PREAMBLE

The Financial Markets Association-USA, Inc. (“FMA-USA”) was previously known as Forex-USA, Inc., the successor to Forex-USA, an unincorporated association which was in turn the successor to the Forex Association of North America, itself the successor to Forex Club of North America. The Forex Club of North America was founded in 1958 for the primary purpose of fomenting good relations among members of the Foreign Exchange community and to provide them an opportunity to meet together and exchange information on the foreign exchange market.
The mission of FMA-USA shall be to inform and educate members of the global financial market professions, and the public at large, on all aspects relating to foreign exchange and associated markets, and to promote professionalism, empathy and understanding amongst all participants in these markets.
As the market has grown, so have the goals of the Corporation, which now lists among its goals and purposes:
Educating members of the profession and of the public at large both with respect to the business of foreign exchange and with respect to general economic and financial topics, striving to improve the market environment, striving to give the profession the highest sense of responsibility and sophistication, and establishing the profession’s reputation as one of honesty, responsibility, sophistication and dignity, specifically by, but not limited to,
(a) Conducting seminars, open to non-members as well as members, designed to instruct both novice and experienced foreign exchange and eurocurrency professionals in the basics and in the fine points of the business;
(b) Conducting meetings, and other presentations, open to members, their guests and, at times, the general public, at which guest speakers will deliver remarks on the topics of foreign exchange and eurocurrency dealing, banking, the economy, and other subjects in order not only to increase the members’ understanding of the business, but also to further educate the members and the public with respect to the larger importance of foreign exchange and its role in the financial markets;
(c) Participating in, and where necessary initiating, discussions on the market ethics and regulatory environments within which the foreign exchange market operates;
(d) Providing forums to enable members to discuss the technological advances in global markets;
(e) Participating in the affairs of other organizations devoted to promoting the profession of foreign exchange and eurocurrency dealing worldwide as well as in the United States;
(f) Working in conjunction with, and assisting and cooperating with other individuals, groups, associations, corporations, government officials and agencies to effectuate any and all of the foregoing purposes;
(g) Conducting any and all lawful activities that may be necessary, useful, or desirable for the furtherance of accomplishment of the foregoing purposes.

Advantages of Trading FOREX over Stocks and Commodities.

