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.
Thursday, November 22, 2007
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 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.
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