Forex multi-account manager Z-X-N
Accepts global forex account operation, investment, and trading
Assists family office investment and autonomous management
There is no universal secret that can be widely applied worldwide and absolutely guarantee the success of transactions
In the complex ecosystem of the foreign exchange market, given its highly dynamic and diverse characteristics, and the reality that it is constantly affected by various internal and external factors, from an objective and rational professional perspective, there is no standardized and established operation path that is universally applicable and can accurately guarantee the success of transactions.
From an individual level, given that different individuals have significant differences in risk preference, knowledge reserve, accumulation of investment practice experience, psychological characteristics, and financial status, this directly leads to a diverse distribution pattern in the selection and determination of trading strategies. There is a close and inherent logical connection between these trading strategies and the unique personality characteristics of individuals. In essence, they are personalized products carefully constructed based on the comprehensive situation of individuals, and have distinct individual adaptability. It is clear that in the field of foreign exchange trading, there is no universal secret that can be widely applied worldwide and absolutely ensure the success of trading. It cannot be taught to other market participants in a simple and direct way, and it is an objective fact determined by the complex nature of the foreign exchange market and individual differences.
So, what are the root causes of this phenomenon? The core root is that the trading style that everyone gradually develops and always adheres to in the foreign exchange market has the significant characteristics of uniqueness and non-replicability. This trading style is a stable and inherent pattern that individuals gradually form through shaping, adjustment and precipitation in the long-term trading practice process, based on their own comprehensive characteristics, including but not limited to personal investment goals, risk tolerance, knowledge structure, psychological resilience and market sensitivity, combined with their unique cognition, understanding and deep understanding of market dynamics. Therefore, only if investors rely on themselves to continuously conduct in-depth self-exploration, repeatedly summarize and reflect in trading practice, and conduct persistent and careful observation of the foreign exchange market, as well as in-depth, comprehensive and thorough analysis and understanding, can they accurately identify the trading methods and strategies that best fit their actual situation and can achieve their trading goals, and then accurately explore effective paths that adapt to their own development needs in the complex environment of the foreign exchange market full of uncertainty and severe challenges, and ultimately achieve the achievement of trading goals and maximize the potential efficiency of value creation, so as to gain a solid foothold in the foreign exchange market and obtain sustainable development competitive advantages. This is the only way for investors to achieve professional growth and value enhancement in the foreign exchange market.
If you want to invest in foreign exchange trading, you must first learn foreign exchange knowledge, experience and technical common sense. If you have not systematically and deeply learned all the foreign exchange knowledge, you cannot risk investing big money.
In the professional field of foreign exchange trading, whether it is a group of traders focusing on short-term operations or a group of participants focusing on long-term investment, if they have not yet undergone a systematic and in-depth learning process, they must not rashly engage in foreign exchange trading activities, nor should they arbitrarily carry out foreign exchange investment behaviors. The reason is that if you act rashly without the corresponding learning foundation, you will most likely face an unfavorable situation of losses.
In terms of the current actual situation, most individuals who engage in foreign exchange trading often fail to make sufficient preparations. Although they hold a certain amount of funds, their original intention is often just to seek quick profits, and then they look around the market for relevant entities that can perform trading operations on their behalf or lead them to a profitable direction. However, in reality, it is quite rare for such expectations to be actually achieved. In most cases, these traders will eventually fall into the dilemma of losing all their funds.
Looking back on the past few years, although foreign exchange trading has gained extremely wide popularity, many key points behind it that are not well known to the public are often overlooked. The core point is that if traders fail to master the relevant knowledge and skills of foreign exchange trading and the necessary trading methods, then fundamentally, they do not have the basic prerequisites for conducting foreign exchange trading.
It is important to clarify that the foreign exchange market itself is a market with extremely high volatility, which is full of complex and interrelated problems. These problems are all key points that investors must understand in depth and comprehensively before deciding to invest in foreign exchange. Only when investors are fully aware of these complex situations and have the corresponding professional knowledge and trading capabilities, can they avoid various potential risks as much as possible in the entire process of foreign exchange trading, and then move forward steadily and orderly towards the goal of profit.
Whether the central bank of a country that raised the interest rate to 20% has become a loser in a zero-sum game is worth thinking about.
The zero-sum nature of the foreign exchange market is difficult to achieve a comprehensive and in-depth insight. The fundamental reason is that the global foreign exchange market is extremely large, and foreign exchange transactions belong to the category of over-the-counter (OTC). Under this influence, it is difficult and challenging to carry out accurate statistics on foreign exchange market-related data.
In conventional theoretical definitions, zero-sum games are usually defined as a game mode that presents a "I win, you lose" situation. In such game situations, participants can only be divided into two categories of roles: winners and losers. However, in the specific field of foreign exchange investment and trading market, the connotation of the zero-sum game concept is actually more complex and diverse. Given the inherent characteristics of foreign exchange over-the-counter transactions, there are often many obstacles in collecting and counting data and information related to it, which makes it difficult to accurately reveal the dynamic changes contained in the market with existing data.
Let's take the case of some countries raising interest rates to more than 20% in order to effectively intervene in the foreign exchange market as an example for analysis. In this case, long-term foreign exchange carry traders can take advantage of the favorable conditions of high interest rates to accumulate interest income and obtain a very lucrative profit return. So, in view of the above situation, have the central banks of these countries that have raised interest rates to 20% become losers in the zero-sum game? Further discussion, if the central bank abandons the method of interest rate intervention and chooses to directly use large-scale funds to intervene in the market, once such intervention fails to achieve the expected results, the unfavorable market trend continues to develop. In this case, won’t the central bank face more serious losses?
