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  1. Hello Hakiza, Cryptocurrency is a digital currency whose creation and management is by use of cryptography. Cryptocurrencies have seen their popularity since the emergence of Bitcoin, and other altcoins that keep on emerging are giving heat to this world. You will find asking before you decide to invest in cryptocurrencies is whether the cryptos will continue to grow in the future, or they will fade away at some point; therefore, you see no point in investing in them. Your questions will mostly be answered by looking at the Bitcoin. Some economists speculate that the crypto world will change drastically since money from various institutions is entering the market. Others say that cryptocurrencies will primarily sell on Nasqad, therefore, making blockchain more critical and increase its uses in the standard currencies. Several say that cryptocurrency should trade as an exchange-traded fund. Cryptocurrencies such as Bitcoin are decentralized and use peer-to-peer automation, which facilitates transactions, verification, and currency issuance. The fact that it is decentralized means that you will be responsible for protecting your cryptocurrency. The value of Bitcoin depends on what price the investors want to pay for it at any particular time. There is an assumption that the market cap of cryptocurrencies might explode over the next few years. The use of Bitcoin is limited to the number of transactions since you can only carry out six or seven operations at a time. This is one reason why Bitcoin can collapse. Also, the verification of cryptocurrencies is energy-intensive than that of the fiat currencies. Specific limitations that face the cryptocurrency world, such as a crash in your computer, may make you lose your crypto, or at times you may lose it to a hacker can be curbed by using better technology in the crypto world. As cryptocurrencies grow in popularity, the government's interest in them keeps growing, the primary reason why the cryptocurrencies exist may, therefore, fade away. Though cryptocurrencies are becoming popular, they are less known to many people compared to other currencies. They are also more sophisticated as against the relative currencies, which can prevent most people from using them. Cryptocurrencies that need to succeed in the future should assure their users of maximum security and also need to be easy to use and understand by the users. Though it can be decentralized, it should have adequate protection and also be able to preserve anonymity. There is a minimum possibility of a cryptocurrency reaching these objectives. The prediction of Bitcoin's success or failure in dealing with the current challenges it is facing cannot be verified. And its success or failure is what will determine the success of other cryptocurrencies.
  2. Hi Hakiza, Investing in the energy field has become inexpensive due to energy exchange-traded funds. Exchange-traded funds tend to pursue a specific benchmark. You can invest in ETFs of various commodities such as oil gold and bonds. Exchange-traded funds are so popular among many people and are continuing to grow each day. Their transaction fees are way favorable compared to traditional funds, and you can trade them at any time of the day. These are just a few reasons why ETFs are a good investment option. Energy ETFs typically come from commodities such as natural gas oil, solar, and other energy alternatives. They are usually engaged in different businesses and risks. Both competitive and reasonable investors best know energy ETFs. The energy sector is highly diversified, and different companies deal with various energy-related commodities. These commodities' success depends on their supply and demand. It may not be new to you to state that oil and gas prices vary from time to time. The manufacturers of oil will earn more when these prices rise, and their earnings will fall when their prices decline. Various energy exchange-traded funds expose investors to varying investment sectors. Such examples may include the SPDR S&P Oil and the XOP that allows the investors to deal with companies that produce oil and gas. The VanEck Vectors Coal ETF is an opportunity for investors to trade in coal. You can trade Energy ETFs using the intraday trading strategy and pricing. It is a better investment option than mutual funds. Though any type of ETF is diversified and efficient to trade with, you need to take note of the risks associated with any ETF before you invest in it.
  3. Hello Mary, The stochastic trading indicator is one of the most used signs to analyze the CFD market. This indicator varies from the rest since it mainly majors at price distribution in all daily bars. It seeks to look at how the closing price and the range of amounts recorded in the previous days relate. When there is a strong uptrend, it is most likely that the closing price will be almost the top. This reflection is seen in the stochastic oscillator. Stochastic oscillators are usually two, and each of them comes with two components. The first component is the %K and the other one %D. %D is smoother than %K and uses a 3-day moving average. These are the components of the Fast Stochastic. The slow oscillator is the other type of Stochastic Oscillator; its components are the same as in the fast oscillator just that here they are slow %D and %K. You can choose any stochastic Oscillator depending on what your personal preferences are. When using the Fast Stochastic oscillator, you will receive the signs early, unlike the Slow Stochastic. However, the Fast Stochastic is so unreliable. When using Stochastic, you can decide to go long if %K is rising above a certain level such that the market recovers from extreme sales. Consequently, you can go short if %K goes down up to a certain degree. The %D will tell you when to take up a particular action when it moves beyond the %K hence the name signal line. When the %D and %K go below 20%, the %K may move from this position and go above %D, a signal you should buy. If %D and %K move above 80%, the %K line may drop, leaving %D above it. This signifies that you need to take a short position.
