ForexGen | Candlestick Chart Terms

Candlestick chart patterns are very popular in forex trading because they are the main part of technical analysis. On all chart modules, users can toggle between line, bar and candlestick chart view.

The candle consists of two parts: the body and the shadows. The body reflects the open and closing price for the certain period.

The candle body is black if the close price below the open, and white if the close was higher than the open for the period.

The candlestick shadow reflects the intra-period high and low prices.

(Note: In candlestick charting the following periods are often used; 5 min, 15 min, 1 hour, daily and weekly).

Long shadows, show that the trading extended well beyond the opening and/or closing price, while short shadows, show that trading was confined closely to the open and/or closing price.

Forex Risk Factors

One of the first things most traders hear when they begin their forex journey is the fact that forex trading is risky. Many new traders choose to pay little attention to all the risk warnings and continue. I was personally the same at the beginning because I so eager to get started!
It is very important to fully understand the forex risk factors as to be a successful forex trader, you need to know how best to minimize them.

Perhaps the single biggest risk factor in forex trading is the use of too much leverage! I have spoken to many traders who start trading with as little as $100 on a mini forex account. I always encourage these traders not to do it and to learn more about proper risk management. $100 with a mini account will almost always have just one single outcome, a margin call.

Let’s look at why this is. If you have 100:1 leverage from your broker to open a GBP/USD position for 1 minilot is going to cost $10 in margin. This would leave $90 for trading. With a 1 mini lot GBP/USD position each pip is worth $1. This would mean that only a 90 pip movement in the wrong direction would mean result in a margin call. Also, in these 90 pips, the spread would need to be included.

GBP/USD often moves more than 90 pips in a single day.
So there we have it, one of the single biggest risks in forex trading for new traders is the overuse of leverage.

Let’s now look at some of the other risks in forex trading.

When trading forex it’s important to realize that no matter how sure you are the market will move in the way you expect, anything can happen, at any moment in time. A good example of this was when the US Government made it common knowledge that they were going to bail out Fannie Mai and Freddie Mac, the dollar appreciated considerably.

If you had an intra short on the dollar, you would not have been best pleased. This example simply illustrates that many major factors that move the market can be completed unexpected. If you can prepare your strategy to take into consideration unforeseen events, you can lower your risk. One option is to use stop losses to make sure you are always prepared for unforeseen events that could potentially move the market in a big way.

Another important thing we can do is to practice our strategies and systems thoroughly on a demo account before trading them on a live account.

In conclusion, no matter how you look at the forex risk factors, they are there and they are considerable. To be a successful trader, it important to fully understand and do everything possible to keep risk to a minimum at all times.

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Forexgen Sweep Services

Sweep Services is the physical movement of funds between two accounts. The main uses of sweep include: integrating funds into a single position for centralized management, enhancing yield by consolidating assets, offsetting long and short balances, automating inter-company loans and transfers, and linking to investment vehicles. We also offer the flexibility to allocate interest benefits across accounts.
Flexible Execution We support a full range of sweep arrangements:
Single location
In-country
Cross-border
Cross-regional

Why use Sweep Services?
Minimize overdraft charges
Maximize usage of idle funds
Reduce cost of local funding
Reduce local currency risk
Read more through http://institution.forexgen.com/institutional/sweep-services.html

ForexGen Transactions

Withdrawal of Funds
Traders can withdraw money from the trading account in a simple and fast way.

Withdrawal to a bank account:
1. Login to your account using your user name and password.
2. Click on "Manage accounts" link on the left menu.
3. Select to submit new withdraw transaction.

Withdrawal to an e-gold account:
1. Login to your account using your user name and password.
2. Click on "Manage accounts" link on the left menu.
3. Select to submit new withdraw transaction.
Withdrawal requests are processed during the same business day. Please allow a few hours for the accoutning department to process and clear the payment. Funds may take more time before it arrives to your bank account depending on the bank and location and also the time the wire transfer request is issued.



Deposit Funds
ForexGen offers the easiest, simplest and fastest way of Forex funds depositing, withdrawing and transferring provided by Customer Support personnel available 24/7 In order to serve its clients any time all over the world.
ForexGen cares for its clients' funds, so that ForexGen allow funding operations with a guarantee of ForexGen itself that your fund operations are executed with high level of security and privacy.
Funds are accepted by wire transfer and e-gold payments. For full details about funding procedures and options kindly click here.
· Please note that during the weekends and official holidays, wire transfers may be delayed.
Account receivable funding could electronically be funded by ForexGen in the same business day, thus the client's account will be funded in the same day of receipt. For our client's security, each wire transfer reference section must contain the client's name and account number. ForexGen minimum deposit required to start trading is $250 . Also we have no limit for depositing fund into your account. You have the absolute right to choose the amount you want to deposit.

Forex Trading Indicators and the Ever Changing Market Conditions

Once you enter the Forex trading world you will immediately notice the need of using technical analysis in order to find trends when looking at the forex charts and also the importance of being aware of when they first develop so you can ride the trend until it ends. The foreign exchange market is a very strong trending market, lots of ups and downs in short periods of time, and it's, therefore, a place where technical analysis can be very effective.
But you should always remember that the indicators are only giving you a high probability behavior the markets may show when you are trading, but will never tell you the behavior of the currency prices with total certainty.for more informations....

If you want to become a profitable forex trader you will need to use as many technical indicators as you can, or create a personalized trading strategy based on a combination of these indicators, to recognize with the best accuracy possible the trend. In other words, a professional forex trader will try to identify the major trend, the intermediate trend, and the short-term trend and then construct his trades in that direction based on how long their rules allow him to hold a position.

The forex markets are always changing, that's why you should always have an open criterion when using your technical indicators. Markets will be changing and different combinations of indicators may be required with time in order to have the most accurate, highest probability, prediction of future currency price behaviors.learn more....

If the action of the market shows your judgment to be correct, then you must consider staying with the market' and look for the maximum profit on each trade, according to your risk-to-reward/equity management rules. If you happen to be in a bad day and the market goes against you, the smart trader will take profits and get out of that trade. In a narrow market, when prices are not going anywhere, but move within a narrow range, there is no sense in trying to anticipate when the next big movement is going to be.
So, you must always be alert and open to use as many and as different indicators in order to stay tuned with the market and become a profitable trader at the end of the day. read more.....

ForexGen Pooling Services

ForexGen Pooling Services aggregates trading accounts without commingling of balances for the purpose of overnight investment and earnings calculation. Long balances are first used to self-fund accounts in overdraft, and domestically, the net excess is automatically invested in one of many overnight investment options. Pooling provides account-level autonomy combined with centralized liquidity management. The service is supported by flexible account-level earnings calculation, earnings distribution and automated reporting.
Throughout our global network, ForexGen offers a full range of pooling options where local regulations permits. These options consist of fully notional single and multi-entity pooling, cross-border pooling and hybrid structures that combine physical sweeps and notional pooling. Multi-currency pooling is also available.
Why use ForexGen Pooling Services?
Utilize internal cash for self-funding opportunities
Enhance earnings on credit balances and reduce overdraft charges
Decrease administrative costs associated with sub-accounting and posting of inter-company interest.
All cash management arrangements, including pool implementations, are subject to the satisfaction of legal, tax and credit due diligence. The client will be required to sign a cash management agreement with ForexGen. ForexGen does not provide advice on the fiscal issues related to treasury structures and recommends that all clients consult with their legal and tax advisors prior to entering into any pooling arrangement.
Read more through http://institution.forexgen.com/institutional/forexgen-pooling-services.html