FOREX Trading Education: Wise Women Winning (WWW) In FOREX


FOREX Trading Education: Important Beginner's Class That Will Surely Help You..!

We will be commencing Our Class with The Understanding of NON FARM PAYROLL (NFP) which is An Important Fundamental Aspect of The Economy of The United States of America (USA) which is Less Talked or Taught About Online.


This is Important Because We The USD Pairs are Mostly Traded By Millions of People around The World.



Let's Roll On.

Non Farm Payroll (NPF):

WHAT IT IS ?

AND WHY IT MATTERS!



Non Farm Payroll (NFP) is one of The Biggest News that A Few Expert Traders await on.

Let's start with understanding what NFP is

Let's talk about what the News entails.






This is a News released by the United States of America.

Among all the news released by the US, this is the highest because it causes the most Volatility in the market.

It's a News that contains various data and statistics released by the US Bureau of Labor and Statistics.



It's very influential as an indicator of US Economy because of the US Federal Reserve makes monetary policy decisions based on this data.


Hence - Investors, Financial Analysts, Forex traders, Stock traders make trading decisions with the News




It is released every 1st Friday of the Month by 8:30am EST

ie 12:30pm GMT



IE 12:30pm Ghana time

ie 1:30pm Nigerian time

ie 2:30pm South Africa time

Etc

Just Calculate according to your Time Zone.

The data released include:

1). Non Farm Payroll increase:


This is the number of new jobs added in the US labor sector in the previous month.



These data includes employment in the manufacturing sector, Construction sector, Goods sector etc


Excluding Farm workers (hence the name), NFP NEWS Release also exclude Private Household Employees and Non Profit Organizations.






It also includes



2) Unemployment rate of the US:


3) Which sectors of the economy, these jobs were added mostly


It gives investors and traders where are the possible sectors to invest in as the sector that added more jobs would be most likely to have experienced growth.

4). It also includes the Average hourly earnings of the workers in the US:

This is also an Economic indicator because even if the number of workers didn't change.

But however their earnings increased...

It would have the same effect as if their number increased


Same also could be interpreted in reverse, if their earnings reduced.





5) Lastly the data includes a revision of previous non farm payroll:


Because investors compare these values together....


Whether there has been an improvement or reduction.

This also gives you an idea if the economy is growing or reducing

Let's get to how to interpret the data


INTERPRETATION OF NFP:


So when more jobs are added, it means that Business ventures are growing and remember that the newly employed would be paid....

Hence more people would have money to spend on goods and services hence increasing the growth of the economy.




However,

When the number of jobs added are reduced.
The reverse occurs... People won't have money to spend on goods produced and services...
Hence - dwindling the economy.



Also The Government hof USA has an amount of money paid to the unemployed on A Monthly Basis.


When more jobs are added, more people would be employed.

This reduces the unemployment rate, as the unemployed citizens reduce, less money leaves The Government's Treasury, Hence Boosting The Economy.

Essentially;


These are The Important Factors That You Need to Learn And Note About NON FARM PAYROLL (NFP) NEWS RELEASE.

Importantly, They also Drive The Fundamental Bias of USD Pairs All Through The Entire Month As Objectively Observed By SWING TRADERS.

This is The Reason The NPF NEWS is Always Released On The First Friday of Every New Month.

Let's move on to the next form of Analysis


The other form of Analysis is
TECHNICAL ANALYSIS


This form of Trading is when you Analyse the Market using Indicators, Charts Patterns , Candlesticks, Fibonacci, Support and Resistance, Pivot Points, Elliott waves etc


When you use any of the above to analyze the market, It's called Technical Analysis.


Majority of what we listed on the Course outline are Technical Analysis.


It's the most popular Form of Trading....

This is because High Volatile News is not released Everyday so you can't just depend on Fundamental Analysis alone.

Everyday can't be Christmas 🌲





So Importantly; As a FOREX Trader, You must learn how to trade the market using Technical Analysis.

