Top 10 Myths about Forex

Forex is a market where exchange of one currency with another currency takes place. It's the market which provides accessibility and liquidity to the traders to buy and sell one foreign currency in exchange of another.
Forex traders seek profit in buying currencies low and selling them high. This kind of trading became more popular with the widespread of the on-line Forex brokers. There is a lot of information available about Forex on the web. However there also many myths surrounding the foreign exchange market:

1. Forex trading is easy. Many people that want to dive into the world of the foreign exchange market believe that the Forex trading is easy — you just read a book or two and then you will be able to earn daily profits with just 2-3 hours trading daily. Others think that they can buy a profitable strategy and it will make them rich in Forex. In reality that's just a myth. Succeeding in Forex isn't easier than mastering any other profession — it takes time, money and a lot of practice.
2. "I will make money in Forex, if I can trade stocks successfully." Success in stock market doesn't imply that you will get success in Forex market — there are many differences between trading stocks and the spot currencies. First of all, Forex market requires a lot of hard work and dedication as this market is open for 24 hours a day. You cannot just sit in front of your computer for the whole day and night, so the best way is that you should find the most suitable time periods for trading. Second, "buy&hold" strategy simply won't work in Forex market. Third, you don't have that much information about currencies as you can get from the companies' reports and statistics.
3. "I can make profit whenever I want if Forex market is open 24 hours a day."Once again, you won't be sitting in front of your PC for the whole day to be able to trade 24 hours. You'll have to develop automated trading software to get the advantage of 24 hours a day working schedule.
4. "I can be a successful Forex trader just following someone else's signals." Many beginning traders get burned by the blind signal-following. That's like putting away the whole responsibility for your actions to someone else. That may sound cool, but in reality you end up with the huge losses. Learn to rely on your own knowledge and skills. Remember that there were no great signal-followers in any financial market.
5. No commission is to be paid in Forex market. You only have to pay the spread, but you don't have to pay the commission. And what's spread? It is the difference between the buy and sell price of the currency pair at the same moment. You may end up with the major part of your profits in the broker's hands if you plan to rely on the short-term trading.
6. Forex is a scam. Some skeptics and disappointed traders think that Forex is just some new fad to scam people for their hard earned money. Although there are many scams that are hiding behind the "brand" of Forex, that doesn't mean that the Forex itself is a scam. There are many institutional Forex brokers, regulated Forex account managers and other solid companies in the market to whom you can trust.
7. "I need to exactly predict the market outcome to be profitable in Forex." There is no scientific method to know something in advance in the market with a 100% certainty. There would be no Forex market if you could know the exact currency rates beforehand. Trading is not the game of certainties; it's a game of odds. One of the first things that new traders learn is to think in the terms of probabilities and risk-to-reward ratios.
8. "I need to use a very complex strategy to be successful in Forex." It's a popular myth, in which many on-line sellers would want you to believe. The main requirement to be successful in Forex is a self-discipline and money management. There are many traders that make consistent profits with rather simple and old strategies.
9. "I need to have a lot of starting capital to get profit in Forex." Big capital investment won't help you in Forex. You don't need a lot of money to diversify in currencies and you can't move the currency rates with your trading orders (you'd need billions of dollars to do that). Actually you can trade with a very a little capital, because Forex trading is almost always leveraged with the broker's money.
10. Forex is gambling because it's completely random. Although there is no certainty in Forex (as in any financial market) it doesn't mean that it's completely random. And it's certainly not a gambling, since your success in this market depends mostly on your skills and experience, not on your luck.

Knowledge is power — so it's better for you to learn distinguishing some stereotypical myths from the real thing. Don't fall for the promises of getting some easy profits in Forex, but don't be afraid of the market just because some people think it's not possible to earn there. Be rational — this quality will help you either if you are going to trade in Forex or not

**Petikan dari artikel BKForex

He was like so many eager traders I've seen before.  A well groomed, earnest young man who looked at me expectantly as crowds of people swirled around us at the annual Dubai forex trade show.

"Tell me," he said, "how do you succeed in this business?"

Normally I would have launched into my stock answer about learning the key economic calendar events of G10, the importance of following the latest news and the need to practice on demo account. Blah. Blah. Blah.

However, something about the guy touched me and I replied with complete honesty.

"Want to really know how to trade?" I asked rhetorically.

"There is only one way. You open an account and just trade."

"But what about education, what about training?" he asked surprised at the bluntness of my answer.

I smiled and  shook my head."If you were studying to be a lawyer, a doctor or an engineer, that would be the way to go.  But trading is different.  In trading you need to do first and learn later. Until you've done one thousand trades you can't even begin to understand this game"

Trading is indeed different. It requires practice first and education second. That may seem counterintuitive but it is not. Trading at its core is the discipline of learning to minimize your mistakes. \Trading is such an unpredictable endeavor that it can never be taught in formulaic way like engineering. In trading professional perfection is impossible even if you know all the proper rules.

