Probably more than you think. As a trader, your sole interest is buying low and selling high. Wider spreads means buying higher and having to sell lower. A half-pip lower spread doesn't sound like much, but it can easily make the difference between a profitable trading strategy and an unprofitable one.

Tags: broker, buy and sell, forex, forexgen, make money, pip, price trading, profitable trading, spreads, trade, trading strategy

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You can make money with individual stocks no matter what the market is doing.
But it is important to look at some key measurements. One of these measures is the moving average. Short-term moving averages help gauge the short-term direction of the market, while longer moving averages take a big picture view.
For example: if a stock breaks the 200-day moving average on its way down, that's generally thought to be bearish, and the longer-term trend could be reversing. The 200-day moving average can also act as support. If a stock comes down, but stops at the major moving average and then starts moving higher from there, it can act as a firm underpinning of support for the stock.
Looking at the 50-day moving average can be quite useful as well. It's more of an intermediate snapshot of the price trend and is more sensitive than the longer-term 200 day. A rising moving average with the price trading above it is bullish, while a descending moving average with the price trading below it is bearish. More short-term signals can be seen with the 10- and 20-day moving averages. Moving average crossovers can also be valuable. When the quicker moving average (50 day for example) is above the slower moving average (200 day), this is thought to be bullish. Likewise, when the shorter term is trading below the longer-term moving average, this is thought to be bearish.
Using a screener can be helpful in finding stocks that meet this criteria. Of course, moving averages alone don't tell the whole story. But a company with solid fundamentals while also trading above these momentum indicators can help you find stocks bucking a downtrend or confirming an uptrend.
The screen that I'm running today looks for stocks trading above their short term (10 and 20 day), intermediate term (50 day) and long-term (200 day) moving averages. I'm also demanding that their current quarter earnings estimates have been raised within the last 4 weeks (or at the very least, not lowered); their average broker rating has been upgraded (or at the very least, not downgraded): and they have a Zacks #2 Rank or Zacks #1 Rank (Buy or Strong Buy).

Tags: averages, broker, forex, forexgen, fundamental, make money, price trading, trade

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There are many different types of forex accounts available to the retail forex trader.

Demo accounts are offered by forex brokers as a way to introduce traders to their software and execution methods.

live account is an account opened by traders with real money deposited in order to start trading for real profit

Mini accounts, and full accounts are the most common types of funded accounts. Mini accounts are similar to regular trading accounts; however currency is traded in lots of 10,000 rather than 100,000. This allows for lower mandatory initial deposits, and greater customization of risk management.

It is important that the currency trader consider what they want to get out of their account, before deciding on the type to open. Demo accounts, and mini accounts, are great for the retail forex trader to learn a profitable system, and get used to the execution methods of the broker. For the currency speculator that doesn't want to trade by themselves, a managed account would be better.

Tags: accounts, currency, demo account, deposited, forex, forexgen, live account, mini accounts, real money, trading

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http://www.thelondondailynews.com/images/us-dollars.jpg

There are many different types of forex accounts available to the retail forex trader.

Demo accounts are offered by forex brokers as a way to introduce traders to their software and execution methods.

live account is an account opened by traders with real money deposited in order to start trading for real profit

Mini accounts, and full accounts are the most common types of funded accounts. Mini accounts are similar to regular trading accounts; however currency is traded in lots of 10,000 rather than 100,000. This allows for lower mandatory initial deposits, and greater customization of risk management.

It is important that the currency trader consider what they want to get out of their account, before deciding on the type to open. Demo accounts, and mini accounts, are great for the retail forex trader to learn a profitable system, and get used to the execution methods of the broker. For the currency speculator that doesn't want to trade by themselves, a managed account would be better.

Tags: accounts, currency, demo account, deposited, forex, forexgen, live account, mini accounts, real money, trading

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The foreign exchangemarket is the "place" where currencies are traded. Currencies are important to most people around the world, whether they realize it or not, because currencies need to be exchanged in order to conduct foreign trade and business. If you are living in the U.S. and want to buy cheese from France, either you or the company that you buy the cheese from has to pay the French for the cheese in euros (EUR). This means that the U.S. importer would have to exchange the equivalent value of U.S. dollars (USD) into euros. The same goes for traveling. A French tourist in Egypt can't pay in euros to see the pyramids because it's not the locally accepted currency. As such, the tourist has to exchange the euros for the local currency, in this case the Egyptian pound, at the current exchange rate.

The need to exchange currencies is the primary reason why the forex marketis the largest, most liquid financial market in the world. It dwarfs other markets in size, even the stock market, with an average traded value of around U.S. $2,000 billion per day.

