Invest in Forex: How to do Forex Trading in the Philippines

Do you want to learn how to start a forex trading?

Forex trading is an association of buyers and dealers, who transfer currency between each other at a particular rate they both agree on. It is the technique by which individuals, organizations, and national banks change one currency into another. On the off chance that you have ever traveled out of your country, you would have probably made a forex trading at that point.

While a lot of foreign exchange is done for tactical purposes, by far, most currency exchange is adopted with the intention of obtaining a profit. The measure of forex trading done consistently will make it very volatile for value innovations of such currency types.

What is the forex market?

The forex trading market is the platform where monetary standards are exchanged. Monetary types are vital to many people across the globe due to the fact that currencies should be exchanged to conduct foreign exchanges and industry.

Let assume you are living in the Philippines and want to purchase a car from the United States, either you or the company that you purchase the car from has to pay the United States for the car in dollars($). This means that the Philippine importer would have to trade the equivalent value of the Philippine peso (PHP) into dollar($). The same thing is applicable to traveling. A Philippine tourist in Canada can’t pay in peso (PHP) to see Niagara Falls because it is not the locally accepted currency in the country. Thus, the tourist needs to trade the Philippine currency for the local currency, which is CAD dollars, at the current exchange rate.

The fact that there is no central marketplace for forex trading is one special aspect of this global market. Or perhaps, forex trading is guided electronically over-the-counter (OTC), implying that all trades take place around the globe through PC networks between brokers, rather than on one integrated trade.

A Brief History of Forex

The forex market, as we understand it today, is a very new market, unlike stock markets that can follow their underlying roots back hundreds of years. Obviously, since countries began stamping monetary forms, forex has been around in the most fundamental context, that of individuals changing one currency to another for a monetary favorable position. The advanced forex markets, in any case, are a cutting-edge growth. In 1971, more relevant currencies were given the opportunity to float unreservedly against one another after the accord at Bretton Woods.

Estimates of individual monetary types vary, which have offered to rise to the necessity of the forex market and trading.

The vast majority of the forex markets traded for their customers are led by investment and commercial banks, but there are also speculative possibilities for experienced and individual speculators to trade one currency for another.

Who Trades Forex?

Here are some of the main types of traders and institutions in forex trading:

  1. Investment & Commercial Banks

The best currency amount is traded in the interbank market. This is the place where banks of all sizes exchange currencies with one another and through electronic connections. A large portion of the full volume of currency exchanges is reflected by huge banks. Banks encourage forex exchanges for customers and direct speculative exchanges from their own exchanging work areas.

  1. Central Banks

National banks are crucial components of the forex market. Rates of currency are affected to an extremely enormous degree by open market activities and rate of interest policies of central banks.

A central bank is known for fixing the cost of its local forex market. This is the exchange rate system by which the open market will exchange its currency. The exchange rate system can be grouped into the following types, which are: floating, pegged, and fixed.

Any activity carried out in the forex market by a central bank is done to balance or increase the economic intensity of that country.

  1. Hedge Funds and Investment Managers

The second-largest assortment of major components in the forex industry, close to banks and central banks, includes portfolio supervisors, pooled assets, and hedge funds. For instance, pension funds, establishments, and enrichments are investment managers who trade monetary standards for huge records.

To swap foreign currencies, an investment manager with a global portfolio can buy and currencies. Speculative forex trades can also be made by investment managers, whereas some mutual funds conduct speculative currency exchanges as a part of their investment schemes.

  1. Multinational Corporations

Companies that imports and exports conduct forex transaction to settle the bill of their goods and services. For instance, an Indian car manufacturer that imports China components and sells its finished product to Russia, the Russian currency (Ruble) the manufacturer collected must be converted back to Rupees. The Indian company must then trade Rupees for yuan to buy more China components.

  1. Individual Investors

Compared with monetary institutions and organizations, the number of forex exchanges made by retail speculators is extremely poor. On a mix of basics and advanced elements, retail financial specialists base money exchanges.

The Forex Glossary

  1. Ask Price: The price at which a forex exchanger will sell a currency pair.
  2. Bid Price: The price at which the forex exchanger is ready to purchase a currency pair.
  3. Stop loss: An automatic price you set at which your position will be closed once it is attained. This is actually done to reduce losses.
  4. Take Profit: Your position is closed automatically once your price point is reached.
  5. Spread: You could actually pay the cost that is built into purchasing price and selling price of the currency instead of paying commission fees
  6. Pips: Pip is the smallest unit, which is used to measure the movements of price in a currency. 1 pip is equivalent to 0.0001
  7. Meta-Trader 4: This is an online trading platform mostly used by foreign exchangers. Meta-Trader 4 has a flexible trading system, highly customizable, and modern technical analysis.
  8. Contracts for Difference: Without having the underlying asset, contract for difference gives you the opportunity to profit from the movements of price.
  9. Margin: The actual money you need to put in to maintain your position is known as Margin. It is a percentage of the size of your trade.
  10. Leverage: Borrowing the money required to fund your trade is involved in Leverage. It helps to do a larger trade without any need to invest much of your personal money.

Why do people trade forex?

1. 24-hour market

You can trade anytime. Unlike the stock market, when the sun sets, foreign exchange does not stop. Forex can be traded from Sunday 9 pm to Friday 10 pm, open 24 hours, five days a week (UK time). This helps the active trading cycles of each major monetary market to be exploited.

2. High liquidity

Anticipate that prices in an extraordinarily liquid market should move, with successive changes of hands. Liquidity makes opportunities based on only a few pips for brokers to make gains. This liquidity will vary in either case, with significant currency pairs having higher liquidity compared to smaller or more exceptional currency pairs.

3. Low fees

In comparison to other monetary instruments, costs of trading are referred to low fees. You do not pay additional or secret fees apart from the commission. The difference between the bid and the demand value is the spread; the lower the spread, the better. Commission expenses are paid, but not always, by certain forex representatives as part of their pricing scheme.

