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Comparing Stock Trading to Forex Trading

Making money with your mind, predicting the direction of where the price will go is the dream of many young and not so young people. After seeing or hearing an advertisement for another Forex broker, someone opens an account and starts trading. And someone makes a more significant step by opening a deposit for a…

Making money with your mind, predicting the direction of where the price will go is the dream of many young and not so young people. After seeing or hearing an advertisement for another Forex broker, someone opens an account and starts trading. And someone makes a more significant step by opening a deposit for a large amount with a stock market broker. The stock market, like the foreign exchange market, allows you to get money out of thin air by analysing the price. But to become professional trading, you need market understanding and practice.

Even though the subject itself can draw various opinions, below we will present several advantages of the Forex exchange over the stock market. Keep in mind that if you excel at one of them it is better to pursue it and not become too engaged in both of them simultaneously.

Features of the stock market

Source: FX Empire

The securities market, primarily in the United States, is very well regulated by the relevant authorities. We will conventionally not take a look at other stock markets, because there are other realities and regulations, which will take too much time to wrap your mind around. The task of such regulation (again, in the United States) is mainly to simply ensure the financial security of participants, primarily traders, and to standardize procedures. Investors are protected, the exchange runs smoothly and efficiently, the impact of unfavorable market conditions on the economy is minimized, competition is supported, unfair practices are prevented – this is the ideal regulation. The fee for this is a set of commissions that are paid by players (investors) and other bidders.

For example, in the United States, regulators are represented by the Securities and Exchange Commission (SEC), the Federal Reserve, the Commodity Futures Trading Commission (CFTC), and the National Association of Securities Dealers (NASD). For sure, the number and importance of regulatory institutions will range based on how strict the government is with the Forex trading and how knew it is in one country or another.

To enter the New York Stock Exchange, you need at least $ 2000-5000. For more comfortable trading, larger amounts are needed – $ 10,000 – $ 50,000 and more. The maximum leverage is 1:10, but more often they use 1: 1, 1: 2 or 1: 3. Small leverage reduces the risk of losing money for traders. But usually, the range of the amount of money invested varies to make it affordable and within the reach of anyone who wants to start trading.

It is believed that strategies work better in the stock market than in Forex. This is due to the fact that the stock market offers thousands and tens of thousands of securities, thus, the “share” of traders per 1 share is small. On Forex, however, most players trade the same euro-dollar and pound. As a result, it is easier to predict fluctuations in stock prices in general than in popular currency pairs. This is, simply put, the pressure of competition. There are millions, if not billions, of traders out there trying to figure out the structure and configurations of the Forex market. They are analyzing the political and economic news day and night just to try and predict which direction a specific currency might take.

Features of the currency exchange

Source: Wowplus

You can trade Forex with a minimum deposit of $1-10 (cent accounts). Leverage reaches 1: 500 or 1: 1000. Forex brokers provide a convenient and functional MT4 or MT5 trading platform. There two platforms are fairly similar and yet many experienced traders still prefer the first version – MT4, it is more convenient and familiar for them. But, when you are just a beginner, you definitely need to try out both before deciding which would be your own choice. It is not difficult to open a demo account, the procedure takes several minutes and anyone, regardless of his or her trading experience or lack of it, can do that easily.

Forex trading does not involve large commissions. A trader pays a spread and sometimes a one-time commission for opening a trade. Deposit-withdrawal of money through popular payment systems is carried out from several seconds to several minutes. If you take a look at Plus500 review here which is one of the most prominent representatives of the Forex brokerage industry, this feature of depositing and withdrawal of money is clearly one of the biggest advantages of brokers.

Forex trading advisors are very popular. It is very easy to buy a ready-made robot or order from an experienced programmer-trader according to your own strategy. This will not only save your time and nerve cells, it will also allow you to avoid making small mistakes coming from a human factor.

It should also be borne in mind that a currency pair will never fall to zero or depreciate. On the stock exchange, stock can be worth a couple of cents, having a price of a few dollars a week earlier. Currency pairs in Forex provide movements sufficient for good earnings. The main thing is to correctly determine the vector of this movement (trend), that’s for you earn a profit on Forex trading.

Forex advantages over the stock market

Source: www.udeforex.com
  1. The amount of the starting deposit is minimal.
  2. Easier to open an account and start trading.
  3. Large leverage (more profit).
  4. Ability to create and use trading advisors.
  5. Minimum fees.
  6. Large selection of reliable brokers.
  7. Speed ​​and convenience of account replenishment.

