Discuss RoboForex.com

[Vlad RF]

Which Market to Choose?

Dear Clients and Partners,​

If you are a beginner trader, you are sure to be asking a question to yourself: Which market to choose for trading? The options are actually scarce: you can choose from Forex and stock market. Each of the above are virtually the same in terms of difficulty level, and each of the assets you can find there, be it a stock, a currency or a futures contract, acts in the same way for building an investment portfolio. In order to decide where to trade, you as a trader have to be knowledgeable not only about the markets as such, but also about your counterparts, or trading partners.

Trading is all about buying and selling assets, and you can either trade Forex or stocks only or trade all markets at the same time. It is worth mentioning that all these markets are highly liquid, which means a trader may buy or sell any asset at any time, within the trading hours. The traditional exchanges, however, work only specific hours Monday to Friday, which somewhat limits the way you can trade, while the decentralized Forex market works 24/5.

In terms of choosing the asset to trade, stock market is well ahead of the others, as you can pick any of dozens of thousands of company stocks and their derivatives. Forex is number two here, as the number of major pairs and crosses is not that large.

If you ask where you can make the most money in the easiest way, you won't get any answer. Everything depends on your strategy, discipline, and the current market conditions. After all, there are no bad markets out there, one can trade and earn everywhere.

Read more at R Blog - RoboForex

Sincerely,
RoboForex team

 

[Vlad RF]

What is Trading and Who are Traders?

Dear Clients and Partners,​

What is trading?

Let’s consider the etymology of the word “Trading”. It is derived from English “to trade”. Thus, we may come to the understanding that trading is some kind of activity, which is related to buying or selling something.

Surely, many of you have heard such expressions as “grain trading” or “oil trading”, but the most popular one is “online trading”, which means trading different types of assets in the Internet. In the past, a person who wanted to make money on trading stocks, currencies, or any other derivative financial instruments (futures, for instance) had to open an account with a broker.

They could send orders to sell or buy only over the phone, hence often wasting valuable seconds and minutes and, as a result, losing money. With the development of internet technologies, the mankind got an opportunity to buy stocks of companies and currencies of countries that are located halfway around the world without leaving their homes.

Thanks to the modern brokerage services and state-of-the-art computer technologies, one can trade Apple stocks from a Paris attic, corn futures from a cozy New York office, or sell/buy Euros for US Dollars travelling by car or train anywhere in the world. The only thing that matters is a stable internet connection. For a large number of people throughout the world trading has become not just a business or a way to make money, but also a lifestyle.

Who are traders?

Those who are engaged in this type of activity are called traders. A Trader is an occupation not only of the present, but of the future as well. Reasons for this are quite obvious:

• First of all, this job offers a great deal of ways and opportunities for making money.
• Secondly, the number of available trading instruments is constantly expanding.
• Thirdly, considerable increase of quantity and quality of infrastructure services.
• In the fourth place, continuously growing number of new market players, not only professionals (such as investment and hedge funds), but private investors and retail traders as well, which may suggest stable prospects of further development of online trading.

What is algorithmic trading?

Another important factor that accelerates the online trading industry is constant improvement of software for algorithmic trading.

Summarizing this information on online trading, it would be safe to say that this occupation is currently one of the most popular business activities in the Internet. If you dream of being a freelancer and prefer making your own decisions instead of taking orders from others, incurring expenses for office space, staff, suppliers, and rent, then online trading is surely a way out for you. Apart from this, online trading is an intellectual business where all best and strongest features of your character may be applied in the most appropriate way.

Read more at R Blog - RoboForex

Sincerely,
RoboForex team

 

[RoboForex Contest]

Dear traders!

This week, a RoboForex project called ContestFX invites you to participate in the following demo contests:

The 151st competition of "Demo Forex" has gained "cruising speed".
The 435th competition of "Week with CFD" has just started.
The 569th competition of "Trade Day" will start on 18.10.2023 at 12:00.
The 483rd competition of "KingSize MT5" will start on 19.10.2023 at 20:00.

Becoming a participant of our competitions is easy - all you need to do is to go through a simple registration procedure just once, and then you'll get access to all contests with just a couple of mouse clicks.

We're looking forward to your joining in and wish you good luck!

Sincerely,
RoboForex Contest

 

[Vlad RF]

RoboForex added new commission schemes for CopyFX Traders on MT5 accounts

Dear Clients and Partners,​

We are thrilled to announce that two new commission schemes, the "Performance Fee" and "Subscription Fee", are now available for CopyFX Traders using MT5 accounts.

Under the "Performance Fee" scheme, Traders receive a share of the overall profit generated by subscribed Investors through all copied deals.

With the "Subscription Fee" scheme, Traders receive a fixed commission once a week if Investors have made a profit from copying deals.

