Archive | May, 2013

3 Advantages of the Forex Market

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Lots of investors prefer different markets for lots of reasons. There’s not really a single answer for why any market is better than another, but today I thought I’d share three advantages of the forex market:

1. Volatility

The volatility of the forex market is sometimes cited as its biggest risk–and I won’t try to tell you that’s not true. Volatility comes with inherent risk.  But just like any other investments, securities with the highest risk also come with the highest yield.

I remember my early days of trading when I’d place an order and go to sleep, only to wake in the morning and find that my hopes and dreams had been crushed overnight. Naturally, I blamed the market when I should have blamed myself. I now know that with proper risk management, as taught in Apiary’s curriculum, you can make the market volatility work in your favor!

 2. Volume

So how does the increased volume of the forex market afford you an advantage? If you’ve had any experience trading other securities, you no doubt are familiar with placing an order and waiting hours, or even days, for that order to be filled. With fewer buyers and sellers in a certain market, you might not always have someone looking to fill an order–so you wait.

But forex is by far the largest market, so volume isn’t an issue. With so many buyers and sellers out there actively trading, you’ll find that you never have to wait for an order to be filled.

 3. Leverage

I’ve written a bit on leverage before, but if you haven’t heard of it before, here’s a simple explanation: Think of leverage as money a broker lends to a trader to increase the trader’s buying power. In the United States, brokers can give traders fifty-to-one leverage. This means that for every dollar a trader puts into an investment, a broker will match it with forty-nine.

Leverage is a huge advantage to the forex market because it gives you more weight to throw around. Because Apiary works through a broker in New Zealand, our traders actually get 100:1 leverage. That means when a newly-funded trader starts working with a $2500 account, they’re really working with $250,000 worth!

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Japanese July and Seasonality

Just as time can affect trading on a 24-hour basis, there are also times when the currency market develops patterns of activity throughout the year. This is called seasonality.

One of the most notable examples of seasonal currency patterns is called Japanese July. Eight of the past ten years has seen the US dollar strengthen against the yen in July. Though it’s difficult to pinpoint an exact reason behind this pattern, there is definitely a strong correlation between these two currencies during the month of July! Keeping this sort of seasonality in mind can tell you that July might be a good time to scale up in good long positions and to take smaller-than-usual short positions.

There are other historical patterns that seem to happen throughout the year, so find out what they are and take advantage! Good luck, and happy trading!

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Trading Shouldn’t Be All Or Nothing

What would life be like if the gym were an all-or-nothing commitment? I’d bet that given a choice between spending all day at the gym and not going at all, most of us would either burn out from overactivity or succumb to total inactivity. In the end, a healthy balance will keep you actively engaged and yield the best results!

Just as I balance my time at work and home, I’ve also learned that maintaining balance in my trading is important. Your experience with Apiary shouldn’t be all or nothing! You don’t need to spend all day trading—in fact, we discourage it!

We at the Apiary Fund recommend that our traders participate in the markets regularly and consistently, at the same time cautioning them to not overtrade. Find a way to balance your time in the coursework, the live discussions, and trading.

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3 Reasons Apiary is a Company You Can Trust

The financial industry can be a sketchy place, and if you’re not careful you could fall victim to the multitudes of scams that prey on the unsuspecting newbie. We at the Apiary Fund, however, want to be a light in darkness. We want to lead by example as we do our part to change this industry’s reputation. As such, we want to emphasize the top 3 reasons Apiary is a company you can trust:

1. We Don’t Hide Our Names

There are two reasons someone should conceal their identity: 1) You’re a superhero, or 2) you’re a scam artist. Because we at the Apiary Fund are neither of these, we are not afraid to associate our names with our company.

We not only give out our names, but we even have pictures and links to connect with us on other platforms! Meet the team here!

2. The Apiary Promise

We have not only attached our names to the company, but we, the company and the individuals that comprise the company, have made a promise to our associates. We developed the promise to ensure transparency and confidence in the company. You can trust our promise — no scams, no investment, no risk. Read the company promise here!

3. Our Forums Are Open to the Public

If you look around hard enough, you’re bound to find a lot of people who have a lot of ideas about what the Apiary Fund is and how the company operates. But the truth is that most of these opinions are pure conjecture. Very few people who publish their opinions online have ever been a part of the fund. Going to these sources to do your due diligence is like reading a review for Red Lobster written by someone who hates seafood!

If you want to hear what our traders say, check out Apiary’s forums. Only our traders and associates can contribute posts, but the forum is open to the public to read. This is a much more reliable source, as all of the contributors have first-hand experience with the company. You’ll even get a good idea of what to expect as far as atmosphere and social support! See what our traders are saying here!

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Traders Trade — Money Managers Get Funded

At any other fund in the world, you’d find a bunch of traders being managed by a single fund manager. This fund manager’s single directive is “Don’t lose money.” The traders aren’t money managers; it’s the fund manager’s job to make sure the fund only grows bigger—never smaller.

At the Apiary Fund, we have a risk manager over the fund, but we also believe that every trader should really be a money manager who manages their own risk. We’ve put together such a thorough curriculum because Apiary Fund traders have to be money managers. On top of the principles of risk management that we teach, we also have risk management software that monitors our traders and makes sure that our risk management parameters are never exceeded.

For some coming into the fund, even those with some experience under their belt, this can feel oppressive and controlling. But in reality, Apiary’s risk management parameters are on par with industry standards for money management companies.

Like we’ve said before, the Apiary Fund has a vested interest in its traders. Because we are taking 100% of the risk, we have to manage that risk. And because we have to manage that risk, we try to teach and encourage all our traders to operate withing the risk management parameters!

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