 To master trading you need to experience the frustration of selling when you meant to buy, the utter shock of an instant  three hundred point price move against you, the annoyance of seeing the spreads widen just as you are about to reach your profit target and a million other little disasters that they never tell you about in trading school.

Most importantly you need to learn about yourself. What mistakes will you make when you trade? Will you trade without a stop? Will you add to a losing position? Will you trade in revenge for an unexpected loss? Will you rush your entry? Will you exit too soon? Will you do all of this and more?

Only after you've traded blindly for a while can you begin to understand what it takes to succeed in this business. And only then will you become receptive to a proper trading education. Trading is first and foremost an exercise in psychology and although many gurus will promise to provide you an ironclad mindset, the truth of the matter is that this skill can't be taught. Confidence comes from competence and competence comes from endless rounds of practice and thousands of mistakes.

So if you really want to learn how to trade just trade. And keep trading and trading and trading and just like a baby who stumbles hundreds of times before he finally finds his balance and learns to walk, you will eventually begin to master the market.

Wise man said, "Don't trade alone,,,spread the word. Focus on learning a simple system and then trade it with confidence and discipline and you are on the road to forex trading success and a great second income".

Menurut INVESTOPEDIA,

What Does Scalping Mean?
A trading strategy that attempts to make many profits on small price changes. Traders who implement this strategy will place anywhere from 10 to a couple hundred trades in a single day in the belief that small moves in stock price are easier to catch than large ones.


Investopedia explains Scalping
Traders who implement this strategy are known as scalpers. The main goal is to buy (or sell) a number of shares at the bid (or ask) price and then quickly sell them a few cents higher (or lower) for a profit. Many small profits can easily compound into large gains if a strict exit strategy is used to prevent large losses.


Sebelum memulakan teknik scalping ni, ada satu TIPs yg Pak Lang dapat dari internet iaitu strategy yg diguna pakai oleh professional scalpers. 

1. Target 10Pips on every post open

2. Spent time mostly at 15M chart

3. Refer 1HR chart for overall perceptions and to look for divergence

4. Always protect (stop loss) at 30pips - there will be 3 out of 5 loses in trade

5. Watch the 'Trend line Breakouts' to know when to make "MOVE"

6. Don't pull the trigger because you "THINK" it's time to do so. Wait for SIGNAL

Only 4 clues to use

          a- Reading Bars / Candles 

          b- MACD Divergence

          c- PIVOT points

          d- Trend line analysis

FOOD FOR A HEALTHY BODY

Mainstream North American dietary habits restrict vitamin, mineral and fibre consumption, leading to many undesirable symptoms and health problems. Health experts recommend a daily intake of 25 – 40 grams of fibre for a healthy body. The average North American consumes only 10 grams most due to consuming highly refines processed food.

     Fibre is essential for a well functioning gastrointestinal tract, cholesterol reduction, and maintains a healthy level of beneficial bacteria in the intestinal tract. There are two groups of fibre: soluble and insoluble. The latter exerts a mechanical action, whereas the former is more diverse and this depends on their chemical properties. Soluble fibres such as psyllium, flax and guar absorb water creating a greater feeling of satiation thus controlling intake of food.

     Fibrous fruits and vegetables are excellent sources of fibre, as well as being low in calories. Our hunter-gatherer ancestors ate many fruits, vegetables and unprocessed grains.

     Researchers determined that there is no substitute to consuming natural vitamins. They are more beneficial, provide more pleasure, and happen to be less expensive.

     In fact some peoples in North America (Inuit and First Nations) cannot absorb certain synthetic minerals and vitamins. Natural unprocessed, uncooked foods are better for the body than those grown with the help of pesticides, fungicides, or are irradiated “micro waved” or genetically engineered.

     Cooking at high temperatures reduces proteins available in the food up to 50 percent destroys 60 – 70 percent of vitamins, and processed foods change the structure/ All of the above are vital for building and maintaining energy and health. Yet, most people prefer convenience to health. Convenience comes at a high price in form of time used to acquire natural food, the perishable nature of it, preparation and cooking. Harried life styles prevent time consuming food preparation, and make processed food a necessity for those short-sighted enough to set priorities in their lives.

     When food is heated above 118C and consumed at this temperature, it damages inner tissues and enzymes are destroyed, all linked to health and longevity. Enzymes are vital in digestion, nerve impulses, detoxification, repair of tissues and a healthy mind. Properly prepared and cooked foods taste better, they play an important role in slowing the aging process.

     Eating healthy requires attention to detail and those who practice it are richly rewarded

     Treating food simply as fuel for the body inevitably proves costly in the end.

Article contributed by Hrayr Berberoglu, a Professor Emeritus of Hospitality and Tourism Management specializing in Food and Beverage. Books by H. Berberoglu

I wonder which of my friends would be the geek or the health fanatic but what I know is I need to log in to my FB to play #MiloFuzeJamPack. FUN!

