Thread: FXB Trading Articles

Alibaba’s global perspective sends share price soaring

Alibaba’s (BABA) ongoing experimentation with new ways to lure shoppers into spending their money, diversification and expansion into new territories has earned widespread approval in the markets, pushing its share price to record highs of $192.12 ahead of their quarterly earnings report (November 2).


The Chinese e-commerce giant’s shares have more than doubled in value this year (see chart) with much of Alibaba’s growth being fueled by the internet retailing boom in China. The move into cloud computing is currently loss-making, but with the number of users almost doubling to 1 million in a year and expansion into Malaysia and India it is expected to turn that around. Also, Alibaba’s diversification into groceries, digital entertainment and financial services are showing potential for future growth.

Alibaba’s goal is to reach 2 billion customers around the world within 20 years. In some cases, it has begun with digital payments, as in India. In others it has invested in e-commerce sites, as with Lazada, in South-East Asia. But it intends to build a broad range of services within each market, including payments, e-commerce and travel services, and then link local platforms with Alibaba’s in China.


Alibaba’s recent success has, in part, been helped by Beijing’s severe restrictions on foreign internet companies which has allowed them to benefit from the boom in e-commerce while only contending with domestic competition.


However, at the core of Alibaba’s success has been innovation. Sales events like its ‘11.11 Global Shopping Festival’ have been phenomenally successful and provide a platform upon which Alibaba experiment with new forms of retail and customer engagement which rely extensively on interactivity, technology and consumer analytics.


For more detail : Alibaba’s global perspective sends share price soaring

Traders cashing in on PayPal success

What PayPal has over its competitors is consumer trust. It feels like it has been around for a long time, and that’s a priceless commodity in the e-commerce age.


Since its spin-off from former parent company eBay in 2015 PayPal has expanded into a payments service provider, incorporating mobile payments into its operations. It has also reaped the benefits of giving consumers more options at checkout by using credit cards following its online checkout deals with Visa and Mastercard in 2016.


Bernstein’s Lisa Ellis sees PayPal grabbing an even greater portion of the market over the next three years and her positive prognosis has been echoed by analysts at BTIG, Merrill Lynch and Barclays.


The above chart plots the increase in share value which has grown steadily from the beginning the year, and which is expected to continue after the third quarter earnings report is released.


In his note to clients Faucette noted that the market may have been overly concerned about a potentially negative impact of renegotiation of its contract with eBay, and that PayPal is maintaining its massive acceptance as an e-commerce website over other digital wallets and that it is expected to benefit significantly from e-commerce tailwinds.


In his note to clients Faucette noted that the market may have been overly concerned about a potentially negative impact of renegotiation of its contract with eBay, and that PayPal is maintaining its massive acceptance as an e-commerce website over other digital wallets and that it is expected to benefit significantly from e-commerce tailwinds.

It looks like a great time for traders to start getting friendly with PayPal (PYPL) shares after Morgan Stanley’s James Faucette upped his price target to 76 from 62 along with a number of other analysts who are equally enthusiastic about the online payment service provider.





For more detail : Traders cashing in on PayPal success

Avoid the pitfalls of forex trading robots

Forex trading robots have become a popular tool in the personal forex market. They’re often attractively priced and are marketed as ‘Expert Advisors’ that can operate on many of the favoured trading platforms. However, an increasing number of traders have been left disappointed with the purchase of their automated forex trading program that ends up performing well below expectations, which leaves them feeling cheated and even results in claims of fraud.


Sold on profits


Anybody with a product to sell will focus on the product’s most attractive features to get you to buy it, and that is especially true about automated trading products. Often, they’re presented as offering the path to financial freedom and being easy to use; claims that are backed up by historical trading profits and glowing testimonials from seemingly satisfied users. In reality, the evidence of their success is just a small sample of trading when the software enjoyed a profitable spell and leaves out the less impressive other periods which more accurately reflect its true capabilities and how it performs for most of the traders who buy it.


The disclaimer makes it alright


Every forex trading robot is sold with a disclaimer (sometimes well hidden) that denies any responsibility for how it will perform in the future. The words may be different each time, but the message always amounts to the same thing: there’s no guarantee this software will trade profitably based on its historical performance and is there to protect the vendor from potential fraud claims.


Get a refund but not your money back
In an effort to placate customers who were unhappy with their trading robot purchase, many vendors would simply offer a refund. But while the purchase price of the forex trading software would eventually end up back in their bank account, the money they lost using it was gone.


