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Vlad RF

Active Trader
Aug 5, 2019
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How to Trade EUR/JPY

Author: Victor Gryazin

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Dear Clients and Partners,

This overview shares with you some important and useful information about the EUR/JPY currency pair: what it is, what trading characteristics it has, and how to trade it.

What is EUR/JPY currency pair

This currency pair is a cross rate of two popular Forex majors – EUR/USD and USD/JPY. They have already been described in our blog.

A cross rate is the price of a country’s currency expressed in the currency of another country and defined via the currency of a third one. As the latter, the US dollar is used, which is the main international reserve currency.

EUR/JPY represents the dynamics of the EU currency through the Japanese yen. The euro is the base currency of the pair, so the current price represents for how many yens one can buy or sell one euro. If the quotes of the pair go up, this means the European currency gets stronger. If the quotes go down, the euro gets cheaper against the yen.

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Ways of trading EUR/JPY

EUR/JPY is quite a universal pair, so various trading strategies are applicable to it. The most widespread ways of trading it are technical and fundamental analyses and indicator trading.

How to trade EUR/JPY by fundamental analysis

This approach means fundamental factors are analysed. Both short-term trading on important news and long-term trading on expectations of changes in the CB’s policy are possible.

Here is an example. At the beginning of 2022, due to the growing inflation the US and EU started winding up their QE programmes and gradually increasing interest rates to counter inflation. The US have already started increasing the rates, while the EU is getting ready for toughening the monetary policy.

Unlike these two, the Japanese economy has long rested in the state of deflation (the opposite to inflation), so the BoJ does not plan to increase the interest rate anywhere soon. Hence, the Carry Trade strategy has become popular again: it implies making a profit on the difference of interest rates, when a currency with a high interest rate is bought against one with a low interest rate.

Investors and traders started buying the USD and EUR against the JPY actively, hence, since the beginning of the year there has been a strong uptrend in the USD/JPY and EUR/JPY.

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Closing thoughts

EUR/JPY is the relationship of two very popular international currencies — the euro and the yen. Thanks to good volatility and a small spread, this currency pair is popular among traders. It can be traded by fundamental or tech analysis and with the help of indicators.

Beginners need to practice on a demo account first and switch to real trading only when they get a stable positive result.

Read more at R Blog - RoboForex

Sincerely,
RoboForex team
 

Vlad RF

Active Trader
Aug 5, 2019
355
0
37
42
How to Use Accumulative Swing Index in Trading

Author: Victor Gryazin

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Dear Clients and Partners,

This article explains what Accumulative Swing Index is, what signals it gives, how it is calculated and set up in a trading terminal, and, naturally, how it is used in trading.

What Accumulative Swing Index shows

Accumulative Swing Index (ASI) was invented and made popular by a famous trader, financial analyst, and creator of several other indicators Wells Wilder. He described the work of ASI in detail in his book New Concepts in Technical Trading Systems, published in 1978.

For calculating ASI, prices of the current and preceding timeframes are used – Close, Open, High, Low. The results help to assess current price dynamics of the instrument in question. The indicator appears in a separate window under the price chart and looks like one main line.

The line allows seeing the direction of the current market trend and confirms (or not) breakaways and bounces off the support/resistance levels on the chart. Growing ASI confirms an actual uptrend and falling ASI indicates a downtrend.

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How to install Accumulative Swing Index to trading terminal

Accumulative Swing Index is not among standard indicators in most trading terminals, which means to use it in MetaTrader 4, one needs to download the installation file and install the indicator. The file can be found on, for example, MetaQuotes Ltd.

This is how ASI is installed on MetaTrader 4: Main Menu – File – Open data catalogue – MQL4 – Indicators – paste the file to the folder – restart the terminal.

This is how ASI is added to the price chart: Main Menu – Insert – Indicators – User – ASI.

Accumulative Swing Index is normally used with preset parameters (variable T = 300).

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Closing thoughts

Accumulative Swing Index is a price change indicator created by a famous market guru Wells Wilder. ASI helps to determine the direction of the current market trend and can become a good support to complex technical analysis.

For trading with the indicator, divergences and confirmations of support/resistance lines breakaways can be used. Before applying the signals for real, practising on a demo account is highly advisable.

Read more at R Blog - RoboForex

Sincerely,
RoboForex team
 

RoboForex Contest

Active Trader
Jun 1, 2020
129
0
32
52
www.contestfx.com
Dear traders!

This week, the ContestFX project, as usual, will continue with the following competitions:

The 135th competition of "Demo Forex" started last week.
The 365th competition of "Week with CFD" has just kicked off.
The 499th competition of "Trade Day" will start on 15.06.2022, at 12:00.
The 413th competition of "KingSize MT5" will start on 16.06.2022, at 20:00.

