The Little Book of Currency Trading: How to Make Big Profits in the World of Forex

3.5 avg rating
( 127 ratings by Goodreads )
 
9780470770351: The Little Book of Currency Trading: How to Make Big Profits in the World of Forex

An accessible guide to trading the fast-moving foreign exchange market

The foreign exchange market, or forex, was once dominated by global banks, hedge funds, and multinational corporations, but that has all changed with Internet technology and the advent of online forex brokers. Now, hundreds of thousands of traders and investors around the world can participate in this profitable field.

Written by forex expert Kathy Lien, The Little Book of Currency Trading will show you how to effectively invest and trade in today's biggest market. Page by page, she describes the multitude of opportunities possible in the forex market, from short-term price swings to long-term trends, and details practical products that can help you achieve success, such as currency-based ETFs.

  • Explains the forces that drive currencies and provides strategies to profit from them
  • Reveals how you can use various currencies to reduce risk and take advantage of global trends
  • Examines financial vehicles that can help you make money without having to monitor the market every day

The Little Book of Currency Trading opens the world of currency trading and investing to anyone interested in entering this dynamic arena.

Q&A with Author Kathy Lien

Author Kathy Lien
What is the most effective way for investors to make money in the currency market?
The best way to make money in the currency market is to think of it as an investment. When most people see advertisements by forex brokers, their eyes start to widen on the offers of high leverage and the possibility of tremendous returns. It is attractive and almost irresistible. However, even though currencies can provide attractive returns, leverage is a sharp double-edged sword. High returns come with high risks, which can be suitable for some but not all investors. Currencies are a great asset class for people looking to diversify their portfolios. And throughout the year, currency values can increase or decrease anywhere between 5 to 25 percent. With U.S. Treasuries yielding next to nothing and our bank accounts earning only a few cents on the dollar, most of us would be satisfied with 5 percent, let alone 25 percent return. There is no need to use excessive leverage - taking it slow and easy increases the chance of seeing your account grow.

Over the past 10 years, the forex market has evolved significantly and competition has brought many benefits to new forex traders. Most forex brokers will offer free education and practice accounts, and new traders should take advantage of them because the most effective way of making money in the currency market is learning how the market works and to practice, practice, practice before dumping significant capital into a live account.

From a more practical perspective, there is no need for monogamy when it comes to trading currencies. Take the best of both worlds and combine both fundamental and technical analysis. The Little Book of Currency Trading will teach you how to identify the big stories affecting currencies and how to pinpoint places to enter and exit your trades. You may know more about currencies than you actually think. If you have ever traveled to another country or if you love to read about political or economic developments abroad, then you have already gotten a taste of what moves currencies. Start by trading what you know, and at the onset, bank your profits when you have them to build your confidence and your knowledge of how the currency market moves.

What indicators or economic data should investors monitor to identify a potential profit opportunity in the currency market?
News moves the markets and economic data is a consistent event risk that can provide daily trading opportunities by driving meaningful moves in a currency. However not all economic releases are equally important, and it is essential to be able to delineate between what will and will not move the currency. As a rule of thumb, put yourself into the shoes of a central bank -- whatever the central bank watches is typically what can move the currency because it can help determine whether the central bank will raise or lower interest rates. This includes employment, retail sales and inflation reports. The best trades are the ones that are also aligned with the current prevailing trend and sentiment in the foreign exchange, something that the Little Book will teach you how to do.

What is the learning process for an individual investor -- who already has experience trading stocks -- in the currency market?
Trade what you know. If you trade stocks using technical analysis, you can do the same in the currency market. In fact, technical analysis is one of the most popular ways to analyze currencies. It will be important to learn about the unique characteristics of the market, including round the clock trading and general trading mechanics. But after that, you can use Fibonacci retracements the same way you do in equities in currencies. For traders who love to follow developments in Europe or Asia -- once again, trade what you know. If you travel to London often and have a good idea of how the U.K. economy is doing, your outlook can be translated into a currency trade. The same is true for traders who have an opinion on whether the Eurozone will go bust due to their debt crisis. Currencies just offer another vehicle to express the views that as stock traders, you may already have.