4. Use leverage

To trade more for less, you can use leverage to increase your ability to gain from a little starting deposit. This is a critical component of forex exchange. The leverage of foreign exchange is much greater than that of stocks. For instance, utilizing a margin of 10%, to make an exchange of $20,000 you just need to set aside an installment of $2,000. The most well-known leveraged item is CFDs, in which you can make an exchange without possessing the basic resource.

5. Low barriers to entry

You can easily open a forex account with demo accounts accessible and low-start deposits required.
Nevertheless, when you trade forex, there is an elevated level of risk. You risk losing cash as the market is extremely liquid and unpredictable, in the same way as other venture vehicles.

6. Trade a Wide Range of Currency Pairs

You can actually trade a wide range of currency pairs in forex. In forex trading, you can exchange currencies such as Euros, Pounds, Dollars, Pesos, Rupees, and so on.

Spot Market and the Forwards & Futures Markets

There are only three main ways in which forex is traded by organizations, businesses, and individuals: the spot market, the futures market, and the forward market. The biggest market has consistently been the spot market because it is the “basic” genuine resource on which the future and forward markets rely. The future market was historically the most popular area for merchants due to the fact that it was open for a more prolonged period to individual investors.

Nevertheless, the spot market has seen a massive flood of activity with the appearance of electronic trading and numerous forex brokers, and now surpasses the prospect market as the preferred exchange market for specific investors.

In general, with companies that need to help their forex trade hazards, the future and forward markets will be well known.

The spot market is, more specifically, the position where monetary standards are bought and sold at the current rate. This rate, determined by demand and supply, is an impression of various things, including interest fees and estimation of ongoing political circumstances, as well as the view of the execution of one currency against another.
The repayment is in actual cash after a position is closed. Despite the fact that the spot market is mostly referred to as one that currently handles exchanges, these exchanges actually take two days to settle.

The future and forward markets, which is not at all like the spot market, do not exchange actual monetary types. Instead, they negotiate a fixed cost for each unit and a future repayment date in agreements that apply to instances of a particular currency.

Top 5 Forex Trading Strategies in the Philippines

Here are the popular Philippines Forex trading strategies

  1. Scalping: Trading at a fast and extraordinarily high volume that requires quickly entering and leaving the market to grab a few pips all at once.
  2. Day exchange: Entering and leaving exchanges during a single exchange period to avoid the increased risk associated with taking positions for the time being. The exchange of choices is also focused on specialized examinations.
  3. Exchange of news: Using strategies that leverage the outrageous volatility of the trading rate that occurs not long after the release of vital news or financial information.
  4. Swing exchange: Entering and leaving the market always depend on force specialized pointers with the ultimate goal of buying low and selling big. For the time being, swing dealers may still take positions.
  5. Trend exchange: Involving a more extended term method that aims to set up directional patterns called trends and then exchange alongside them before the pattern closes.

Forex Trading Example in the Philippines

The Philippine peso, which is the currency of the Philippines, ranks the 30th place within the foreign exchange market among the currencies all over the world. As of now, the quote for the USD/PHP trade rates is 50PHP to 1 USD.

Forex Trading Example in the Philippines

If you assumed the rate of USD/PHP was going to increase, then you might buy $200,000 against the Philippine peso today at the exchange rate of 50. If the rate eventually increases to 51, you can use the method below to calculate your gains:

$200,000 x (51-50 PHP/USD) = 200,000 PHP

To change the total money in PHP into USD, you can use the method below

200,000 PHP / 51 PHP/USD = 3,921.57 USD

If the USD/PHP market eventually reduces to 49, your trading loss would be:

200,000 USD x (49-50 PHP/USD) = -200,000 PHP

To change the total loss into USD at 49 USD/PHP, your exchange rate would be:

-200,000 PHP / 49 PHP/USD = -4,081.63 USD.

How to Invest in Forex in the Philippines: Step-By-Step Guide

1. Learn the basics first

The first thing to know when it comes to forex trading is the basics. You need to know what forex trading is all about, the dos and don’ts for online trading, and how the forex market operates, which is quite different from an exchange-based system like shares. Learning the basics will help to avoid unnecessary loss.

2. Pick a forex broker and utilize the demo account

Before investing your real money into forex trading, new users can actually use a forex demo account platform. You won’t lose any real money when using this demo account. This platform helps new users to learn the features of a forex platform before they start trading on it with real money.

In the case of new business sectors, it is particularly important to develop an exchange strategy. An exchange plan helps to eliminate the feeling from your dynamic, just as when you open and close your positions, it offers some building. You will also need to consider using a forex exchange strategy, which supervises how you locate opportunities on the lookout.

4. Set a budget for your forex investment

After learning the basics, picking a forex broker and utilize the demo account, building a trading plan, the next and final step is to set a budget for your forex investment. It is advisable for beginners to start with low capital to avoid much loss due to the fact that they have no experience. After starting with low capital, it can be increased gradually after each investment.

Making Your First Forex Trade

Making-Your-First-Forex-Trade-Alexander-Elder

Step 1 – Start the Trading Platform

After choosing a suitable forex trading platform, the first step is to open the trading platform.

Step 2 – Open the Chart

After opening the trading platform, the next step is to choose a currency pair then open a chart. Set your timeframe to 15 minutes.

Step 3 – Add Indicators

The next step is to add indicators to the chart. We are going to add a 200 EMA and MACD. If the price is above the line when using the 200 exponential moving averages, it might go higher. If the price is below the line, it might continue lower.

Step 4 – Place the order

After confirming that the price is stable, the next thing to do is to place the order. The short trade is also known as going short 1 mini lot.

Step 5 – Set the Stop Loss and Take Profit Levels

The next thing to do is to set the stop loss and take profit levels. Even though this step is not compulsory, but it is highly recommended.

Setting a stop loss at half the pip or a little bit lower than your take profit level can set you up for longer success.