  4. Hello Mary, It is usually a challenge to find the best Metatrader 4 broker while investing in the Forex market. Metatrader 4 is one of the most known Forex trading platforms across the globe. This platform is, however, being replaced by Metatrader 5 in various ways. One of the best brokers in the Metatrader 4 platform is the FXPro. They are No Dealing Desk broker meaning that they directly interact with their clients. Several countries regulate them, and they give floating spreads to the traders. OctaFX is another excellent Metatrader 4 broker. They offer various assets, such as metals, crypto, and Forex. The European Union regulates them; hence they attract many investors. Pepperstone is also not left behind. This broker is usually firmly established, and its financials are too strong. IG group is also a good Metatrader 4 broker. It allows you to use various assets, and you can globally access it.
  5. Hi Hakiza, Metatrader 4 is well-known Forex brokers, and you can largely depend on Forex robot traders for successful trading in the Forex market. Most brokers will frustrate you with small spreads and expensive costs, which are not worth paying for. Before you select your broker, you need to check certain aspects. One characteristic of Metatrader 4 broker you should look out for is by checking if the broker is straight-through processing or a Direct market access broker. If the broker is straight-through processing, it means that he/she does not act as a market maker and usually will never take the contrarily of your trade. If they go the reverse of your deal, then they will make you experience a loss. The direct market access will instantly execute your trades. You also need to check on the spread that your broker is offering you. Some brokers tend to exploit you by charging a lot of money in a spread. It would help if you looked at a trader who will offer you a lower fixed spread no matter how liquid the markets are. You also need to check the terms and conditions set. Some Metatrader 4 broker will not allow you to trade using Forex robot traders. The broker will also not allow you to withdraw your funds using the robots. You need to select a MetaTrader 4 broker who will offer you a demo account to practice with before you invest your real money in the Forex market.
  6. Hi Mary, A Forex breakout occurs when the price of a particular currency moves away from a specified set average. It can also happen when the price level is contravened. The support level may be such as the resistance and the support levels. The breakout strategy aims at entering the Forex market when the price breaks out and hold that position until this volatility declines. Forex breakouts are of two types, the continuation breakout, and reversal breakout. The kind of breakout you use will help you identify the trends in the individual market. Breakouts indicate the variations in the supply and demand in the currency pair you trade. These variations grant you an excellent opportunity to make a good profit. When the market moves considerably in one direction, the market will most probably take a break. This will most often occur when the traders In the market take a breather to see what decision they will take up next. The results of this will be a range-bound movement known as consolidation. If traders see that the first trend is the best option and pursue the price in the initial direction, a continuation breakout will develop. It is merely a continuation of the original pattern. Reversal breakout invokes similarly as the continuation breakout. When the trend is long, there will be a pause. However, in reverse breakout after the pause moment, the Forex trader will decide that this trend is exhaustive and impel the price contrariwise. However, there are at times where you may have false breakouts. They occur when the price moves beyond a certain level, such as the support and the resistance level, and doesn't proceed further. This breakout is usually risky and can result in losses.
  7. Hello Stella, Forex market is an exciting space for many investors, more so if you have an internet connection at hand. You will need to open an account to trade, but if you do not have trading skills in this market, it is best if you opened a demo account to learn before you proceed to invest real money. Without the knowledge of Forex trading, you can make many mistakes that can cost you a fortune. You need to know how to avoid these mistakes whatsoever. If you use extreme leverage while trading on Forex is a Good Idea, you can use them, hoping that you will make greater returns; however, extreme leverage may result in huge losses. Not having a trading plan will also cost you. Having one is essential in Forex trading since it will entail your objectives, the strategies you intend to use, and help you minimize risks that you may face. Avoid over trading at all costs. While you are placing multiple trades at a time, you may improperly place the trades. Few exchanges at a time are best convenient since you will concentrate much better, and the chances of making great profits are high. Not following a given trend depending on the period you want to trade will also cost you. Following short-term trends for long term trading purposes will minimize your profit-making chances. Emotional trading is another mistake you need to avoid. It can result in you making wrong trading decisions, one reason why people make losses in Forex trading. This also comes along with being impatient and lacking discipline while trading. You will only make gains if you are patient enough on the market and have proper discipline. You also need to avoid using automated software to predict the market trends, especially if you are a beginner in this market. This software is hardly useful for future predictions. Many other common mistakes can bar you from being successful in this market. consider following these steps to up your gain in Forex trading.
