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Forex Trading in Lithuania • Forex Strategies in 2020 Benzinga

If you want to operate in a well regulated and straightforward retail forex market, you can do so from Lithuania. As a member of the European Union (EU), forex trading and broking activities in Lithuania are regulated through the EU’s European Securities and Markets Authority (ESMA), the Markets in Financial Instruments Directive II (MiFID II),…

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If you want to operate in a well regulated and straightforward retail forex market, you can do so from Lithuania. As a member of the European Union (EU), forex trading and broking activities in Lithuania are regulated through the EU’s European Securities and Markets Authority (ESMA), the Markets in Financial Instruments Directive II (MiFID II), the Markets in Financial Instruments and Amending Regulation (MiFIR) and the Central Bank of Lithuania itself. The country keeps an official list of the companies that have been given the privilege to do business within its borders. If a company is not listed, the country strongly recommends “not making use of its services.”

History.com – The euro replaced the Lithuanian lita as the official currency in 2015.

The Lithuanian government also took the time to produce an in-depth guide of warnings for retail forex traders, especially since most such traders lose money. The Bank of Lithuania advises that investors steer clear of opaque investments, do business only with properly licensed companies and steer away from “easy money” and no-risk proposals from brokers.

Get Started with Forex in Lithuania

There are plenty of resources available within Lithuania for the beginner currency trader. All traders are advised to look through the Central Bank of Lithuania’s website and follow the suggestions below for opening a forex trading account.

  1. Connect to the web.  The internet infrastructure in Lithuania is quite good in the country’s developed areas. Forex traders should be able to access sufficient affordable bandwidth to handle the trading platform, websites and trading tools that sophisticated forex traders may need to use.
  2. Connect to your broker.  Located in the Baltic area of Eastern Europe, Lithuania is a member of the European Union (EU). Forex brokers that accept Lithuanian clients must abide by the MiFID regulations of the EU. Pay close attention and stick to trading through major brokers that are overseen by a reputable regulatory agency and have a good online track record regarding dealing fairly with their clients.
  3. Choose an appropriate account type.  Most brokers offer several different account types. Choose one that best fits your initial deposit amount and trading needs. 
  4. Fund your trading account.  To fund your trading account, you will typically need to transfer money from your bank through a bank wire, make a credit or debit card payment or use an electronic payment service provider such as PayPal or Skrill.  
  5. Connect your trading platform.  You’ll need to download your broker’s proprietary trading platform or a 3rd-party trading platform your broker supports, such as MetaTrader or cTrader. Many forex brokers now offer a mobile trading option and a web-based platform that doesn’t require you to download software. 
  6. Make your first trade.  Now you’re ready to make your forex trade. You may want to practice trading in a demo account first to test out your trading strategy before operating in a live account. 

Lithuania Forex Trading Strategies

The way that you trade forex is unique to you. Be aware of how you react to stressful situations before committing large amounts of money to the market. Your personality will often determine what kind of trader you become. Take a look at the following profiles to see which one you match.

Day Trading 

Day traders usually need to take advantage of market opportunities quickly. Typically they trade in and out of positions throughout the trading “day” or session, although the forex market trades around the clock from 5 p.m. Sunday EST to 5 p.m. Friday EST, so the forex day trader must select the session they trade in. The London, New York and Tokyo trading sessions are typically selected by day traders and each have time slots corresponding to the standard business hours in those key money centers. While day trading covers a wide variety of trading strategies, these traders typically close out all positions before the end of the trading session. This means that they hold a position for a few minutes or a few hours but not overnight.

Swing Trading

Swing traders aim to profit from trends, corrections and ranges in a currency pair to determine optimum entry and exit points for their trades. They generally watch technical momentum indicators for signals of a market reversal that they might profit from. Many swing traders also watch for chart patterns and key levels of support and resistance to appear on the chart of a currency pair’s exchange rate to inform their trading. Unlike day traders, swing traders often take positions overnight that can be held for days or weeks in some cases. 