Step 6 – Order Confirmation

After placing your order successfully, wait for the confirmation notification. The confirmation notification is just like a ticket number, which might be needed if you want to contact your broker about the forex trade.

Step 7 – The Waiting Period

After receiving the notification for order confirmation, the next step is the waiting period. This period is one of the hardest concepts in forex trading because traders find it difficult to back out from the market.

Step 8 – Trade Completion

After waiting for a little period, the trade will surely be completed. Note, not all trades yield profit. It is advisable for you to reduce your risk on any trade.

How to choose a stockbroker in Philippines for a beginner

Do A Background Check

Before you invest your money in any kind of online trading broker, ensure that you do enough and accurate background checks about them.

Check The Site’s Response Time

You avoid any vital problem in online trading, make sure that you monitor the response time of the site closely. Test the speed of the site several times, take note of downtimes, and utilize it to know if your broker is dependable.

Look For Free Materials

As a beginner, a broker site with free materials would be helpful. There are many sites that give tutorial videos, e-books, and instructional books to help people know how to trade.

Different Types Of Accounts

It is advisable for new users to find a broker that provides a type of account that you can easily use and manage.

Clear And Transparent Fees

When trading, it is important to get a reliable and transparent broker. Apart from getting a transparent broker, you can ask them for any inclusive fees you would pay apart from what they advertised.

Convenience Of Access

Having optional trading options could be of great advantage. Perhaps, users can’t avoid unstable internet connections, which can actually affect the convenience of access.

Convenient Withdrawal Methods

Once you make enough money on forex trading, you would likely want to withdraw them. Even though there are a lot of withdrawal methods, you need to make sure that your broker uses the withdrawal method you can access conveniently.

Reliable Customer Service

Make sure you get reliable customer service that you can easily contact whenever you have any problem or inquiries to make.

The 10 Best Forex Trading Platform in the Philippines

You need to know that it may be a danger to use debit/credit cards or bank wire transfers from the Philippines as a margin deposit method because of the defective legality of forex trading in the Philippines. Your forex dealer should explain that to you. It is advisable to use a forex trading platform that is highly recommended by professional traders.

Here is the list of the best forex trading platform in the Philippines:

1. Etoro.com

It was established in 2007. They have offices in UK, Europe, Australia, UK, and the USA. Etoro.com is one of the biggest trading platforms. It provides a selection of assets to trade. They copy the investments of other successful traders.

etoro review web trading platform screenshot

  • Offer demo accounts: Yes, it allows you to trade up to 2,000 different assets.
  • Regulated by: FCA, ASIC, CySEC
  • Minimum Deposit: $200
  • Trading Platforms: Mobile Apps, Web
  • Deposit & Withdrawal Options: MasterCard, Yandex, Webmoney UK, NETELLER, PayPal, Wire transfers, Visa, bank transfers, e.t.c.
  • Fixed Spread: Yes
  • Mobile Trading: Android and iOS

Pros:

  • You can open a seamless account
  • You can trade a wide range of assets
  • CopyPortfolio is of great advantage for beginners.

Cons:

  • The withdrawal process is very slow
  • High forex-trading fees.

2. xm.com

It was founded in 2009. Xm.com has over 2 million customers in about 196 countries nationwide. It has executed about 1.4 billion transactions since it was established.

xmcom review web trading platform screenshot

  • Offer demo accounts:
  • Regulated by: IIROC (Canada), FSA (Japan), FSP (S Africa), ASIC (Australia)
  • Minimum Deposit: $100
  • Trading Platforms: Mobile Apps, Meta Trader 4 and 5, XM Web Trader.
  • Deposit & Withdrawal Options: E-wallets, Credit Card, Cryptocurrencies, Bank Wire.
  • Fixed Spread: No
  • Mobile Trading: Android, iOS

Pros:

  • Spreads tightly
  • Low withdrawal fees
  • Perfect educational tools

Cons:

  • Fee of inactivity
  • Higher micro-accounts spreads.

3. ig.com

IG is one of the oldest companies. IG was founded in the United Kingdom in 1974. It is listed on the stock exchange of London and has up to 10 accepted regulatory from several countries in the world.

ig online trading review web trading platform screenshot

  • Offer demo accounts:
  • Regulated by: FCA, BaFin, FINMA, CFTC, ASIC, FMA, MAS, FSA, FSCA, DFSA
  • Minimum Deposit: None
  • Trading Platforms: XM Web Trader, Mobile Apps, Meta Trader 4 and 5
  • Deposit & Withdrawal Options: Credit Card, E-wallets, Bank Wire, Cryptocurrencies
  • Fixed Spread: No
  • Mobile Trading: Android, iOS

Pros:

  • There is no withdrawal fee
  • It is highly regulated by several countries
  • It has low CFD fees
  • Perfect trading platform implementation.

Cons:

  • Account verification is longer than average
  • Inactivity fee

4. Cmcmarkets.com

Cmcmarkets was established in 1989. It is one of the oldest organizations. Cmcmarkets has a big product catalog that serves over 50,000 customers in the world. They are friendly to new users, and they also offer free educational materials.

cmcmarkets review web trading platform screenshot

  • Offer demo accounts: Yes
  • Regulated by: ASIC, FCA
  • Minimum Deposit: None
  • Trading Platforms: cTrader, MT4, MT5, Proprietary web
  • Deposit & Withdrawal Options: Credit Card, E-wallets, Bank Wire, Cryptocurrencies
  • Fixed Spread: No
  • Mobile Trading: Android, iOS

Pros:

  • They are friendly to new users
  • Minimum spread offering account all kinds of account.

Cons:

  • Does not have a copy trading feature.

