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Sunday, February 10, 2008

Forex Confidential Risk Disclosure

Trading foreign exchange on margin carries a high level of risk, and may not be suitable for all investors. The high degree of leverage can work against you as well as for you. Before deciding to invest in foreign exchange you should carefully consider your investment objectives, level of experience, and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with foreign exchange trading, and seek advice from an independent financial advisory if you have any doubts.

Q: What is FOREX?
Forex is an interbank market that was created in 1971 when international trade ... The FOREX market is complex and volatile - it takes expert knowledge to trade in forex.
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Q: What are the advantages of FOREX?
- Forex is open 24 hours a day
- Forex is the most liquid market in the world
- Commission-free trading for more than 60 currency pairs.
- No restrictions on shorting which allows you to enjoy profit opportunities during any market condition
- No Pattern Day Trading rule
- You can day trade with very low account balances
- You can open a small account to start with. Up to 200-to-1 leverage reduces the need for large amounts of capital.
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Q: Why do you need a professional to help you trade?
The FOREX market is known as the most profitable market in the world. It is common to have monthly returns of 100% or more on your deposit. But having the potential to profit that much also means high risk for your investment if you are not careful. That’s where we come in. We are FOREX professionals and we have developed a system that will allow you to profit handsomely. It includes defined risk and suggested money management which are both required for consistent profits and capital preservation.*
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Q: What Does It Mean Have A 'BUY' Or 'SELL' Position?
A BUY (Long) position is one in which a forex trader buys a currency pair at one price and intends to sell it later at a higher price; the investor is benefiting from a rising market. A SELL (Short) position is an investment position that benefits from a decline in market price. The risk of having either long or short position is the same. For more information on this subject, please go to our knowledge center
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Q: What is pip, Stop-loss & Profit-limit?
Please go to our knowledge center for basic information on FOREX
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Q: What is your maximum stop-loss?

We use a maximum of 40 pips for stop-loss. We keep our risk to a minimum so that the losses are much smaller than the profits which ultimately results in better monthly performance. We also find that our members can relax a lot more after putting their orders in with such a small stop loss.
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Q: How much money do I need to start currency trading?
If you are a beginner you should start with very small amounts and when you are able to build up your account you can start trading with larger amounts. It is better to preserve your capital for later on, when you become more formidable market participant.
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Q: What broker do I need to have an account with?

You can have account with any broker you choose. It makes no difference at all if you have an account with any other broker than we have.
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Q: How Do I Manage Risk?
The most common risk management tools in FOREX online trading are the limit order and the stop loss order. A limit order places a restriction on the maximum price to be paid or the minimum price to be received. A stop loss order ensures a particular position is automatically liquidated at a predetermined price in order to limit potential losses should the market move against an investor's position. The high liquidity of the FOREX market ensures that limit orders and stop loss orders can be easily executed, usually with little or no slippage. However, you do not need to worry about these risk parameters as we will send these to you daily. We estimate and calculate this daily in a way that your loss is minimized while keeping your monthly profit to the maximum. However, you need to do your own money management which is the amount of money you would risk on each trade. We suggest not risking more than 1% of your capital on each trade. Our survival depends on our members making a profit. Therefore, we do our best to help and guide our members along the way.
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Q: How long do you hold the positions?
All positions open at 05:00 GMT (00:00 ET) and are valid for 24 hours. That means on the day after the signal at 05:00 GMT, the signals’ validity expires and all positions must be closed whether they are in profit or loss, unless they have already reached the target or stop loss point. The reason we chose this time frame is because we believe that the whole day market behavior can be predetermined with a higher degree of accuracy when the European & British Market Opens.
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Q: How many signals do you issue each day?
We issue a maximum of one signal for 6 currency pairs, including 5 majors and 1 cross-pair, so that the risk can be minimized by diversifying the trades. This will ultimately result in better performance and profits with much lower drawdown.
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Q: How do you handle Fridays signals?
All signals are valid for the next 24 hours. However, Friday’s signals are valid until Monday morning at 05:00 GMT. Unlike other companies, we do NOT close Friday’s signal at the end of the Friday because we believe, and it has been proven to us, that Sunday’s movement in the market is the result of Friday’s movement most of the time!
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Q: Do I need a charting service?
No you don’t need any charting tools. We provide everything that you need through the emails. You can track the trades through free charting services that most FOREX brokers offer.
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Q: Can I cancel my subscribtion? Will I be charged every month?
Unlike most of our competitors, we do not automatically renew your subscription. It expires at the end of 90 days. If for any reason, you are not satisfied with the service, simply do nothing and it will expire and you won’t be charged again. However, if you love the system and want to continue your membership, you must buy another three month worth of service.
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Q: Do you offer support to your subscribers?
Yes, we offer email support 24/7 and respond to our customer’s questions promptly. Our success depends on you making money so don’t be bashful about asking for help if you don’t understand something.
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Q: I still have more questions. How do I contact you?
Please feel free to contact us by emailing at

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