A Forex trader is someone who has a job in a financial institution, who gets paid for managing the investments and funds of others and add to the profits of his/ her respective clients. The Forex traders receive professional Forex trading salaries and are fundamentally ‘hired’ traders. So, a successful Forex trader is one who has learned to trade profitably, thereby increase the earnings of his financial clients and is able to satisfy them consistently.
Types of Forex traders:
A professional Forex trader is someone who knows his/ her trading and these hired professional traders are known by the timeframes they trade. They can be classified as
Position traders who deal with long-term trading and do not get really affected by the short-term swings in the market.
Swing traders whose timeframes range from a few days to few weeks. The daily timeframe and the market swings in the short-term are something that they keenly analyse and plan their trading accordingly.
Day traders as the name suggest, take one single trading session at a time and are known for an hourly analysis of the day’s trading trends and market fluctuations.
Scalpers, their timeframe is very limited and are known to trade within the lowest timeframe possible, sometimes as low as 10-15minutes.
A typical trading day:
Forex trades 24-hours a day and it is essential that a Forex trader is classified as per the timeframes due to the enormous complexity of the market. A trading day begins with turning on the trading screens in one’s system and observe the currency markets. There is always a change overnight, because bookings happen even after the trading day closes.
The day revolves around placing trade orders, and a keen observing of the central bank policies, and major/ minor industrial announcements etc., They also have a financial calendar of the economic releases and the impact that it may have on trading.
Forex professionals watch out for the important indicators which predict and guide them to make a good trading decision. There are the repainting and no repaint indicator which affect the Forex trades distinctly and are again used cautiously.
And the trading ends with a performance review session, on the many ‘hits and misses’ of the trading day.
Overall, it is a high-pressure, tedious work life and demands a lot of self-discipline and focus.
Owning a house is a dream for all and though it is a difficult and tough decision in many people`s life, we now have some very simple and flexible financial modes that let us do this without burdening us too much. Yes, here we are talking about the loans and finances that help us in making our dream a truth. There are many types of loans and borrowings that a person can go for all his needs and not just this home buying. With a betterment in the income levels and earning capacities of people employed, the banks and financial institutions are ready to assist them with what could be appropriate for them and thus try to fulfill their needs and expectations with a backup and aid.
I would like to quote my story as an example here wherein I got the assistance of a mortgage broker who helped me complete all the procedures for securing a loan and also helped me buy my dream house without any difficulty. The first thing that would hinder anybody`s dreams of buying anything is the most crucial finances and once this part is through the others would automatically fall in place. My mortgage broker in Texas got me a great deal.
I had many options before going to my mortgage broker like loans from banks, financial institutions etc but I found the assistance of these brokers better and easier than the others. This might not work right for the others and their options and preferences might differ. The major assistance from their side is linking us up with the right money lender and they also agree to complete all the initial formalities and the loan application on our behalf. They help all the borrowers with information about the various types of loans available, the one that would suit a particular person etc., all that is important and essential while borrowing money.
When you try to hire a financial adviser to help you with your financial planning, you should look out for someone who is confident. You shouldn’t hire someone only because the financial advisor’s rate is low. Here are five tips for hiring the best financial advisor.
Compare the service offerings
A financial advisor is a broad category. You should look for someone who specializes in the field you want financial advice for. For example, if you want help with your tax then you cannot hire someone who specializes in the mortgage.
Know how the advisor is compensated
If you hire a fee-only financial advisor then you need to compensate them; your insurance company or brokerage firm won’t have any role to play here. Your advisor can be compensated hourly or with investment management fees. You should openly discuss the fees with your advisor.
Look at their credentials
You should look for advisors with a Certified Financial Planner (CFP) or Certified Financial Analyst (CFA) designation. These designations indicate that the person has expertise in investments and other financial matters. They are considered to be financial planning experts.
Location of the financial advisor
A financial advisor helps you with your personal financial planning. It is better to have someone who lives near you so that you can frequently communicate face-to-face. The interaction should be personal as you are dealing with very sensitive issues.
You should take the time to find a good financial advisor who will be able to advise you on your financial matters. You should use these tips to search for the right financial advisor.
As a small business owner, you should have a sound retirement plan. There are many small investment owners who don’t save money for their retirement. But this is important because you won’t be running your business forever. Here are five retirement tips that you can use.
Calculate your living cost
You should ask yourself how much you would need to live when you go on retirement. You should calculate your living cost roughly and come up with an estimate. This way you will know how much money you need to save before you retire.
Hire a financial adviser
You can hire a financial adviser to help you with your retirement planning. You should hire someone with Certified Financial Planner (CFP) designation. You can look at various databases like National Association of Personal Financial Advisors or other networks to find a good financial advisor.
Have a diversified retirement plan
You should form a diversified retirement plan. You have four options: SEP-IRA, SIMPLE-IRA, Solo 401(k) and SIMPLE 401(k). There are many firms that sell small business retirement plans. You should understand the various retirement plans and make your decision.
Keep things simple
You should go for a diverse mix of low-cost index funds. You can invest in a fund that invests in the U.S. stock market; a fund that owns developed the foreign stock market and various emerging stock markets. You can invest in the target-date fun as well which adjusts the balance of your bond and stock automatically depending on your age.
Check out the 401(k) plans of small businesses
Some 401(k) providers target the small businesses. They offer low-cost plans for businesses that have less than 100 employees. They can help you plan for your retirement.
These are the best tips for a small business retirement plan. You should plan for your retirement early so that you can spend the rest of your life comfortably.
During tax season you need to prepare to pay for your tax. You need to plan it early and a financial adviser can help you. Here are four ways to prepare for the tax season.
Maximize tax-advantaged savings
You should maximize your tax-advantaged savings. You should try to contribute up to the maximum limit of your workplace 401(k). If one spouse has a retirement plan and the other doesn’t, then you should put the maximum toward the person’s tax-deferred growth. If you are self-employed, then you can save about 25% of your income in tax-deferred accounts.
Collect the trading gain and loss report in a secure electronic file
Your accountants will need information about your trading gains and losses. You should provide this information to a Certified Financial Analyst (CFA). If you save the files electronically, it will take less time for the CFA to make their entry. It also helps to reduce human error.
Tax-efficient investing strategies
You should place the right type of securities in the right accounts. For example, you can hold TIPS in tax-deferred accounts. This helps you to avoid an unpleasant situation. You can get tax savings from tax-loss harvesting. Your financial advisor will help you in this regard.
If you have good stocks that pose tax liability, then you can gift the stocks without tax to charities. So, the stocks won’t be part of your investment plan anymore. You can ask your advisor to help you with various gifting strategies.
Having a good strategy can help you in preparing well for the tax season. Teamwork is very important and you should carefully listen to your financial advisor all the time.