What's beneficial for Traders and Investors?

• Popular and familiar schemes for earning and sharing from MT4 CopyFX are now available in MT5 CopyFX
  
• Skilled traders who were earning money in MT4 CopyFX can start earning in the new MT5 CopyFX
  
• New growth opportunities: bringing in new Investors for Traders and expanding a variety of strategies for Investors
  
• The commission earned depends on whether Investors' profits were achieved by copying Traders’ transactions
  
• Investors have the freedom to select the Top Traders, while Traders are motivated to improve their trading performance

​

Why choose CopyFX in MT5?

• It's convenient - you can trade using one of the best terminals on the market with cutting-edge analytical tools and lowest ping VPS from MetaQuotes available for you
  
• It's easy - all you need is an MT5 hedge account
  
• It's flexible - offering user-friendly investment management

Are you ready to start earning from your investments?

​

Sincerely,
The RoboForex team

 

[Vlad RF]

What are the Rules of Fundamental Analysis

Dear Clients and Partners,​

Macroeconomic data

First and foremost, a trader should comprehensively learn and understand all macroeconomic data, political indicators, and other events that involve any governments, countries, currencies, or assets, such as sanctions, formal talks, summits, etc. One should also bear in mind that different indicators may influence the market differently. Sanctions, for instance, bring stress and are long term, which means you should first take this into account and consider monthly reports, such as exports or inflation, only at the next stage. Conversely, a rising VAT would strongly influence the consumer price index (CPI) and, therefore, the currency in question, but not for very much long, i.e. for two or three months. This means you need to study all factors but understand that they all have different kind of influence.

Data sequence

Secondly, fundamental analysis does not have a basing strategy; one has to understand the current market situation on the whole, yet learn all the details. There are no step by step guides to run fundamental analysis either, so keep an eye on everything: what kind of political regime a country has, how the government takes its decisions, and so on.

Combining fundamental analysis and tech analysis

Another rule says that combining fundamental and technical analysis is not a bad idea. This is not an easy task, but the rewards may be great.

Trading the news

Some people use news trading, which is similar to scalping. In order to get it work, however, one has to very well understand the macroeconomic news, analyze them quickly, and drive right conclusions. First off, you've got to have the economic calendar at hand; thus, you will always know which news are being released today, what are the key data, and what the analysts expect. As a rule, news trading involves only global indicators, such as the US or Chinese GDP, US job data, Fed or ECB meeting results, etc. The way it works is quite simple: you analyze the expectations, get the conclusion, and go long or short, depending on what you have decided.

Correlation of trading instruments

Some also apply knowledge about a certain currency, which works in any market conditions. The US dollar, for instance, has a strong negative correlation with the crude and the gold. When the greenback is strong, these major commodities are down; conversely, when the crude rises, the currencies of the oil-exporting countries follow it. This always works, unless the market is populated with large speculators or institutional players that drive the prices their way.

Read more at R Blog - RoboForex

Sincerely,
RoboForex team

 

[RoboForex Contest]

Dear traders!

This week, the ContestFX project, as usual, is waiting for everyone to participate in the following competitions:

The 151st competition of "Demo Forex" has crossed its "Equator".
The 436th competition of "Week with CFD" has just started.
The 570th competition of "Trade Day" will start on 25.10.2023 at 12:00.
The 484th competition of "KingSize MT5" will start on 26.10.2023 at 20:00.

Let us remind you that upon winning any of our competitions, you'll receive prize funds to your real account, and this money can be used for trading in the Forex market instead of investing your own savings.

Good luck to all traders!

Sincerely,
RoboForex Contest

 

[Vlad RF]

What is Margin and How to Trade with Leverage?

Dear Clients and Partners,​

When it comes to margin, people who are not knowledgeable in trading usually think it's the difference between the buying and the selling price. While this is true for most other cases, in trading, margin means a collateral you've got to pay in order to open your position.

In the trading window on your terminal, you will see Margin and Free Margin sections, among others. Not all understand what it is, though. Let's see then.

What is Margin in trading

Margin is an amount that represents a collateral to keep your positions open. In the trading platform, it is usually shown in the base account currency as a single figure, even if you have quite a few active positions. If you opened a long one-lot trade on EUR/USD, you'll have the respective collateral amount in the Margin section. If your account currency is the dollar, and the EUR/USD pair is now at 1.2000, your margin is 1.2000 x 100,000 (one lot) = $1,200. Your leverage is not shown here. (Don't worry, we'll cover it a bit later on). Once you've closed your position, you are getting your margin collateral back, adjusted on profit and loss. So, in case you got a $100 profit, you will get $1,300.