Trawl through any online trading forum and it won’t be long before you come across a thread full of unhappy traders who feel they’ve been misled by false advertising about forex trading robots that fail to deliver profits.




For more detail : Avoid the pitfalls of forex trading robots

Why Choose the MetaTrader 5 Trading Platform

Successful traders from around the world have chosen the MetaTrader 5 (MT5) platform for trading Forex, exchange instruments, futures, and CFDs. MetaTrader 5 is an effective, multi-functional platform that provides everything you need to trade the financial markets. MT5 platform can be used by advanced traders as well as beginners since it can be expanded to incorporate additional programs and instruments.

The platform offers advanced financial trading functions as well as superior tools for technical and fundamental analysis. MetaTrader 5 can also trade automatically by using trading robots and trading signals. It is a trading platform that is capable of processing different financial instruments with a wide range of trading activity. Traders may use a wide selection of pre-installed technical indicators and graphical objects to analyse the markets.

The MetaTrader 5 trading system offers an advanced Market Depth feature (with a tick chart and Time & Sales information), a separate accounting of orders and trades, the support of all types of trading orders and execution modes. It also allows you to chart assets at 21 different time frames and gives you the ability to have up to 100 charts open at any given time. With the One Click Trading function and the Market Depth option, users can buy and sell currency pairs, equities, futures and CFDs with just one click. More advantages of MT5 include a user-friendly interface, larger icons, and a wider range of timeframes.


For more detail : Why Choose the MetaTrader 5 Trading Platform

Best forex risk management strategies

How to Get Best Forex Risk Management Strategies in Forex Trade?

The Forex market has a daily trading volume of about three trillion dollars. In order to earn money successfully, you have to develop a very clever Forex risk management strategy. Of course, you cannot earn profits all the time with every single move. You have to deal with risk in order to earn profits as it is all about winning or losing in this trade. Portfolios that provide the best risk strategy are based on the experience of investors and traders.

Role of Brokers in Forex Risk Management

An investor should look for the most reliable and trustworthy financial partner with the best reputation in the Forex trade market. Trading in the Forex market becomes easier when you have professional and expert advice.


For more detail : Best forex risk management strategies

Bitcoin mania: Is it too late to join the rush?

When the Wall Street Journal runs a headline that reads Bitcoin: Even Grandma Wants In On The Action, you’re simply compelled to find out more about the stand-out cryptocurrency that is grabbing all the attention.

For months now, Bitcoin’s rapid price swings have been prompting volatility-starved investors to join the biggest speculative boom since the dotcom fever in the 1990s.

In the six minutes following the start of Bitcoin futures trading, the contract expiring in January which opened at $15,000 rose to $16,600. Trading on Monday morning (December 11th) in London the contract was changing hands at $17,500. Bitcoin itself was at $16,635.05 according to CoinDesk. Right now there is no hotter ticket having started 2017 at $968.23.

The temptation to join the rush is tempered by the fear that its value is being driven purely on speculation and that the bubble is about to burst.

Some are convinced it’s the real thing. John McAfee – founder of the eponymously named software – doubled down on his previous prediction and claimed: “I’ll eat my own d**k on national TV if Bitcoin doesn’t surpass $1 million by 2020.”

More and more investors have chosen to set aside Bitcoin’s questionable past, for instance its use by criminal elements, and focused on the potential that it could replace gold as an investment to hold when faith ebbs in fiat currencies.

“We now have millions of active users,” said Peter Smith, chief executive of Bitcoin services firm Blockchain.info. “We didn’t have a million last year.”

Bitcoin’s meteoric rise has seen interest increase in other cryptocurrencies like Litecoin, Ethereum, Dash and Ripple. The latter’s Interledger protocol is being explored by Microsoft as part of their own blockchain toolkit offering.

CME Group Inc., the world’s biggest exchange group, and Goldman Sachs Group Inc. Have fuelled interest further by announcing intent to introduce products based on the virtual currency. CME’s Bitcoin futures contract is expected next week. Who knows what the price will be when that happens.

They’ve witnessed the increasing number of investors and traders being drawn by Bitcoin’s volatility in a market where stocks and bonds have produced modest gains. Even technology stocks, which have rallied sharply this year, can’t compete with Bitcoin which has jumped 17-fold.


For more detail : Bitcoin mania: Is it too late to join the rush?

Why most traders do not succeed in forex Trading?

Making profits through stocks and shares is not an easy job. Inadequate trading methods, lack of confidence, patience and discipline can lead to a lack of success in the stock market. A trader should really know the tricks of trading. Inexperienced traders, who lack insight, risk all their money in one stock without planning before investing. Planning is a necessary standard in the stock market as complex trading techniques and lack of planning will contribute to the failure of the trader; therefore, successful traders always develop a plan.

