Forex Essentials in 15 Trades: The Global-View.com Guide to Successful Currency Trading (Wiley Trading)

335 Pages·2009·7.06 MB·English

by  John Bland

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Forex
Essentials in
15 Trades
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Founded in 1807, John Wiley & Sons is the oldest independent publish-
ingcompanyintheUnitedStates.WithofficesinNorthAmerica,Europe,
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Foralistofavailabletitles,visitourWebsiteatwww.WileyFinance.com.
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Forex
Essentials in
15 Trades
The Global-View.com Guide to
Successful Currency Trading
JOHN M. BLAND
JAY M. MEISLER
MICHAEL D. ARCHER
JohnWiley&Sons,Inc.
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Copyright(cid:1)C 2009byJohnM.Bland,JayM.Meisler,andMichaelD.Archer.Allrightsreserved.
PublishedbyJohnWiley&Sons,Inc.,Hoboken,NewJersey.
PublishedsimultaneouslyinCanada.
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LibraryofCongressCataloging-in-PublicationData:
Bland,JohnM.,1946–
Forexessentialsin15trades:theglobal-view.comguidetosuccessfulcurrencytrading/
JohnM.Bland,JayM.Meisler,MichaelD.Archer.
p.cm.–(Wileytradingseries)
Includesindex.
ISBN978-0-470-29263-1(cloth)
1.Foreignexchangemarket. 2.Foreignexchangefutures. I.Meisler,JayM.,1948–
II.Archer,MichaelD.(MichaelDuane) III.Title.
HG3851.B532009
332.4(cid:2)5–dc22
2008047042
PrintedintheUnitedStatesofAmerica.
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Toallthemembersoftheworldwide
global-view.comcommunity
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Contents
Preface xv
HowThisBookIsOrganized xv
BeyondtheBook:TheGlobal-ViewWebSite xvii
ReadytoGo xviii
Introduction xix
OriginsofGlobal-View xix
GoalofGlobal-View xx
WhyanOpenFOREXForum? xxi
ForumRulesofBehavior xxii
HowtoUsetheForums xxiii
GVIForex:ASpecialForum xxiv
AdditionalTraderSupport xxv
AsYouGoForward xxv
PART ONE The Basics of FOREX 1
CHAPTER 1 An Introduction to FOREX 3
FOREXFirstSteps:WhatIsIt? 6
WhyTradeFOREX? 7
FOREXTerms 8
FOREXCalculations 11
MarketConventions 16
QuotingConventions 16
ElementsofaTradePlan 18
Summary 19
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viii CONTENTS
CHAPTER 2 The Importance of Money Management 21
CFTCWarning 22
KeytoSuccessasaTrader:PreserveYourCapital 22
WhatIsLeverage? 23
ExampleofaHypotheticalTrade 24
MoneyManagementRules 25
UseStopLosses 27
HowMuchtoRiskonaTrade 28
ReadytoTrade? 29
Summary 31
CHAPTER 3 Technical Trading 33
WhatIsTechnicalAnalysis? 35
TechnicalAnalysisLandscape 35
Summary 47
CHAPTER 4 Fundamentals for FOREX Trading 49
WhatIsFundamentalAnalysis? 49
AllPriceMovesAreNotCreatedEqual 50
InterestRates 51
TypicalFundamentalMarketFrameworks 57
TradinginaCrisisEconomy 60
Summary 61
CHAPTER 5 Trading the News 63
CaveatEmptor(LettheBuyerBeware) 64
MarketOrders 65
TradingtheNews—ComplexandRisky 65
DoYourHomework 66
PopularReleasesforNewsTraders 67
Summary 71
CHAPTER 6 Trader Profiles 73
WhatIsYourTraderProfile? 73
GoodTraderversusBadTrader 75
Summary 77