Historically, the currency market often produces long-term trends that provide a great opportunity for profit. Do you think that will continue in the years ahead?
Currencies have been around for hundreds of years in one form or another and are little confidence measures of a country. If you believe that business cycles repeat themselves -- with expansion followed by contraction and contraction followed by expansion -- then the long term trends of currencies will continue to be evident because the optimism or pessimism of investors usually follows the business cycles of each country. The reason why currencies have had such strong trends in the past few decades is because in general, the outlook for a country gets progressively better or worse, and this dynamic is reflected in the value of the currency. Using a unique easy to understand tool, the Little Book will show you unique ways to join the trend and minimize the risk of chasing a move that quickly fades.

"synopsis" may belong to another edition of this title.

From the Inside Flap:

Once dominated by global banks, hedge funds, and multinational corporations, the foreign exchange market, or forex, is now easily accessible to traders and investors around the world. But in order to make the most of your time in this market, you need to have a firm understanding of how it works.

Written by forex expert Kathy Lien, The Little Book of Currency Trading shows you how to effectively trade and invest in today's biggest market. Page by page, she describes the multitude of opportunities possible in the forex market, from short-term price swings to long-term trends, and details the practical products that can help you achieve success.

Along the way, Lien skillfully explains the forces that drive currencies and provides strategies to profit from them; reveals how you can use various currencies to reduce risk; and take advantage of global trends, and examines what you can do to make money without the stress of monitoring the market every day. Other issues addressed include:

  • Getting started in forex and finding the right approach for you
  • The most commonly made forex mistakes
  • Making the most of slow and steady investing as well as learning the fast and furious approach to forex
  • Avoiding popular forex scams
  • And much more

Filled with in-depth insights and practical advice, The Little Book of Currency Trading opens the world of currency trading and investing to anyone interested in entering this dynamic arena.

From the Back Cover:

Praise for
THE LITTLE BOOK OF CURRENCY TRADING

"A Japanese proverb says, 'If you wish to know the road, inquire of those who have traveled it.' My friend Kathy clearly knows the FX road. Her wonderful book fuses together her years of real world trading experience with her skills at making the topic easy to understand (and fun!). This is a book that belongs on every forex trader's shelf no matter their level of experience."
Steve Nison, CMT, President, www.nisonfx.com, and author of Japanese Candlestick Charting Techniques

"Kathy Lien is one of the best and brightest in the currency field. Her new book is a definite must-read for all new Forex traders. Kathy explains in an easy-to-understand yet practical format how to get started in currency trading."
Andrew B. Busch, Global Currency and Public Policy Strategist, BMO Capital Markets

"Kathy Lien is one of the savviest currency analysts—The Little Book of Currency Trading will teach you more than just the basics!"
Alexis Glick, former anchor for Fox Business Network's Money for Business and The Opening Bell

"About this title" may belong to another edition of this title.

Top Search Results from the AbeBooks Marketplace

International Edition
International Edition

1.

Lien, Kathy
Published by Wiley
ISBN 10: 047077035X ISBN 13: 9780470770351
New Softcover Quantity Available: 5
International Edition
Seller:
Sunshine Book Store
(Wilmington, DE, U.S.A.)
Rating
[?]

Book Description Wiley. Book Condition: New. 047077035X This is an International Edition. Brand New, paperback, Delivery within 6-14 business days, Same Contents as U.S Versions, ISBN and Cover design may differ. Choose Expedited shipping for delivery within 4-7 business days. We do not ship to PO Box, APO,FPO Address. We may ship the books from multiple warehouses across the globe, including India depending upon the availability of inventory storage. Customer satisfaction guaranteed. Bookseller Inventory # NU_9780470770351

More Information About This Seller | Ask Bookseller a Question

Buy New
US$ 11.56
Convert Currency

Add to Basket

Shipping: FREE
Within U.S.A.
Destination, Rates & Speeds
International Edition
International Edition

2.

