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How to use the information of the forex?

23 August 2009 177 views No Comment

In the forex market the agencies which provide investors with information and services can be divided into the following three: (1) information providers (2) banks (3) professional organizations. Although seeing from the surface,all of them  provide services for investors, but because of their different locations,they have diffrerence in the nature.

(1)The information provider

Provide investors with forex market quotes, real-time financial information and market commentary, such as: Reuters, United World, FX168.

As information providers,they should stand on the objective, fair point of view to provide investors with instant, accurate and complete financial information.The foreign exchange market viewpoint and comment only represent the views of market trends of the different institutions,rather than the information providers’ viewpoint of the market.

Information provider is only responsible for the source of information is whether reliable, and not for the content of comment is whether accurate or not, therefore recommending that investors must treat the market comment objectively and correctly in the transaction process.

(2)Banks

Provide investors with foreign exchange platform and related services, such as: Citibank, domestic banks.

For banks, individual forex business is belonging to the middle business of the bank, banks provide services to customers without any risk. However, if the banks provide customers with increased service of operating recommendations, guidance of transactions and other services, the banks will be likely to face a very large financial risk.

As the bank’s fee is direct from the customer’s transaction volume, and the banks provide customers with the proposed operation would conflict with the interests of customers. If the bank itself for the market maker, then this operation will have the suspects of  increasing the proposed amount of banking transactions or misleading customers.

The forex market is with high risks and uncertainties, if the banks provide the trading platforms to operate at the same time also provide recommendations while providing the platforms, like telling guests how to  bet in the casion. Therefore recommending that investors should treat the operation advice and transaction guidance that the bank provide objectively and carefully in the transaction process.

(3) Professional organizations

Provide investors with objective, independent, professional investment services.

Professional organizations stand on objective, fair and independent position to provide investors with professional, accurate market analysis. Customers are the “parents” of the organizations, the interests of professional organizations and the interests of investors are in a high degree of unity.

There are two ways to make money in forex market can make money:

1.Market -earn the market’s money through the trading
2. Services – through the provision of services to make customers’ money. Although the three institutions are all providing services for customers to obtain receipts, from the different market positioning and functional analysis, investors should refer to professional investment orgazizations’ analysis.

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