05.12.2012 Post in Trading

What does a word “futures” imply? It is a derivative from English word “future”. Futures contract is a certain agreement to make a deal in the future at the fixed price. The main advantage is small start-up investments. Thus, if you buy futures, you can earn even more a bit later than when you buy stocks.

There are three types of futures: commodity, financial and stock index futures. How to make a choice? Better choose the instrument which liquidity is high enough to enter and exit the trade easily.

In order to make money while trading futures, be sure that the price is changing noticeably. Only in this case you can snatch a large sum. If the fluctuations are insignificant, you will not earn a lot.

With every year the demand for futures is increasing. For some futures contracts is a good opportunity to trade actively, for the others (as a rule seasoned traders) – a great instrument which can be used instead of stocks and can help to decrease expenses. Such kind of investment is beneficial for both bulls and bears.

Doubting if you can earn with futures? Do not hesitate, everyone can make a good profit trading futures! But do not be emotional: rely on common sense and do not invest your last penny.

30.11.2012 Post in Events

ShowFx World financial exposition took place on November 17-18, 2012. InstaForex Company was the title partner and the participant of this event. Exhibition in Kiev proved to be a great chance for introduction of company’s services and offers as well as it gave an opportunity to meet potential and current clients.

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The guests were very interested in company’s booth and asked many questions about innovative broker’s services, bonuses and ways of funds replenishment and withdrawal. Every visitor received InstaForex Club card which enables to accumulate bonuses up to 40% for every replenishment.

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Official program was accompanied by the performances of well-known specialists in the field of market analysis. The guests readily participated in discussions of speakers’ reports.
All the visitors enjoyed the solemn award ceremony of Miss Insta Asia 2012 finalists. Ekaterina Nagornaya was chosen as the most beautiful lady and got the crown together with $20,000 prize money. Five other winners shared the rest of the prize pool.

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As a part of exhibition, InstaForex raffled off valuable prizes and bonus accounts. Some of the guests were lucky to get three $500 bonus certificates, and fancy mobile devices such as iPad, iPhone, and Samsung Galaxy Ace 2.

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InstaForex Company expresses its appreciation to ShowFx World administration for high-level organization of exhibition in Kiev and also thanks all the visitors for their attention and participation in promo campaigns. InstaForex hopes to see you again at the next financial event!

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You can find a photo report here.

28.11.2012 Post in Trading

Prior to starting trading actively on Forex, the trader should consider many factors which affect the market behavior, including holidays in different countries. When trader knows the dates of major holidays, it helps him to understand the market peculiarities at different periods of time.

To begin with, Forex working schedule is very convenient: it operates 5 days a week, from Monday to Friday. The weekends are set for Saturday and Sunday, but even during these days the trading does not stop, just shrinks significantly and can be carried out mainly on major currency pairs. Apart from the weekends, Forex activity can be interrupted during public holidays which widely affect the work of the market. As far as Forex is subdivided into 4 sessions: the European, the American, the Asian, and the Pacific, and due to public holidays in different countries, the market activity is changing constantly. When there is a holiday in a country or a group of countries, the trade can be performed with a delay and at the end of the weekends the situation may turn against the trader. That is why it is necessary to pay the outmost attention to such deals.

Undoubtedly, not all public holidays are of great importance and can trigger slowdown in activity of several countries. Basically, there are just New Year, Catholic Christmas, and Labor Day. But the work does not stop completely on currency exchange and in the economic world even during such occasions: information and finance flow provide trader with a great volume of information for Forex analysis. Despite that the price of some currency pairs moves much slower, after the break is over, traders expect new changes as Forex, undoubtedly, will react to new events.

One of the key points in the recently concluded election was about how the “would be president” then would tackle the ominous fiscal cliff. But many, especially non Americans, are still unfamiliar with the term.

The term “Fiscal cliff” was an expression that was used throughout the history especially on budget talks. According to research, the earliest reference to the term was traced back in 1957, when it was used in a New York Times article about home ownership.