Among the 2 major Forms of Analysis (Fundamental and Technical Analysis) -

No one is superior to each other and also no one is used in Isolation.

So you would learn as we move on - how to harmonise the two to constantly keep you on top of your FOREX Trading Adventure.


The next topic on our outline is CURRENCY PAIRS


We are now entering the Practical Section of FOREX where you all would be seeing what we do online.

For this Next Section we would be needing our MT4 or MT5 App

Some of You Already Have These Apps Installed on Your Devices. For Those of You Who Don't Have Them; You can download them from Playstore or App Store Depending On The Kind of Device That You Use.



We would be starting from that topic tomorrow. Same Time By 6:00 PM (Nigerian Time).


We have Kenyans, Ghanians, Cameroonians and People from Other African Countries reading through this.


Hence, Ensure To Stay Abreast As You Mastermind The Difference Between EST and GMT As You Factor in Our Respective Country Time Zones.



Thanks For Your Time.



If You have Any Question, Do Ask Them on here so You get Your Apt Responses.



CIAO
And
Cheers

To THE BETTER AND OCTOMATED LIFE.







~ THE MESSIAH OF AFRICA (TMOA) Reporting...
All The Way From UGEP, YAKURR, CROSS-RIVE STATE.

Continuing in Less Than 1 Minute.


DAY 2:


FOREX Trading: Technical Analysis

Today, We are going to look at the Next Topic on our FOREX Trading Outline.



We would be starting with :


CURRENCY PAIRS






Download the app if you haven’t.






For this part to be more interactive...

We would all need to open our MT4 or MT5 App


We are getting into more Serious Business Right Now.


I Believe Some Wannabe FOREX Traders have Successfully Opened Their Demo account and has Located the CURRENCY PAIRS page just like I outlined in the Yesterday.

If you haven't; Utilize Our images as Guides for now.


After The Lectures, We Would Address Setting Up Demo Accounts For Those Who Are Yet To Set Up Their Demo Accounts.

For Those that have Logged in, You would see where Currency pairs are listed, Like in the image Below.


Even if it's in a different format, Don't worry.

The most important thing for now is that What You are seeing in The Image Below are "Currency pairs".

We would address the Formats later.



For Now, Let's fire on to List Some of The Popular Currencies That are being Traded in The FOREX Market.



EUR..... EURO

USD.... US DOLLARS

GBP.... GREAT BRITISH POUNDS

CHF...... SWISS FRANC

NZD.... NEW ZEALAND DOLLARS


AUD..... AUSTRALIAN DOLLARS

CAD.... CANADIAN DOLLARS


JPY.... JAPANESE YEN

CNY..... CHINESE YUAN

etc


These are some of the list of Popular Currencies traded on the FOREX market.


With Their abbreviations and Full meanings.



As u observe on your MT4 or MT5:
It's mostly written as their abbreviations



Now,


If you Look at those Currencies listed Below Here; You would discover that they are listed in pairs.



Among These Pairs of Currencies:

The First Currency within the pair is called:

THE BASE CURRENCY


WHILE

The Second Currency within the pair is called The QUOTE CURRENCY


Let's note these down.


An important thing to note here is that

The Base Currency is always stronger than the Quote Currency.

(with few exceptions and we would see why soon)

In The Example Below:

USDJPY




USDollars is the Base Currency while Japanese Yen Is the Quote Currency.
..



And Factually; The USD is Stronger Than The Japanese Yen.

Also Beside each of those pairs...

You would see some set of Numbers written by the side...

Just focus on the first number for now





Let me use a Local scenario to give you guys an example


If you have a Currency pair Between USD and Naira


i.e
USD/NGN @ $1/950 Naira


This is first telling you that USD is stronger than Naira, Hence USD is The Base Currency and Naira the Quote Currency.



The numbers you see beside The Currency Pairs Signifies To You: How many Units of The Quote Currency You would need to get 1 Unit of The Base Currency.


Let's note the above statement down,


To Buttress This Point:


Here is What You Need To Know:

The Most Important Thing it's telling you is How Many Quote Currencies You Need to get 1 Unit of the Base Currency.


