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What Every Forex Rookie Needs to Know

First of all, let’s explore the exact meaning of this word: “FOREX”.

FOREX is the international currency exchange, where every single day nearly 3-5 trillion USD are being transacted by traders from all around the world.

Most people are 100% convinced that FOREX is the same thing as the notorious Stock Exchange but they are wrong.

Although when it comes to certain aspects, these two are pretty similar, a few significant differences are there to make sure that you will set them apart.

FOREX is a market where the currency can be electronically traded, a process that can be done directly through any authorized bank.

In order to start your FOREX journey you need a computer with Internet access and you have to make ensure that you’re well-acquainted with this world. If you are a newbie you can access various information and solutions of the issue’s that are faced by newbies via various forex forum available on the internet.

This is the main advantage when it comes to this activity field: you can pretty much earn money and work from anywhere.

Another advantage is the schedule established by the FOREX market – the trading sessions take place during a certain time frame, five days per week, unlike the Stock Exchange, where every single state has its own working schedule.

On FOREX, just like on Stock Exchange, there are mandatory regulations and oversight bodies that protect the interest of all participants while the pricing mechanism is mostly based on demand and supply.

And, of course, just like on Stock Exchange, there are traders and investors looking to administrate the sale and purchase of every currency using your personal capital.

Another major aspect that you must take into account is the psychological factor

Before you start trading on a real account you have to overcome your weaknesses in terms of fear, doubt, greed, euphoria and other emotions that most times interfere when you’re trading significant amounts of money.

When it comes to a demo account, all your mistakes are passed over, but trading on a demo account for too long is not recommended either: your analysis becomes less tenacious and skewed and a transition to a real account will not be easy, experts claim.

Trading on a demo account between two weeks and two months is certainly not enough to become a professional and gain the experience that you needed.

But just like anyone who is part of this new “generation” of traders, there is a time when you should start trading on a real account because the more you risk, the more you will start opening new windows to make profit and boost self-confidence.

The simple fact that you own a real account will motivate you to start the market analysis, look for interesting trading opportunities, to improve your strategies or test new ones – in short, you will be able to develop a successful professional life.

Despite the fact that your FOREX experience will be littered with ups and downs, winnings and losses, eventually you will discover that, in fact, this is your path to success.

The new global superpower: India is set to surpass China’s economy by 2026

India power

India will become the world’s new engine of economic growth, while China and other “Asian tigers” are starting to age quicker.

The number of people over the age of 65 will increase from 365 million people to more than half a billion by 2027 and will represent 60% of the world’s population by 2030, shows the data presented by Deloitte on Monday.

On the other hand, India will become the third economic power in Asia, after China and Japan, with a potential labor force that will grow from 885 million people to 1.08 billion over the next 20 years.

“India will account for more than half of the Asian labor force’s growth potential, and this does not translate only to an increased number of workers. The young labor force will be better educated and more skilled than today’s Indian workers”, says Anis Chakravarty, an economist from Deloitte India.

However, the economic growth in India will not reach its highest peak unless the authorities develop the necessary policy and legislative framework to support and promote this evolution.

Otherwise, this young population will only pose an increased risk of unemployment and social assistance.

At the opposite end, the countries facing the highest population aging risk in the coming decades are China, Hong Kong, Taiwan, South Korea, Singapore, Thailand and New Zealand.

Australia, which is among the most aging populations, has found the solution: it has opened its doors to educated and highly specialized immigrants to solve problems in the labor market.

Japan is also one of the Asian countries with an aging population, which has already prompted labor shortages in more and more areas.

The impact of SOCIAL MEDIA on the FOREX market

social media FOREX

Social networks have become indispensable for the consumer market, Facebook, Twitter or LinkedIn attracting tens or hundreds of millions of members.

This mature technology is also being adopted in the capital market, especially in the retail sector.

While Social Trading can be defined as this method of adopting investment decisions based on social indicators (information from other investors, market trends and expectations), social trading networks turn them into available online information.

The first networks were focused only on the exchange of information between investors, a concept similar to what Facebook or mySpace offers.

Create a profile and post your preferred strategies, your favorite financial markets and also, your experiences.

The next logical step for these networks was to allow investors to automatically copy transactions of those they consider to be profitable.

Participants – traders, speculators or investors, connect their existing trading account to their affiliate broker to follow successful investors, or to attract followers.

There is no direct contact between parties or a capital transfer, everything happens online

Admiral Markets estimates that 5-10% of retail investors from the FOREX market are present on these social trading networks: beginners have the chance to get more profit by collaborating with professionals, while professionals earn management fees and even profits or followers.

If initially focused exclusively on trading on the Forex market, many of the networks have added commodities and stock indices to the portfolio.

London remains the world’s largest financial center, despite the Brexit predictions

London financial center

Although Frankfurt and Paris have struggled to become Europe’s largest financial centers, the most recent surveys show that London will remain the largest financial center in the world, surpassing New York in terms of financial attractiveness, even if Britain leaves the European Union, writes Reuters.

Britain’s departure from the economic bloc has fueled speculation among world’s most influential politicians and economists that London will lose its status as the world’s first financial center, but there is currently no significant evidence to support this prediction.

London was ranked first, followed by New York, Hong Kong and Singapore in the GFCI (global financial centers index) index by Z / Yen.

This index classifies 92 financial centers taking into account factors such as infrastructure and access to highly skilled workforce.

New York ranked 24 points behind the British capital, with a slight difference between the two reaching an unprecedented peak in 2007.

The New York score dropped 24 points last year, with the largest drop in top competitors.

The authors of the study claim this decline was probably generated by the instability surrounding the US trading market.

Since becoming president in January, Donald Trump has withdrawn the United States from the Trans-Pacific Trade Treaty and is pursuing an increasingly isolationist economic policy.

Britain’s most powerful financial lobby group, TheCityUk, draws attention to complacency in the situation and demands clarity and transparency in the EU’s exit agreements, which will be applied after April 2019 when the UK should leave the union.

In June, since the poll was conducted, talks between Brexit Minister David Davis and European Commission correspondent Michel Barnier are taking place in an increasingly arrogant way.