FAQ (Frequently Asked Question)

A. General Questions:

1. What is Foreign Exchange / FOREX / Spot FX/ FX?
The word FOREX is derived from Foreign Exchange and is the largest financial market in the world. Foreign exchange is the simultaneous purchase of one currency and sale of another and currencies are always traded in pairs. Unlike many markets, the FX market is open 24 hours per day and has an estimated $3.5 Trillion in turnover every day. This tremendous turnover is more than the combination of all the worlds’ stock markets on any given day. This tends to lead to a very liquid market and thus a desirable market to trade.

2. Is there a central location for the FOREX Market?
Unlike many other securities (any financial instrument that can be traded) the FX market does not have a fixed exchange. It is primarily traded through banks, brokers, dealers, financial institutions and private individuals. Since transactions are conducted between two counterparts, the FOREX market is an “inter-bank,” or over the counter (OTC) market. Transactions are conducted between two counterparts over the telephone or via an electronic network.

3. Who are the participants in the FOREX market?
Central, commercial and investment banks have traditionally dominated the FOREX market. Other market participation is rapidly increasing, and now includes international money managers and brokers, multinational corporations, registered dealers, options and futures traders, and private investors.

4. Who are the major players in FOREX trading?
A survey by Wall Street Journal Europe, over 70% of the trade volume is covered by Deutsche Bank, who covered 17% of the total currency trades; followed by UBS, Citi Group, HSBC, Barclays, Merril Lynch, J. P. Morgan Chase, Coldman Sachs, ABN Amro, and Morgan Stanley.

5. FOREX VS traditonal stocks/ mutual funds trading?
FOREX and conventional stocks are different type of trading. When trading FOREX, most traders’ objectives are to predict short term movement in the currency exchange values. Most FOREX tradings are done in day-trading style where traders will buy and sell in the same day. Different from FOREX, stocks and mutual funds trading are more to medium to long term style where trades may last for years!

6. When is the FOREX market open for trading?
FOREX is a true global 24-hour marketplace. The trading day begins in Sydney, and moves around the globe as each financial centre comes to life. Tokyo follows, then London, and finally New York. Investors can respond in real time to any fluctuations caused by current economic, social and political events.

7. How is pricing determined for certain currencies?
The full range of economic and political conditions impact currency pricing. It is generally held that interest rates, inflation rates and political stability are top among important factors. At times, governments participate in the FOREX market in order to influence the traded value of their currencies.

8. What are the best FOREX trading hours?
The best time to trade the FOREX markets is basically the hours of the London market with the last 5 hours being in overlap with the US market. This is the time when the most traders and biggest banks are in the markets making their trades. It is widely considered the most profitable time to trade.

9. How often are Trades Made?
Market conditions dictate trading activity on any given day. As a reference, the average small to medium trader might trade as often as 10 times a day.

B. Elite Expert Advisor (EEA)

1. Who is ESA Trader Team?
ESA Trader is a platform for an experienced group of traders whom are committed in providing effective education and training to serious individuals who want to earn serious cash in FOREX Trading.

2. What is Elite Expert Advisor (EEA)
FOREX Trading is a high risk investment. The EEA is an Automated Trading system developed by ESA Trader team to eliminate any possible mistakes and weaknesses of human trade. The team had conducted countless reliability tests in order to ensure the EEA is able to perform stable, realistic and powerful results under any market conditions.

3. Can I make a monthly withdrawal on profits?
Yes. However, we advise our students not to withdraw all the profits because compounded profits will help on growth of trading account. Example: 30-50% of monthly profits

4. Can I stop using EEA?
Yes. You have to inform our support team at any time.

5. Can I withdraw my entire account fund?
Yes. You have to inform our support team to close all open trades at the right time.

6. According to the Graph shown in your website, why the results show Zigzag?
The chart shows zigzag because of the account balance. Do not worry on this even the balance is low. We are using internal hedging method system to keep the account equity higher all the time.

7. What is the expected return of the EEA?
The EEA performs exponential returns. The longer you accumulate the profits the more you will earn. According to our past years experiences, it could produce an average monthly return of 5-30% depending on the market conditions.

8. What is the recommended minimum trade period of the EEA?
At least 3 months

9. Can I use the EEA in other broker platform?
No. Since the EEA is not for sale, we only allow it to run on the platform of NZ Financial FX Trader.

10. What is the recommended minimum capital to start on the EEA?
USD3000 is the minimum amount.

11. How to start using the EEA?
The EEA is open for our ESA Trader students only. Therefore you have to register as an ESA Trader’s student. Please feel free to contact us to register as our student member.