What is Foreign Exchange?
The Foreign Exchange Market (Forex) is the global financial market where currencies are bought and sold.
When is the Forex market open for trading?
The market is open 24 hours a day from 5:00 PM EST Sunday until 4:00 PM EST Friday.
What are the most commonly traded currencies in the Forex market?
The eight most traded currencies are US Dollar (USD), Canadian Dollar (CAD), Euro (EUR), British Pound (GBP), Swiss Franc (CHF), New Zealand Dollar (NZD), Australian Dollar (AUD) and Japanese Yen (JPY).
What is Margin?
Margin is the amount of money required in your account to keep your trades in the market. If you are trading at 50:1 leverage and you have an open trade for 10,000 USD, the margin required in your account to support that trade is around 200 USD.
What is pip?
A pip is the smallest unit of trading in an FX price. A pip is the fourth digit after the decimal (for example, with EUR/USD, a pip is represented by EUR 0.0001), with the exception of Yen, where a pip is the second digit after the decimal.
What does it mean to have a "long" or "short" position?
A Long position is one in which the trader buys a currency in anticipation that it will increase
A short position is one in which the trader sells a currency in anticipation that it will depreciate. This means that potential exists for both profits and losses in a rising as well as a falling market.
What do terms like "bid/ask," "spread," and "rollover" mean?
The Bid price for the forex trading refers to the price at which the traders around the world are ready to purchase the particular currency pair.
The Ask price in the forex market refers to the price at which all traders around the world are ready to sell the currency pair.
A spread is the difference between the bid and the ask price.
Rollover is the process of extending the settlement date of an open position.
What is the difference between an "intraday" and overnight" position?
Intraday positions are all positions opened anytime during the 24 hour period after the close of Seven Star FX normal trading hours.
Overnight positions are positions that are still on at the end of normal trading hours, which are automatically rolled by Seven Star FX at competitive rates (based on the currencies’ interest rate differentials) and applied directly to your account balance.
What happens to my open positions at the end of the trading day?
In Forex, when you keep a position open through the end of the trading day, you will either be paid or charged interest on that position, depending on the underlying interest rates of the two currencies in the pair.
What is ECN (Electronic communication network) technology?
An account with ECN technology delivers a Level 1 price feed from liquidity providers and access to inter-bank liquidity, with fast order handling and no price requotes, but possible price slippage.
What is STP (Straight through processing) Technology?
STP means when a trader places an order with the broker they will simply pass this trade onto one of their liquidity providers. These liquidity providers will vary broker to broker and may include other brokers, banks, and other specialist liquidity providers.
What is Slippage?
In forex, slippage occurs when a limit order or stop loss occurs at a worse rate than originally set in the order. Slippage often occurs when volatility, perhaps due to news events, makes an order at a specific price impossible to execute. In this situation, most forex dealers will execute the trade at the next best price.
What is leverage?
The ratio of investment to actual value is called leverage.
For example 50:1 is a ratio equivalent of a margin of 2% (1/50 = 0.02 or 2%). In this example therefore, you would need to have at least 2% of the total exposure of your intended forex position in your account in order to place the trade.
How risky is forex trading?
You cannot lose more than your initial investment (also called your margin).The profit you may make is unlimited, but you can never lose more than the margin.
What is rollover?
Rollover is interest earned or paid on Forex positions held overnight. It varies depending on the difference in interest rates between a currency pair and fluctuates day to day with the movement of prices.
A Negative Roll is when you sell a currency that pays higher interest rate, so you pay interest. A Positive Roll is when you buy a currency that pays higher interest rate, so you can earn interest. Negative Rolls are routine, but not all Forex Brokers offer positive rolls.
What kind of forex trading strategy should I use?
Currency traders make decisions using both technical factors and economic fundamentals. Technical traders use charts, trend lines, support and resistance levels, and numerous patterns and mathematical analyses to identify trading opportunities, whereas fundamentalists predict price movements by interpreting a wide variety of economic information, including news, government-issued indicators and reports, and even rumour.
What is the central location of forex market?
It is an over the counter (OTC) market. It does not have a central exchange or clearing house. Forex brokers or traders call each other up to trade and negotiate directly with one another, using online trading platforms.
How long does it take to open a live account?
Opening an account can take only a few minutes. It’s very simple process. All you have to do is, click on the “Open Live Account” button and fill in a simple form and complete the Registration Process.
Your Secure Client Area Login credentials, your Meta Trader Account Number, your eWallet ID will be emailed to you. You may save them for future reference.
Do I have to provide any documents for opening an account?
We require you to submit one document from each of the lists below:
Proof of Address:
- Utility Bill (Phone, Electricity, Gas)
- Bank or Credit Card Statement
- Government Issued Tax Document
- Citizen Certificate
- Should not be older than 3 months.
- Full name and Residential Address should clearly visible
Proof of Legal Existence:
- Driver’s license
- Government Issued Photo ID
- Must show full name and Date of Birth
- If the documents are in language other than English, You will need to get them translated in English and notarized them
What leverage is applicable on my account?
Seven Star FX provides you leverage from 50:1 to 500:1. You may choose the level of leverage according to your needs.
Do I need to download any software before I start trading?
Yes, you need to download Trading Platform (Meta Trader 4) via our website before start trading.
I forgot my Client area password. What should I do?
Please click on the “Forgot Password” link and enter your email address and you get link to reset your password.
How do I open an additional account?
You can open an additional account from your Secure Client Area.
I have two accounts, and I made a deposit in the wrong account, how can I transfer the funds to my other account?
Internal Transfer of funds in your trading accounts is really simple. All you have to do is fill in a simple information form in your secure client area send us a fund transfer request.
Can I manage multiple accounts?
