Forex – on line Manual for Successful Trading

Forex – on line Manual for Successful Trading (Available on CD)

An introduction to the exploding foreign exchange trading market “Forex – On line Manual for Successful Trading” is both an introduction and reference tool for beginning and intermediate foreign exchange (Forex) traders. This information-packed resource opens with a clear introduction of the Forex market. Other chapters introduce various trading strategies and tactics in detail, along with some fundamental and technical analysis to assist the trader in their decision-making process.

Chapter 1  Introduction

1.1.       Foreign Exchange as a Financial Market

1.2.       Foreign Exchange in a Historical Perspective

1.3.       Main Stages of Recent Exchange Deveolpment

The Bretton Woods Accord

The International Monetary Fund

Free-Floating of Currencies

The European Monetary Union

The European Monetary Cooperation Fund

The Euro

1.4.       Factors Caused Foreign Excange Volume Growth

Interest Rate Volatility

Business Internationalization

Increasing of Corporate Interest

Increasing of Traders Sophistication

Developments in Telecommunications

Computer and Programming Development

Chapter 2  Kinds of Major Currencies and Exchange Systems

2.1.       Major Currencies

The U.S. Dollar

The Euro

The Japanese Yen

The British Pound

The Swiss France

2.2.       Kinds of Exchange Systems

Trading with Brokers

Direct Dealing

Matching Systems

2.3.       The Federal Reserve System of the USA and Central Banks of the other G-7 Countries

The Federal Reserve System of USA

The Central Banks of the other G-7 Countries

Chapter 3  Kinds of Foreign Exchange Market

3.1.       Spot Market

3.2.       Forward Market

3.3.       Futures Market

3.4.       Currency Options

Delta

Gamma

Vega

Theta

Chapter 4  Fundamentals Analysis

4.1.       Economic Fundamentals

Theories of Exchange Rate Determination

Purchasing Power Parity

The PPP Relative Version

Theory of Elasticity

Modern Monetary Theories on Short-term Exchange Rate Volatility

The Portfolio-Balance Approach

Synthesis of Traditional and Modern Monetary Views

4.2.       Economic Indicators

The Gross National Product (GNP)

The Gross Domestic Product (GDP)

Consumption Spending

Investment Spending

Government Spending

Net Trade

Industrial Production

Capacity Utilization

Factory Orders

Durable Goods Orders

Business Inventories

Constructions Indicators

Inflation Indicators

Producer Price Index (PPI)

Consumer Price Index (CPI)

Gross National Product Implicit Deflator

Gross Domestic Product Implicit Deflator

Commodity Research Bureau’s Futures Index (CRB Index)

The “Journal of Commerce” Industrial Price Index (JOC)

Merchandise Trade Balance

Employment Indicators

Employment Cost Index (ECI)

Consumer Spending Indicators

Auto Sales

Leading Indicators

Personal Income

4.3.       Financial and Sociopolitical Factors

The Role of Financial Factors

Political Events and Crises

Chapter 5  Technical Analysis

5.1.       The Evolution and Fundamentals of Technical Analysis Theory of Dow

Price

Volume and Open Interest

5.2.       Types of Charts

Line Chart

Bar Chart

Candlestick Chart

5.3.       Trends, Support and Resistance

Kinds of Trends

Percentage Retracement

The Trendline

Lines of Support and Resistance

5.4.       Trend Reversal Patterns

Head and Shoulders

Signal Generated by the Head and Shoulders Pattern

Inverse Head and Shoulders

Double Top

Signals Provided by the Double Top Formation

Double Bottom

Triple Top and Triple Bottom

The opposite is true for the triple bottom

Rounded Top and Bottom Formations

Diamond Formation

5.5.       Trend Continuation Patterns

Flag Formation

Pennant Formation

Triangle formation

Wedge Formation

Rectangle Formation

5.6.       Gaps

Common Gaps

Breakaway Gaps

Runaway Gaps

Trading Signals for Runaway Gaps

Exhaustion Gaps

5.7.       Mathematical Trading Methods (Indicators)

Moving Averages

Trading Signals of Moving Averages

Oscillators

Stochastics

Moving Average Convergence-Divergence (MACD)

Momentum

The Relative Strength Index (RSI)

Rate of Change (ROC)

Larry Williams %R

Commodity Channel Index (CCI)

Bolinger Bands

The Parabolic System (SAR)

The directional movement index (DMI)

Chapter 6  The Fibonacci Anaysis and Elliot Wave Theory

6.1.       The Fibonacci Analysis

6.2.       The Elliott Wave

Basics of Waves Analysis

Impulse Waves – Variations

The Diagonal Triangles

Failures (Truncated Fifths)

Chapter 7  Foreign Exchange Risks

7.1.       Exchange Rate Risk

7.2.       Interest Rate Risk

7.3.       Credit Risk

7.4.       Country Risk

Glossary and Foreign Exchange Terms

Bibliography