There are many advantages to Trading FOREX as your main income generator. Let’s start by something that may be worrying you already.“Do I need a Diploma or some kind of Certification to trade FOREX?” The answer is this:When attempting to make more profit than losses on thefluctuation of exchange rates between major currencies(i.e., Trading the FOREX), nobody is going to ask you for adiploma, a formal license or verify the amount of hoursyou've spent studying the Foreign exchange market andbanking industry.All you need is the proper training, you can get very valuable sources for this training at 1-forex.com.But this is not the only advantage you get when trading FOREX, compared to other ways of investment and speculation; i.e. Stocks and Commodities. You have a whole bunch of advantages over these other options that will be enumerated in the following paragraphs.The Main Benefits of Trading the FX Spot Market:1): FOREX is the largest financial market in the world.With a daily trading volume of over $1.5 trillion, the spotFOREX market can absorb trading sizes that dwarf thecapacity of any other market. In fact, when compared withthe $50 billion daily market for equities or the $30 billionfutures market, it becomes quickly apparent this gives you,and millions of other FOREX traders, almost infinite tradingliquidity and flexibility.2): FOREX is a TRUE 24-hour market.The FOREX Market never sleeps. Trading positions can beentered and exited at any moment - around the globe, aroundthe clock, six days a week. There is no waiting for anopening bell as in the case of trading stocks. It is a 24-hour, continuous electronic (ONLINE) currency exchange thatnever closes. This is very desirable for you if you want totrade on a part-time basis, because you can choose when youwant to trade: morning, noon or night. 3): There is never a Bear Market in FOREX.You can have access to a seamless, mutually-inclusive (two-way) exchange of currencies. Meaning, because currenciestrade in "pairs" (for example, US dollar vs. yen or USdollar vs. Swiss franc), one side of every currency pair(for example, USD/JPY - JPY = YEN) is constantly moving inrelation to the other. Thus, when you buy a particularcurrency, you are actually simultaneously selling the othercurrency in that particular pair. As the market moves, oneof the currencies will increase in value versus the other.Of course, it is up to you to choose the correct currency tobe long or short. Since currency trading always involvesbuying one currency and selling another, there is nostructural bias to the market. This means you have equalpotential to profit in both a rising or falling market. 4): High Leverage - up to 200:1 Leverage.You are permitted to trade foreign currencies on a highlyleveraged basis - up to 200 times your investment with somebrokers. This is primarily attributed to the higher levelsof liquidity within the currency markets. Standard 100,000-unit currency lots can be traded with as little as 1%margin, or $1,000. Mini FX accounts are permitted to tradewith just 0.5% margin -- in other words, just $50 allows youto control a 10,000-unit currency position. Futures traders,who are accustomed to margin requirements generally equal to5%-8% of the contract value, will immediately recognize thatthe FOREX market provides much greater leverage, and forstock traders, who must post at least 50% margin, there’s nocomparison. If you’re looking for an efficient use oftrading capital, this is it!5): Price Movements Are Highly Predictable.Although currency prices in the FX market may be volatile,they generally repeat themselves in relatively predictablecycles, creating trends. The strong trends that foreigncurrencies develop are a significant advantage for traderswho use the "technical" methods and strategies taught at the sources found in 1-forex.com Unlike stocks, currencies rarely spend much time in tighttrading ranges and have the tendency to develop strongtrends. Over 80% of volume is speculative in nature and, asa result, the market frequently overshoots and then correctsitself. As a technically-trained trader, you can easilyidentify new trends and breakouts, which provide formultiple opportunities to enter and exit positions.6:) Commission-free Trading and Low Transaction CostWhen you trade FOREX, through one of our recommended brokers(this info is in our private resources section), you'll doit totally commission-free! These brokers don't chargecommissions to trade or to maintain an account, and thatgoes for all clients trading the FOREX through them,regardless of your account balance or trading volume. EvenMini FX traders can buy and sell currencies online,commission-free. What about trading fees? There are none of the usual fees towhich futures and equity traders are accustomed -- noexchange or clearing fees, no N_F_A or S_E_C fees. Becausecurrencies trade over-the-counter (OTC), via a globalelectronic network -- in FOREX, what you see is what youget, allowing you to make quick decisions on your tradeswithout having to worry or account for fees that may affectyour profit/loss or slippage. In the equities markets, you must pay both a commission andexchange fees. The over-the-counter structure of the FXmarket eliminates exchange and clearing fees, which in turnlowers transaction costs. So, if FOREX broker don't charge commissions, how do theymake money? Like all traded financial products, over-the-counter currency trading involves a bid/ask spread, whichrepresents the prices at which your counterparty is willingto trade. Because the currency market offers round-the-clockliquidity, you receive tight, competitive spreads bothintra-day and night. Stock traders can be more vulnerable toliquidity risk and typically receive wider trading spreads,especially during after-hours trading. 7): Instantaneous Order Execution and Market Transparency.Market transparency is highly desired in any tradingenvironment. The greater the market transparency, the moreefficient the market becomes. Unlike other markets wheretransparency is compromised (like in the Enron scandal),FOREX markets are highly transparent (i.e., analyzingcountries, and having access to real-time research / news,is easier than companies).Because of this transparency, as an FX trader, you will beable to exercise risk management strategies in accordance tothe fundamental and technical indicators we teach atRapidForex.comThe FX market offers the highest level of markettransparency out of all the financial markets. Because ofthis, order execution and fill confirmation usually occur injust 1-2 seconds. Markets that do not offer executableprices and force traders to absorb slippage obviouslycompromise the trader's profit potential considerably.In the forex world, order execution is all-electronic andbecause you'll be trading via an Internet-based platform,instantaneous execution is routine. There are no exchanges,no traditional open-outcry pits, no floor brokers, andconsequently, no delays.