Kathy Lien
ISBN 10: 047077035X ISBN 13: 9780470770351
New Paperback Quantity Available: 5
International Edition
Seller:
Bookstore99
(Wilmington, DE, U.S.A.)
Rating
[?]

Book Description Paperback. Book Condition: NEW. This is an International Edition Brand New Paperback Same Title Author and Edition as listed. ISBN and Cover design differs. Similar Contents as U.S version. Delivery within 3-7 business days. We can ship to PO Box address in US. We may ship the books from multiple warehouses across the globe including Asia depending upon the availability of inventory. Printed in English. Customer satisfaction guaranteed. Choose expedited shipping for Express delivery. Tracking number provided for every order. Bookseller Inventory # RU_9780470770351

More Information About This Seller | Ask Bookseller a Question

Buy New
US$ 8.63
Convert Currency

Add to Basket

Shipping: US$ 2.99
Within U.S.A.
Destination, Rates & Speeds

3.

Kathy Lien
Published by John Wiley & Sons (2011)
ISBN 10: 047077035X ISBN 13: 9780470770351
New Hardcover Quantity Available: 2
Seller:
The Monster Bookshop
(Fleckney, United Kingdom)
Rating
[?]

Book Description John Wiley & Sons, 2011. Hardcover. Book Condition: New. BRAND NEW ** SUPER FAST SHIPPING FROM UK WAREHOUSE ** 30 DAY MONEY BACK GUARANTEE. Bookseller Inventory # mon0000247725

More Information About This Seller | Ask Bookseller a Question

Buy New
US$ 13.22
Convert Currency

Add to Basket

Shipping: US$ 2.63
From United Kingdom to U.S.A.
Destination, Rates & Speeds

4.

Kathy Lien
Published by John Wiley and Sons Ltd, United Kingdom (2011)
ISBN 10: 047077035X ISBN 13: 9780470770351
New Hardcover First Edition Quantity Available: 10
Seller:
The Book Depository US
(London, United Kingdom)
Rating
[?]

Book Description John Wiley and Sons Ltd, United Kingdom, 2011. Hardback. Book Condition: New. 1. Auflage. Language: English . Brand New Book. An accessible guide to trading the fast-moving foreign exchange market The foreign exchange market, or forex, was once dominated by global banks, hedge funds, and multinational corporations, but that has all changed with Internet technology and the advent of online forex brokers. Now, hundreds of thousands of traders and investors around the world can participate in this profitable field. Written by forex expert Kathy Lien, The Little Book of Currency Trading will show you how to effectively invest and trade in today s biggest market. Page by page, she describes the multitude of opportunities possible in the forex market, from short-term price swings to long-term trends, and details practical products that can help you achieve success, such as currency-based ETFs. * Explains the forces that drive currencies and provides strategies to profit from them * Reveals how you can use various currencies to reduce risk and take advantage of global trends * Examines financial vehicles that can help you make money without having to monitor the market every day The Little Book of Currency Trading opens the world of currency trading and investing to anyone interested in entering this dynamic arena. Bookseller Inventory # AAH9780470770351

More Information About This Seller | Ask Bookseller a Question

Buy New
US$ 16.44
Convert Currency

Add to Basket

Shipping: FREE
From United Kingdom to U.S.A.
Destination, Rates & Speeds

5.

Kathy Lien
Published by John Wiley and Sons Ltd, United Kingdom (2011)
ISBN 10: 047077035X ISBN 13: 9780470770351
New Hardcover First Edition Quantity Available: 10
Seller:
The Book Depository
(London, United Kingdom)
Rating
[?]

