Day Trading the Forex Market

Forex traders are the new online millionaires.  Technology advances like the internet have spawned a new craze, where anyone with a secure internet connection prepared to undertake a small amount of forex training can engage in trading foreign exchange on the forex market.
Just as a day trader will closely track stock price movements on the Dow Jones Industrial Average, all over the world forex traders monitor currency fluctuations in a similar fashion.

Forex traders have the aim of using the smallest amount of one currency, say the US dollar, to purchase another currency like the British Pound. If supply of the pound lessens in a busy market, it will cost more dollars to buy pounds, and the forex trader hopes to sell their pounds at a higher than their purchase price. In many respects, this type of trading behaviour is very similar to trading in stocks, where the aim of nearly all traders is to buy low and sell high.

The trading process works under a bid/ask system. In the above example,

Characteristics of Top Traders

Quite often I get asked the question, "what are the qualities that most top traders/investors have?" Furthermore, I'm also asked, "Can those traits be developed?" While there are many, many traits that I've noticed in top traders, I though I'd pick four of them in this tip and talk about each of them briefly." In other future tips, I'll be talking about some of them in much more detail.

Trait 1: Personal Responsibility.
I think the most important trait that all top traders have (or top people in any field) is the ability to assume total responsibility for what happens to them. And for top traders and investors, this means that they assume total responsibility for their investments results. This means that if you lose money it's not the market's fault, it's not your advisor's fault, it's not your system's fault, or the fault of anything else. Instead, it is a direct result of what you did. When you assume this attitude, you can learn directly from your mistakes and trading becomes a big university setting which constantly allows you to improve. When you don't assume this attitude, then you get to repeat your mistakes over and over again because you believe that you were a victim of some external forces. Which would you rather have – the ability to learn from your mistakes or the tendency to repeat them over and over again?

Turtle Tales

Nearly 20 years after the famous trading experiment ended, a graduate of the original “Turtle” class of 1983 is talking about his experiences.
Trading has always been something of an insular business. Inside there are plenty of rumors, myths, and “celebrities,” but most of them don’t travel far in the wider world. For every person who’s heard of Paul Tudor Jones or Richard Dennis, for example, there are thousands who have heard of Warren Buffet.

But several years ago Curtis Faith got a little taste, in an indirect way, of what passes for fame in the trading industry. “I was on a flight and sitting next to a businessman who asked me what I did,” he says. “I gave him my little story and told him how I used to be part of this trading group in Chicago, and he looked at me and said, ‘You’re not one of the Turtles, are you?’”