Your free margin is the amount you still can use as collateral to open new positions. Say, if you've got $10,000 on your account and opened a trade for $1,200, you still have $8,800 as your free margin. This is floating, however, as it depends on your active positions profits and losses. When your open positions are losing, your free margin will be down, and, conversely, with profiting positions, you will have more free margin. Many open a lot of positions at a time, using nearly all of their free margin. This may often lead to a margin call, and the positions being automatically closed.

What is leverage

Leverage is the amount of money your broker is willing to loan you for trading in the market. The leverage depends on the market you are operating in, as well as on the broker and the trader themselves. In the stock market, you can have 1:1 or 2:1 leverage or more, but very rarely can it be over 20:1. In Forex, however, a 500:1 or even 1000:1 leverage is not something beyond understanding. But wait, what do these figures actually mean, you may ask. Well, let's see.

Leverage is a very important vehicle for most retail traders. Few are those who can open a few-thousand-dollar account; with leverage, however, you'll be able to operate large amounts even with a few hundreds of bucks. Whether this is good or bad, is disputable. With such a tool, a trader gains an opportunity to actually trade the markets, but there's a downside: with leverage, the potential loss is magnified, too. So, you've got to be sensible when trading with leverage.

Leverage amount

The most popular leverage on FX out there is 100:1. This means, you can operate with $100,000 having just $1,000 on your account. Thus, the number of instruments you can trade increases drastically. On the other hand, you can't lose money that is not yours, so once you've reached your limit (that is determined by every broker individually), your positions will be closed automatically, because the broker will want their money back.

Read more at R Blog - RoboForex

Sincerely,
RoboForex team

 

[Vlad RF]

RoboForex: upcoming changes to the trading schedule due to reverting to Standard Time

Dear Clients and Partners,​

We are informing you that European countries will revert from Daylight Saving Time to Standard Time on 29 October 2023. The US will make this transition on 5 November 2023. Consequently, there will be some adjustments to the trading schedule.

This schedule is intended for informational purposes only and may be subject to further amendments.

MetaTrader 4 / MetaTrader 5 platforms

Schedule for trading on Metals (XAUUSD, XAGUSD)

• From 30 October to 3 November 2023, trading on CFDs on Metals will be opened and closed one hour earlier than usual (server time).
• Trading session (server time): 12:05 AM - 10:59 PM.
• Starting 6 November 2022, CFDs on Metals will be available for trading within the operating range of the contract specifications.

Schedule for trading on CFDs on the US indices

• From 30 October to 3 November 2023, trading on CFDs on US indices will be opened and closed one hour earlier than usual (server time).
• Trading session (server time): 02:00 AM - 10:15 PM.
• Starting 6 November 2022, CFDs on US indices will be available for trading within the operating range of the contract specifications.

Schedule for trading on CFDs on Oil (Brent, WTI)

• From 30 October to 3 November 2023, trading on CFDs on oil will be opened and closed 1 hour earlier than usual (server time).
• Trading session (server time): 02:00 AM - 10:15 PM.
• Starting 6 November 2023, CFDs on oil will be available for trading within the operating range of the contract specifications.

Schedule for trading on CFDs on US stocks

• From 30 October to 3 November 2023, trading CFDs on US stocks will be opened and closed one hour earlier than usual (server time).
• Trading session (server time): 03:31 PM - 09:59 PM.
• Starting 6 November 2023, CFDs on US stocks will be available for trading within the operating range of the contract specifications.

Schedule for trading on CFDs on US futures

• From 30 October to 3 November 2023, trading CFDs on US futures will be opened and closed one hour earlier than usual (server time).
• Trading session (server time): 12:00 AM - 10:59 PM.
• Starting 6 November 2023, CFDs on US futures will be available for trading within the operating range of the contract specifications.

Schedule for trading on all instruments including CFDs on Cryptocurrencies

• On 3 November 2023, trading on all instruments will be closed at 11:00 PM server time.
• Starting 6 November 2023, the above-mentioned instruments will be available for trading within the operating range of the contract specifications.

R StocksTrader platform

Schedule for trading on US stocks and ETFs

• From 30 October to 3 November 2023, trading US stocks and ETFs will be opened and closed one hour earlier than usual (server time).
• Trading session (server time): 03:31 PM - 9:59 PM.
• Starting 6 November 2023, the above-mentioned instruments will be available for trading within the operating range of the contract specifications.

Schedule for trading on CFDs on US stocks and ETFs

• From 30 October to 3 November 2023, trading CFDs on US indices will be opened and closed one hour earlier than usual (server time).
• Trading session (server time): 03:31 PM - 9:59 PM.
• Starting 6 November 2023, the above-mentioned instruments will be available for trading within the operating range of the contract specifications.

Schedule for trading on CFDs on the US indices

• From 30 October to 3 November 2023, trading CFDs on US indices will be opened and closed one hour earlier than usual (server time).
• Trading session (server time): 02:00 AM - 10:15 PM
• Starting 6 November 2023, CFDs on the US indices will be available for trading within the operating range of the contract specifications.