One unique aspect of this international market is that there is no central marketplace for foreign exchange. Rather, currency trading is conducted electronically over-the-counter (OTC), which means that all transactions occur via computer networks between traders around the world, rather than on one centralized exchange. The market is open 24 hours a day, five and a half days a week, and currencies are traded worldwide in the major financial centers of London, New York, Tokyo, Zurich, Frankfurt, Hong Kong, Singapore, Paris and Sydney - across almost every time zone. This means that when the trading day in the U.S. ends, the forex market begins anew in Tokyo and Hong Kong. As such, the forex market can be extremely active any time of the day, with price quotes changing constantly.

Tags: business, currencies, dollars, financial market, foreign exchange, foreign exchange market, foreign trade, trade

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What Is Sigma Forex

Sigma Forex

is leading European professional online trading Brokers registered in the Uk and most of the EU countries. It was founded by professional private investors including (banks, traders, brokers, and software developers), which enabled Sigma to identify the essential needs of the Forex participants from the start.
Since 2003, Sigma’s aim has been to provide the best, powerful and most suitable currency trading technology along with superiority in execution, competitive services, and dependable customer service. Over the past years, Sigma has quickly become one of the world’s leading online retail currency trading institutions, providing integrated global trading systems, analysis techniques and the most reliable and sophisticated online trading software. We offer internet trading through Meta Trader. This trading platform is very stable and reliable. It is highly regarded and very popular among traders.

Tags: banks, brokers, currency trading, essential needs, investors, leading, meta trader, mt4, online trading, sigmaforex, trading

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Market Types And Volumes In Sigmaforex

The market often display's some very familiar patterns of price movement. Once a pattern is established, it becomes the most probable course of future price action until the market changes.

There are two types of markets which become important for the beginning trader to identify; trending and trend-less. Each market type has two specific patterns which you will also notice over time.
These market types and patterns can be defined as follows:
Trending - Steady elongated price movements with less than a 45-degree angel with occasional pauses, profit taking, or resting periods.
Uptrends - A pattern of higher highs and higher lows.
Downtrends - A pattern of lower lows and lower highs.
Trend-less - Erratic price movements which are often steep ( greater than 45 -degree angle ) and cannot sustain and therefore must reverse. Although the movements can move many points in a short period of time, they often result in very little net price movement over time.
Choppy - An erratic pattern of higher highs and lower lows.
Sideways - A narrow pattern of lower highs and higher lows.
While up-trend and down-trend days can offer excellent trading results, choppy markets often create stop outs, while sideways markets produce for little in either direction. Our trading objective is to get into a trending market and ride until we make our target objective.

Four easy rules to follow regarding Volume:

1. When prices are rising and volume is increasing, prices will continue to rise. The uptrend is being confirmed.

2. When prices are rising but volume is decreasing, the uptrend is losing momentum and may be near the end.

3. When prices are falling and volume is increasing, prices will continue to fall.

4. When prices are falling and volume is decreasing, the downtrend is losing momentum and may be near the end.

Tags: create stopouts, future price, lower low, market, patterns, sideways market, sigmaforex, target, trading

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Platform Terms In Sigma Forex

Chart: A chart or graph is a type of information graphic or graphic organizer that represents tabular numeric data and/or functions. Charts are often used to make it easier to understand large quantities of data and the relationship between different parts of the data. Charts can usually be read more quickly than the raw data that they come from.

They are used in a wide variety of fields, and can be created by hand (often on graph paper) or by computer using a charting application.

Client Terminal: Client Terminal is generally set up in a special window that can be called by the "Tools — Settings" menu command or with accelerating keys Ctrl+O. All settings are grouped according to their tasks and located in the following tabs: server, charts, objects, trade, expert advisors, email, publisher, events.Candlesticks: Display the chart as a sequence of "candlesticks".
execution of this command is the same as pressing of the button of the "Charts" toolbar or accelerating keys of Alt+2.

Custom Indicators: Custom indicator is a program independently developed in Meta Quotes Language 4 by the user and functioning as a technical indicator. Technical indicator is a mathematical transformation of security price and/or volume in order to forecast future price changes. The use of indicators allows answering the question about whether the current trend will remain the same and where it will turn. Indicators are intended for relative simplifying of the complicated process of trading decision making. Algorithms of indicators are also used for development of trading tactics and expert advisors.

for more information please visit this link: http://www.sigmaforex.com/sigma-platform/platform-glossary.html#Back%20To%20Top

Tags: accelerating, application, chart, client terminal, fields, graph, graphic, indicator, meta quotes, sigmaforex, trading tactics, transformation, variety

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The Trading Terms We use In Sigmaforex

Currencies abbreviations

Arrows: Symbols (arrows, check signs, stop signs, price signs) that allow to select the most important points in the chart.

Absolute drawdown: The largest loss is lower than the initial deposit value.

Average profit trade: Average profit value for a trade (the sum of profits divided by the amount of profitable trades).

Average loss trade: Average loss value for a trade (the sum of losses divided by the amount of unprofitable trades).

Average consecutive wins: The average amount of profitable positions in consecutive profitable series.Average consecutive losses: The average amount of unprofitable positions in consecutive unprofitable series.

