About FOREX

March 1, 2015 at 9:11 pm Leave a comment

Forex is “foreign exchange” or trading currencies (basically their futures although I do know of another game that’s been played for centuries at least).  I wouldn’t do it for a number of reasons, not least because I was given far too much promotion to begin, and a free account.  I vaguely remembered before reading this referenced article that it was required to let them have your username/password for the practice game but that was merely part of my reason for not taking part and a minor one. http://seekingalpha.com/article/2932916-forex-trading-is-far-more-hazardous-to-your-wealth-than-commonly-believed

I think you may have to register before reading, yeah, but it’s free and the site is informative.  There are the results of some loose studies that basically state that it’s not just hazardous, most people would call it dangerous; trading houses go down trying to master that market.  Very few of us (the consumer level of investor, shall we say; up to a quarter of a million dollars with a hundred thousand dollars or less being very, very small time) can weather that sort of odds.  Mind you, anything that is based mostly on credit is mostly asinine.

I call it credit when you don’t own it, when it has to be paid back.  I don’t even say that I own my house often, although I still   retain enough liquidity to nearly buy it and have buy-off there in 5 years or less.  I could combine various tactics and do a walkaway (with my wife)–not quite the one where you just mail the keys to the creditor in this case–and–make a profit!  Bet I’d lose my damned truck, though.  I’m making a point, again; I would lose various things in making it mine (not least a home), and it’s because I didn’t wait long enough (in this case, I couldn’t force the point sooner and didn’t know I could simply make the decision–and have her accept it, I mean).  I don’t think that a marriage is real except when balanced in some vital aspects of decision-making.  That is an example.  I am very poor at explaining how I think.

With Forex and even owning your money rather than futures you can certainly lose most instantly.  You can gain millions figuratively and then have the problems of reverse liquidity as happened recently with a new currency.  That can also happen with currency, of course.

As far as foreseeing the sway and throw of the coin, you’re trying to read the future of something that is the result of opinions formed by the (fed?) distortions of the recent media of selected events.  Most of the selection is based on what catches the attention (by click-counting aided by cookies as possible; cookies are inserted as a demographic aid, basically, especially to track targeted age brackets and groups within those brackets) of the potential reader.  Soon we’ll see the inclusion of the deliberate mistake.  Have some of the police killings had a purpose involving usage of the media?  Now stop and think about what I just said, because it so happens that whoever had said purpose wanted the police mostly hated (and feared).  Something for the police at most would have had a policeman (woman, to not be sexist) killing someone while defending themselves.  I’m not making the comment some should expect because I don’t particularly believe it.  Incidentally, that someone would be someone like ISIS and the actual purpose would be disruption–active hatred between ‘authorities’ and ‘populations’ and in situations of increased and escalating tension and violence this will become ‘rulers’ and ‘ruled’.

Those very same events can be used to influence changes in currency value, magnified properly.  Add to the mix regulatory banks that will change interest rates and you have a situation like a computer stabilizer on a car correcting for a corner being driven too fast while a driver corrects as well; occasionally the mix doesn’t turn out quite even.  Very occasionally, you understand.  A few crashing banks, car companies, utility companies…industries….  All of these happen.

Personally I would never gamble in currencies primarily because there are potential problems of conversion.  I forgot to mention I was a sailor and you ran into that situation, so that you kept that country’s money for the next visit…or spent all you had at the end in one big [bash].  Well, I was only 21 when I got out after 4 years in the Navy.  I rarely saved any money for the next trip.  The other guys were pleasantly surprised, every once in a while.  I generally seemed to do better than they did buying the money again each time (legally or not).  You see, I even have experience in 11 countries.

Perhaps my post for the day….

Entry filed under: investing.

NEW CAR TIRES, A WARNING Gee, We’re Out Of The Unexpected Beginning Year Troubles…

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