Author: rcanessa - Page 43

The Exchange Rate

What is the exchange rate?

The exchange rate, also referred to as conversion rate or foreign exchange rate is the price at which a currency of a country can be converted (“changed”) in the currency of another country.

The system of exchange rates among currencies stems from the need of foreign currency by companies and nationals. In other words, the exchange rate comes from the movement of capital, goods, services and people across borders, that is, the existence of international trade. For example, when a company sells products to a foreign country, it is natural that this company wants to get paid in their national currency; therefore, the foreign company must buy the domestic currency of the manufacturer to pay the products purchased. There are also many situations in which anyone may need a foreign currency, for example, when traveling need currency of the destination country. The result is a foreign exchange market in which people, companies and other participants buy and sell foreign currencies.

November trading webinars of FXTM

by rcanessa

FXTM upcoming webinars are loaded with trading insights from FXTM’s specialist team of FX trainers. Each webinar is designed to give you need-to-know information in just one sitting – from the comfort of your own home! Take a look at our list below. There may be several dates to put in your calendar!

See the review of the broker ForexTime.

US Initial Jobless Claims Indicator

by rcanessa

The Initial Jobless Claims indicator is a report that records how many people have applied for unemployment benefits in the United States, providing information on the state of the labor market of that country. This is a weekly published data, and provides information on how many people applied for unemployment benefits last week. Therefore, this report is also known as weekly jobless claims.

The report of the Initial Jobless Claims is prepared by the Employment and Training Administration of the U.S. Department of Labor, and is published on Thursday of each week at 13:30 GMT, with data from the previous week.

Forex OTC Options with AvaOptions of Avatrade

by rcanessa

The Forex and CFD broker AvaTrade offers its customers the first online (web based) platform designed exclusively to trade with OTC (Over The Counter) Vanilla options based on currency pairs (Forex).

This platform, known as AvaOptions, offers new ways of trading that are simply not possible through normal spot Forex market. Whether the investor is interested in covering (hedging) the open Spot Forex positions or benefit with the unlimited profit potential with limited risk offered by options, AvaOptions has all the tools and features that the trader may need.

AvaOptions has a powerful and intuitive interface, which offers the possibility to trade with a wide range of Vanilla currency options, which allows the traders to diversify their operations in the Forex market. With this application, the trader can trade with options based on more than 30 currency pairs in a wide range of maturities, for which it has several user-friendly tools to implement any trading strategy with options.

Avatrade Complete Review 2026 – Forex And CFD Broker

by rcanessa

Avatrade – Market maker broker from Europe specializing in Forex and CFD -Regulated by organizations such as ASIC -Access to many markets through CFD Visit Broker Website Avatrade-Broker Review AvaTrade is a recommended Forex and CFD broker that offers many trading instruments for its clients including Forex (dozens of currency pairs), commodities, CFD, Forex options, and others. It … Read more

Three White Soldiers Candlestick Pattern

by rcanessa

The candlestick pattern Three White Soldiers is a highly reliable formation which occurs in both downward and upward trends and indicates that there is a high probability that the market continues to trend upward (continuation pattern) or reverse the downward trend that was dominating the market so far (reversal pattern). This pattern can be identified as follows:

The current trend may be bullish as bearish. If the trend is upward, there is usually a decline (previous price movement in bearish) or a period of price consolidation before the market resumes its upward move through this formation.
The price profuce three consecutive white candles.
Each candle produces a new high.
The opening of each candle is inside the body of the previous candle.
Each candle closes near the peak.
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Risk/Reward Ratio in Trading

by rcanessa

We have already mentioned that all risk management in the Forex market requires a trading system that must be tested to achieve its function: obtain a good return on our foreign exchange trades. One of the practices that, in the long term, can become very convenient is to establish an adequate risk/reward ratio in our trades. Here we will explain the basics of this practice and how to put it into practice.

Trading The Non-Farm Payroll Report (NFP)

by rcanessa

In this article we will show an interesting way to trade with the data of the Non-Farm Payrolls of the United States.

There was a time when trading with macro data was especially interesting. If the data deviated x% of what the market was waiting for, we could perform a trade expecting the price to have an interesting continuity. In fact, not only can you manually perform the trade, but there are interesting software that could execute the operation in hundredths of a second by clicking the buy or sell button of our broker just by programming it (like Expert Advisors in MT4).

However, after a well-known broker was about to go bankrupt, due to the problems caused by this type of operation, the matter gradually became more complicated. In this way, trading on economic data as soon as it comes out, is no longer a good business. Although demo can be interesting, I assure you that trading in those seconds after the data is released can be a drama. Do not try that at home. However, trading with macro data can be especially interesting with the necessary adjustments.

I will show you one that has been especially useful to me.

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Trading System with RSI and Stochastic Oscillator

by rcanessa

This trading system based on technical analysis combine three of the most used technical indicators. The moving average is a trend indicator and the stochastic and the RSI are oscillators used to determine when the market is oversold and overbought and the strength of the price movement, so this combination can provide safer trading signals.

Introduction

This is a simple trading technique that combines the use of the RSI, the stochastic oscillator and the moving averages. It is an easy to use strategie that can be used to trade in any market. Because this trading technique use oscillators is most commonly recommended for markets that are not moving with a strong trend as it can produce multiple false signals.

If you use this strategy in a trending market, you must open your positions until all specified trading conditions are met.

Forex Currency Pairs – Definition and Quotation

by rcanessa

What are Forex currency pairs?

In the Forex market, currencies are traded in pairs. In these pairs each currency has meaning in relation to the other, so always stick together.

The two currencies in a pair are traded against each other. The rate or price at which these currencies are traded is known as the exchange rate. The exchange rate is regularly affected by supply and demand for currencies that make up the pair.

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