  8. Hi Stella, Forex market is widely used by many investors whose main aim is to magnify their gains. Maybe you are just getting started in this market, and you do not know the right methods that will help you profit in this market. One method you can employ in the Forex market is the use of Forex signals. Subscribing to a forex signal service is one step to getting to use them, especially if you just began Forex trading and lack ample time to learn the trading techniques you can use. You need not be glued to your screen monitoring this market all through; you will follow what the service recommends you to trade. To get a good Forex signal service, you can test using a demo account and understand how it works. You can also employ a Forex Robot. These robots are a great way to increase your gains. However, these robots need to be optimized all the time, depending on how the market changes. If you do not know much about the robots, then it is a hustle for you to optimize them. Another method you can use to trade in the Forex market is by use of managed Forex accounts. You will employ a professional to run this account for you while you pay him a certain fee. You have total control of this account, and you can withdraw from it ant time you want. You can also trade in a Forex market manually, which means that you sit in a computer, analyze the market, and place trades by yourself. To succeed in this method, you need to have a thorough knowledge of how the Forex market works. You need to spare a lot of time to learn how to trade and practice a lot to up your trading skills.
  9. Hi Earnest, Most of these financial markets transactions occur online, which means that you need special platforms that will facilitate your trading. The choice of trading software you choose to use usually has an impact on how you conduct your trading. The trading software you use in the Forex market will help you trade easily. You cannot depend solely on it to succeed in this market if you have an excellent knowledge of how the Forex market works will mainly facilitate your success in this market. If you are looking at making good earnings and develop better trading strategies, Forex software will help you achieve this. There is much software that you can use in Forex, and what you select will depend on your experience and the number of risks you are willing to take up. FOREX.com is one of the best software mainly because of its MetaTrader4 platform and other tools it contains. MetaTrader4 usually implements automated trading and facilitates a good number of technical indicators. Another great software is the Ninja trader. This platform can favor a trader who mainly deals with Forex and futures trading. It has several resources that can help you look for indicators to trade in this market. Thinkorswim will be suitable for you if you want to try algorithmic trading, and you are torn choosing between many trades at a time. Here you can keep your trades in one account. You also need not sign up to access the newsletters on this platform. Interactive brokers are also another excellent trading software. It usually trades similar currency pairs to those in Thinkorswim with a great variety to choose from. You can also use this software If you trade futures and stock. Tradespoon is also fantastic software that you can employ. This software is not a guarantee of your success in the Forex market. You need excellent skills and knowledge to succeed in the Forex market.
  10. Hello Stella, As the name suggests, DMA CFDs are contracts for differences that allow investors to access the market directly. This is another model of CFDs other than those offered by the market maker. Market maker CFDs are offered by the provider who will give you the commission layout on their website, clearly showing you the commission and the spread represented by a certain portion of a charge. Direct Market Access CFD will give you the chance to link with active order books whose exchanges are worldwide directly. During the past times, DMA was benefitting large financial institutions. The excellent technology revolution taking place has seen direct market access accessible to even retail investors. In DMA CFDs, an instruction is given directly to the real essential market. Therefore, the market makers do not intervene in this market, leading to instantaneous execution and accurate market prices. DMA will confirm the trade to the CFD trader immediately the sells or buys the share. Direct market access CFDs are usually transparent; hence they will allow you to see all the market undertakings that are going on. Your orders enter the market directly; therefore, you can hit the offer or the trading line. In direct market access CFDs, the cost of entering this market is usually lower than that of using a market maker. One other major benefit of the direct access market is that you are given a bigger spread to save a fortune. You also need to note that this market is decentralized. You will have an equal opportunity to affect and view the price with all other traders.
  11. Hi Stella, Day trading in CFDs is one trading strategy that can magnify your gains in the CFD market. However, your success will depend on the type of broker and the platform you choose to use. Whether you choose to use direct market access or market maker, either way, you may reap some benefits and on the contrarily make losses. A market maker CFD will allow you to trade any product you want at any place across the globe. Market makers will set the prices on the products you wish to trade hence making your trading flexible. While dealing with a market maker, you only need one account to sell all over the world. In Direct market access, you can directly check what you can trade without necessarily using a broker. The transparency that this technique offers is what enables you to what is available in this market. You can also quickly place your trades in this market. One drawback of using a market maker is that they state the prices they feel like; therefore, some products may have an unusually large spread. When choosing to use either market maker or Direct Market access, you need to know the products you want to use and the time you want to trade them. Typically, if your time frame is short, then you can use the Direct Market Access strategy. If your time frame is flexible, then you can use a market maker. However, you can use both of them as long as you know when and how to employ them.
