5 Things You Should Never Do In Forex

Revising my recent trades which were made during the last month I still find myself making the same mistakes I've been doing as a newbie trader. The amount of these mistakes lowered, but sometimes emotions overcome the mind and the strategy and as a result - pips are lost. Here is the list of most devastating and stupid things you can make in Forex trading:

1. Don't place stop-loss - sometimes I just forget to place, sometimes I hope for the price to eventually go in the right way and think that stop-loss will be an obstacle. This is wrong! Always place a stop loss - it's good to have it significantly lower than your targeted profit.
2. Trade in lots too big - even if you are100% sure that this position will be profitable, don't make it too large - 1%-5% is more than enough. Losing 20% of your deposit will require much more risk to recover.
3. Overtrade - everyone says that it is bad to overtrade, but for a trader it is always hard to stay away from market when there is "so many opportunities". Just try to set a limit of daily/weekly trades for yourself. Overtrading is a result of the mindless emotions, not your mind, so avoid it.
4. Closing the winning positions too early - it seems OK to get some guaranteed profit against risking to wait even more. But trading experience proves that early closing for winning positions and waiting for losing positions to go green - is completely wrong. Let your winning positions run and cut your losing ones early!
5. Following forecasts and signals - for some traders it's hard to avoid this, especially when there is some Forex guru they respect. Trading with your own strategy and full responsibility is the only way that can make you a professional and successful Forex trader.

Forex Guide Controlling Risk

Forex trading is a 24-hour activity, so how can you protect your positions when you are away from your screen?

There are a variety of automated orders that can be triggered at pre-set exchange rates and that can be deployed to control the downside and consolidate the upside:

Stop loss: An order to close out a position automatically when the bid or offer price touches a given level.

For long positions, you issue a stop loss order below the current exchange rate. If the market price falls through the stop loss trigger rate, then the order will be activated and your long position will be closed out automatically.

If you have a short position, you would set your stop loss above the current rate to be activated when the offer rate touches the trigger level.

A “trailing stop loss” is one that is adjusted behind a position as it moves into profit, to lock in gains.

In volatile markets, it may be impossible to execute stops at the precise limits.

Take profits order (TPO): The opposite of a stop loss. For a short positions the TPO order will be set below the current exchange rate, and vice versa for long positions.

Limit order: A buy or sell order that is activated when the current exchange rate passes through some preset threshold rate. Limit orders can be good for a specified period (e.g. a day, a month) or “good till cancelled”.

One cancels the other (OCO): A combination of a stop loss and a limit order (or two limit orders) at opposite ends of the spread. When one is triggered, the other is terminated.

Interesting Ideas to Make Money on ebay

1) Sell Used Cell Phones on ebay
The demands for used cell phones with brand names like Nokia, Motorola, Kyocera, Alltel, Ericsson, Sprint, etc in ebay are pretty high. Many of the used cell phones auctions in ebay usually attract bids.

So how to find used cell phones to profit on ebay?

Many people change their cell phones every year. If you are one of them, probably you already have 2 or 3 used cell phones kept at home that can sell on ebay. Your friends may also keep a few of old phones left unused. You can buy from them and resell on ebay.

To get a consistent supply of cell phones, you may think about placing classified ads in newspaper states that you pay money for used cell phone. You shouldn't pay much when buying used cell phones. Do a little research on ebay to find out how much used cell phones are generally selling. If a used cell phone sell at a price of $50 in ebay, you should pay not more than 30% of the price to buy it. If the phone is a recent model you can pay little more and cut a little if it is old and nothing special.


2) Sell Used How-to Books
Used how-to books are quite easy to find and inexpensive to buy. They can be bought at $1.00 or less. You can buy how-to books from thrift shops, estate sales, used book stores, yard sales, etc and sell them in ebay for high profit margin. You can also get how-to books from Book Sale Finder. Here are the type of books you should look for:

Hobbies
Photography, blacksmithing, clock building & repair, woodworking, magic, treasure hunting, iron work, pipe smoking, dog training, antiques, coins, buttons, medals, drawing, painting, craft making, dolls, pottery, etc.

Home and Garden
Home decorating, home remodelling, garden trellis, etc.

Misc
How to repair (watch repair, door repair, pipe repair), how to play, lost treasure, eary aviation, etc.

When you list your books in ebay, you can either list them in the "Book" category of ebay or in the subject specific category of ebay. For instance, If you are selling a book related to home decorating, you may be making more profit if you list the book under the "Home Deco" within the "Home & Garden" category of ebay campare to listing the book under "Book"

3) Sell Gift Cards

Gift card is another profitable market in ebay. There are many people possess gift cards but not everyone of them will use their gift cards. If you can offer to buy these unused gift cards for a price at 20% or less of the value of the gift certificates, they will sell to you. You can advertise your offer in local newspaper, penny shop and trading post. You are looking for gift cards that are still valid (not yet expire). Most gift cards have a toll-free number on the back you can dial to check whether the cards are still valid.


When determining the buy and sell price of a gift card, you should do some research on ebay. Try to look for auction that sell the similar card. See how much the card sells in the auction and set you buying price at 40% to 50% of the selling price of the auction. The starting bid and winning bid of the auction can also give you an idea on how much your card can sell on ebay. ;)

Firist, we will nead "e-gold" and maybe ebay account!

eBay Buying and Selling

Description about e-gold from wiki!

e-gold is a digital gold currency operated by Gold & Silver Reserve Inc. under e-gold Ltd., and is a system which allows the instant transfer of gold ownership between users. e-gold Ltd. is incorporated in Nevis, Lesser Antilles.

