New Russian Forex Broker with MetaTrader 4

IncoNeon is the latest Forex company that was added to EarnForex.com broker listing. It doesn’t yet have any reputation but it’s marketed quite aggressively. There is no regulatory information available about them, but it looks to be a Russian company. They offer $10 minimum account size (it’s a promotional minimum, the usual is $100) with the credit leverage up to 1:200. IncoNeon offers mini/micro-Forex trading and their IN Trader platform (a brand version of MetaTrader 4). But for some odd reason their website domain is registered only until October 2010 — that’s not very serious for the brokerage business. Other features of this broker are:

  • Forex, CFD and futures are available for trading.
  • Trading contests with real cash prizes.
  • WebMoney is accepted as a payment method along with the wire transfer and credit cards.

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MetaTrader 4 platform with ECN execution – FXOpen.

Posted on Forex blog.

Do You Use Carry Trade?

Carry trade is a popular trading strategy that is based on buying a high-yielding asset with the low-yielding asset, so that the cost of loan is less than the yield of the asset you’ve bought. In Forex, carry trade is based on buying a currency pair with a high positive interest rate difference (swap) or selling a currency pair with a high negative interest rate difference. The good current examples of the long carry trade pairs are AUD/JPY, ZAR/JPY, HUF/JPY and of the short carry trade pairs — USD/ZAR and USD/HUF. Often such trades yield not only the interest rate difference but also a normal position profit based on the buy/sell price difference; this happens when the market becomes driven by the carry traders. But this strategy is also quite dangerous as the interest rates fluctuate and the currencies with the high yields are usually very unstable. During my more than 4 years long experience as a Forex trader I had a carry trade position open only once and it wasn’t very successful. And how about you?

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MetaTrader 4 platform with ECN execution – FXOpen.

Posted on Forex blog.

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