At present, the term denotes the effect of a number of laws in the United States which may lead to spending cuts and tax increases. The whooping $7 trillion in spending cuts and tax increases was scheduled to take place at the beginning of this incoming year, 2013, which is approximately 35 days from now. The buzz word first entered the scene during a speech by Federal Reserve Chairman Ben Bernanke to the House committee on Financial Services last February 29,2012.

Under current law, on January 1st, 2013, there is going to be a massive fiscal cliff of large spending cuts and tax increases. I hope that Congress will look at that and figure out ways to achieve the same long run fiscal improvement without having it all happen at – at one date.

The laws involved are the Bush tax cuts and the Budget Control Act of 2011. The Bush tax cuts or Tax Relief, Unemployment Insurance Reauthorization, and Job Creation Act of 2010 is an act centered on the two-year extension of the Economic Growth and Tax Relief Reconciliation Act of 2011 provisions which was intended to delay the return of tax rates similar to the Clinton administration. It was passed by the United States Congress back in December 16,2010 and was signed as law by President Barack Obama a day after. It is scheduled to expire at the start of 2013 which would result to tax increases.

Meanwhile, the Budget Control Act of 2011 is a federal statute and was signed as a law by President Barack Obama on August 2,2011 which mainly focuses on debt ceiling and deficit reduction. It is also scheduled to expire almost the same time as the Bush tax cuts and would result to spending cuts.

The two effects would lead to a reduction in the budget deficit in 2013. The abrupt deficit would then lead then to an increased recession on the same year which would greatly damage its present economic recovery.

Stephen Stevenson

After eight days of unrest, both Israel and the Palestinian group Hamas had finally agreed to call upon a cease-fire. The move was initiated by the Egypt’s new Islamist government and supported by the United States.

The conflict which had just been recently reignited by Israel’s “Operation Pillar of Defense,” resulting to numerous civilians casualties for both sides. Four years after the Gaza War back in the winter of 2008-2009. The ideal – rooted conflict can be traced way back in 1988 when the founding charter of Hamas declared for a Jihad – Holy War.

Hamas

Is an acronym for Harakat al-Muqawamah al- ‘Islamiyyah which can be literally translated as “Islamic Resistance Movement.” It is a militant fundamentalist Islamic organization who currently occupies the West Bank and Gaza. Originally, it is an alternative group of Palestinian Liberation Organization (PLO) which is founded by Sheikh Ahmed Yassin aimed in establishing a network of charities, schools and clinics in the region. But certain ideologies and circumstances had urged it to engage into several bloody conflicts with Israel.

A year after the declaration of Jihad, its founder was convicted by an Israel court for giving orders to its members to kidnap and kill two Israeli soldiers which gained him a 9 year sentence in jail. He died 7 years later from an airstrike by Israel. According to reports, the group has been targeting Israelis with suicide bombing which now tolled to 500 individuals since 1993.

The group is viewed differently depending on the audience. Israel, United States, UK, and other western countries treats it as a terrorist group. Meanwhile, Arab and Muslim nations has a different perspective regarding them. They considers them as a victim of Israeli aggression.

Israel

a formidable ally of the United States in the middle east, Israel had age-long conflicts with its neighbors. Many Muslim countries and groups had outrageously deny its existence and called for its destruction. Hamas is one of them. The military power of Israel proved to be more capable than their foes which gained them territories in the Six-Day War.

Over time, some had yielded their advocate but conflicts still ravages on. Gaza War is one of those. It is a result of an offensive measure of Israel against Hamas over the disputed Gaza Strip, a strip of coastal land on the Mediterranean sea. It resulted to more than a thousand Palestinian and 13 Israeli soldiers dead.

Present Conflict

The present conflict was temporarily halted after a truce between the two sides has been agreed upon which took effect 14:00 EDT on Tuesday. According to reports, It stopped a supposedly Israeli ground

invasion which may lead to further casualties aside from 162 Gazans and 5 Israelis dead from bombing and rocket fires. Unfortunately 37 of the present casualties are children.

Stephen Stevenson