Free Forex Ebooks

Forex is an inter-bank market that took shape in 1971 when global trade shifted from fixed exchange rates to floating ones. This is a set of transactions among forex market agents involving exchange of specified sums of money in a currency unit of any given nation for currency of another nation at an agreed rate as of any specified date. During exchange, the exchange rate of one currency to another currency is determined simply: by supply and demand – exchange to which both parties agree.

Forex ebooks The scope of transactions in the global currency market is constantly growing, which is due to development of international trade and abolition of currency restrictions in many nations. Global daily conversion transactions came to $1,982 billion in mid-1998 (the London market accounted for some 32% of daily turnover; the New York market exchanged approx. 18%, and the German market, 10%). Not only the scope of transactions but also the rates that mark the market development are impressive: in 1977, the daily turnover stood at five billion U.S. dollars; it grew to 600 billion U.S. dollars over ten years – to one trillion in 1992. Speculative transactions intended to derive profit from jobbing on the exchange rate differences make up nearly 80% of total transactions. Jobbing attracts numerous participants – both financial institutions and individual investors.

Forex ebooks. With the highest rates of information technology development in the last two decades, the market itself changed beyond recognition. Once surrounded with a halo of caste mystique, the foreign exchange dealer’s profession became almost grasroots. Forex transactions that used to be the privilege of the biggest monopolist banks not so long ago are now publicly accessible thanks to e-commerce systems. And the foremost banks themselves also often prefer trade in electronic systems over individual bilateral transactions. E-brokers now account for 11% of the forex market turnover. The daily scope of transactions of the biggest banks (Deutsche Bank, Barclays Bank, Union Bank of Switzerland, Citibank, Chase Manhattan Bank, Standard Chartered Bank) reaches billions of dollars.

Forex ebooks. The FOREX market as a place where to apply one’s personal financial, intellectual and psychic power is not designed for attempts at catching a bluebird there. Sometimes someone manages to do so but for a short time only. The key advantage of a forex market is that one can succeed there just by the strength of one’s intelligence.
Another essential feature of the FOREX market, no matter how strange it might seem, is its stability. Everybody knows that sudden falls are very typical of the financial market. However, unlike the stock market, the FOREX market never falls. If shares devalue it means a collapse. But if the dollar slumps, that only means that another currency gets stronger. For instance, the yen strengthened by a quarter against the dollar late in 1998. On some days dollar fell by dozens percentage points. However, the market did not collapse anywhere; trading continued in the usual manner. It is here that the market and the related business stability lie - currency is an absolutely liquid commodity and will be always traded in.

Forex ebooks. The FOREX market is a 24-hour market that does not depend on certain business hours of foreign exchanges; trade takes place among banks located in different corners of the globe. Exchange rates a`re so flexible that significant changes happen quite frequently, which enables to make several transactions every day. If we have an elaborate and reliable trade technology we can make a business, which no other business can match by efficiency. It is not without reason that the pivotal banks buy expensive electronic equipment and maintain the staffs of hundreds of traders operating in different sectors of the FOREX market.

Forex ebooks. The starting costs of joining this business are very low now. Actually, it costs several thousands of dollars to take a course of initial training, to buy a computer, to purchase an information service and to create a deposit; no real business can be established with this money. With excessive offers of services, finding a reliable broker is also quite a real thing. The rest depends on the trader himself or herself. Everything depends on you personally, as in no other area of business now.

Forex Graduation Tricks for Demo Traders

Demo trading is great. But it should be just that - a demo. The downside to developing a career as a Forex Trader is that you will need to learn how to manage the feelings caused by losing real money. The upside to this concept is that nowhere does it say that you have to lose truckloads of cash while earning your stripes.

