Start Today Getting Answers to Your Questions
What is an Introducing Broker or IB? Introducing Broker (IB): An organization that solicits or accepts orders to buy or sell futures contracts or commodity options but does not accept money or other assets from customers to support such orders. Much like a broker of stocks, commodities, plane tickets, or anything else, the IB is compensated by the dealer, not the customer trading foreign currency.
Why trade currencies? Here are just a few reasons why so many people are choosing this market.
• No commissions.
No clearing fees, no exchange fees, no government fees, no brokerage fees. Brokers are compensated for their services through something called the bid-ask spread.
• No middlemen.
Spot currency trading eliminates the middlemen, and allows you to trade directly with the market responsible for the pricing on a particular currency pair.
• No fixed lot or trade size.
In the futures markets, lot or contract sizes are determined by the exchanges. A standard-size contract for silver futures is 5000 ounces. In spot Forex, you determine your own lot size. This allows traders to participate with accounts as small as $250. Not always a good idea. We’ll explain in training.
• Low transaction costs.
The retail transaction cost (the bid/ask spread) is typically very small under normal market conditions.
• A 24-hour market.
There is no waiting for the opening bell - from Sunday evening to Friday afternoon EST, the Forex market never sleeps. This is good news for those who want to trade on a part-time basis, because you can choose when you want to trade–morning, noon or night.
• No one can corner the market.
The foreign exchange market is so huge and has so many participants that no single entity (not even a central bank) can control the market price for an extended period of time.
• Leverage.
In Forex trading, a small margin deposit can control a much larger total contract value. Leverage gives the trader the ability to make nice profits, and at the same time keep risk capital to a minimum. However, leverage is a double-edged sword. Without proper risk management, this high degree of leverage can lead to large losses as well as gains.
• High Liquidity.
Because the Forex Market is so enormous, it is also extremely liquid. This means that under normal market conditions, with a click of a mouse you can instantaneously buy and sell at will. You are never “stuck” in a trade.
• Free “Demo” Accounts, News, Charts, and Analysis.
Most online Forex brokers offer ‘demo’ accounts to practice trading, along with breaking Forex news and charting services. All free! These are very valuable resources for you who would like to hone their trading skills with ‘play’ money before opening a live trading account and risking real money.
• “Mini” and “Micro” Trading.
You would think that getting started as a currency trader would cost a ton of money. The fact is, compared to trading stocks, options or futures, it doesn’t. Online Forex brokers offer “mini” and “micro” trading accounts, some with a minimum account deposit of $300 or less.
• What Tools Do I Need to Start Trading Forex?
A computer with a high-speed Internet connection and CIG as your great source for training and support!
Can I truly learn how to do it? That is trade foreign currencies? Let’s put it this way. Most people can learn. There was a time when we all had to learn how to use the remote, how to use email, how to balance a check book, and other tasks that we now take for granted. Currency trading is NOT for everyone. There are risks involved. You don’t or shouldn’t use anything but discretionary funds that you can afford to lose in the foreign currency markets. That having been said, thanks to software programs, good training, automated systems, and simple to follow rules, you are likely fully capable of learning how to trade profitably.
What is all the hype about? Why do I see dozens of overhyped ads for extremely high returns coming from forex advertisers? There are several reasons and while we don’t condone unrealistic hype in advertising, we do understand the exuberance shared by those in the market. The foreign exchange market is significant with nearly 4 trillion daily changing hands. The 2% of that daily market that is traded by retail or spot traders still dwarfs the equities market by a large margin coming in at $50 billion a day. With that much money moving around, the individual trader has lots of opportunities to move into the market. Technology now allows individuals to place trades 5 and a half days a week, 24 hours daily. There are large numbers of traders that have proven extremely capable of taking great returns from the market. In most cases, they lost a lot getting there. There are no shortcuts but if one does the classwork, follows a system, follows the rules for keeping emotion out of the trades, then he or she really can make significant money trading currency. The hyped up advertising is generally for an automated trading system or “bot” that is a software that runs your trading for you. It automates the gains and if you don’t know what you are doing, it will also automate your losses.
Do I retain control of my money? Great question and the answer is yes. One of the attractive features of learning to trade currency is the fact that you do control your account. This is self directed investing at its finest. You get access to training, expertise, safety, and software for managing your account along with mentorship on how to use it from a daily trader, and never lose control of your money. The trading account is funded in YOUR name, opened by you, managed by you, and when you would like to request your gains or money out of your account, you simply email or fax in the request and its in your checking account generally within 12 to 18 hours.
Isn’t currency trading highly speculative? Yes it is. You should utilize the demo account features from the forex dealers that allow you to use demo dollars to implement your training well before you start to trade with real money. You should not use money you can’t afford to lose. If you haven’t taken some form of training and understand how to build in certain settings into your trading, you will likely LOSE your money. If however, you train, observe, and practice a bit prior to using real money, you will have gained a skill set that could change the course of your and your family’s history and family tree.
Won’t I pay more using an Introducing Broker? Again, great question. The answer is no. The forex dealer, that an Introducing Broker refers you too, pays the Introducing Broker out of the money he would be charging you anyway. An IB should be doing justice and right by you by researching various forex dealers and making sure your referral is into the right kind of broker and environment.
How much will it costs me to start training? Our basic two day course includes lots of extras like a huge CD library and a month long membership into our mentoring club allowing you to communicate with our Chief Trading Officer. Our base price is a very low $999.00.
Don’t I have to have a huge account to start trading? While we suggest a minimal account opening of $10,000.00, there are numerous traders that have started with as little as $300.00.