I wonder which of my friends would be the geek or the health fanatic but what I know is I need to log in to my FB to play #MiloFuzeJamPack. FUN!

Are we doomed by our genetics to gain fat? It is important to know why we get fat. The one major reason we get fat is that we put in more than we burn off. Learn why!

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By: Nick Nilsson

Are we doomed by our genetics to gain fat? Is your inner caveman causing your waistline to expand? What can we do to work with our ancestry and not against it?
It is important to know why we get fat. Once you know the underlying reasons behind fat gain, you can take that information and apply it to fat loss. Knowing why something happens is the first step towards changing the result.
The one major reason we get fat is that we put in more than we burn off. This may be an overly simplistic view but it's also a very liberating one. It shows you that if fat gain is not that complicated, fat loss is not necessarily that complicated either.
But what are the origins of our body's amazingly efficient fat storage mechanisms? In a nutshell, why do we gain fat so easily?

Your Inner Caveman

Our earliest ancestors did not go to the supermarket to hunt for food. They didn't point at a cave drawing with a Big Mac on it when they were hungry. They did not sit at a desk all day. They didn't drive everywhere they went. In fact, fast food had to be chased down before it outran you!
The daily life of the earliest humans, whom we owe our genetics to, was consumed with getting enough food to survive. In order to eat, they had to either hunt it or gather it. As you can imagine, this burned a lot of calories.
With the start of agriculture, people no longer had to hunt down or forage for their food. They could stay in one place and grow it. Animals were domesticated. They could sell this produced food to others in return for other goods or services. This is known as the Agricultural Revolution and it was the start of our society as we know it.
Agriculture became the primary means of food production in the world. The story changes during the 1900's, however. As we progressed as a society, manual labor was no longer required of most people. Machines were starting to take over more of the hard labor jobs. This led to less and less physical activity by a growing number of people. It was the start of the modern overweight epidemic.
To sum it up: these days food is plentiful and easy to get and physical activity is no longer a part of daily life.

Thank Your Ancestors

The human body of 50,000 years ago when we were hunter/gatherers is exactly the same as the human body of today. Our body had successfully adapted to continuous cycles of feast and famine. How did it adapt? It adapted by developing extremely efficient fat storage capabilities.
By storing large amounts of fat whenever possible, the body would protect itself against the inevitable famine to come when food was scarce. By storing up large amounts of energy, our ancestors could survive the harsh conditions and thrive. In winter conditions, it would often come down to survival of the fattest, not fittest.
Our bodies are still programmed with this desperate need for storage even though, due to highly available food supplies, we don't really need it anymore. This is the reason you can often put on fat quite easily but have a hard time taking it off. Your body is protecting itself against the famine that it thinks is coming.
Compound this need for storage with reduced physical activity and readily available, calorie-dense foods and you have the recipe that has resulted in rampant overweight problems in our society today.

Diet = Famine

If you've ever been on a diet you've probably experienced that quick weight loss when you first start then the gradual slowdown and sometimes complete stop in progress that comes after a few weeks.
You can thank your ancestors for this one too. When you dramatically reduce your calories, such as when you begin a diet, your body starts using up the stored fat quickly. Your metabolism is still high and you are losing weight.
The trouble is, your body can't distinguish between the lack of available food known as famine and the voluntary reduction in food known as dieting. To your body "diet = famine." After a short period of time, your body will go into a panic state. You are losing your energy stores too fast and your body will do everything it can to slow down or put a stop to it.

• The first thing that will happen is that your metabolism will slow down. You won't burn as many calories during the day, regardless of how much you are eating or exercising.
• The next thing that will happen is that your body will step up its burning of muscle tissue. Muscles are very metabolically active and require a lot of calories to maintain. Your body knows this and, in its effort to reduce the drain on its energy supplies, will start destroying muscle tissue. Your body will metabolize your muscle into energy in order to hold onto its fat stores.

This vicious cycle will continue every time you further reduce calories in order to compensate for a slower metabolism. Your body will slow your metabolism down even more and destroy more muscle tissue to reduce energy usage.
How do we avoid this problem?
There Are A Number Of Ways To Approach It:

1. Reduce your calories slowly. If you are trying to lose fat, don't slash your food intake rapidly. This will throw your body into a panic, causing it to grind your metabolism to a halt.
2. Mix up your caloric intake. Don't eat the same things in the same amounts every day. Eat a little more on some days and a little less on other days. It's what you do in the long term that will really affect your results.
3. Exercise. Since most people don't actually have to exercise as part of their daily life, you must take the initiative and make it a point to exercise regularly. It helps by burning calories and giving your body the stimulus to preserve muscle mass (it's the old principle of "use it or lose it" at work).
4. Reduce your intake of processed foods. Your body is not readily equipped to efficiently process Twinkies. Try to stick to foods that are closer to their natural state, such as whole grains, lean meats, etc.

Remember, your body is an extremely efficient fat-storing machine but, with the right knowledge, you can very easily work with your biology and not against it and get the results you want.