Posted on 29 September 2011
Tags: account, action, agriculture producers, aid, amount, application, asic, asset, assets, attribute, ban, bank, Banks, Basic, Big, Bottom, center, characteristic, commercial traders, commodity, corporation, corporations, cost, currencies, demand, Develop, downtrend, e buy, ego, end, EST, farmers, forex, Forex trading, Future, Futures, futures contract, futures market, GE, Hanging, hedge, hedge fund, Hedge funds, hedgers, increase, individual, individual trade, individual traders, influence, interest, Japan, japanese expert, Japanese yen, loss, Low, lows, market bottoms, market tops, market trends, mini, money, month, Most, movement, movements, Offs, Other, Pip, pips, Play, position, price movements, prices, profit, profits, protection, real people, retail trader, retail traders, rice, risk, speculators, success, successful traders, three months, top, Trading, transaction, type, US, USD, USD-JPY
To understand the futures market you have to understand the groups of people that are making the shots in forex trading. These are the real people that are driving the futures market. These people are basically divided into three main groups. These groups are as follows:
- Commercial traders that are also known as Hedgers
- Non-commercial traders that are also called as large speculators
- Retail traders that are also known as small speculators
Commercial Traders
Commercial traders or hedgers are those players in the futures market that want to keep themselves protected against any type of unexpected movements of price. The major part of this group includes farmers or agriculture producers who want to minimize the risk in changing the prices of commodity. Other people that are considered to be the part of commercial traders include banks or corporations that are looking to get protection against sudden price movements in currencies or in other assets.
Key Characteristic of Hedgers
The key attribute of commercial traders is that they are very strong at market bottoms and most rough at market tops.
Real Life Example of Hedgers
Let suppose Apple needs a Japanese expert to develop an application and that expert demands to get paid in Japanese yen after finishing developing that application in three months. Apple is aware of the risk that if the USD/JPY drops then it will cost Apple more to pay the expert in yen after three months.
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Posted on 18 September 2011
Tags: Analyzing, benefit, benefits, career, case, center, chance, class, community, consistent profits, entrance, facility, forex, forex traders, graphs, great source, habit, height, idea, important information, internet, Journaling, keeping a journal, kinds of statistics, Maintenance, market, MeetPips, motivation, online, online tools, performance, performance statistics, personality, plan, proper manner, range, recalculate, strong points, successful traders, tool, Trade, trades, Trading, Weak, width
Keeping a journal is one of the most important tasks that you should do to achieve a long standing career in forex market. If you don’t get enough time to write your journal in proper manner then there are more likely to miss any important information that you could potentially use later to assess your performance and also to find out where you need to improve.
What is MeetPips.com?
Internet is a great source to find out ready made tools that you can use in forex trading to make your trade more efficient. There are various online sources that are offering online tools where you can keep track of your trade and you can carry out required calculations. One of these great sources is MeetPips.com. It is an online trading journal that helps you to maintain a tidy and well organized online trading journal.
Benefits of MeetPips.com
MeetPips.com offer a wide range of benefits to its uisers. These benefits include following:
Online Trading Journal
You will be able to create an online trading journal easily on MeetPips.com. You will be able to join an online trade journaling community that is particularly for forex traders who want to become successful traders and want to produce consistent profits.
Maintenance of Trading Journal
For many traders it is difficult to maintain a trading journal, especially if you do it manually with lots of trades. Moreover, it is also difficult for traders to constantly calculate and recalculate their performance statistics. All these problems can be solved through the online trading journal of MeetPips.com.
Graphs Reviewing and Analyzing
MeetPips.com enables you to enter your trades into your own online trading journal.
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