Forex Signal Provider Forestal
February 21, 2011
Forestal seems to be another signal provider with tens of thousands of positive pips but not a single person commenting on how much pips they gained, in fact a few traders mention margin calls, which is very disconcerting about a signal provider on the front page of Zulutrade.com — I must stress you must be aware of the potential risks involved in depositing $100 and thinking you can trade full lots or even mini lots with any signal provider and not be margin called, however, looking more deeply into the stats we see another signal provider which is most likely more concerned with win percentage than approaching forex with a sound method that incurs small losses but enormous wins which may even be occasional in comparison to the amount of loses: who cares so long as the signal provider is profitable consistently and not all over the place, so to speak.
Just a snippet of comments about this signal provider (more here):
How many signal provider accounts can one man have?
In conclusion I would definitely be careful if trying to follow this signal provider, always employ stop losses for each signal provider, do not take 1000 pip draw downs with them just so your win percentage can look good too, what matters most is that your capital grows despite win percentage.
Using a VPS to Trade Forex
February 18, 2011
You may hear this term VPS thrown around quite often, what does it mena, and how does a VPS help me to trade forex?
If you are a forex trader A VPS or Virtual Private server will help you trade Forex strategies automatically. Generally you will be looking for a hosting company or service that will host a dedicated machine or virtual server that is constantly running executing trades via your trading platform. The most common platform that is used with FOREX VPS is the Metatrader 4 Platform due to its many automated systems that have been scripted for it in the past years and continues to be scripted. Depending on the package you could have your own personal dedicated server or it may be a shared server, that is of little concern especially if you are just testing it out for the first time as I recommend finding the least expensive option possible. There are several things that make a VPS a great service to use with your Forex trading as each and every trader can server via the root by and do much more than just carry out trades, they can execute, plan, and share these changes with others allowed to access the server.
There are entire companies out there that specialize in Forex VPS Hosting, catering to currency traders exclusively and are able to handle any and all situations you may provide with them with respect to your needs as a trade. Basically the major use of a Forex VPS Host is to carry out your trades for you (if you are confident enough in your automated strategy) even if your computer is off, crashes, is infected with viruses, or simply if you want to something completely normal like eat, sleep, or take a vacation. You can also simply trade off this virtual host instead of your own machine, whoever thought of hthis is a genius, even though VPS hosting itself is nothing new, but those VPS’s geared for trading are such a good idea I want to start one myself!
Seriously one of the best ways a forex trader can automatically trade the forex market 24/5 is with a forex VPS host. The cons of such a service may be the price but benefits of trading forex with Forex VPS hosts are tried and true, and I have personally been a a proponent of using a good forex VPS service to trade forex using your customer Expert Advisors or your own manual strategy, setting your stops and walking away from the machine.
You connect to the VPS through your own machine or any other computer machine in the world, it looks like another instance of Windows or Linux running, except with MetaTrader 4 so you can trade Forex, very little difference except the speed at which the VPS delivers to you the screen of its Operating system; but this has no bearing on how fast it connects to your broker’s server to carry out your forex trades.
Before you sign up for a Forex broker, make sure they support “forex VPS” or check with the FOREX VPS support which brokers they are compatible with.
Many hosts do this so I do not recommend just one, you an post them in comments if you like.
FXCM LAWSUIT?
February 16, 2011
I can’t recall the amount of times I’ve heard of a retail FX dealer in the United States being sued by a client who lost it all and wants to blame someone other than themselves. But this recent FXCM lawsuit against the biggest FX Dealer in the USA alleges much more than the usual market manipulation, it alleges fraud, deceptive marketing practices, and the kicker is racketeering! Basically on the forums we’ve heard of it all besides the racketeering charge, I’m wondering what exactly the structure of this charge looks like against FXCM in this lawsuit to begin with. I know the many details that are publicly available but I won’t repeat them over and over, a discussion on the class action lawsuit against FXCM can be found here.
As far as I can tell FXCM is not in danger of violating any major NFA or CFTC regulation except the charge of there being software manipulations which is somewhat hard to prove unless you have someone on the inside of FXCM. So I’m interested to see just how far this lawsuit against FXCM can get, how much a judge is willing to let an attorney or investigator reach into the back end of FXCM and see if the lawsuit has any teeth.
There’s a great discussion on the FXCM LAWSUIT over at these forums, let’s try to get to the bottom of this best we can from the public view. I wanted to say class action but this is literally being called a class action lawsuit with all of one plaintiff so far hoping more will come aboard, it should be interesting to watch and see if any of these allegations can be founded. I’d expect a large migration out of FXCM coffers as a result of any proof of racketeering at the most!