So in this case, You would need 950 Naira to be able to get 1 USDollar.


So that is what that number by the side of All Currency Pairs Always Interpretes To You.


How many Quote currencies do you need to get 1 Unit of the Base Currency


I believe this is clear.

I will give another example on the Chart to make it more clearer.

Let's Take a Look at GBPUSD....

In The Image Below:

It's Currently at 1.21953


It's Currently Saying that You would need 1.21953 USD to be able to obtain one GBP.

Like I Told You All Earlier - That the Base Currency is Mostly Stronger Than The Quote Currency.


However;

There are occasions in which The Stronger Currencies are written as The Second Pair.



Examples include:

AUDUSD

US Dollars is Stronger Than Australian dollars



NZDUSD

US Dollars is Stronger Than NewZealand Dollars.




EURGBP

Pounds is Stronger Than Euro.





You always know them because they start with Zero Point Something written beside them.



Now when you see these Few Exceptions..

Don't bother too much about why the Weaker one is written First even though it's quite glaring that the Quote is stronger.





What you just have to do is to take note of them,
It doesn't affect your trades.

It's just for the Knowledge sake, so note them down.

They are the pairs I listed above.




However Apart from those few exceptions


Generally in FOREX...

The Base Currency is Always Stronger Than The Quote Currency.


Also, No Matter which one is written first


Always Know That The Price You see beside it is How many of the Quote Currency You would need to get 1 Unit of The Base Currency.

Now This is where people always get confused.... Because those who taught them used the wrong semantics




You BUY WHEN YOU KNOW THAT THE MARKET WOULD GO UP.


WHILE


You SELL WHEN U KNOW THAT THE MARKET WOULD GO DOWN.


We will now move to Another Very important Part of FOREX.


You Should Read Up Closely Here:


This is where many people Always Ask Questions


However, For Your Foundation To Be SOLID in FOREX , You Need to Grasp This Concept.


If you notice, I carefully labeled WOULD.


I Didn't Write:

You Buy When The Market is Going Up.


Assuming I Wrote This Statement Above; I would still be correct but you would get more confused


You would start asking, Who buys any item when its Price is going Up ?





Now - As Usual, I would use a Local scenario To Explain This Topic, by the time I'm done;

This seemingly complex concept - would look Very Easy to You.


Believe me, nothing is hard in FOREX Trading.


Just tell yourself that if Very Young Boys who are not even Half as Educated as You can Trade The FOREX Market Successfully; Then - You Can Also Succeed in FOREX Trading.





So Let me explain to You All...

What We are actually doing in FOREX in very simple terms.

Just follow me here closely.


If you are doing anything else, just focus from now onwards.

Let me use this Analogy to explain what I mean.

For those of you who are not Nigerians.

I would use 2 names in this Brief Analogy:

Name 1 : BUHARI (He is the Former President of Nigeria)

Name 2 : JONATHAN (The Previous President Before BUHARI)


Now, Let's get to the Analogy so as to understand in a layman's way how FOREX actually works.


When Jonathan was in power.
Dollar was at a time around 180 Naira to 220 Naira
Let's just take the average and say 200 Naira.

When Buhari entered power... Some of you would recall that around 2016 , at some point Dollar shut up to 500 Naira per one.


Assuming You knew Dollar would appreciate against Naira like this and u had 2 Million Naira lying fallow in the Bank account, You knew from your experience as a FOREX Trader that uncertainty in Government weakens a currency pair and you used this your 2 million and bought dollars and kept in 2015.


It would give you about $10,000.


Now 1 year later, Dollar just escalated to 500 Naira per dollars.

And you went to the Bank, cashed out your $10,000 and exchanged it back to Naira.

It would now yield U 5 Million Naira (remember u just stocked 2 million Naira).
That means u made 3 Million Naira Profit.




Now Ask Yourself .....

Did you use that 2 Million Naira to do any Business.?

The answer is NO

You practically did nothing,

What just happened right there was FOREX.


