‘Money doesn’t count!’ - The Friar

Think that counting money is done the same way all over the world, well think again, counting money is done very differently depending on where you are. This video shows how counting money is done in Japan, Korea, China and Singapore, then in Afghanistan,Iran,India, Tajikistan and the Middle East, then in Russia, Mongolia, Poland and Eastern Europe, then in Turkmenistan, Kazakistan, Pakistan, and parts of Turkey, then in Saudi Arabia, Iraq, Kuwait and Egypt, then in Africa, then in America, Canada and England.

Interesting differences in the counting styles of the different countries, who would of known that there are hugh cultural differences in money counting!

To my great dismay the online Forex brokers require me to whip out my credit card and whack in some of my own money to the account in order to trade. I thought about sending off an e-mail to them suggesting a deal, where if they allow me to play with their money I’ll only take a 50% cut of whatever I make, citing beginners luck would have to give me the edge in currency markets!

Alas, I considered that this approach would be flatly laughed at, so as most online Forex brokers give you demo accounts to practice with, I reckoned this would be the best place to start. Just a word of warning guys, my next few posts will have a look at the terms around P&L, Margins, Liquidations, etc and will probably be a bit boring and lacking my usual wit, but I’ll try my best to keep them entertaining!

‘They don’t make money like they used too!’ - the Friar

Christmas is great but it can get a bit boring, to see me through the hours between opening presents and eating turkey, I dug out some of the old notes I collected from my student days travelling around Europe and a pair of scissors. I think you’ll be impressed with how I wasted my time!

Getting back to my Forex studying after the Christmas break, I’m still stuck in learning my Forex terminology and will at some point put together my own little library of Forex terms. An important couple of FX terms that I keep coming across is ‘going long’ or ‘getting short’, or alternatively the ‘long position’ or the ’short position’.

So firstly, going long! This term refers to the buying a currency pair (i.e. bought the base currency), basically from the Forex trader point of view after going long, you need the currency price to go higher in order to sell and make a profit.

The getting short is the opposite of this, the Forex trader has sold the currency pair (i.e. sold the base currency) and needs the prices to reduce in order to buy to make a profit.

That means there is as much opportunity to make a profit from a falling currency as a rising one, this is something that a novice like myself has to get his head around, that your not essentially looking for a currency to increase in value to start making money from Forex, the falling currency can give just as much opportunity.