Book Description John Wiley and Sons Ltd, United Kingdom, 2011. Hardback. Book Condition: New. 1. Auflage. Language: English . Brand New Book. An accessible guide to trading the fast-moving foreign exchange market The foreign exchange market, or forex, was once dominated by global banks, hedge funds, and multinational corporations, but that has all changed with Internet technology and the advent of online forex brokers. Now, hundreds of thousands of traders and investors around the world can participate in this profitable field. Written by forex expert Kathy Lien, The Little Book of Currency Trading will show you how to effectively invest and trade in today s biggest market. Page by page, she describes the multitude of opportunities possible in the forex market, from short-term price swings to long-term trends, and details practical products that can help you achieve success, such as currency-based ETFs. * Explains the forces that drive currencies and provides strategies to profit from them * Reveals how you can use various currencies to reduce risk and take advantage of global trends * Examines financial vehicles that can help you make money without having to monitor the market every day The Little Book of Currency Trading opens the world of currency trading and investing to anyone interested in entering this dynamic arena. Bookseller Inventory # AAH9780470770351

More Information About This Seller | Ask Bookseller a Question

Buy New
US$ 16.98
Convert Currency

Add to Basket

Shipping: FREE
From United Kingdom to U.S.A.
Destination, Rates & Speeds

6.

Kathy Lien
Published by John Wiley and Sons
ISBN 10: 047077035X ISBN 13: 9780470770351
New Quantity Available: > 20
Seller:
INDOO
(Avenel, NJ, U.S.A.)
Rating
[?]

Book Description John Wiley and Sons. Book Condition: New. Brand New. Bookseller Inventory # 047077035X

More Information About This Seller | Ask Bookseller a Question

Buy New
US$ 13.64
Convert Currency

Add to Basket

Shipping: US$ 3.50
Within U.S.A.
Destination, Rates & Speeds

7.

Lien, Kathy
ISBN 10: 047077035X ISBN 13: 9780470770351
New Quantity Available: 1
Seller:
Paperbackshop-US
(Wood Dale, IL, U.S.A.)
Rating
[?]

Book Description 2010. HRD. Book Condition: New. New Book. Shipped from US within 10 to 14 business days. Established seller since 2000. Bookseller Inventory # KB-9780470770351

More Information About This Seller | Ask Bookseller a Question

Buy New
US$ 14.17
Convert Currency

Add to Basket

Shipping: US$ 3.99
Within U.S.A.
Destination, Rates & Speeds

8.

Lien, Kathy
ISBN 10: 047077035X ISBN 13: 9780470770351
New Quantity Available: 1
Seller:
Pbshop
(Wood Dale, IL, U.S.A.)
Rating
[?]

Book Description 2010. HRD. Book Condition: New. New Book.Shipped from US within 10 to 14 business days. Established seller since 2000. Bookseller Inventory # IB-9780470770351

More Information About This Seller | Ask Bookseller a Question

Buy New
US$ 15.50
Convert Currency

Add to Basket

Shipping: US$ 3.99
Within U.S.A.
Destination, Rates & Speeds

9.

Kathy Lien
Published by John Wiley & Sons 2011-01-28 (2011)
ISBN 10: 047077035X ISBN 13: 9780470770351
New Hardcover Quantity Available: 3
Seller:
Chiron Media
(Wallingford, United Kingdom)
Rating
[?]

Book Description John Wiley & Sons 2011-01-28, 2011. Hardcover. Book Condition: New. Bookseller Inventory # NU-GRD-04679551

More Information About This Seller | Ask Bookseller a Question

Buy New
US$ 17.96
Convert Currency

Add to Basket

Shipping: US$ 3.95
From United Kingdom to U.S.A.
Destination, Rates & Speeds

10.

Kathy Lien
ISBN 10: 047077035X ISBN 13: 9780470770351
New Quantity Available: 3
Seller:
Speedy Hen LLC
(Sunrise, FL, U.S.A.)
Rating
[?]

Book Description Book Condition: New. Bookseller Inventory # ST047077035X. Bookseller Inventory # ST047077035X

More Information About This Seller | Ask Bookseller a Question

Buy New
US$ 23.11
Convert Currency

Add to Basket

Shipping: FREE
Within U.S.A.
Destination, Rates & Speeds

There are more copies of this book

View all search results for this book