Lazy Traders will definitely fail

Without significant planning a trader will fail. Many traders are too lazy to develop a successful trading plan as it requires a lot of effort. Effort is necessary for success in the stock market, not just luck. Traders who are too confident and lazy are always in a hurry to chance their luck, which results in failure.

Too much Trading

Most of the traders have an addiction to the stock market and invest too much money. In the process of trying to win more and more money, greedy traders can lose a significant amount of money. Good traders should not act like gamblers as trading in Forex is more skilful than gambling at the casino.

Avoiding Demo trading

Demo trading is compulsory before actually trading. Traders who are too confident and greedy do not understand the significance of demo trading. Demo trading should be done over an adequate period of time so that a good knowledge of market trends and trading techniques can be obtained. You can get a good idea about how you will perform in real trading through demo trading. In most cases, it is found that traders who cannot earn profits in demo trading cannot earn profits in real trading either.


For more detail : Why most traders do not succeed in forex Trading?

Traders cashing in on PayPal success

In his note to clients Faucette noted that the market may have been overly concerned about a potentially negative impact of renegotiation of its contract with eBay, and that PayPal is maintaining its massive acceptance as an e-commerce website over other digital wallets and that it is expected to benefit significantly from e-commerce tailwinds.

It looks like a great time for traders to start getting friendly with PayPal (PYPL) shares after Morgan Stanley’s James Faucette upped his price target to 76 from 62 along with a number of other analysts who are equally enthusiastic about the online payment service provider.

The above chart plots the increase in share value which has grown steadily from the beginning the year, and which is expected to continue after the third quarter earnings report is released.

In his note to clients Faucette noted that the market may have been overly concerned about a potentially negative impact of renegotiation of its contract with eBay, and that PayPal is maintaining its massive acceptance as an e-commerce website over other digital wallets and that it is expected to benefit significantly from e-commerce tailwinds.

What PayPal has over its competitors is consumer trust. It feels like it has been around for a long time, and that’s a priceless commodity in the e-commerce age.

Since its spin-off from former parent company eBay in 2015 PayPal has expanded into a payments service provider, incorporating mobile payments into its operations. It has also reaped the benefits of giving consumers more options at checkout by using credit cards following its online checkout deals with Visa and Mastercard in 2016.


For more detail : Traders cashing in on PayPal success

Forex broker is most discussed matter in any forum. Broker is a most important thing in forex market. It determines the future of a trader. If trader choose a wrong or scam broker that’s means they will suffer in their trading journey. But if they choose a right regulated broker it helps them to reach trader maximum potential. I am trading with CapitalsTrade. it is a regulated broker in Vanuatu.

Safe as houses? Not if you live in Australia

According to Jonathan Tepper, one of the world’s experts in housing bubbles, Australia is experiencing the biggest property bubble in history. It has lasted 55 years and seen prices increase 6556% since 1961. “It is the only country we know of where middle-class houses are auctioned like paintings,” he observed recently.

When it crashes it’s likely to bring Australia’s economy crashing down with it, as it’s the only sector which has driven GDP growth of late. It’s one of those rare opportunities traders relish because the volatility in the market will be big and significantly increases the chance of being able to make a huge gain from an investment.

You can thank State and Federal governments for this opportunity. They have done everything they can to fuel the housing market in an effort to boost Australia’s economy and offset the decline in the value and volume of its chief exports iron ore and coal. The growth of the economy has provided governments with a source of tax revenue and proof to voters that their policies result in economic success.

The Australian media has also been complicit in the perpetuation of the property bubble. Objective reporting on property has disappeared because the Murdoch and Fairfax duopoly, which controls media output in the country, have been protecting their only major growth profit centres realestate.com.au and Domain the country’s two largest real estate portals.

Headlines celebrating a 26-year-old train driver who services the debt on five million dollars worth of property with his salary and rental income have become commonplace, with hordes of others being similarly celebrated for their achievements.

The formula for success which has enabled individuals on modest incomes to gain ownership of seven figure property portfolios comes through the black magic of cross-collateralised residential mortgages, where Australian banks allow the unrealised capital gain of one property to secure financing to purchase another property.

This unrealised capital gain takes the place of a cash deposit. For instance, if the house bought a year ago for $350,000 is now valued at $450,000 the bank is willing to let the owner use that equity gain to finance the purchase of another property.


For more detail : Safe as houses? Not if you live in Australia