I have been investing in the stock market for several years, but recently Forex has caught my eye with claims of huge profits, and I have some questions:

1. Is there a site with free tutorials about Forex, the same way Investopedia.com has for stocks? Is there a Forex simulator where I can try it out using fake money?

2. What kind of initial investment does Forex require? What are the commissions/fees like if any? What is the average return (%) for most Forex investors?

3. Where/how do you open up an account? (I'm Canadian.)

4. Is it a lot more speculative/luck-based than the stock market? (A lot higher risk?)

5. I've heard a lot of people talking about "systems", "software", etc that they are charging money for. Is there any free software I can get? Are most of the people involved with Forex scam artists or are there some legitimate ones?

Thanks
Also what are these "pips" I keep hearing about?
Since nobody has answered yet I went and found a great tutorial site on my own, http://www.babypips.com. It also offers links to brokers that offer free demo accounts.

Answer
Hi,

1- There are a lot of websites with free information about forex:
http://www.babypips.com/school/

There is also a good series of videos that were used to be free but unfortunately they are not free any more. You have to pay $10 for each but it does worth. If you watch these videos, it will save hundreds of hours of your time:
http://www.fxclub.com/video-en/

Also at http://www.weboma.com/category/forex/ you can find free daily/weekly signals every night.

Almost all of the forex brokers offer free demo accounts which you can practice with the fake money. Here is a small list of the brokers with free demo account:
1- http://www.interbankfx.com/
2- http://www.northfinance.com/
3- http://www.fxclub.com/
4- http://www.cmcmarkets.com/

The first two have MT4 platform. The last two have their own special platforms.

=======================

2- You can start trading forex with as low as $100. The leverage is 1:100 but you can also find 1:400 leverage too. If you learn forex properly, you can double a $5000 account every month and there are forex traders who make much more.

As you have been a stock traders, you will learn forex much faster and easier because 99% of the techniques are the same.

=======================

3- For Canadians CMC Markets is the best option:
http://www.cmcmarkets.ca/

=======================

4- It depends on yourself. You can trade wisely or you can gamble with your money and lose it easily.

There is a higher risk than the stock market because the leverage is higher.

=======================

5- There are some legitimate ones but you don't need them. You can easily learn technical analysis and find buy and sell signals on your own. It is not hard.

Best regards,
Vahid
http://www.weboma.com/

Forex: Expert Adviser For Free to use with MetaTrader 4?

I want to have an expert adviser for free to use with software Meta Trader 4. I want the expert adviser to automatically send e-mail signals to my inbox to execute orders. Is it possible?

Answer
Okay well unfortunately I don't know any free systems however there are plenty of ones which you can buy for about $100 that do this job.

You can see a number of them here - http://www.forexfastforward.com/forex_trading_systems.html

The thing is with FX is that the amount of money you make is greatly dependant on the system you use (the thing that says when to trade). If you have a great system, you can expect to make a decent amount of money.

Obviously, there will be losing trades but rule of thumb is that the better the system, the more money you make. With this in mind, I would highly recommend you stay away from "free" systems because you A) don't know who made them and B) don't know if they are going to make you any money.

Sure, there are scams out there and there are a lot in the FX market... however, the reviews of the systems here: http://www.forexfastforward.com/forex_trading_systems.html are all of FX systems which are working for other people.

Hope this helps?