Forex Trading Course

Category: glossary , Asked by: W. Stout from Buffalo, United States

A: 1. An illegal practice in which an underwriting syndicate member withholds part of a new securities issue and later sells it at a higher price. 2. The illegal activity of buying a stock and selling it before paying for the purchase. Due to the unfair advantage both of these practices give to those able to exploit freeriding opportunities, freeriding is illegal and prohibited by the Securities & Exchange Commission and the National Association of Securities Dealers.

Category: glossary , Asked by: Mckinley V. From Switzerland

A: An implication surrounding the use of time-series data in which the final statistical conclusion can change based on to the starting or ending dates of the sample data. The concept discourages using a smaller time series, as chance events are more likely to be reflected in the conclusion. When testing various investment strategies, the time-series basis can be significant. Idiosyncratic events or using a time frame that only captures certain business cycles can make certain strategies appear more profitable than they really are. To help avoid the time-period basis when testing investment ideas, one should use very long periods of sample data. For example, let's test a momentum strategy in which an investor enters a long or short position in a stock that has a rapid price increase or decrease. The investor identifies a stock to buy for the testing period. If the strategy is tested during a period where the entire market was strengthening, it could make the momentum strategy appear very profitable. However, if the profits were driven only by the conditions of the market, then the strategy would become dangerous in an economic downturn. Extending the testing period to allow full business cycles would reveal the true profitability of the strategy.

Category: general , Asked by: Josue W. From Downey, United States

A: If you're looking for site with a reliable experience, you should visit "Finexo Ltd.". Finexo Ltd. Is an online investment forex firm. Though starting off to a blushful start, and during recent past, Finexo Ltd. Has taken it's place as one of the most forcible systems available.

Category: glossary , Asked by: Cheyanne U. From Ireland

A: the "agency costs " is A type of internal cost that arises from, or must be paid to, an agent acting on behalf of a principal. Agency costs arise because of core problems such as conflicts of interest between shareholders and management. Shareholders wish for management to run the company in a way that increases shareholder value. But management may wish to grow the company in ways that maximize their personal power and wealth that may not be in the best interests of shareholders. Some common examples of the principal-agent relationship include: management (agent) and shareholders (principal), or politicians (agent) and voters (principal). Agency costs are inevitable within an organization whenever the principals are not completely in charge; the costs can usually be best spent on providing proper material incentives (such as performance bonuses and stock options) and moral incentives for agents to properly execute their duties, thereby aligning the interests of principals (owners) and agents.

Category: glossary , Asked by: W. T. From Vaughan, Canada

A: A mutual fund that has been closed - either temporarily or permanently - to new investors because the investment advisor has determined that the fund's asset base is getting too large to effectively execute its investing style. Generally, current shareholders in a closed mutual fund are permitted to continue investing in the fund, but sometimes they are also be precluded from making additional investments. A closed mutual fund should not be confused with a closed-end fund. This type of fund has a fixed number of shares, generally invests in specialized sectors, and is structured and listed as a stock on a stock exchange.

Category: glossary , Asked by: Logan Z. From Monaco

A: When monetary policy cannot entice consumers into spending more money or investing in an economy, even if monetary policy is loosened to to put more money into peoples' hands. This term is often attributed to noted economist John Maynard Keyenes. If the core demand doesn't exist to induce people to part with their money, it can't be forced through monetary policy. Trying to do so is like trying to "push on a string". Such a situation occurred during the Great Depression in the 1930s and in Japan during the late 1990s when interest rates were about 1%. This situation is sometimes referred to as a "liquidity trap" and explains why central bankers do not attempt to lower rates to levels approaching zero. To lower rates to this level would eliminate monetary policy's power to influence economic growth and consumption.

Category: technical , Asked by: Noah B. From Canada

A: If you're looking for a forex site with a reliable server connection, you should definitely go for "Xforex". Players are often content with trying to login to the site's servers. It is pretty a snap to activate the trading environment, the connection is at all times fast, and you'll encounter non of the habitual connection problems you usually have to deal with communicating with large servers.

Category: glossary , Asked by: U. Reese from Ireland

A: A technical charting formation that indicates that a stock's price has reached its low and that the downward trend has come to a close. Saucer formations will exhibit very low volume figures at the point when the stock's price was the lowest.

Category: glossary , Asked by: Z. D. From United States

A: the "daily change " is The daily change in the price of a share or other security, i.e. The difference between the most recent price of a security and the previous day's closing price.

Category: general , Asked by: V. R. From Canada

A: If you seek an outstanding foreign exchange platform, you must try "Saxo Bank". The download and installation of the system's program is uncomplicated. The connection is rapid, you never get cut off even once while you're downloading, and it is simple to understand. The platform supports many different languages. If you prefer Indonesian, Arabic, Francais or Dutch (or any other of a host of other languages), you can interface to this multilingual trading environment naturally and comfortably. Their customer service team is fantastic - they're totally responsive people. Plus, certificated and regulated by SAM, and DFSA it's one of the most secure foreign exchange platforms around.