Schedule for trading on Metals (XAUUSD and XAGUSD)

• From 30 October to 3 November 2023, trading CFDs on Metals will be opened and closed one hour earlier than usual (server time).
• Trading session (server time): 12:05 AM - 10:59 PM.
• Starting 6 November 2023, CFDs on Metals will be available for trading within the operating range of the contract specifications.

Schedule for trading on CFDs on oil (WTI.oil, BRENT.oil)

• From 30 October to 3 November 2023, trading on CFDs on oil will be opened and closed one hour earlier than usual (server time).
• Trading session (server time): 02:00 AM - 10:15 PM.
• Starting 6 November 2023, CFDs on oil will be available for trading within the operating range of the contract specifications.

Schedule for trading on CFDs on US futures

• From 30 October to 3 November 2023, trading on CFDs on futures will be opened and closed one hour earlier than usual (server time).
• Trading session (server time): 12:00 AM - 10:59 PM.
• Starting 6 November 2023, CFDs on US futures will be available for trading within the operating range of the contract specifications.

Schedule for trading on currency pairs and CFDs on Cryptocurrencies

• On 3 November 2023, trading on currency pairs and CFDs on Cryptocurrencies will be closed at 11:00 PM server time.
• Starting 6 November 2023, the above-mentioned instruments will be available for trading within the operating range of the contract specifications.

Also, please note that from 30 October to 3 November 2023, the bank rollover time will be from 10:45 PM to 11:15 PM server time. This might lead to short-term interruptions in quoting and a significant widening of spreads.

Please take note of the above amendments to the trading schedule as you plan your trading activity.

Sincerely,
The RoboForex team

 

[RoboForex Contest]

Dear traders!

This week, a RoboForex project called ContestFX will continue with the following competitions:

The 151st competition of "Demo Forex" is approaching the final stage.
The 437th competition of "Week with CFD" has just kicked off.
The 571st competition of "Trade Day" will start on 01.11.2023 at 12:00.
The 485th competition of "KingSize MT5" will start on 02.11.2023 at 20:00.

It is very easy to take part in our demo contests - all you need to do is to go through a simple registration procedure just once, and then any of the competitions you like will be available to you in just a couple of mouse clicks.

Join us, it won't be boring!

Sincerely,
RoboForex Contest

 

[Vlad RF]

How Much Should Be the First Deposit Amount?

Dear Clients and Partners,​

After doing some demo trading and conquering the virtual market, every trader starts sooner or later thinking about opening a real account and depositing their hard-earned money. The question of 'How much should I deposit?' arises soon, and the answers are many. The first one may think of is funding the account with the minimum deposit amount or the minimum investment amount defined by the broker. However, when choosing this option, one should understand this may lead to losing the deposit quickly if the market goes against you. Meanwhile, the losses at early stages are very bad for any trader's psychology, and overcoming such losses is not an easy task. Thus, sometimes, continuing demo trading is much better than investing a minimum amount.

Setting goals for trading

Another popular option described across the web is that a trader should invest so much money as they are willing to lose. In other words, a trader ought to believe they will be wagering their money, rather than investing. This could be partly true, as deeming this money lost from the very beginning will solve any future emotional problems in case this money is really lost. On the other hand, however, this may make the trader think their trading activity is unimportant, as if it were a mere game of chance. This is actually why most novice traders do not trade but rather wager, and only one out of ten, on average, is successful.

We believe everyone asking themselves the How Much Should I Deposit? question should first understand their purpose. If you are in the markets only to play a game, it does not matter how much (or little) you are going to invest. Whether you play with a hundred or two of bucks in a cent account or even continue demo trading, makes virtually no difference.

Typical mistakes of a trader

Many beginner traders think they could turn $100 into millions in a month. Is it realistic? Long story short, you will have to double your deposit every single day. This is barely possible, even mathematically. So, every time you start thinking on saving up your cash and putting in a minimum deposit, multiply this amount by 10 or even 20. This won't guarantee you any profits either, but will at least allow your account to have some financial support, preventing it from getting 'blown' in a flash.

Conclusion

Rationally thinking, the first deposit amount should be in line with the average weekly or monthly gain the trading system is ready to provide you with. Thus, if you want to earn, say, $1,000 per month, and your system gives you 10% to 20% monthly, you should deposit between $5,000 and $10,000.

We all understand, however, that financial conditions of every single trader matter, too. Some would say $1,000 is a large amount, while for others 100,000 won't be enough. Everyone has to make their own choice, and should remember at all times that even a huge deposit does not guarantee profits without the appropriate attitude to trading.

Read more at R Blog - RoboForex

Sincerely,
RoboForex team