  12. Hello Earnest, You probably must have heard of swing trading is you are a financial investor. Swing trading is one of the most known and used trading techniques in the financial markets since you need not be glued to your computer for long to trade. It would be best if you had less time on your computer and the profits you will get will be significant. Swing trading in CFDs is usually safe, and all you need to do is follow a certain trend to make a profit. Swing trading uses the following directions and utilizes the leverage that comes with CFDs to magnify earnings. The stocks that you will be trading using this technique will fluctuate more often, and therefore you should develop a mechanism that will help you combat these changes. Swing traders and day traders aim at getting profits quickly. The advantage of swing trading relative to day trading is that you can make better earnings per trade as the position opened overnight can move with more incredible energy at a given period. In CFDs, you can use this strategy with stocks that can move by a substantial amount in a short while. It uses technical analysis to spot the financial bonds that are volatile. The technical analysis also helps to know the right time to enter or leave a trade. While using swing trading In CFDs, you need not have tremendous amounts to enter the market. You can take advantage of the leverage that your broker provides to the take-up portion of the whole amount required. Though you have to pay interest for the amount you borrow, It will be less in contrast to the gain you will make in swing trading. To succeed in swing trading as a CFD trader, you need to know how to analyze the charts well. You need to come up with an excellent trading strategy and avoid trading based on your emotions. Also, know that like any strategy, you may use the swing trading strategy in CFD may result in losses.
  13. Hello Hakiza, As an ETF investor, you have to come up with your trading strategy. One thing that you need to consider in this strategy is the amount of time that you are willing to hold on to your market position. You need to select the ETF suitable for long-term investing when you decide to be a long-term investor. Therefore, you will buy and hold that ETF for a long time until you get the profit you need, after which you sell off your position. Index-based ET may be excellent if you want a long-term investment. These ETFs seek to track the functioning of benchmarks. Vanguard Total Stock Market ETF (VTI) is an excellent index-based ETF for long term investing. In this ETF, you have the advantage of investing in various sectors. It has a variety of market capitalization stocks that you can use. It is also an efficient ETF, and you incur low expenses while using it. The SPDR S&P 500 ETF (SPY) is also another excellent ETF for long term purposes. It allures many investors into it. It tends to follow the performance of the S&P 500 index. You cannot reinvest this fund since it is a unit investment trust. The iShares Core MSCI EAFE ETF (IEFA) is also worth the mention. Its benchmarks the performance of the MSCI EAFE and reveals to evolved market stocks in places like Asia and Europe. It also incorporates small-capitalization in harmony with the market. There are many other good long-term ETF that you can use, and your choice will depend on the strategy you use.
  14. Hello Hakiza, Both exchange-traded funds and tracker funds are passively managed. They aim at producing an output that is obedient to their benchmark. Even tracker funds seek to deliver a result that is similar to the index, this output in some way need to be much higher. Tracker funds actively trade stocks to get to this objective. While you invest in either of these options, you may make a profit or a loss. The costs of tracking a particular index in both markets are usually low. Their main difference is flexibility. You trade ETFs on stock exchanges; this means that you can trade ETFs like shares. Also, the prices of ETFs, therefore, keep on changing all through the trading day. Investors in this market will set the price that will replicate that of the benchmark. Tracker funds, on the other hand, operate like open-ended investments. Their portfolio reflects a particular index, and their price is set only once during the trading day. Another difference is that in ETFs, you have a variety of financial instruments that you can choose from while investing, unlike in the tracker funds. Tracker funds being open-ended, maybe simple to understand, and trade with as opposed to exchange-traded funds. It would be help if you seek professional advice before you invest in any of these funds.
  15. Hi Hakiza, Day trading is an excellent trading technique in the Forex market. However, it will best suit you if you know what you are doing ad understand the crypto market well. This way, you will magnify your gains. If you do not know how to conduct day trading with cryptos, you may make certain mistakes that will cost you a fortune. One mistake you can do is trading using the wrong tools. You cannot employ day trading strategy with all cryptocurrencies; using crypto that does not mean this purpose may limit your success in the crypto market. Also, some crypto wallets such as the Trezor hardware wallet, although it offers adequate security for your crypto, cannot use it during day trading. Another mistake that will cost you in this strategy is trading, depending on your emotions. Trading knowing you are frustrated because you have suffered a loss will limit your concentration and, in return, limit your chances of success. If you have made a loss, it would be best if you checked what has happened and adjust your trading strategy for better results the next time you trade. It can be easy to enter a market position while day trading with cryptos. However, it would help if you considered how you would exit this position. Entering a position that you cant exit easily will cost you. If you fail to check at the correct spread for your trade carefully, you may end up making losses. While checking for spreads, you see what presents itself first in the book without evaluating whether it is the price your trade presents. Day trading is a tricky strategy and can limit the rewards you may get while trading using other trading techniques.
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