SOURCE: FX Bootcamp

February 18, 2009 14:19 ET

Media Alert: Forex Expert Available to Discuss Myths and Facts About Trading in Troubled Times

Forex Isn't for Everyone, But It's Wrong to Be Afraid to Trade; the Forex Market Is More Liquid and Regulated Than Before; Forex Trading Takes Patience, Discipline and Smart Strategies, Says Forex Expert Wayne McDonell

PEACHTREE CITY, GA--(Marketwire - February 18, 2009) - A lot of people are going into forex trading because they know it's a place where you can make a profit even when the economy is faltering:

But misconceptions about forex frighten away some traders who could succeed -- and attract others who shouldn't be trading forex.

"The good news about forex trading is that good opportunities are available in today's faltering and ailing economy. The bad news is that misconceptions about forex abound," says Wayne McDonell, Chief Currency Coach of FX Bootcamp (www.FxBootcamp.com), a live forex training organization, and author of "The FX Bootcamp Guide to Strategic and Tactical Forex Trading" (Wiley Trading, September 2008).

"Forex is easy to get into but hard to master. It requires and rewards patience and discipline. It isn't right for everyone. Nonetheless, newcomers and aspiring traders shouldn't be afraid to trade, yet they need to understand how forex works," Mr. McDonell says. "Once you know the facts you can determine if forex is right for you."

Forex Realities

Mr. McDonell is available to elaborate on the myths and realities of forex trading. For instance...

  • Myth: When you trade forex, profit falls into your lap. Fact: You have to earn your profits. It takes hard work to understand and track economic developments, and to plan and execute a trading strategy to take advantage of them.

  • Myth: There's no liquidity in forex. Fact: Forex is the world's fastest-growing asset class. Its daily volume exceeds $1 Trillion. Its high liquidity is a key factor in the stability of the global forex market.

  • Myth: Forex isn't regulated. Fact: the old forex wasn't tightly regulated but the new forex market is. The National Futures Association regulates forex activities. Regulators require brokers to maintain much more cash, oversee their financial accounts and make it extremely difficult for them to manipulate the markets. "On the old forex, some fly-by-night brokers were suckering their clients, but now tight regulations reduce the likelihood of these abuses," Mr. McDonell says. "Opening a forex trading account in the United States is extremely safe."

  • Myth: To trade forex, you must pay attention to every economic indicator. Fact: The key factor in all successful forex strategies is inflation. "Inflation affects interest rates, and interest rates affect currency positions," says Mr. McDonell. "If you track inflation indicators, you can plan your strategy. These are long term fundamentals that occur over a period of months and years."

  • Myth: To trade forex, you have to be "on" 24 hours a day. Fact: Forex traders can trade successfully in as little as two hours a day. Keeping to a consistent strategy means that traders can establish, then liquidate their positions efficiently. "Forex is particularly beneficial to those who would like to trade, but have a day job. Unlike the stock market, you can trade currencies before and after work."

"To be a successful forex trader, having a strategy and a plan -- and sticking to it -- is essential," Mr. McDonell says. "You have to have a strategy in place and anticipate developments so that when they happen, you can act immediately."

Wayne McDonell is available for interviews. For more information, or to schedule an interview, contact Itay Engelman of Sommerfield Communications at (212) 255-8386 or itay@sommerfield.com.

About Wayne McDonell

Wayne McDonell is the Chief Currency Coach of FX Bootcamp, a live forex training organization, which has an audience comprised of members from over 50 countries. He is also the author of "The FX Bootcamp Guide to Strategic and Tactical Forex Trading" (Wiley Trading, September 2008), a top seller in the Foreign Exchange category. Mr. McDonell is a regular speaker at major investing conferences, including the upcoming Traders Expo in New York. He provides his weekly trading outlook on FOREX Television and his training videos are syndicated around the world on outlets including FXstreet.com, MoneyShow, DailyFX, Yahoo Finance, MSN and others. As a professional forex trader, Mr. McDonell is a member of the National Futures Association and a registered Commodities Trading Advisor.

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