If you haven't participated in our contests yet, trust me, there is nothing easier: go through a simple registration procedure on our website and get access to any of the competitons you like in just a couple of mouse clicks. If fortune smiles upon you and makes you a winner, then your well-deserved prize will be transferred to your real account and you'll be able to use it to enter the Forex market and to perform effective trading operations without investing your own funds.

Good luck!

Sincerely,
RoboForex Contest
 

Vlad RF

Active Trader
Aug 5, 2019
355
0
37
42
Fiat Currency: All One Needs to Know

Author: Andrey Goilov

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Dear Clients and Partners,

This article is devoted to the idea of fiat currency and everything behind this notion. What is fiat money? When and what for it appeared? What value does it have? Which advantages and drawbacks does it have? Answers to these questions and more are in the article below.

What is fiat money

Fiat money is the banknotes we keep in the wallet and the sums we look at happily, logging in the mobile app of our bank on the smartphone. It is not suported by the country’s gold reserves or other precious metals. It does not have any internal cost, and its face value is set and guaranteed by the state.

Today almost all popular currencies, such as the dollar and euro, are fiat. Their value is based on the opportunity to exchange them for goods and services, to be used as means of saving and account unit of the country’s economy.

Some think that as long as fiat money is not bound to any goods, a risk of inflation emerges, which, in turn, makes goods and services pricier. For example, in the times of gold standard, the amount of money depended on the amount of assets in the country’s reserves: more gold – more money.

Fiat money is substantilly influenced by the demand and trust of local people. If they stop believing in the national currency, they will reject it, and the demand for other assets and currencies will increase.

Advantages of fiat currencies
  • Fiat money is used for exchanging and storing value, which is essential for the functioning of the national economy;
  • Making fiat money is more economic than making currencies bound to certain assets;
  • Fiat money lets the government and Central bank stimulate the economy in times of crises and smooth out the aftermaths of sky-rocketing;
  • Fiat money is not a scarce or limited resource: the government can print as much as needed;
  • Central banks have full control over the supply of fiat money, which lets them manage liquidity and interest rates.
Drawbacks of fiat money

The strong economic crisis of 2008 demonstrated that Central banks cannot always hold back serious consequences of recession by directly regulating the money mass. Hence, global crises will come back from time to time, having absolutely different nature.

A currency bound to gold looks more stable compared to fiat money because of limited gold supply. Fiat money, on the contrary, has value as long as the government supports it. Tiniest problems in either economy or politics can provoke a surge of inflation.

There are examples of trying to get out of economic trouble by active money printing that le to hyperinflation and the national currency fully losing value.

Bottom line

Fiat money is not perfect as it has serious drawbacks, yet it has no better alternative that would fast and smoothly replace it as a means of exchange, payment, and value storage.

One could bring up cryptocurrencies that has been acquiring popularity recently. They are limited in quantity, its cost must be growing until the last coin is mined, and this is a victory over the inflation of fiat money. However, due to high volatility and virtuality this type of money has not yet become a full replacement for the “normal” one.

Experiments with tightly binding money to gold have not yet yielded satisfactory results either; and hyperinflation may occur to any printed currency. With all the drawbacks, however, fiat money lets the government and Central banks react timely to the changes of the economic environment and keep markets stable and makes it easier for consumers to buy and sell goods and services.

Read more at R Blog - RoboForex

Sincerely,
RoboForex team
 

Vlad RF

Active Trader
Aug 5, 2019
355
0
37
42
RoboForex: upcoming changes to the trading schedule in view of the Juneteenth Holiday

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Dear Clients and Partners,

We are informing you that changes will be made to the trading schedule due to the Juneteenth Holiday in the US.

This schedule is for informational purposes only and may be subject to further change.

MetaTrader 4 / MetaTrader 5 platforms

Schedule for trading on Metals (XAUUSD and XAGUSD), US indices (US30Cash, US500Cash, and USTECHCash), the Japanese index J225Cash, and CFDs on oil (Brent and WTI)
  • 20 June 2022 – trading stops at 7:40 PM server time.
  • 21 June 2022 – trading starts as usual.
Schedule for trading on CFDs on US stocks
  • 20 June 2022 – no trading.
  • 21 June 2022 – trading starts as usual.
R StocksTrader platform

Schedule for trading on US stocks and ETFs
  • 20 June 2022 – no trading.
  • 21 June 2022 – trading starts as usual.
Schedule for trading on CFDs on US stocks and ETFs
  • 20 June 2022 – no trading.
  • 21 June 2022 – trading starts as usual.
Schedule for trading on CFDs on US indices (US500, US30, and NAS100) and the Japanese index JPY225
  • 20 June 2022 – no trading.
  • 21 June 2022 – trading starts as usual.
Schedule for trading on Metals (XAUUSD and XAGUSD) and CFDs on oil (WTI.oil, BRENT.oil)
  • 20 June 2022 – trading stops at 7:40 PM server time.
  • 21 June 2022 – trading starts as usual.
cTrader platform

Schedule for trading on Metals (XAUUSD and XAGUSD)
  • 20 June 2022 – trading stops at 7:40 PM server time.
  • 21 June 2022 – trading starts as usual.
Please take note of the above trading schedule changes when planning your trading activity.