According to the company's website, as of April 2007, e-gold had 112,188 oz (3,489,436 grams) of gold and 138,567 oz (4,309,923 grams) of silver in storage, which is worth approximately US$86 million . There are typically 66,000 e-gold spends each day totalling 15,000 oz (460 kilograms), which is about US$10.5 million. There are over three million e-gold accounts of which about one quarter are active

On 27 April 2007, a federal grand jury in Washington, D.C. indicted e‑Gold Ltd and its owners on charges of money laundering, conspiracy, and operating an unlicensed money transmitting business. e-gold, however, considers the charges completely groundless, and has responded to the allegations in their own press release.

History

e-gold was founded in 1996 by Dr. Douglas Jackson and Barry K. Downey [4]. Transactions using e-gold have grown dramatically since 2005. The total amount of gold bars (over three tonnes) in the e-gold system is approaching the size of the national reserves of smaller countries. e-gold now generates a substantial income from spend and storage fees — there is a charge of a few cents to make each e-gold "spend" and e-gold itself now earns well over a million USD per year from fees.

The number of e-gold accounts (as claimed by e-gold) grew from 1 million in November 2003 to 3 million on 22 April 2006. [5]

Role in global commerce

Many small businesses in the U.S., Europe and Asia, each with full-time staff now operate as "digital currency exchangers," doing nothing other than buying and selling digital gold currency for fiat currencies, as gold bugs term national legal tender currencies not backed by hard assets.

e-gold transactions — a "spend" — are completed electronically, usually using the web interface, and they always settle by weight of the metal even if denominated in some other way. A user may send (or "spend") a tiny amount of gold (a fraction of a gram, ounce or kilogram) to another user account instantly, anywhere in the world.

Even though e-gold is careful to not advocate any particular political agenda, as the Liberty Dollar does for example, e-gold could be viewed as a libertarian form of private currency

e-gold is, according to their website, "100% backed by gold"

Exchanging for currency

e-gold does not sell its e-metal directly to users. Instead digital currency exchangers, such as OmniPay (a sister company of e-gold), and numerous independent companies act as market makers selling e-metal in exchange for other currencies and a transaction fee. Conversely, these exchange providers will buy e-metal with other currencies, again taking a transaction fee. In this manner e-metals can be converted back and forth to a variety of national currencies. The amount of a particular currency or e-metal necessary to complete a transaction is determined by the spot price of the metal in relation to the value of the currency. e-gold is known as private currency as it is not issued by governments.

Compared to other systems like PayPal, the process of buying e-gold can be confusing to a person unfamiliar with the e-gold system. e-gold, unlike e-Bullion for instance, does not sell digital currency directly to the user. According to their website the reason e-gold does not provide an in-house exchange service is so there can be no debt or contingent liabilities associated with the business, making e-gold Ltd. absolutely free of any financial risk. They claim e-gold Ltd. does not possess currency of any nation or even have a bank account.

Crime and fraud

e-gold has been perceived as the medium of choice for many online con-artists, with pyramid schemes and High Yield Investment Programs ("HYIPs") commonplace. This has been blamed on e-gold's policy of irreversible transactions. However, e-gold is now blocking accounts where fraud is proven or suspected [11].

e-gold and OmniPay have also been accused of being a medium for money laundering, although this is questionable given that there were only 24 customer accounts holding over 10kg of gold (approximate value $200,000) by April 2006 [12]. As digital gold currency providers are not banks, they are not legally required to perform various sorts of "know your customer" background checks. However, many legitimate e-gold exchange providers, for example GoldNow, may require a higher level of identification, generally more intrusive than a bank, for security purposes.

Opening an account at www.e-gold.com takes only a few clicks of a mouse. Customers can use a false name if they like because no one checks. With a credit card or wire transfer, a user buys units of e-gold. Those units can then be transferred with a few more clicks to anyone else with an e-gold account. For the recipient, cashing out — changing e-gold back to regular money — is just as convenient and often just as anonymous. [13]

In January 2006, BusinessWeek reported on the use of the e-gold system by ShadowCrew, an 4000-strong international crime syndicate involved in massive identity theft and fraud [14]. Omar Dhanani of Fountain Valley, California, connected to the ShadowCrew, is an e-gold customer and is reported to have moved amounts ranging from $40,000 to $100,000 a week from proceeds of crime through e-gold [15].

In response, Chairman and founder, Dr. Douglas Jackson published a letter which stated that "e-gold operates legally and does not condone persons attempting to use e-gold for criminal activity. e-gold has a long history of cooperation with law enforcement agencies in the US and worldwide, providing data and investigative assistance in response to lawful requests." He further noted that "Our staff has participated in hundreds of investigations supporting the FBI, FTC, IRS, DEA, SEC, USPS, and others."

In August 2006, WORLDLawDirect lawyers announced e-gold Ltd. officials and their legal counsel to be the subject of a U.S. Federal Court subpoena. They believe e-gold Ltd. is subject to U.S. Federal Court jurisdiction and may be held liable for some or all of the investors' losses (and potential triple damages) in the Solid Investment (Solidinvestment.com) large scale HYIP scam!