Consider this. Find a broker that lets you operate a $100 account, and place $1 trades. If you can see beyond the size of the numbers involved, and turn that $1 into $1.50 more than half the times you trade you are firmly on the road to becoming a very rich trader. When you do lose that hard earned $1 of real money, you can start developing your emotional management skills far beyond what can be gained from bravely pressing the reset button on your demo account to top it up with another $10k of computer game money. Trading in the real world will also give you a taste of how government taxes and cleverly hidden broker fees shape your "gross" trading profits into a "net" one.

Another smart trick is to CHOOSE to use low leverage (like 20:1). Don't get sucked in by the hype telling you that 400:1 leverage will let you strike gold overnight. Excessive leverage is for those who enjoy donating money into global financial markets more than pulling money out of them. Combine this low leverage trick with position sizing rules (like limiting your risk to no more than 1% of your total account per trade) and you have the settings for inevitable long-term success. Unless you trade without setting stops. Or drive without wearing a seatbelt.

Learn how to be patient and wait for the right trades to come along. As painful as it can be to watch millions of $ worth of slippery pips being waved in front of your face, try to manage and resist the urge to jump at the first thing, anything, that resembles an opportunity. It might really suck to hang back and not trade if you are unsure with what the market is doing - but hanging back is still more fun and profitable than steadily going broke! Even if you don't get to place a trade after putting in the hard hours of research and monitoring, that time is never wasted. These hours can put wads of cash into your pockets in future years.

Know the difference between facts and opinions. Learn how to block out "noise" (people telling you what they think will happen and you acting on it - learn to think for yourself). This is where pure technical analysis skills will tell you everything you need to know to make independent trading decisions. FX markets are driven by dealers, powerful institutions, and veteran traders. These are the people that you must trade with ...or against. Old-school traditional trading techniques that have proven the test of time will out perform any new gimmick indicator-combo or psychic super-guru, especially over the length of your trading career. But that's just an opinion.

Good luck with your trading - keep it real...

Tips and Tricks to Forex Trading

Trading forex can get easily get quite hard and confusing. To trade Forex you must take in large amounts of information and spend lots of time analyzing data to ensure wins. Often times, things can get extremely complex and difficult. Trading Forex is not only a technical game, but also a mind game. The following are several tips and tricks to Forex that will aid you in your trading.

- Follow your heart: When you are unsure about certain statistics or advice given by others then try listening to yourself. Don't always believe what other people tell you unless it actually makes sense. If something doesn't sound right then try to understand it or follow what you believe is the right course of action.

- Don't get greedy: Greed easily corrupts the mind and causes you to make risky decisions. It is easy to get greedy when you are on a winning streak. Try to keep calm and continue at your usual pace, do not start making extra positions just because you think you might be getting lucky. Try to keep a tight, stable, and disciplined trading strategy. The more greedy one is the more risky it is. Losing will only make you want to win even more, always check your mind to make sure you are not falling into the greed trap.

- Using your knowledge: Taking in facts and truly understanding them can make all the difference. Daily happenings greatly affect the Forex market, and once you have understood how it affects Forex, you can start using this information to your advantage. The more information you have the more power you have, but make sure your information is not false or misleading. Always thoroughly analyze your knowledge.

- Be overcautious: Make sure you take in and understand the risks to all your decisions. Calculate the possible risk to ensure you are making a decision that is worthwhile. Forex trading has several risks and it is extremely important to understand these risks.

- Know when to stop: If you have a trade that is simply not working out then stop it. Don't expect or hope that it will return and give you money. Not that it is impossible for a trade to turn around, but it is equally possible that the trade will continuously cause you to lose money. And if it does then you will sustain even larger losses.

Trading Tools

Whether you choose to use fundamental analysis, or technical analysis, you will need a way to access and interpret information about the market. The Internet is filled with websites that offer you unique insight into the FOREX market, and it’s often difficult to know which ones to consider. Here is a roundup of some the more useful tools available. Of course, these offerings are always changing, so nothing is guaranteed until you try a program and find that it gives you the information you require.