Summary

Source: iCumulate

Both exchanges are of interest for a trader to make a profit. Where to start? It’s easier to do this in the foreign exchange market. But no one bothers you to take a closer look and start trading on the stock market. Both directions are promising. Most often, traders try their hand at both fields and later stop at one thing, which allows them to make a profit. Also, after you gain confidence in both market, it is easier for you to make a fact-based wise decision.

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Statements about Cryptocurrency

Statements about Cryptocurrency

Cryptocurrencies are in a bubble and regulators could burst this at a whim.

  • Eight years after the introduction of Bitcoin, there are now over 900 cryptocurrencies and their prices are at all-time highs.
  • Richard Schiller categorizes bubbles as an underlying story driving the market forward, as opposed to the fundamentals of the assets. Cryptocurrencies are riding on a narrative of economic empowerment and freedom.
  • Despite the widespread attention that cryptocurrency receive, many of the actors involved in the market are not fully informed. Debate tends to turn to hype and naive investors are buying crypto-assets without fully understanding what they are.
  • Banks spend 73% of the market capitalization of Bitcoin each year on regulatory compliance. Crypto-assets are currently unregulated and free of these restrictions. As such, the market has thrived but also developed some bad habits.
  • Regulators cannot necessarily shut down cryptocurrencies, but they can restrict liquidity into them from fiat currencies and hamper their growth. The global derivatives market, for example, is worth $1.2 quadrillion, dwarfing Bitcoin’s $100 billion market cap.

Statements about Cryptocurrency

Market manipulations in crypto markets are undermining their credibility.

  • Due to low liquidity, no regulation, and a lack of clear understanding of the markets, pump and dumps are widespread in crypto markets. This is where a speculator can artificially sell while concurrently buying their own currency, wait for the market to rise, and then dump their holdings.
  • Frontrunning is also a common occurrence in ICOs, where early investors—who are used to show initial faith in the enterprise—buy discounted tokens before immediately selling them on.

As with historic bubbles, scams are exploiting naive investors.

ICOs can have the characteristics of vaporware. Entrepreneurs are raising hundred of millions of dollars purely on concepts. Money is being raised from investors who do not truly understand the technical concepts being proposed to them, let alone whether they are feasible.

  • The actual asset structures of ICOs are not only complex but also new forms of assets in their own right. This further confuses investors, which is compounded by the “FOMO” mentality of rushing into investments and following the crowd.
  • The use of celebrities to promote ICOs further demonstrates the use of manipulative marketing techniques used to cajole immature investors into participating in ICOs.
  • The current ICO craze is reminiscent of the South Sea Bubble of the 18th century, a speculatory period that involved crazed investment into enterprises in the New World. Once one of the highest valued companies of all time, the South Sea Company’s bubble burst and the company disappeared almost as quickly as it appeared.

Blockchains are still not proven technology, and more work is required.

  • Blockchains are still new concepts and their technology has not yet been proven on a consumer-wide scale. Attention should be focused on developing this, not speculating on short-termist projects.
  • The security of blockchains is a concept that most investors in crypto-assets do not understand. The onus is on them to protect their assets, which, on the basis of the amount of thefts and frauds in the space, is not being done properly.

There are some solutions to these issues.

  • A less polarized mentality of “us against the world” is needed; this could be enforced by the promotion of self-regulatory standards. These could also help to highlight the bad actors in the ecosystem.
  • More development is required into the underlying technology of blockchains. In the long run, this would be far more valuable than ICO moon-shot projects.
  • Awareness and discussion needs to be promoted. Conferences should present balanced debates from both sides of the crypto-view and more emphasis should be placed on educating investors instead of soliciting their investments.

Originally Published here at https://www.toptal.com

Statements about Cryptocurrency

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CMStrader Signals provider, the number 1 signal provider 4 years in a row

CMStrader Signals provider, the number 1 signal provider 4 years in a row.

CMStrader, the number 1 signal provider 4 years in a row, is now offering free signals to new clients!  Reliable trading tools are fundamental part of successful trading.

cmstrader for the Best Trading Signals

cmstrader for the Best Trading Signals

 

CMStrader’s signals success rate is estimated in 91% this should be enough to take a look and decide for yourself. since this is their biggest feature and drives this broker towards success, it is opretty afe to say that they do their utmost to provide you with quality forex signals.

This broker also entered the cryptocurrency market and offers several cryptocurrencies.  in short they act on the market and engage their clients directly.

when you start trading at CMSTrader, you can choose from a extended list of currencies, indices, commodities, gold and oil.

CMStrader Signals for better Trading

CMSTrader sends trading signals to traders’ accounts when there is an opportunity to buy or sell orders at specific points; an overview of the speculated price or loss ratio is included.