Sincerely,
RoboForex team
 

RoboForex Contest

Active Trader
Jun 1, 2020
129
0
32
52
www.contestfx.com
Dear traders!

This week, the ContestFX project is waiting for everyone in the following competitions:

The 135th competition of "Demo Forex" has gained "cruising speed".
The 366th competition of "Week with CFD" has just started.
500th competition of "Trade Day" will start on 22.06.2022 at 12:00.
414th competition of "KingSize MT5" will start on 23.06.2022 at 20:00.

Participation in our contests does not require any complicated actions - all you have to do is to go through the registration procedure just once and then any competitions will be available to you in just a couple of mouse clicks.

Do not miss your chance!

Sincerely,
RoboForex Contest
 

Vlad RF

Active Trader
Aug 5, 2019
355
0
37
42
How to Calculate Cost of Goods Sold: Formula and Examples

Author: Victor Gryazin

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Dear Clients and Partners,

This article is devoted to an economic index called Cost of Goods Sold: what it is, what it is used for, how it is calculated, and what accounting methods it has.

What is Cost of Goods Sold

Cost of Goods Sold (COGS) is an index that assesses the primary cost of sold goods. It accounts for the expenses on production of goods and services. Primary cost is often the second line in the profit and loss report that goes right after the earnings line. COGS helps to calculate the gross profit of a company.

Primary cost includes the main spending that have directly to do with production of goods and services:
  • expenses on crude materials and accessory, freight included;
  • expenses on wages for employees, including insurance and pension payments;
  • production expenses;
  • storage expenses.
In essense, the COGS is the cost of everything that needs to be done and bought to sell the product. However, the index does not account for indirect spending, such as on sales and marketing. Moreover, the COGS depends on the calculation method.

What COGS is used for

COGS is one of the most important indices in financial reports used for calculating gross profits. Gross profit is the difference between the earnings and primary costs and is one of the main profitability indices of the company. Thus, the COGS allows for assessing the dynamics of production spending and helps the management make well-weighted decisions.

Companies that are able to manage their spending on crude materials and workforce reasonably over the whole production cycle and to decrease the COGS when necessary, will have higher gross profits. Whereas if the company spends too much on production of their goods and services, and the COGS is too high, its gross profit will be falling.

With the Cost of Goods Sold, economists and investors can assess whether the company can manage its business efficiently. If the index grows, the net profit falls. This can be good for bringing down taxes on profits, yet the business will be less attractive for investors. So, as a rule, companies try to keep the COGS quite low and the net profit – rather high and thus more attractive for investing.

How COGS is calculated

An essential part of exact primary cost calculation is calculation and classification of goods in the inventory. This means the information needs to be updated regularly.

The task of the COGS is to demonstrate the primary cost of sales of a certain timeframe with account of what is left in stock. Indices necessary for calculations:
  • Beginning Inventory (BI) is the goods in stock at the beginning of the TF;
  • Purchases (P) for replenishing the stock;
  • Ending Inventory (EI) is the goods in stock at the end of the TF.
Calculation formula:

COGS = BI + P – EI

Example of calculating COGS


If the company has the BI = $5,000 at the beginning of the month, P = $3,000, and EI = $4,000 at the end of the month, the COGS will be $4,000.

COGS = 5000 (BI) + 3000 (P) – 4000 (EI) = 4000

Then we subtract the result from the monthly earnings and get the gross profit. Nowing the gross profit, we can find out the net profit by subtracting other expenses from the former, such as taxes.

Read more at R Blog - RoboForex

Sincerely,
RoboForex team
 

Vlad RF

Active Trader
Aug 5, 2019
355
0
37
42
What One Needs to Know about REPO

Author: Maks Artemov

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Dear Clients and Partners,

This article is devoted to REPO — Repurchase Agreements — and everything about them: their peculiarities, advantages and drawbacks, risks and how to avoid them.

What are REPOs

REPO, aka Repurchase Agreement, is an agreement on selling securities that presumes their obligatory buyback at a certain price after certain time. Such agreements let the seller loan money quite fast.