The first program we’ll consider is the Advanz Auto4X Trading Platform. This is an automatic execution tool that will help you keep track of multiple trades, and automates your trading processes by taking Trade Station strategy signals, incorporating your trading strategy, and sending the results to Capital’s trading platform. Advanz Auto4X can handle a variety of trading strategies on various time frames. It can also handle any of the FOREX crosses that are made available for trading.

Finding a Broker

It’s not always easy to know what to look for in a broker in any market, much less a market as complex as the FOREX. But, if you want to trade in FOREX you need a broker. While it might be tempting to simply ask the brokers what they can do for you, you can’t always depend on them to give you a straight answer. Here are a few things to consider when choosing your broker.

You will want a broker that has low spreads. Since FOREX brokers don't charge a commission, this difference is how they make money. Low spreads will save you money.

Along with this, you should be looking for a broker attached to a reputable institution.

Unlike equity brokers, FOREX brokers are usually attached to large banks or lending institutions. The broker should also be registered with the Futures Commission Merchant (FCM) as well as regulated by the Commodity Futures Trading Commission (CFTC).

Once you’ve narrowed your choices down to brokers that won’t cost you too much, and that are reputable, consider the trading tools that they are offering you. FOREX brokers have many different trading platforms for their clients, just like brokers in other markets. These often show real-time charts, technical analysis tools, real-time news and data, and may even offer support for the various trading systems.

Before you commit to any one broker, request free trials of their tools. Brokers generally provide technical as well as fundamental commentaries, economic calendars, and other research to help you make good trades. Shop around until you find a broker who will give you what you need to succeed.

The next item that you will need to evaluate carefully is the number of leverage options your potential broker has. Leverage is a necessity in FOREX trading because the price deviations in the currencies are set at fractions of a cent. Leverage is expressed as a ratio between the total capital that is available to be traded and your actual capital. For example, when you have a ratio of 100:1, your broker will lend you $100 for every $1 of actual capital you have. Many brokerage firms will offer you as much as 250:1. If you have low levels of capital you will need a brokerage with high levels of leverage to make reasonable profits.

If capital is not a problem, any broker that has a wide variety of leverage options would be a good choice for you. A variety of options will let you vary the amount of risk you choose to take. For example, less leverage (and therefore less risk) may be preferable if you are dealing with highly volatile (exotic) currency pairs.

Along with different levels of leverage, look for brokers that offer different types of accounts. Many brokers will offer you two or more types. The smallest account is known as a mini account and it requires you to trade with a minimum of around $300. The mini account also generally offers a high amount of leverage.

The standard account allows you to trade at a variety of different leverages, but it requires minimum initial capital of $2,000. And finally, there are premium accounts, which often require significant amounts of capital. They also generally have different levels of leverage available to the traders who use them, and often offer additional tools and services. You will need to make sure that the broker you choose has the right leverage, tools, and services for the amount of capital that you are able to work with.

Why Forex?

Foreign exchange market is also known as Forex or FX market. To date, it is the world’s biggest “economic bazaar". FX produces an average of over $1 trillion daily earnings. That is 30 times more than combining all the volumes of America’s equity markets. This currency market is where currencies are bought and sold.

These currencies are traded in pairs, i.e., Euro and Yen, US Dollar and Euro. Many people have many reasons why they opt to trade currencies. The daily profit of 5% received from governments and businesses that trade services and/or products in a different country or should change turnovers made in foreign money into their local money. The bulk of the profit, about 95%, goes to exchanging for revenues or assumption. This market is not easily influenced by any external factor. It is also famous for its liquidity. Money freely flows from this market since millions of dollars can get in and out of it each day. It is also considered liquid due to the fact that traders can just open and close positions in a wink of an eye. This could be attributed to Forex being one of the most coveted market.