Recent Posts

Top 5 Global Currency Traders

Global Forex Market  consists of very sophisticated and complicated financial networks.These networks are mostly controlled by large commercial banks and securities dealers.Forex market grew at a very healthy rate of 14 % in the last year . According to the latest figures, daily forex transactions of more than $ 5.3 trillion are taking place in the market.  Following are the top 5 financial …

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Weekly Karachi Stock Market Report (From Dec 22nd,2014 to Dec 26,2014)

Karachi stock exchange  bounced back  and recovered all its losses of previous weeks.Stock traders showed their interest in banking,energy and fertilizer sectors ,as buying in these sectors helped the KSE-100 index to escalate by 982 points.The value of the stock index  increased by Rs 0.23 trillion (3.22%)  from 7.13 Trillions to Rs 7.37 Trillions.Its trade volume also improved from the last week by 92 …

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E-trading

Electronic trading is a very innovative and latest method of trading in different types of securities such as Stocks,bonds,derivatives etc.It is getting more and more popular with every passing day due to various reasons.Its low trading cost,.increase in transnational transparency and greater availability of the liquidity are the three most important reasons of its popularity all over the world.   …

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Hedging

Hedging is a very useful investment strategy for the risk averse  investors.They can easily use this strategy to minimize their risk of their investments.It helps the investor to avoid very  adverse market price movements. Investors use different types of hedging strategies to hedge their investments such as  covered calls,short straddles,forward exchange,money market operations and future contracts etc.     Investors can …

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Foreign exchange Market Intervention

Foreign exchange market intervention is done by the primary monetary authority of the country to stabilize the domestic market.It is done by buying or selling of the currency on the foreign exchange market. Sterilized and Non-Sterilized are the two main types of foreign exchange market intervention.   Sterilized Intervention Sterilized intervention is done in two different phases.In first phase central bank buys …

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Weekly Karachi Stock Market Report (From December 15,2014 to December 19,2014)

Karachi Stock market showed a dismal performance this week,as Karachi Stock Exchange-100 index fell almost 579 points.Peshawar massacre and decreasing oil prices were two key events, who negatively affected the proceedings of the market. Karachi Stock Exchange-100 index started at 31589 points on Monday and ended at 30111 points on Friday.The overall value of the  index decreased by 1.88 % …

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Dark Liqiuidty

Dark  liquidity is a type of liquidity that is not available for open trading in the stock exchanges.These types of securities are traded in a special forum known as dark pool.These securities are low cost ,which is  very beneficial for the small investors as they don’t have enough funds.Other than that they also offer benefits to the financial institutions, as these …

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Safe Haven Currency

Safe haven currency is the type of currency which is extremely stable and reliable from the point of view of investors.The financial and political stability  of the country  also contributes to the safe haven status of the currency.In the currency economic conditions US dollar and EURO have earned the hard  currency status.   According to the economic experts,mostly countries with …

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Linked exchange rate system

Linked exchange rate system is a type of currency exchange system in which one currency rate is linked with another currency rate.The main objective of implementing this system is to stabilize the currency market and exchange rate of the country.It also creates a stable environment for the Forex traders.   The linked exchange rate system is totally different from the fixed …

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What is Pips?(Forex)

Pips is a very important terminology used in the foreign exchange trading.It is used to measure the relative change in the value of a currency pair.It is the smallest unit of measure for the value of relative currencies.Forex traders mostly use pips for the dollar related currency pairs.For dollar related currency pairs, one pip is equal to 0.0001$.   Pip is an …

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Retail Foreign Exchange Trading

Retail foreign exchange trading is a type of trading which uses the electronic trading platforms to carryout Forex trading transactions.After the advent of internet,E trading has completely revolutionized the world of forex trading.Before the advent of the E trading was just limited to big financial institutions,but internet has made everyone capable of carrying out Forex trading.     According to …

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Floating exchange rate

A floating exchange  rate is a type of exchange rate which fluctuates with the supply and demand of the currency in the money market. Nowadays most of the countries are using floating exchange rate system for their currencies.currencies. This type of exchange rate system is totally opposite to the fixed exchange rate system.   According to the currency experts,floating exchange …

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