5. Forextime.com

Forextime is also known as FXTM began activities in 2011. They have several headquarters in countries like China, Spain, Germany, Italy, and so on.

fxtm forextime review web trading platform screenshot

  • Offer demo accounts:
  • Regulated by: FCA, FSC, FSCA, CySEC, IFSC
  • Minimum Deposit: $10
  • Trading Platforms: Meta Trader 4, Meta Trader 5
  • Deposit & Withdrawal Options: Credit Card, Crypto, E-wallets, Bank Wire
  • Fixed Spread: No
  • Mobile Trading: Android, iOS

Pros:

  • Withdrawal is simple
  • It supports MT4 and MT5 platform
  • It has tight spreads

Cons:

  • Low size maximum order

6. Hotforex.com

It is a Forex broker under HF Markets Group. It was established in 2010 and has risen to the top list of brokers.

HotForex MetaTrader5 review platform screenshot

  • Offer demo accounts: Yes
  • Regulated by: CySEC, DFSA, FCA, FSA, FSCA
  • Minimum Deposit: $5
  • Trading Platforms: cTrader, MT4, MT5, Proprietary web
  • Deposit & Withdrawal Options: Credit Card, E-wallets, Bank Wire, Cryptocurrencies
  • Fixed Spread: No
  • Mobile Trading: Android, iOS

Pros:

  • It has a free trading commission
  • It supports Meta trader
  • It has competitive spreads

Cons:

  • It has a limited range of products

7. Fxcm.com

Fxcm was established in 1999 and is currently known to have a standard implementation in terms of the trading platform and customer service.

fxcm review web trading platform screenshot

  • Offer demo accounts: Yes
  • Regulated by: CySEC, DFSA, FCA, FSA, FSCA
  • Minimum Deposit: $50
  • Trading Platforms: cTrader, MetaTrader4, MetaTrader5, Proprietary web
  • Deposit & Withdrawal Options: Credit Card, E-wallets, Bank Wire, Crypto
  • Fixed Spread: No
  • Mobile Trading: Android, iOS

Pros:

  • The minimum deposit is low
  • It has social trading platforms

Cons:

  • It has a limited tradable product range.

8. avatrade.com

Avatrade has financial firm support and a user-oriented system in its trading business. It offers several CFD instruments, such as bonds, crypto, stocks, and ETFs.

avatrade review web trading platform screenshot

  • Offer demo accounts: Yes
  • Regulated by: ASIC (Australia), IIROC (Canada), FSP (S Africa), FSA (Japan)
  • Minimum Deposit: $100
  • Trading Platforms: Proprietary Web, Mobile Apps, and Meta Trader 4
  • Deposit & Withdrawal Options: Credit Card, Crypto.
  • Fixed Spread: Yes
  • Mobile Trading: Android, iOS

Pros:

  • It has a low trading fee
  • Bonus for new users

Cons:

  • There are admin and inactivity fee

9. fpmarkets.com

Fpmarkets was established in 2005 and has served more than 12,000 members all over the world. It uses true ECN electronic bridges.

fpmarkets review web trading platform screenshot

  • Offer demo accounts: Yes
  • Regulated by: CySEC, ASIC
  • Minimum Deposit: $100
  • Trading Platforms: MT4, MT5
  • Deposit & Withdrawal Options: Crypto, Credit Card, Bank Wire, E-wallets
  • Fixed Spread: Yes
  • Mobile Trading: Android, iOS

Pros:

  • Low Deposit
  • Tight Spreads

Cons:

  • High stock spread
  • Additional fees due to some withdrawal methods

10. axi.com

Axi is highly trusted by over 60,000 customers in more than 100 countries around the world. Axi was established in 2007.

axitrader review web trading platform screenshot

  • Offer demo accounts: Yes
  • Regulated by: FMA, FCA, ASIC
  • Minimum Deposit: $0
  • Trading Platforms: MT4
  • Deposit & Withdrawal Options: Crypto, Credit Card, Bank Wire, E-wallets
  • Fixed Spread: Yes
  • Mobile Trading: Android, iOS

Pros:

  • No inactivity fee
  • No withdrawal fee
  • No deposit fee

Cons:

  • It offers just CFD and forex trading
  • Research tools are limited

How to Learn Forex Trading

How-to-Learn-Forex-Trading-Warren-Buffett

Which timeframe will you trade?

There are three basic trading sessions you can prepare to trade-in:

  • The US session (1pm – 9pm)
  • The Asia session (10pm – 5am)
  • The European session (6am – 5pm)

There are also nine different chart timeframes:

  1. 1 minute chart
  2. 5 minute chart
  3. 15 minute chart
  4. 30 minute chart
  5. 1 hour chart
  6. 4 hour chart
  7. Daily chart
  8. Weekly chart
  9. Monthly chart.

Which markets will you focus on?

Here is a list of some of the markets you can focus on

  • US shares
  • Stock Market Index
  • Foreign Exchange
  • Commodity European Shares
  • ETFs and Stocks

What tools will you use in deciding to place a buy or sell trade?

Most forex traders use either fundamental analysis or technical analysis.

Fundamental analysis is the study of company news to identify turning points while technical analysis deals with the study of trading indicators and price charts.

What risk management techniques will you use to exit your trade at a loss or in profit?

Long-haul, since something can occur in the market anytime, this might be a mix-up. In this way, to help deal with your trades, it is imperative to use the best techniques in the business. For instance, Admiral Markets provides brokers with advanced unpredictability insurance settings, which is basically a complex scope of trading requests and settings, which can be useful for any procedure to achieve critical favorable conditions in unpredictable trade conditions for all intents and purposes.

How can you stay up to date with the latest market news and learn the strategies used by professional traders?

There are three trading webinars a week that can help you stay up to date with the latest market news and also learn the strategies used by professional traders.

  • Monday Webinar (Mastering the 4Ms of Trading
  • Wednesday Webinar (Master the Markets)
  • Friday Webinar (Weekly Market Outlook of Admiral Markets)

Your Learn to Trade 4 Step Trading Plan

#1 Read

Reading as much trade knowledge as you can is one of the best ways to learn how to trade, but only from experienced and expert traders who are actually doing it.