Position Trading 

Position traders take the long view on the direction of a currency or pair against a basket of other currencies. For example, a position trader that has a bullish view on the U.S. dollar might sell the EU euro, the British pound sterling and the Japanese yen against the U.S. dollar to reflect their view. Position traders can patiently hold positions for months or even years depending on whether their view of a currency pair remains firm. Position traders typically trade less frequently than swing or day traders due to their long-term trading horizon, and they tend to be more focused on a currency pair’s fundamentals to inform their position-taking. 

Forex Trading Example in Lithuania

The bid/ask spread for the EUR/USD currency pair currency stands at 1.1800/1.1805. You decide to take a long €45,000 position in the pair at 1.1805 to wait on a short-term move up. Your online broker allows you to use leverage of 30:1 in EUR/USD and requires you to have at least €1,500 in cash in your trading account as collateral in case you lose money. 

After 15 hours, the EUR/USD bid/ask quote is 1.1825/1.1830. The exchange rate for the pair increased by 20 pips allowing you to sell out your position at 1.1825. You get (€45,000 x 0.0020)  or $90. Had the market instead fallen by 20 pips, you would have lost that same amount of dollars. 

Making Money with Forex in Lithuania

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There are a number of strategies and trading vehicles that you should know about when considering operating in the forex market, starting with those listed below. 

  • Short selling: Taking a position in which you have net sold the base currency in a currency pair because you think its exchange rate will decline. For example, if you want to go short the EUR/USD currency pair, you would establish a trading position in which you have sold the euro against the U.S. dollar. If you instead want to buy the euro against the dollar, then you could go long the EUR/USD currency pair. 
  • CFDs: Contracts for difference (CFDs) consist of contracts whose value depends on that of underlying assets and which lets traders avoid taking positions in the underlying market itself. Some online brokers let you trade forex CFDs, as well as CFDs on other assets like stocks, indexes and commodities.  
  • Binary options: Binary options consist of exotic derivative contracts that give the holder the opportunity to pay a fixed premium in exchange for a fixed payout if some specific market condition occurs on or before the option expires. The European Securities Market Authority, the regulator for financial markets in the EU, put in place “product intervention measures” that effectively ban brokers based in the EU from offering binary options trading to residents. As a result of these changes, traders based in Lithuania looking to trade binary options will probably need to find a binary options broker based outside of the EU. 

Best Online Forex Brokers in Lithuania

Forex traders in Lithuania and the EU have access to some of the best online forex brokers in the business. The retail forex market is well regulated and trading opportunities are numerous.  Choose from among brokers that are licensed by reputable regulatory bodies to avoid losing your margin deposit to fraud.

Forex Terminology

It makes sense for most traders to learn the basic jargon of the currency marketplace before starting to operate in the market. 

  • Pip: Stands for “percentage in point” and is the minimum movement in an exchange rate of a particular currency pair. Corresponds to a shift of 0.0001 for most pairs. 
  • Lot size: A standardized unit for trading. The standard lot size at most online forex brokers is 100,000 base currency units. 
  • Orders: Instructions to a broker that detail the specifics of a trade you want to make so that they can execute it on your behalf.
  • Calls: Derivative option contracts that give you the choice to buy an asset at a specific price on or before a future expiration date, although you don’t have the obligation to do so. Puts, on the other hand, give you the right to sell an asset. Because of the nature of currency pairs, where the underlying asset consists of an exchange of currencies, currency options are all both calls and puts. 

Is Trading Forex from Lithuania for You?

The Lithuanian economy is growing steadily, in part because of its inclusion in the Eurozone, and residents of the country have the security of using a major currency like the euro. Forex trading is available to residents of Lithuania, so you should be able to find an online broker who will take you on as a client. 

While learning how to trade forex may seem relatively easy, profitably trading forex currency pairs can take a lifetime to master, so trading in a demo account to develop a consistently profitable trading strategy makes sense before putting real money at risk. For more information about forex trading, bookmark our website. We pride ourselves on bringing you actionable and up-to-date advice relevant to forex traders.

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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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