If you have more than one account, you can manage these accounts by using the Seven Star FX Meta Trader 4 Multi Terminal platform that allows you to manage several accounts simultaneously.
What is eWallet?
Seven Star FX introduces eWallet. eWallet is your own digital wallet on your Seven Star FX Secure Client Area, where you can store your money to use it in future. It is an electronic facility which enables you to deposit and withdraw funds to/from your Trading Account at any time. Further, you can also make electronic fund transfers from your trading accounts to your eWallet.
What are the Benefits of using eWallet?
There are many benefits of using an eWallet for Deposits and withdrawal from your trading account
- You can deposit the money to eWallet at any time and keep the funds in your eWallet so, you can transfer the money to you trading account during market volatility.
- You can transfer the funds from eWallet to your MT4 Account at any time without any charges.
- Withdrawing funds can become an easy task using the eWallet. You can withdraw your funds 24*7 from your eWallet account without any delay*.
How do I deposit money to my account?
You can deposit money using multiple payment methods.
- Wire Transfer
The speed in which the money reflects in your account depends on the payment method selected.
Which currencies can I use to deposit funds into my trading account?
You can deposit funds in USD.
What is the minimum amount for opening a trading account?
The minimum amount to start a trading accounts $500.
Can I withdraw funds when I have open positions?
Yes, you can withdraw funds if you have open positions on your platform. Please note that your free margin must exceed the amount specified in the withdrawal instruction, including all payment charges. You will not be able to make a request if you have insufficient funds.
Why have you charged my MT4 account on the withdrawal? You have withdrawn more than the amount I had requested.
The extra amount that was removed from your MT4 account is part of the welcome bonus you received when you made your first deposit. Whenever you make a withdrawal, a proportion of the welcome bonus is removed relative to the amount you deposited and requested withdrawal.
Can I withdraw the bonus?
The Welcome Bonus will be held solely for trading with Seven Star FX and cannot be withdrawn. At any given time, even after the expiration of the promotional period, when a client requests a withdrawal, the welcome bonus will be removed.
How can I withdraw my profits?
To withdraw your profits, you may transfer the funds from your Trading Account to your eWallet. Once the funds are available in the eWallet, all you have to do is request the withdrawal choosing a method from:
- Wire Transfer
The Withdraw Duration depends on the method you selected. We will process the withdrawal within 24 Business Hours of the request.
I have made an online wire transfer to my secure client area account, but the money does not appear in my account.
To have your deposit processed quickly, send the copy of your wire transfer receipt along with your Seven Star FX Secure Client Area ID (Email Address) and your MT4 Account Number to email@example.com. We will process the deposit within 24 business hours once we receive the request.
What is Negative Balance Protection?
You’ll never have to face a debit balance (negative balance) when you trade with Seven Star FX. If your equity falls below your margin requirement, our Trading Station will automatically close out your positions — think of this as a final stop order, always working for your protection.
What are the trading hours?
The trading hours are 24 hours a day starting at 00:00 Monday and closing at 24:00 Friday server time. Server time is GMT + 2
The price on the chart is different than the price appearing on my trading terminal. Why?
The charts show the Bid price by default. A Buy position is opened with the Ask price and closed with the Bid price. You have to add the spread on the Bid price to find the Ask price. Therefore the difference in price is due to the spread.
I am getting “Re-quotes”. What does this mean?
It means that there is a highly volatile market & the prices are fluctuated. Under this scenario, we need to offer you the new latest market price. In such an event, you can either accept the new re-quoting or just reject the new price and cancel the execution of the transaction. Another possible reason for getting re-quotes could be the possibility of having a slow or bad internet connection which can delay the transmission of orders; implying that on your trading platform you are viewing old prices instead of current market prices.
I have placed a take profit order and was triggered with loss. Why?
Please be aware that when Take Profit is set on a long position, it’s placed above the prevailing market price. As a result, if you place a Take Profit order after you open a position when it is already making a loss, the take profit will act as a stop loss and your position will be closed with a loss.
I placed a pending order and was deleted. Why?
Your pending order will be deleted from the system automatically if the free margin (Equity – Used Margin) is not enough to cover the margin required for opening up the specific order that might disbarred from order execution.
What is the difference between the balance and the equity that appears on my trading platform?
The balance illustrates your closed positions of Profit/Loss while the Equity is the real time calculation of Profit/Loss i.e. taking into account both open and closed positions.
Can I cancel an instant order request?
If you placed an instant order and you decided to cancel it, it may not always be possible to cancel if the request has already been received by our trading server.
Why are the buy/sell symbols disabled when I try to place a trade?
Always ensure that you are entering the correct minimum volume.
Why wasn’t my Take Profit not triggered, while the chart reached the price I had set?
Please note that Sell positions are closed with the Ask (Buy) price. The price the chart is showing is the Bid (Sell) price, which is lower than the Ask price. You need to add the spread to the price that you see in the chart in order to get the Ask price.
The MT4 Demo/Live login shows invalid account/no connection. What do I do?
Please note that Demo accounts have an expiry period of 30 days, so ensure that you are using the correct password and have selected the correct server. For further help, you can speak to one of our customer support representatives via our Live Chat or you can e-mail us at firstname.lastname@example.org quoting your account number.
Why I can’t download Seven Star FX BlackBerry trader while I have the BlackBerry Internet Service (BIS)?
Seven Star FX BlackBerry Trader does not support the Blackberry Internet Service (BIS) connection type. We highly recommend to our traders to activate the TCP Cellular on their handsets or to use the TCP Wi-Fi Internet connection for connectivity.
I forgot my MT4 password. What should I do?
This can be done via the secure client area. Click on ‘Reset MT4 password’, select your account number, and change your password and then click on ‘Change password.’