#2 Watch

Watching how expert traders do it in live economic conditions is the best way to acquire knowledge on what trading is all about. With live online classes facilitated by proficient monetary traders every three weeks, it is your chance to get into the most recent business trends and how to trade them.

#3 Practice

While it is incredible to pick up trading through forex courses, being able to practice what you have discovered is fundamental. The best way to practice is by using a demo account.

#4 Repeat!

However, the more you read educational forex trading books, the more you watch live, expert brokers, and the more you work on trading on a demo account or genuine forex account, the better the propensities you can create, giving you a greater chance of long-haul achievement. It may sound straightforward.

How to Make Money in Forex Trading?

Via forex trading, traders can trade virtually any currency in the world. You should realize that you are facing a speculative challenge in order to make money in foreign exchange. Basically, you wager that one currency’s market value will go higher compared with another.

How-to-Make-Money-in-Forex-Trading-Paul-Tudor-Jones

Note that currencies are exchanged in pairs.

For instance, assuming we have a currency quote for GBP/PHP pair of 2.2245, the base currency is Pound sterling while the quote currency is Pesos. This implies that one pound sterling can buy 2.2245 PHP.

To purchase the Pound sterling, the trader must go short on the Philippine pesos to go long on the euro.

To make money on this forex trading, the trader needs to sell back the Pound sterling when its value appreciates.

Assuming the value of the Pound sterling appreciates to 2.2285PHP. On a lot of 200,000 Pound sterling, the investor would gain 800 PHP (445700PHP – 444900PHP) if the Pound sterling was sold at this exchange rate.

Why Forex Education Is Important

After you’ve graduated from high school or college, you may ask why this additional education is needed. Forex trading is a genuine enterprise, all things considered; you need to get the most ideal education. You need to develop your skills on a daily basis, and only an experienced coach can help you do that.

You must first get a Forex education/training in the event that you need to invest and turn to a professional trader.

In addition, the psychology of trading is important to consider, since the market is eccentric to such an extent that even the best trader gets into material misfortune.

Foreign exchange training helps you to know the basic principles and wordings but also teaches you how to put together your own framework that will keep you trained and balanced in trading. There are several courses and educational courses where you can be guided by experienced tutors to learn your own techniques.

Where is Forex Trading Allowed, Restricted, or Banned?

1. Countries where forex trading is allowed

Here is a list of countries where forex trading is allowed

1. United States 8. Canada
2. UK 9. Germany
3. Cyprus 10. Indonesia
4. Australia 11. Switzerland
5. Malta 12. Romania
6. Bulgaria 13. Italy
7. Japan Most countries in Central and Eastern Europe

2. Countries where forex trading is restricted

Here is a list of countries where forex trading is restricted

  1. Nigeria
  2. Egypt
  3. South Africa
  4. China
  5. Russia
  6. Ukraine

3. Countries where forex trading is banned

Here is a list of countries where forex trading is banned

  1. Israel
  2. North Korea
  3. Bosnia Herzegovina
  4. Pakistan
  5. France
  6. Belgium
  7. Malaysia

The Best Countries to Trade Forex

Here are some of the criteria that the best countries to trade forex must fulfill

  1. Must have no restrictions on forex trading
  2. Must have a good and strong internet
  3. Must have a solid financial technology
  4. Must have unlimited access to any payment method offered by brokers
  5. Must have standard technical support, which can help the placement of systems and servers needed to improve the forex trading activity.
  6. Must have straightforward access to main trading hubs, with the option to open forex trading accounts with traders.

How to Identify and Avoid Forex Scams

Forex trading is one of the biggest financial markets in the world, with more than $4 trillion traded per day.

Tragically, there are numerous corrupt individuals who will attempt to scam people through foreign exchanging tricks. Forex tricks will exist for as long as there is a Forex market. As plans are developing, tricksters are in every case someplace close by, attempting to scam you. Be that as it may, could there be a way out to this issue?

Forex tricksters will in general target novices or uninformed traders. The most ideal approach to abstain from being scammed, and abstain from getting misled, is by getting a decent and reliable Forex exchanging instruction before you enter the business sectors.

How To Spot A Scam

The main strategy of spotting a Forex scammer is an assurance of surprisingly huge returns with next to zero monetary risks. At first, there is nothing of the sort as a 100% assurance. On the off chance that there was, it is absolutely impossible that dealers would impart it to other market players.

Here are a couple of basic principles to follow to maintain a strategic distance from scammers:

  1. Stay safe and don’t pursue void guarantees
  2. Be particularly careful about programming that claims to have discovered a ‘mystery method’
  3. Try not to install any software until you are sure it won’t harm your PC

Another way to spot forex scammers is that they do not register with any administrative organization. Keep in mind that genuine merchants consistently give confirmation of their authenticity. In the event that you notice that a Forex specialist is lying about their administrative status, you can reach out to an administrative authority that might have the ability to give a rundown of regulated organizations, and a rundown of cases opened against regulated organizations. This will assist you with knowing which Forex agents to maintain a strategic distance from.

Three Signs of Trading Investment Scams

  1. Trading Systems and Education Without Any Proof

A lot of tricksters sell trade strategies and education. They resist all inquiries at the point where you ask them to provide some proof of their trading history. There are also numerous brokers without a trading room or any administrations who could offer their systems.

  1. Email Spam Asking for Personal Info

Tricksters may likewise ask you for personal data, for example,

  • Your name
  • Your telephone number
  • Your personal residence

Try not to give away your personal data to someone you don’t completely trust. Be careful of agents who don’t give you a composed danger exposure statement.

  1. No Background

Never do any business with someone who cannot provide you with data about their experience. Be it a professional, a broker, an instructor, or a fund administrator. Do a snappy online search on an ongoing basis to check if the individual or organization is genuine.

How to Avoid Scams

It takes as much time as possible to stay away from business scams. Try not to quicken your decisions, and first make a point of surveying all the benefits and drawbacks. Certifiably, locating a trustworthy Forex trader is not an easy job, but you would benefit from devoting your time over the long term. When you go across a Forex trader, the initial step you can take is to google the name of their company.