CMStrader Signals the number 1 signal provider among brokers

CMStrader Signals the number 1 signal provider among brokers

The signals are sent directly via SMS to a cellphone for major currencies traded on the stock exchange, foreign goods and precious metals.

In addition, signals can be sent to an e-mail address and or traders can be notified directly over the phone.  This service is available 24/5.

Like with Most proper signal services don’t expect 50 signals a day as simply there are not that many. you will get maybe a few good ones a day on which you could and most of the time should act.

Earn profits with CMStrader Signals in the forex market – the biggest trading scene in the world. Enjoy our unique benefits, trading education, minimum margin and best leverage! Start with a demo account and enter the amazing world of forex with CMStrader.

More about CMStrader Signals & Forex Broker

  • Name :CMSTrader
  • Website :cmstrader.com
  • Established :2013
  • Regulation :FSP
  • Country :United Kingdom
  • U.S. Clients Allowed ?  :No

CMSTrader is a leading investment advisor specializing in personal wealth management and growth and is a somewhat a newcomer to the Forex market.

they started in 2013 and since then have won several awards 2 including one for having best customer service in 2013.

CMSTrader “CMStrader Signals” is authorized under the name of CMS Ventures Limited which is a New Zealand Registered Financial Service Provider (FSP).

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Supreme Court Sides With Bits of Gold in Bank Dispute

Supreme Court Sides With Bitcoin Broker “Bits of Gold” in Israeli Bank Dispute

Upon appeal, the Israeli Supreme Court has rejected the closure of Bits of Gold’s banking facilities at Leumi bank, Tel Aviv.

The Israeli cryptocurrency brokerage’s appeal followed a previous ruling against it that has now been set aside by the higher court.

As Israel and many other countries struggle with the accelerated phenomenon of virtual currencies, Leumi Bank recently made the news for being a particularly blunt in its rejection of Bitcoin.

We should of course not be surprised with the banks attitude towards bitcoin or any other cryptocurrency for that matter. keep in mind that the banks become more and more obsolete because of them. Bits of gold versus leumi

They will keep on loosing money which now they make with ridiculous commissions of work that is fully automated. so they will try to see how they are able to make the operation and acquiring cryptos  as hard as possible knowing that they will never be able to stop them.

There is widespread anticipation that the upcoming G20 Summit in March 2018 will produce a global, moderate framework for a regulatory approach. Set against that are persistent hostile stances the world over from banks, asset managers and even governments towards cryptocurrencies.

Now that the countries understand there is money to be made with Taxation in cryptocurrencies they might want to make sure that the banks stay within their lane. 

Apart from the Israeli revenue service opting to tax cryptocurrency assets as “properties” and other more positive developments dating back to mid-2017, Israel remains a strange mix of genteel acceptance alongside wildly opposing voices.

There is thus Hope But no decision

Bits of Gold has fought a David and Goliath battle since their banker decided it wanted to steer clear of all cryptocurrency-related business.

On record as recently telling another bitcoin-related trader that they simply don’t want the business, Leumi Bank’s hard-line stance is accumulating bad press. The second-largest bank in Israel appears as discriminatory when analyzing virtual currency traders and other digital coin businesses.

During 2017, a customer made a bank transfer to the Kraken exchange site for buying bitcoin worth $1000. The bank identified the request, halted it, and started investigating.

The elated CEO of Bits of Gold, Youval Rouach said that “The court’s decision enables us to focus on the growth of the Israeli cryptocurrency community.”

 

The February 26 Supreme Court ruling granted Bits of Gold a temporary injunction against their account closure pending further scrutiny by the bank and other parties. The presiding bench declared that the company had “acted transparently and did not violate any provision of law.”

Calling the bank’s concerns “speculative” and turning an unsympathetic ear to the plaintiff, the ruling does, however, allow for the bank to still close the account on any small technical detail that defies legislation. As a record of a public spat around cryptocurrency’s right to be recognized in many ways, the ruling is seen as a victory for the local cryptocurrency community.

One Small Step Forward

Although not as absolute as nations like China that has opted for draconian bans, Israel is a front line for digital coins’ right not just to exist, but also become assets in the true sense of the word. The Supreme Court noted in its written ruling that Bits of Gold had not made itself guilty of the violation of any standing laws since opening its doors for business.

 

The Bits of Gold v. Leumi Bank case might become something of a test case once the bank applies its mind in scrutinizing the company’s accounts against the backdrop of existing legislation. The outcome will also be informed by sentiment post the G20 Summit due in March as well as other global regulatory trends.

Now that the countries understand there is money to be made with Taxation in cryptocurrencies they might want to make sure that the banks stay within their lane.

This was First Published by coindesk

 

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