You leveraged on The fluctuations in the Price of Dollar to Naira to make yourself Money.
Without Doing anything. You just sat at home while the Foreign Exchange market did the job for You.

Now ask Yourself .....

Did you use that 2 Million Naira to do any Business.?

The answer is "NO".

You practically did nothing,

What just happened right there was FOREIGN EXCHANGE (FOREX)


You Leveraged on the fluctuations in the Price of Dollar to Naira to make yourself Money.
Without Doing anything.

You just sat at home while the Foreign Exchange market did the job for You.



This is basically what we do in FOREX...

This is not the normal market in Oshodi or Idumota or Accra mall that You Buy and Sell Clothes.


For some that would ask what are you Buying and Selling ?




This is just a raw Analogy, because in FOREX market - it's even more interesting.

You don't have to wait for 1 year or months to make Money.

These Currencies are Constantly Fluctuating in minutes (what is usually referred to as Volatility) . So, it's those opportunities caused by these Fluctuations in The Price of one Currency with respect to another that FOREX Traders make their money from.


Because they happens Daily.

That's why Banks would never allow you to learn FOREX.

They prefer You come to Their Banks and Fix the money for meager interest rates.

To even shock you, Investment Banks contribute more than 70% of the total Liquidity in FOREX, They use your Money to Trade.
Drive Big cars and Live in Big Houses and give you peanuts as interest or meager amounts As Salary .



So In the Above Analogy..


You would notice that You didn't really Buy or Sell any real commodity to make money.



You took advantage of the change in Exchange rate to make money.





So why did you Buy USD/NGN ?

In the above scenario

You Bought USDNGN because you knew before hand that the value Would Rise


Take note of The Word: Would

So - In Summary


We have seen that We Buy When we know A currency Pair Would Rise.


And We Sell

When we know a Currency pair Would fall.


The Big Question is how do we know when it would rise and when it would fall ?


This is What Technical Analysis would tell you.



Candlesticks

Fibonacci

Indicators

etc

We are going there.

Just follow me step by step.

Thanks for tonight class.





This brings us to the end of Stage 1.

We will continue with the MT5 interface and Stage 2 from Tomorrow.





Any Questions for Now ?

DAY 3:

Our FOREX Class Continues.




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TODAY MARKS THE REAL BEGINNING OF YOUR FOREX JOURNEY:



IF YOU HAVE NOT BEEN FOCUSED BEFORE , PLEASE START FROM TODAY.

ALL WHAT WE HAVE BEEN DOING SINCE IS INTRODUCTION, TODAY WE ARE STARTING THE MAIN FOUNDATION.

If You Want A Compilation of Our 3 Days Class on PDF.



Feel Delighted To Reach Out for Your Copy.

👇🏽

We are Starting with the Topic:

WHAT IS A PIP ?

PIP IS THE BEDROCK OF EVERYTHING, I REPEAT EVERYTHING WE ARE GOING TO BE DOING IN FOREX.




If you miss the Concept of Pips here, believe me your foundation is going to be shaky all through your FOREX Journey.


Currencies are gauged in pips,

Trade orders are placed in pips,

Profits are calculated in pips.



Practically everything we are doing in FOREX involves Pips.

So take your time to understand this very Important topic.

Now, Let's Fire on.


A PIP is the smallest unit in which A Currency pair can change.


It can also be said to be a standardized unit and the smallest amount by which a currency pair in forex market can change.




Now, Let's now get to how to Calculate it


This is where I need maximum concentration from You ALL.
..

If you are distracted before now, please stay focused from now onwards.



It's just like the CELL of FOREX.


Though as You go further, You would learn that there are smaller versions called micropips..



But let's not get anything complicated for now.


For most currency pairs in Forex, We start Calculating the pips from the 4th decimal place.


However there are few exceptions..

We would start with the general ones, before we go to the exceptions



Follow Up Closely.

So Before I start , Let me repeat:

The Pip is being calculated starting from the 4th decimal place.

So ignore that number superscript beside all the pairs.

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