On respectable pages, check for client reviews. You should avoid the service provider in the event that there are none. You may also look at scam reviews and verify if a Forex trader is as good as guaranteed. In addition, make a point to see if there are any extraordinary lawful operations against the agent.

Keep Away From Opportunities That Seem Too Good to Be True

Try not to acknowledge any person who reveals to you that it is not difficult to bring in money with anything like a “30 percent gain every month”. It’s complete nonsense since it takes a lot of education, patience, and snappy brains to become productive to trade Forex and CFD. There’s no income free from pain here. Yet, you will gain an extra kind of income on the off chance that you devote your time and work out how to trade accordingly.

Further Steps You Can Take To Protect Yourself

Ensure to think about the administrative authority’s rules with the terms on the site of the forex trader to identify inconsistencies and oddities in their terms. Ask for advice from an authorized financial counselor on the off chance that you don’t want to depend on your own judgment, or you essentially don’t have time. Also, prior to registering with a broker, you can request business enrollment evidence. When opening an account, try to check through all the fine print. Some of the time, scammers use account incentives to withdraw funds from the trader’s account.

How to Avoid Scams

It takes as much time as possible to stay away from business scams. Try not to quicken your decisions, and first make a point of surveying all the benefits and drawbacks. Certifiably, locating a trustworthy Forex trader is not an easy job, but you would benefit from devoting your time over the long term. When you go across a Forex trader, the initial step you can take is to google the name of their company.

On respectable pages, check for client reviews. You should avoid the service provider in the event that there are none. You may also look at scam reviews and verify if a Forex trader is as good as guaranteed. In addition, make a point to see if there are any extraordinary lawful operations against the agent.

Keep Away From Opportunities That Seem Too Good to Be True

Try not to acknowledge any person who reveals to you that it is not difficult to bring in money with anything like a “30 percent gain every month”. It’s complete nonsense since it takes a lot of education, patience, and snappy brains to become productive to trade Forex and CFD. There’s no income free from pain here. Yet, you will gain an extra kind of income on the off chance that you devote your time and work out how to trade accordingly.

Further Steps You Can Take To Protect Yourself

Ensure to think about the administrative authority’s rules with the terms on the site of the forex trader to identify inconsistencies and oddities in their terms. Ask for advice from an authorized financial counselor on the off chance that you don’t want to depend on your own judgment, or you essentially don’t have time. Also, prior to registering with a broker, you can request business enrollment evidence. When opening an account, try to check through all the fine print. Some of the time, scammers use account incentives to withdraw funds from the trader’s account.

Questions To Ask To Avoid Trading Investment Scams

A few appropriate inquiries can decide whether you are trading with a reliable dealer or a scammer.

Ask yourselves these questions:

  1. What will you do when you notice that the offer of a broker is not for you?
  2. How restrictive is the contract?
  3. How easy is it to get in touch with customer service?
  4. Would you be able to call, Skype, or email the broker?
  5. Do they list a location that is real?
  6. Do they use real names?
  7. Are they an enlisted entity?
  8. Would they be able to provide the history of performance?

10 Best YouTube Channel to Learn Forex Trading

The way brokers see the Forex market, learn new skills, and keep up-to-date with what is happening on each side of the exchange scene has been changed by YouTube. On YouTube, there are numerous dealers who share their experience, knowledge, and exchange ideas.

Can you learn forex on YouTube?

1. Bloomberg Markets and Finance

Bloomberg is one of the best YouTube channels and a mainstream giant. Bloomberg.com has been part of their regular trading routine for certain brokers. In relation to moving world topics in business, governmental problems, and surroundings, and significantly more, brokers will discover related videos on the channel. It is very important for any serious trader to follow the YouTube channel of Bloomberg.

2. Financial Times

Probably the most created and respected monetary publications on the planet are the Financial Times, and their YouTube channel is exceptional for both brokers and speculators. With over 300,000 YouTube channel subscribers and nearly 60 million views, the YouTube channel of the Financial Times is probably the most mainstream and reliable news and analysis channel for business sectors.

Similarly, the videos uploaded on the channel are sorted to how the articles in their newspaper are, with the narratives falling under various groups like evaluation, world, organizations, analysis, etc. Personal playlists are likewise made available for any news classification.

3. Chat With Traders

Chat with Traders is somewhat similar to a TV show and provides research, facilitated by Sydney occupant Aaron, including forex, prospects, shares, alternatives, and crypto, from genuine brokers in various business sectors. The Chat with Traders channel has over 90,000 subscribers and provides competent brokers, speculators, and market participants with some attention to administrative and legal problems within the monetary world in long-structure discussions.

Chat with Traders offers a variety of substances and top-to-bottom meetings, which give seasoned dealers a tremendous amount of educational assets, in any case, and the best thing about this channel is that brokers hear the real experts; their view, what they recommend, and what they have learned.

4. Investopedia

Investopedia is currently one of the best YouTube channels for learning Forex trading.

Investopedia.com is an incredibly well-known and popular platform, and this particular channel is the YouTube version of the famous website that deals with investing. With more than 128,000 subscribers and a huge number of website watchers, Investopedia is an expert site and a powerful source of everything relevant to investment. Brokers will not discover trading methodologies and Forex scalping instructional exercises on the YouTube channel of Investopedia, but there is a huge amount of engaging and complete clips in the monetary market and entrepreneurship sectors.

5. CNBC

CNBC is one of the top YouTube channels for learning forex trading. CNBC is a major United States media association that provides brokers with excellent monetary business sector inclusion, and the YouTube channel has over 800,000 followers and more than 280 million views, making it highly well recognized. In general, CNBC covers news and reports on share markets, organizations, and other monetary business sectors, and this channel can be used by investors and traders to keep updated on important variables that impact monetary business sectors.