A REPO consists of two part:
  • The owner of securities sells them to the buyer for a certain term and takes on the responsibility to buy them back as soon as the term ends. The term and the sum of the buyback are agreed upon by the parties beforehand.
  • When the term ends, the buyer is to give the securities back to the seller, receiving their money plus commission fee is exchange.
As a result, a REPO has two agreements inside: an operation with securities and a forward contract.

Advantages of REPOs
  • The seller can loan money quickly on market conditions without addressing a bank. Moreover, the operation itself does not take long.
  • The buyer can make a profit on short-term placement of free cash without the risk of losing it because they get securities in exchange. If the seller refuses to buy back their assets, the buyer can sell them freely in the stock market and get back their money.
Are there risks in REPOs

One of the risks is falling of the market price of the securities that the buyer has bought. In such a case, the seller can refuse to complete the second part of the agreement and never buy back the asset.

The seller will have to get rid of the securities at a lower price and suffer losses, or leave it in the portfolio and wait for the price to grow.

Another risk is the growth of the security price, so that the buyer can refuse to give them back.

Moreover, it might so happen that at the REPO expiry the buyer will have no necessary securities available. For example, they might have sold them at a better price. The buyer may always refuse to give the asset back to the seller for various reasons including bankruptcy.

Who gets dividends from shares in REPOs

All income from the securities — dividends, coupons, etc. — belongs to the seller because they own the shares. The buyer receives the securities as a temporary guarantee. That is why the buyer must pass all the income from the securities to the seller.

Also, the agreement can have other conditions, such as the buyer can receive dividends instead of the seller but the security price will fall accordingly.

Example of REPO

A market player has 100 shares of a company, 10 USD each. At a certain point, they need money, and they find a buyer ready to buy 100 shares right now but for 8 USD each.

Signing a REPO, the buyer agrees on selling (or returning) 100 shares for 8 USD each plus 10%. When the contract expires, the seller buys their shares back at the said price. As a result they got a loan for 10% a year, and the buyer got their money back and earned 10% of the whole sum.

Read more at R Blog - RoboForex

Sincerely,
RoboForex team
 

RoboForex Contest

Active Trader
Jun 1, 2020
129
0
32
52
www.contestfx.com
Dear traders!

This week, the RoboForex company's project called ContestFX is waiting for you in the following competitions:

The 135th competition of "Demo Forex" is approaching its end.
The 367th competition of "Week with CFD" has just kicked off.
The 501st competition of "Trade Day" will start on 29.06.2022 at 12:00.
The 415th competition of "KingSize MT5" will start on 30.06.2022 at 20:00.

No complicated actions are required for participation in our contests - all you have to do is to go through the registration procedure and then any competitions will be available to you in just a couple of mouse clicks.

We wish you good luck!

Sincerely,
RoboForex Contest
 

Vlad RF

Active Trader
Aug 5, 2019
355
0
37
42
Bull Market: Characteristic and Trading Principles

Author: Victor Gryazin

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Dear Clients and Partners,

This article is devoted to the notion of the bill market: what it is, what peculiarities it has, and how to use it for trading.

What is the bull market

Bull market is a situation in a financial market when market prices are growing stably and investors are very optimistic. This term is more frequently used for the stock market yet it would be equally valid in the case of bonds, real estate, currencies, goods, and other financial spheres.

The term "bull market" describes lengthy time frames when most stocks grow stably and stock indices confidently renew highs. In other words, there is a long-term uptrend in the market: new highs and lows higher than the previous ones are set regularly. Normally, bull markets last from several months to several years.

Over history, the global stock market has passed through several such times. The longest of all started right after the mortgage crisis of 2008 in the US and ended with the COVID-19 pandemic in 2019. Over these years, the Nasdaq 100 stock index grew by more than 800%, while some popular share — by more than 1,000%.

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Characteristics of bull market

Such a state of things in the financial market quite often accompanies a growth cycle in the global economy. This is the most promising time for investors because companies and enterprises normally make a stable profit, and the unemployment rate remains low. In such times, people are ready to spend and invest more, and earnings in the stock market go up.

Main characteristics of the bull market:
  • Sustainable growth of asset prices. In the stock market context this means growth of market indices and stock prices. After minor corrections the quotes of securities and indices aim upwards again and regularly renew their highs.
  • Positive economic reports. Bull markets normally happen when the economy either starts growing after a crisis or is already strong. Interest rates are rather low, the GDP is growing, the unemployment rate falls, and companies report increased profits.
  • Demand exceeds supply. When economies are growing and the unemployment rate is low, investors try to buy and hold securities, hoping that their price will grow. A market appears that has more buyers who want to buy stocks than sellers.
  • Optimistic market players. When the stock market and economic indices grow, investors become more confident. They are more optimistic and interpret even bad news as temporary moves that can provide a better price for buying on corrections.
How to trade in bull markets

When the prices of most assets grow, it is easier to make a profit than when the market is uncertain. So here are some popular strategies for trading in a bull market.