On the whole, in the general environment of the foreign exchange trading market, for the concept of zero-sum game, practitioners only need to build a general cognitive framework, without being overly involved in the details of the concept itself, nor should they fall into purely academic theoretical discussions. In the core context of the foreign exchange investment and trading market, achieving profitability is undoubtedly the most critical and important goal. Some concepts may not have significant practical application value in the actual trading process. Such concepts will not only take up the precious thinking time of traders, but may even interfere with their decision-making ideas to a certain extent, thus affecting the trading results.
In the actual operation of the foreign exchange market, the market behavior of the central bank is regarded as a key reference factor, and it is used to guide one's own trading decisions. From a professional perspective, it can be accurately identified as a feasible trading strategy.
From an objective perspective, the foreign exchange market does show a certain degree of manipulability, and this situation is mainly due to its extremely large market size and the strong influence of the central bank. The central bank has the ability to influence the trend of the foreign exchange market with its diverse policy tools. However, it should be clearly pointed out that in reality, there is no single policy tool that can fully and accurately predict the operation of the entire foreign exchange market, nor can it achieve complete control over the development trend of the foreign exchange market.
If herd mentality is regarded as an internal driving force for market development, then market trends will naturally become an important resource that traders can effectively utilize. In this case, seeking profits through market operations implemented by the central bank can be regarded as a relatively convenient, prudent and wise trading method from a professional perspective. Specifically, traders can accurately find the right time to enter and exit the market by deeply and systematically analyzing the policy changes of the central bank and the various market intervention behaviors it has carried out, and thus hope to achieve the expected goal of making profits.
However, it must be emphasized that although the behavior of the central bank can provide a certain degree of guidance for the foreign exchange market, the foreign exchange market itself is always full of many uncertainties. In view of this, when traders use the behavior of the central bank as a reference to carry out trading activities, they should fully combine their own risk tolerance, strictly follow the rigorous, comprehensive and in-depth market analysis results, and carefully formulate corresponding trading strategies with a prudent and professional attitude, so as to minimize trading risks and ensure that trading activities can be carried out in a stable, orderly and reasonable manner.
It is an advantage, a benefit, and a bonus that European and American countries do not need foreign exchange reserves. This is unfair to countries with huge foreign exchange reserves.
In the process of rigorous measurement and scientific evaluation of a country's comprehensive strength, it should be clearly pointed out that huge foreign exchange reserves cannot be simply and directly equated with the country's strong and stable comprehensive strength. From a more professional and prudent perspective, it can even be accurately stated that, to a certain extent, it may imply that the country's comprehensive strength is still in a development stage that needs to be further strengthened, optimized and improved. The core reason for this situation is that when the domestic currency is over-issued, it is often necessary to rely on foreign exchange reserves to play a strong role in endorsement and support. Only with this can the efficient recovery of the over-issued currency be effectively realized, thereby ensuring that the monetary system can maintain a relatively stable and orderly operation.
By further observing the actual situation of foreign exchange reserves in developed countries in Europe and the United States, it is not difficult to find that they generally show a significant feature that the amount of foreign exchange reserves is not very rich. The reasons for this phenomenon are multi-dimensional and complex, and the specific analysis is as follows:
First, from the perspective of the international trade cooperation mechanism, these countries have the ability to use currency swaps, a professional financial means, to conduct transactions with many trading partners. In the complex process of international trade, this currency swap mechanism can fully meet its corresponding actual needs for capital flow to a large extent by virtue of its own characteristics and advantages, and thus fundamentally and effectively reduce the degree of dependence of these countries on foreign exchange reserves, so that they do not need to reserve a large amount of foreign exchange funds based on reasonable financial operation logic.
Second, focusing on the asset status of developed countries in Europe and the United States, the overall quality of their own assets is at a high level, and their assets have significant and reliable credibility and good and sustainable stability. In the highly competitive and demanding environment of the international market, they enjoy solid and widespread recognition. Relying on this significant advantage, these countries can use their own high-quality assets as a solid support to carry out various trading activities and complex financing operations in an orderly and smooth manner, thereby effectively reducing the rigid demand for foreign exchange reserves at the level of professional financial and economic activities.
Third, considering the status of currencies issued by developed countries in Europe and the United States in the international financial system, most of them occupy a relatively strong position internationally. Take the US dollar as an example. As the most influential and most important reserve currency and settlement currency in the world, this special status enables developed countries in Europe and the United States to rely on mature and complete financial exchange mechanisms to conduct dollar exchange operations relatively conveniently when they actually face the corresponding capital use needs in various international economic exchanges. In this way, they can fully and comprehensively guarantee their capital use needs in all aspects of international economic exchanges. Based on the synergy and comprehensive influence of the above-mentioned factors, the reserve demand for foreign exchange reserves in developed countries in Europe and the United States is relatively less urgent.
13711580480@139.com
+86 137 1158 0480
+86 137 1158 0480
+86 137 1158 0480
Mr. Zhang
China · Guangzhou
13711580480@139.com
+86 137 1158 0480
+86 137 1158 0480
+86 137 1158 0480
Mr. Zhang
China · Guangzhou