6. Financial Education

Financial Education gives dealers training and full details about forex trading, and Jason, the owner of the channel, made the channel so that everyone can universally find out about investing, individual budget and business, and his efforts have paid off with over 300,000 followers.

Financial Education includes review and analysis by the host and general exhortation of the show on the market sectors and tips on the most proficient way to invest and keep individual accounting records and he utilizes his videos to inform brokers what stocks he’s monitoring, which ones he’s buying, and also guides to stock exchange trade.

7. Trading 212

In case you’re searching for a reliable YouTube channel to subscribe to that cautiously sees how foreign exchange works and moves on how you can utilize their techniques practically, Trading 212 is the best channel for you.

They are the rulers of instructive materials on YouTube and their channel does not just discloses convoluted elements identified with foreign exchange, yet, how the business all in all functions.

This YouTube channel does this by clarifying why factors, for example, nonfarm payrolls are significant or how national banks impact forex costs.

While this veers off from real exchanging, it is imperative to see such things so you can settle on better-exchanging choices.

The channel has been dynamic since 2013 and has more than 13.5 million views.

8. Rayner Teo

Rayner Teo is a Singapore-based broker and his YouTube channel has more than 170.000 subscribers because of the level of important data that Rayner gives in his videos. Rayner’s videos are generally based on stock exchanging; some evergreen exchanging ideas are additionally included, for example, management of risk, major examination, and technical exchanging techniques.

9. No Nonsense Forex

No Nonsense Forex is a Trading Youtube Channel from a genuine expert forex broker. This channel offers you everything, for example,

  • Telling you things you should avoid
  • Showing you a genuine strategy that is simple and give predictable outcomes
  • Trade/Money Management, which gets overlooked way time after time
  • Trading Psychology, which everybody is not really too good at.

Each Forex exchanging video is intended to be easy to comprehend and is likewise intended to make you a superior dealer when you’re done watching.

10.ClayTrader

For dealers who are keen on knowing technical analysis and charts as their primary instrument to discover beneficial exchanging openings, ClayTrader is an ideal YouTube channel to subscribe to. This channel was opened in 2013, and has around 180,000 subscribers and has over 6,500 videos. On the YouTube channel, merchants will discover an assortment of exchanging topics, from exchanging brain science to live exchanging days.

Bonus

Top U.S. sites for tracking the latest forex news

1. Bloomberg Forex News

Bloomberg Forex News is one of the top U.S. sites for tracking the latest news on forex trading.

Bloomberg, clearly established with the trader in mind, helps to provide insights to help understand where the market value is moving. They help to keep traders updated by giving out up-to-date news on the latest development of forex.

2. Reuters Forex News (U.S. Edition)

Reuters Forex News is also one of the top U.S sites for tracking the latest news on forex trading.

This site offers rich substance for forex trading news with accurate coverage. Different nearby and worldwide news are accessible for its sites, and it offers both neighborhood and worldwide coverage. The accessible news is labeled with significant tickers that offer a simple classification of information.

3. fxstreet.com/news

Fxstreet is also one of the top U.S sites for tracking the latest news on forex trading.
This site offers huge loads of updates and gives a few special highlights that any best forex news site ought to provide.

In spite of the fact that it is one of the top driving sites accessible in the forex world, it has the right to be listed.

4. cnbc.com/world/

CNBC is also one of the best U.S sites for tracking the latest news on forex trading. CNBC is ideal for merchants who need to get a more extensive point of view toward how the market is getting along, especially the individuals who are keen on digital currency just as forex.

They additionally review various traders which is exceptionally valuable for amateurs and those who need another broker.

5. edition.cnn.com/business

Edition.cnn.com is also one of the best U.S sites for tracking the latest news on forex trading.

Their material is considered to be instructive and very entertaining in some instances. Nevertheless, in addition to being one of the go-to sites to search for forex-related words, they also generate forex posts.

A great deal of what they generate is based on the US dollar.

6. usatoday.com/money/

USAtoday.com is also one of the best U.S sites for tracking the latest news on forex trading.

They focus solely on the trading of forex news and have a community of fantastic market investigators who regularly report.

7. money.usnews.com

Money.usnews.com is also one of the best U.S sites for tracking the latest news on forex trading. They also help to keep traders updated by giving out up-to-date news on the latest development of forex.

Forex Related Questions:

Can I lose more than I invest in forex?

Not really. You will not be permitted by your dealer to lose more than you have in your foreign exchange account. It will only close your account balance if you hold a losing place as it draws near to $0. In rare cases, a slippage or critical value gap can position the equilibrium of the merchant in the negative domain.

What Moves the Forex Market?

Currency prices, similar to any other market, are determined by the market interest of merchants and buyers. Perhaps, in this market, there are other large-scale forces that control all. Similarly, interest in specific monetary forms can be influenced by the cost of funding, the bank policy, the rate of financial growth, and the world of politics referred to in the country.

Why Forex Trading Matters for Average Consumers?

Although the usual speculator probably shouldn’t fiddle with the foreign exchange market because what happens there will have an impact on everyone. In addition to the price it costs to move abroad, the relentless activity on the spot market would impact the amount we pay for trade.

Why We Can Trade Currencies?

With assistance from the web, a retail market focused on individual dealers has arisen, giving simple access to the forex trading markets, either through the actual banks or brokers making an optional market.

What time Forex Market Open in the Philippines?

The time at which the Forex market is opened in the Philippines is listed below:

Monday 9am–5pm
Tuesday 9am–5pm
Wednesday 9am–5pm
Thursday 9am–5pm
Friday 9am–5pm
Saturday Closed
Sunday Closed

Time Zones

You can refer to the following table to understand the time zone division of the currency market abbreviated as Forex market.