Buy and hold

This is the most popular way to invest in a bull market: investors buy assets and hold them for as long as possible, until some evidence of the end of the uptrend appear. By this strategies, positions are held for really long — from several months to years. The longer the market grows, the more profit investors can make on their assets.

In case the investor buys stocks, they make money on their price growth and dividends from the issuer as well. Hence, securities with large dividend payments are most attractive to buyers.

The strategy also uses popular stock indices: they help diversify investments because they consist of many shares of various companies.

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Bottom line

The bull market is the gold age for investors: asset prices grow steadily, and all market players are optimistic. One can make a good profit, buying assets and holding them until they grow.

However, it should be realised that a reversal and the end to the bull market is hard to predict, so the rules of risk management are to be followed immaculately.

Read more at R Blog - RoboForex

Sincerely,
RoboForex team
 

Vlad RF

Active Trader
Aug 5, 2019
355
0
37
42
RoboForex: upcoming changes to the trading schedule in view of the Independence Day

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Dear Clients and Partners,

We are informing you that changes will be made to the trading schedule due to the Independence Day in the US.

This schedule is for informational purposes only and may be subject to further change.

MetaTrader 4 / MetaTrader 5 platforms

Schedule for trading on Metals (XAUUSD and XAGUSD), US indices (US30Cash, US500Cash, and USTECHCash), the Japanese index J225Cash, and CFDs on oil (Brent and WTI)
  • 4 July 2022 – trading stops at 7:40 PM server time.
  • 5 July 2022 – trading starts as usual.
Schedule for trading on CFDs on US stocks
  • 4 July 2022 – no trading.
  • 5 July 2022 – trading starts as usual.

R StocksTrader platform

Schedule for trading on Currency pairs
  • 15 April 2022 - trading stops at 7:40 PM server time
  • 18 April 2022 - trading as usual.
Schedule for trading on US stocks and ETFs
  • 4 July 2022 – no trading.
  • 5 July 2022 – trading starts as usual.
Schedule for trading on CFDs on US stocks and ETFs
  • 4 July 2022 – no trading.
  • 5 July 2022 – trading starts as usual.
Schedule for trading on CFDs on US indices (US500, US30, and NAS100) and the Japanese index JPY225
  • 4 July 2022 – no trading.
  • 5 July 2022 – trading starts as usual.
Schedule for trading on Metals (XAUUSD and XAGUSD) and CFDs on oil (WTI.oil, BRENT.oil)
  • 4 July 2022 – trading stops at 7:40 PM server time.
  • 5 July 2022 – trading starts as usual.

cTrader platform

Schedule for trading on Metals (XAUUSD and XAGUSD)
  • 4 July 2022 – trading stops at 7:40 PM server time.
  • 5 July 2022 – trading starts as usual.
Please take note of the above trading schedule changes when planning your trading activity.

Sincerely,
RoboForex team
 

RoboForex Contest

Active Trader
Jun 1, 2020
129
0
32
52
www.contestfx.com
Dear traders!

This week, the ContestFX project will continue, as usual, with the following competitions:

The 136th competition of "Demo Forex" and 368th competition of "Week with CFD" have just started.
502nd competition of "Trade Day" will start on 06.07.2022at 12:00.
416th competition of "KingSize MT5" will start on 07.07.2022 at 20:00.

If you don't have enough money to start operating in the Forex market, take part in our demo contests and if you win, you will get prize money to your real account that will enable you to perform trading operations and make profit without investing your own finances.

Good luck!

Sincerely,
RoboForex Contest
 

Vlad RF

Active Trader
Aug 5, 2019
355
0
37
42
Bear Market: Characteristics and Tradings Principles

Author: Victor Gryazin

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Dear Clients and Partners,

This overview is devoted to the bear market, its signs, and several popular trading strategies at the bear market.

What is bear market

The bear market is the state of the financial market when asset prices are falling steeply, and investors are nervous or even panicking. The notion usually characterises the stock market, but can also be used for the currency, commodity, crude materials, and real estate markets, as well as other branches of economy.

The bear market is the direct opposite to the bull market we have already told you about. During this phase, the prices of most stocks are falling, dragging behind stock indices. In other words, there is a downtrend: new lows are set regularly, and small local highs turn out to be lower than the previous ones.