Auto Arrange: Automatic arrangement of columns at changing of the window size.

for more please visit this link:http://www.sigmaforex.com/sigma-platform/platform-glossary.html#Back%20To%20Top

Tags: account, amount, arrange, average, changing columns, columns, loss, loss value, position, profit, sigmaforex, size, sum, trade, value

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Sigma forex Indicators

Technical analysis

is concerned with what has actually happened in the market, rather than what should happen and takes into account the price of instruments and the volume of trading, and creates charts from that data to use as the primary tool. One major advantage of technical analysis is that experienced analysists can follow many markets and market instruments simultaneously.A Technical Indicator is a series of data points used to forecast the trend of the currency.Some major technical analysis tools are described below:

1) Trend's Indicators

-Average Directional Movement Index

-Bollinger Bands

-Commodity Channel Index (CCI)

-Moving Average

-Parabolic SAR

-Standard deviation

To get a clear look on the rest of the indicators please check this link http://www.sigmaforex.com/technical-analysis/sigma-indicators.html

Tags: advantages, charts, currency, data, forecast, indicators, major technical, market, market instruments, sigmaforex, technical analysis, trend, volume

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How To Analyze The Market With Sigma Forex

Fundamental Analysis

Fundamental analysis is a method of forecasting the future price movements of a financial instrument where fundamental traders basically trade the news.News Trading has the potential to be a profitable way to trade the Forex market. It must be noted, however, that a high level of risk is involved. Fundamental Traders analyze key economic data, including news and government reports, to evaluate trading opportunities. From the fundamentalists perspective, currency exchange rates are affected primarily by economic and political conditions, and occasionally by central banks intervening in the currency markets in an attempt to influence the value of their currencies. Some of the key figures tracked by fundamentalists include interest rates, inflation, trade balance, GDP (Gross Domestic Product), CPI (Consumer Price Index), PPI (Producer Price Index), capacity utilization, factory orders, durable goods orders, inventories, and employment statistics.

Fundamentalists are also constantly evaluating the potential impact of military conflicts, natural disasters, and changes in political leadership.There is a whole art and science to Fundamental trading, or more commonly know as news trading. There are regular news events that get released on a regular basis like weekly, monthly, every 6 weeks (FOMC - Fed Interest rates). These are market moving events. Good news for one currency could be bad news for another. Many times the market already has an expectation, whether it is right or wrong, and for the most part has already been priced into the market. When an unexpected number comes out, that's when the currencies can go wild, and if you're on the right side of the trade you will make money.News trading is not black and white. A good number for the USD does not mean the USD will increase in value. It could do the opposite. So keep this in mind if you decide to be a fundamental trader vs. a technical trader.

Tags: affected, central banks, currency, data, exchange rates, fundamental, impact, influence, key, method, potential, reports, sigmaforex, technical trader, trading, utilization

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Join Sigma Forex Trading School

The purpose of this overview is to introduce the forex market to you. As with many markets there are many derivative of the central market such as futures, options and forwards. In these tutorials we will be discussing the main market sometimes referred to as the Spot or Cash market.
The word "FOREX" is derived from the words Foreign Exchange and is the largest financial market in the world. Unlike many markets the FX market is open 24 hours per day and has an estimated $3.2 Trillion in turnover every day.
This tremendous turnover is more than the combined turnover of the main worlds' stock markets on any given day. This tends to lead to a very liquid market and thus a desirable market to trade.
Unlike many other securities (any financial instrument that can be traded) the FX market does not have a fixed exchange. It is primarily traded through banks, brokers, dealers, financial institutions and private individuals.
Trades are executed through phone and increasingly through the Internet.
It is only in the last few years that the smaller investor has been able to gain access to this market. Previously the large amounts of deposits required precluded the smaller investors. With the advent of the Internet and growing competition it is now easily within the reach of most investors.

for more information please check this link http://www.sigmaforex.com/new-to-forex/trading-school.html

Tags: banks, brokers, cash market, competitition, deposit, forex market, investors, main market, options, overview, purpose, sigmaforex, turnover

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An Outline For Sigma Forex

Sigma devotes serious effort to serve the emerging retail segment of the Forex community. Its commitment to providing an excellent customer service, innovative currency trading technology, and dealing practices, establishes Sigma as a notable force that traders look forward to for an advanced Forex charting, Forex news, and fund safety.
Customers funds deposited with Sigma, are held and maintained separately in separated trading accounts at our partner banks. Sigma also provides its customers a variety of account plans, and services to choose from when creating or adjusting a profile.
The professionals at Sigma are dedicated to providing the guidance you need to accomplish your investment objectives.

for more information please visit www.sigmaforex.com

Tags: accomplish, accounts, currency, forex charting, funds deposit, guidance, information, partner banks, professional, retail segment, sigma, sigmaforex

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