- May 2014
- Posted By Ninoslav
- 0 Comments
Traders all over the world have gained thousands of dollars by making intelligent moves in Forex market. A good example is Mr. Warren Buffet, currently the 2nd richest person in the world who has amassed his wealth from trading on foreign markets.
Trading gives unprecedented freedom to the trader and if you are into trading in Forex then you can live in any part of the world as long as you have internet access. There is no need for inventory, logistics, transportation’s, conveyance and hiring employees. Finally, there is a possibility that you may amass enough wealth to never work for anybody else.
What to understand about Pip?
If you want to understand the basic mechanism of Forex signals system then you should have a clear idea of what Pip is. The basic value of the smallest shift/increment in the exchange rate is called a pip. Usually the value of one pip is 0.0001 and this applies to all contemporary currencies like EUR/USD or GBP/USD. For example, if GBP/USD moves from 1.347 to 1.348, then the incremental movement is one pip.
When are the signals transmitted?
All leading Forex signal system/service mechanisms will be live on the market all 24 hours in a day, 7 days in a week and 365 days in a year. What you need to understand is that you need to figure out local time zone activity in terms of the market you are trading in. You should hire a Forex service which has a vigilant team of market analyzers and stock experts who observe the market movements all day long.
Usually a Forex signal system will close around 12.30 PM according to Greenwich Mean Time. However this time will vary according to unprecedented market movements. For more information you can read “A beginners guide to How to go about Online Forex Trading”.