Unlike bull markets, bearish ones last rather short – on average, from six months to two years. However, they are characterised by increased volatility – prices might be falling very fast. The main reason for the market to become bearish is a crisis in the global economy that involves the decline of all main macroeconomic indices.

Previous such period lasted for about six months and was provoked by the pandemic of COVID-19 in 2020. When the crisis was over, times of active growth (bull market) followed, coming to an end in January 2022. Now we are in another bull market, created by the decline of indices of the global economy due to the geopolitical situation and fast growth of prices for energy carriers.

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How to detect bear market

The beginning of an economic crisis, swift growth of prices for energy resources, various bubbles bursting in the stock market — these are the main reasons for the bear phase to start. At these times, the market is pessimistic and panicking; investors try to withdraw money from high-risk assets and thus save their capital.

Main signs of the bear market:
  • Fast falling of asset prices. In the stock market, stock indices and share prices fall. A rough landmark at which the bear market begins would be the phase where main stock indices lose 20% of their recent highs.
  • Negative economic reports. Inflation and unemployment grow, the GDP is falling, threatening a recession (negative GDP), companies suffer losses.
  • Pessimism and panic among market players. Investors try to sell shares as fast as possible lest they fall too much and put money in cash or bonds, gold and other protective assets.
How to trade in bear market

Such times are no doubt scary for investors: no one ever wants to see the price of their portfolio fall. On the other hand, chances appear to make money work in the long run while shares are traded with a big discount. One can even make a profit on short-term sales, or simply shorts. Let us take a look at several popular strategies for trading in the bear market.

Withdrawing cash and hedging

Experienced investors can use special protective instruments for hedging their portfolios. The idea is to use futures, options, or other instruments that yield a profit at a falling market. However, hedging might cost a lot and requires a high level of financial literacy.

The simplest and most available way to keep one's capital safe when asset prices begin to fall is withdrawing cash. Cash is the safest haven; one can wait for the crisis to end transferring their capital into one or more safe currencies — the US dollar, Swiss franc, or the Japanese yen. As soon as the acute phase of the crisis is over, and the market starts reversing upwards, the investor may start to buy shares again. Their money is safe, while asset prices might turn out really appetising.

Playing short

In the falling market, one can make money on short positions, selling assets at higher prices than they buy them. If the investor does not have the shares of the company they need, they can address a broker and borrow them. Then they can be sold, bought after they fall at a lower price, and returned to the broker with a profit on price differences. Stock indices can be sold via futures, options, or CFDs.

A short position is naturally short-term: the trader sells the asset and holds the position open for several days or weeks. The goal of such a trade is to catch the declining wave and take the profit at the beginning of an upward reversal. Such trading requires the experience of active trading, the skill of using tech analysis instruments and indicators, and strict following of risk management rules

Read more at R Blog - RoboForex

Sincerely,
RoboForex team
 

Vlad RF

Active Trader
Aug 5, 2019
355
0
37
42
RoboForex’s giveaway for $1,200,000 has started!

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Dear Clients and Partners,

Take part in our tremendous promotion to celebrate RoboForex’s 12th anniversary! Each month from July 2022 through April 2023, we will give away money prizes among our clients, partners, and CopyFX Traders.
  • 640 prizes for $1,200,000
    They will be raffled over 10 months.

  • 64 winners each month
    The prize fund for each giveaway is $120,000.

  • Prizes up to $20 000
    Withdraw your prize from your account right after you win or use it in trading – the choice is yours.
How to take part?

Get Coupons every month for fulfilling conditions of the promotion. You may take part in giveaways each month and get Coupons in all 3 categories at once.
  • For traders with Prime accounts
    Trade on the best conditions: spreads from 0 points, commissions from 10 USD per 1 million USD of trading volume, leverage up to 1:300.

    Conditions for receiving a Coupon:
    • Deposit at least 300 USD to your account
    • Perform at least 3* lots of trading operations per month

      * - Only the positions in currency pairs and metals opened in the current month are taken into account.


  • Partners
    Attract clients to trade and receive up to 84% of the Company’s revenue.

    Conditions for receiving a Coupon:
    • Partner commission at month-end is at least 300 USD

  • CopyFX Traders
    Earn on your strategies at CopyFX and increase your chances to win a prize.

    Conditions for receiving a Coupon:
    • Make the Top 30 of the best CopyFX Traders on Prime accounts in the current month

Coupons are already being given!

Join in the promotion and take part in giveaways each month. Good luck!

More about the promotion


Sincerely,
RoboForex team
 

RoboForex Contest

Active Trader
Jun 1, 2020
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0
32
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www.contestfx.com
Dear traders!