Forex Trading centers in the world Trading hours in local time
Forex Oceania-Asia session Wellington, New Zealand 08:00-17:00
Sydney, Australia 08:00-17:00
Tokyo, Japan 08:00-17:00
Hong Kong, China 09:00-17:00
Shanghai, China 09:00-17:00
Singapore, Singapore 09:00-17:00
India 09:00-17:00
Moscow, Russia 09:30-19:00
Forex Europe session Frankfurt, Germany 07:00-15:00
Zurich, Switzerland 09:00-17:30
Paris, France 09:00-17:30
London, United Kingdom 08:00-16:00
Johannesburg, South Africa 09:00-17:00
Forex Americas session New York, United States 08:00-17:00
Toronto, Canada 08:00-17:00
Chicago, United States 08:00-16:00

How Forex Trading Shapes Business?

The subsequent partnership between the different kinds of foreign exchange traders is an extraordinarily liquid, multinational market that affects business across the globe.

The popular cash conveys exchange technique, for instance, demonstrates how market participants influence trade rates that eventually have overflow effects on the worldwide economy. By acquiring low-yielding monetary forms and offering them to buy high-yielding monetary standards, executed by banks, mutual funds, and individual financial speculators, is intended to capture contrasts in yields through currency.

Why Is Forex Trading So Addictive Despite Losing So Much?

Despite losing so much money, the aim of making a huge amount of money at once makes people so addicted to Forex trading. This zeal for making a huge amount can be a result of the previous stories of successful traders.

How Do I Overcome Forex Trading Fears?

By setting up an exchange strategy and getting a good trading mentality, you will defeat foreign exchange fears. Find out more about forex trading and put the trade strategies into effect. In addition, give yourself a chance to learn.

How Can You Maintain Your Mental Health When Forex Trading?

Be sure to set up a plan for yourself to preserve your psychological well-being when trading. For example, by investing in various ways or by restricting the number of exchanges you do or balance them.

What Are Some Good Techniques to Manage Emotions in Forex Trading?

When trading, it is necessary to deal with your emotions. You can do this by looking at the exchange as though it were a business. Establish for yourself a system of authority, one with rules and guidelines.

Is stock trading easier than forex?

It seems glaring that foreign exchange is significantly more liquid, more available, and needs less exploration to get you started. We will also state that forex trading is not difficult to start and trade, but that does not mean that trading stocks are not good. Many, for different reasons, chose to do so. Ultimately, it relies on you and what you need to do and achieve.

What is better forex or the stock market?

In comparison to stocks, Forex main pairs also have very low spreads and exchange rates and this is one of the important points of interest for trading the forex market as opposed to trading the stock market.

What is the best way of learning Forex Trading, YouTube, books, forums, or another way?

It is a personal interest to choose the “best” way. You can learn forex trading from books or social media, whatever suits you if you are a self-taught person and would not care about paying expensive educational costs to the market. If not, it is advisable you do one of the following things:

  1. You will try to pay cheap tuition fees to the market by hiring an experienced tutor to guide you through all the learning barriers.
  2. Using a good foreign exchange robot. You can skip the need for learning advanced analysis, management of funds, and so on. You can instantly begin to make money.

Can I trade forex with $10?

A lot of people who want to create a profitable trade revenue stream end up only contemplating about it and failing to make a move, and certainly, that will not lead you anywhere.

In a real sense, you can start free of charge with a demo account or just a deposit of $10 to try the real stuff.

Depending on your risk of hunger, you could have 2% to 7% per month without much regular stress.

Can you Start Trading with just $10?

Yes, you can start trading with just $100. It depends on the method that you plan to use and the broker that you desire to utilize. Currently, if your broker approves, you can trade with a starting capital of just $100.

How was the experience so far? Was it profitable or not?

A particular Forex trader shared her experience that she lost a huge amount of money when she first started Forex due to ignorance and lack of proper training. After her first trial, she went for thorough training and later invested again. She made a huge amount of money that surpassed the money she lost.

What Is Scalping?

Scalping is an exchange technique that relies on continuous technical analysis. Scalping mostly refers to having an enormous number of trades with respect to foreign exchange, each producing little return. The primary aim of scalping is to make a profit in as small as minutes, gaining a few pips all at once, instead of maintaining a situation for a few hours, days, or weeks.

5 Signs forex trading isn’t for you

Here are the five signs that show that forex trading is not for you.

  1. Finances are not in order
  2. Too emotional
  3. Worried about the volatility of prices
  4. No time to monitor the trends and news
  5. You lack knowledge of the markets

Key Takeaways:

  • Forex trading is one of the biggest financial markets in the world, with more than $4 trillion traded per day.
  • Currency exchange is adopted with the intention of obtaining a profit
  • The forex trading market is the platform where monetary standards are exchanged.
  • In 1971, more relevant currencies were given the opportunity to float unreservedly against one another after the accord at Bretton Woods.
  • The best currency amount is traded in the interbank market.
  • A central bank is known for fixing the cost of its local forex market.
  • The Philippine peso, which is the currency of the Philippines, ranks the 30th place within the foreign exchange market among the currencies all over the world.
  • In forex trading, you can exchange currencies such as Euros, Pounds, Dollars, Pesos, Rupees, and so on.
  • Most forex traders use either fundamental analysis or technical analysis.
  • The main reason why traders do not grasp money management is that they can’t hold a trend.
  • The main strategy of spotting a Forex scammer is an assurance of surprisingly huge returns with next to zero monetary risks.
  • Another way to spot forex scammers is that they do not register with any administrative organization.
  • Try not to give away your personal data to someone you don’t completely trust.
  • Despite losing so much money, the aim of making a huge amount of money at once makes people so addicted to Forex trading.
  • One of the ways in which you can defeat foreign exchange is by setting up an exchange strategy and getting a good trading mentality.
  • A lot of people who want to create a profitable trade revenue stream end up only contemplating about it and failing to make a move
  • Essentially, any trader who trades without experience is betting.

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Maggie

Mag's is a market research editing and graphic design manager based in Qatar. As a freelance writer and editor, he covers personal finance, travel, careers, education, pet care and automotive.

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