This week, the RoboForex company's project called ContestFX is waiting for you to participate in the following competitions:

The 136th competition of "Demo Forex" has gained "speed".
The 369th competition of "Week with CFD" started today.
At 12:00, July 13th, 2022, starts the 503rd competition of "Trade Day".
At 20:00, July 14th, 2022, starts the 417th competition of "KingSize MT5".

Let us remind you that all winners of our contests receive funds to their real trading accounts, and they can use them to perform trading operations on the Forex market without investing their own financial savings.

Good luck to all traders!

Sincerely,
RoboForex Contest
 
Last edited:

Vlad RF

Active Trader
Aug 5, 2019
355
0
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RoboForex has updated the R StocksTrader web platform and mobile application

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Dear Clients and Partners,

RoboForex is constantly improving its multi-asset web platform and mobile application for trading. We’re delighted to offer you more details about new features and useful tools that are already available in R StocksTrader.

What’s new about R StocksTrader?

  • Home screen

    The app’s home screen offers important information for a trader to follow: lists with popular and recently-viewed assets, financial data for an account, and upcoming dividends.
    Another useful feature that is now available to users is sets of the instruments which can be used for long/short-term investments.
    In the “New to the market (IPO)” section, you can find CFDs on stocks of the companies that went public in the last 6 months.

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  • Over 20 specific watchlists

    Looking for popular instruments in different categories is now easier – lists with all suitable assets are combined into convenient watchlists: “Invest in China”, “Invest in Volatility”, “Invest in Gold”, and others.
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  • 500 new instruments

    These include such popular assets as Beyond Meat Inc (BYND.ny), Didi Global Inc. (DIDI.ny), and Spotify Technology SA (SPOT.ny).
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  • Enhanced interface

    We’ve improved the app navigation and search screen for available assets.
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  • Updated trading statement design

    We’ve revised the trading statement design and added monthly/yearly periods.

  • Extended trading sessions

    A new trading schedule for US30, US500, and NAS100 – from 3 AM to 11:15 PM, and GER40 – from 9:05 AM to 10:55 PM.

Trade over 12,000 instruments from a single R StocksTrader account!






Sincerely,
RoboForex team
 

Vlad RF

Active Trader
Aug 5, 2019
355
0
37
42
RoboForex: important information in view of Alphabet's stock split on 18 July 2022

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Dear Clients and Partners,

On 18 July 2022, Alphabet will have its stocks go through a split. A stock split is a corporate action, as a result of which the company increases the number of issued shares by a specific multiplier and reduces the value of each share by the same multiplier.

Google will conduct a 20-for-1 stock split (1 share will be split into 20).

How will this affect positions and orders?

If you have open positions in Alphabet shares or plan to open such positions, please pay attention to the following changes, which will be effective as of 18 July 2022:

MetaTrader 4 / MetaTrader 5 accounts

The split procedure will take place on 18 July and will be completed prior to the US Stock session's start at 16:30 hours (server time).

  • All pending orders (Buy Limit, Buy Stop, Sell Limit, Sell Stop, Buy Stop Limit, Sell Stop Limit, Stop Loss, and Take Profit) in GOOGL will be cancelled.

  • For positions in GOOGL, the opening price will be divided by 20.

  • The volume of each open position in GOOGL will be multiplied by 20.
Please note that if you are using an Expert Advisor (EA), we suggest that you check with its developers whether its code needs any modifications to ensure the correct interpretation of the price data after the stock split.

R StocksTrader accounts

The split procedure will take place on 18 July and will be completed prior to the US Stock session's start at 16:30 hours (server time).
  • During the split procedure, all active pending orders (Buy Limit, Sell Limit, Stop Loss, and Take Profit) in GOOGL, GOOGL.nq, GOOG, and GOOG.nq will be cancelled.

  • For positions in GOOGL, GOOGL.nq, GOOG, and GOOG.nq opened before the split, the opening price will be divided by 20.
  • The volume of all open positions in GOOGL, GOOGL.nq, GOOG, and GOOG.nq will be multiplied by 20.

  • All positions in any of these instruments in the same direction and on the same account will be combined into one new position. This new position will have the opening price and a volume based on an average weighted price of all positions held before the split.

The historical charts in your trading terminal will be updated to reflect the new prices of the above-mentioned instruments.

All other aspects of trading conditions shall remain intact. Please take this information into account when planning your trading activity.

Sincerely,
RoboForex team
 

Vlad RF

Active Trader
Aug 5, 2019
355
0
37
42
RoboForex received two prestigious global awards

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Dear Clients and Partners,

RoboForex is constantly working to enhance its services so that you can operate in the financial markets as comfortably as possible. We’re delighted to inform you that two of the company’s products have been praised by the professional community, thereby adding more awards to a great many accolades earned by RoboForex.

Two global wins for RoboForex

The company won the award for "Best Mobile Trading App (Global)" at the Global Forex Awards - B2B 2022 and received the “Best Prime Trading Account (Global)” title at the Ultimate Fintech Awards 2022.

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Trade with the market leader
  • The best conditions in the industry

    With Prime accounts, you can invest with spreads from 0 pips, leverage up to 1:300, and an order execution speed from 0.1 seconds.

  • Over 12,000 instruments

    Stocks, Indices, Cryptocurrencies, Metals, and other popular assets are available for trading.

  • Advanced mobile solutions

    The R MobileTrader application developed by RoboForex has been highly appreciated by the professional community for the third year in a row.



Sincerely,
RoboForex team
 

RoboForex Contest

Active Trader
Jun 1, 2020
129
0
32
52
www.contestfx.com
Dear traders!

This week, the ContestFX project will continue with the following exciting competitions on demo accounts:

The 136th competition of "Demo Forex" has reached its "equator".
The 370th competition of "Week with CFD" has just started.
504th competition of "Trade Day" will start on 20.07.2022, at 12:00.
418th competition of "KingSize MT5" will start on 21.07.2022, at 20:00.

Taking part in our contest will require a one-time registration procedure, and the winners who receive prize money to their real accounts will be able to use it to make profit in the Forex market.

We're looking forward to your joining in and wish you good luck!

Sincerely,
RoboForex Contest
 

Vlad RF

Active Trader
Aug 5, 2019
355
0
37
42
What Is Inflation: Reasons and Consequences

Author: Victor Gryazin

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Dear Clients and Partners,

What is inflation? What are the reasons for it? How does it influence the economy, and what methods are there to control it? In this article, we will try to answer these questions. Let us get started.

What is inflation

Inflation is the index of general growth of prices for goods and services. When prices grow, a unit of the national currency can buy fewer goods and services. Hence, inflation facilitates a decrease in the purchasing power of money. The opposite of inflation is deflation, which is a stable decline of the prices for goods and services.

In other words, inflation is the speed (expressed in pecent) of the growth of general price levels for goods and services. Inflation levels demonstrate how high prices have grown in the country over a certain timeframe. Inflation leads to an increase in the prices for various assets over time. The higher reaches inflation, the more prices grow.
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How inflation influences economy

Inflation can be either a negative or positive phenomenon depending on the speed of its growth and other events in the economy. Excessive inflation is considered bad for the economy, yet no inflation at all is also a negative event. Most economists consider stable inflation of 2% a year optimum.

Here is how inflation influences the economy depending on its speed:
  • Moderate inflation is under 10% a year, and thanks to being predictable and controllable it supports sustained growth of the economy and does not lead to abrupt depreciation of the national currency.
  • Galloping inflation is between 10% and 100% a year. It has a negative influence over the country’s economy. Producers of goods and services prefer binding prices to some stable and convertible global currency. People try to save their money by investing it in various material goods: cars, household appliances, real estate – thus heating up prices additionally.
  • Hyperinflation is especially high, above 100% a year. Quite often such inflation can be a consequence of acute political crises or wars that demand decisive actions from the government. This can totally destroy the turnover of goods and cash and the whole financial system of the country due to the loss of trust in money.
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Methods of controlling inflation

The financial regulator of the country bears the responsibility of fighting back inflation. This is done by certain measures of the credit and monetary policy. Here are the main methods by which Central Banks can influence inflation.
  • Deterrent credit and monetary policy is nowadays one of the most popular ways of controlling inflation. The goal of such a policy is to decrease money supply in the economy by increasing the interest rate. This helps to cool down the economy, making credits pricier and thus decreasing spendings of consumers and companies. The CB can sell securities in the open market, increse reserving norms for commercial banks, and apply other measures of selective credit control. Increases in the interest rate have a bad influence on the stock market but facilitates growth of the national currency.
  • Financial measures. They include increased control of state expenses, private expenses, private and state investments. Tax regulations also belong here: the tax system must provide stimulation to those who save, invest, or produce more.
  • Price control. Another efficient measure of conquering inflation is increasing production and controlling prices for goods from the basic basket, such as food, clothes, fuel, etc.
Closing thoughts

Inflation levels show how high prices have grown for certain goods and services over s certain timeframe. To assess inflation, several indices are used (CPI, PPI, WPI). Moderate inflation enhances economic growth, while high inflation have a negative influence on the economy. Control over inflation is carried out by the Central Bank; the main controlling measure is toughening of credit and monetary policy.

Read more at R Blog - RoboForex

Sincerely,
RoboForex team