Dhgate Review A Innovative Trading Marketplace Distinctive From Alibaba

When we mention wholesale markets, many would consider China, the world’s largest giant occupying this market. Alibaba was in the past the only master occupying the entire wholesale industry in China, but in this decade more and more Internet wholesale trading place are showing up to grab the market share. In all online wholesale marketplaces, the development of DHgate is the most visible based on the volumes of registered members, item variety, volume of transactions, services, purchase experience, etc. A closerlook into these online trading models reveals that the unique business model is the major contributor to the development of .
Unlike Alibaba and other wholesale marketplaces, DHgate.com does not charge membership fees by providing information service. Instead, it earns profits by charging a certain percentage of commission for every completed transaction. Zero membership fees mode has won many small and medium-sized enterperprises from China to try this marketplace. With the zero cost for membership, sellers can afford to provide the most competitive prices on their commodities. That’s the reason why buyers can commonly get extremely low prices on lots of commodities on the website, as we can see in the pool of DHgate reviews.

I was worried that free membership fees might lead to the spreading of DHgate scams since I thought free membership means completely “free” access to the site. But later I learnt that I was wrong. Before becoming a formal member of the online wholesale marketplace, each seller is seriously censored by the staff from the website, with the certification authorized by an authoritative third party association. Surely, as it may occur in all other online trading marketplaces like Alibaba and eBay, some scammers may slip into DHgate.com with a highly disguised identity. So beware when you trade with the sellers on the website. Nevertheless, the composite set of functions including Escrow payment method, trust point system and feedback system the site provides greatly reduce your risks to the least. When you decide to buy a particular item, remember to take a look at the seller’s feedback profile which clearly shows the credibility of the supplier. From the seller’s feedback messages, you can not only see the seller’s feedback score and positive feedback percentage, but also the specific ratings on past transactions like item as described, shipping time, communication, etc. These further ratings are great markers to assess a seller as the feedback system of the site is already quite complete and strictly implemented.

Another big difference differentiating DHgate from Alibaba lies in the process transaction service it offers. As mentioned before, Alibaba works on an information-oriented service without invloving in the transaction progress between the seller and the buyer. But DHgate serves as a mediating stop by penetrating into the entire transaction process. From when the buyer places the order, through when the buyer makes the payment, to when the buyer receives the commodities and claims the delivery, to finally DHgate.com releases the payment, the website involving in every period of the entire process. This also, greatly reduces the chances of fraud events. From the sea of DHgate reviews on the Internet, I concluded that most events in relation with “DHgate fraud” were caused simply due to misunderstanding or failure to use the help service DHgate.com provides. For instance, a buyer blames that DHgate.com is a scammer as he missed the deadline to open a dispute after he the number of his received goods was not correct. As a result, his money was released by DHgate as he did not open any dispute in due time. First, this buyer mistook DHgate as a supplier. In reality, DHgate is just a transaction stop dedicated to offering transaction services between the two trading ends. Second, when problems occur, the urgent move is to get help from their customer service department as soon as possible. Otherwise, as buyers need to open a dispute within the time limit, according to DHgate’s rules, if the buyer does not open any dispute and the supplier applies for the payment release with required data, the B2B marketplace will release the money to the supplier.

Six Forex Trading Tips for Newbies

You have decided to be a trader in the forex market, and you have no idea on how to begin. Let’s first start by defining what the forex market is and what it does.

The term “forex”, also known as the foreign exchange is a market for the sale and purchase of all kinds of currencies. It originated in the early 1970’s when floating currencies and free exchange rates were first introduced. At this time, the forex market traders were the ones who set the value of one type of currency against another. Nowadays, the market forces determine the value of a currency against another.

One unique aspect of the Forex market is that very little trading qualifications are required of anyone intending to trade therein. Independence from external control ensures that only the market forces influence the currency prices. As the largest financial market, with trades reaching up to 1.5 trillion U.S. dollars, or USD, the money moves so fast, its impossible for a single investor to substantially affect the price of any major foreign currency. In addition, unlike any stock that is rarely traded, forex traders are able to open and close any positions within seconds, because there are always a number of willing buyers and sellers.

1. The first thing you need to do is open a forex account. You will have to fill an application form which includes a margin agreement stating if the broker will be allowed to intervene with any trade when it appears too risky. Since most trades are done using the broker’s money, it is only logical that he protect his interests. However, once you have established an account, you can fund it and begin trading in the forex market.

2. Adopt a trading strategy, that has proven to be successful for you. Remember that strategies will work differently for different traders, so don’t try to adopt a strategy that works well for another trader. It might backfire on you. The two available approaches are either technical analysis or fundamental analysis. A combination of the two is a more preferred choice for experienced traders.

3.Understand that prices move by trends. Forex has a popular saying, The trend is your friend. There are certain movements that have been studied over many years in order to identify a pattern in the trend. These trends need to be understood in order to understand a good trading strategy.

For small accounts that are $25,000 and under, trading with a trend may help improving your odds when compared to bi-directional trading. Most newbies will look to trade in any direction, when they should be trading with a trend.

4. Ensure you know which are the top five currencies pairs in the foreign exchange. These are USD/Yen, Swiss franc/USD, Euro/Yen, Euro/USD and Pound/USD.

5. For newbies, it is advisable to maintain two accounts to ensure you learn to play the trading game. Keep one real account, one that you will actually use to trade real money; and the second account should be a demo, one that you can use to test alternative moves in the trading game. You can easily use your demo account to shadow the trades in your real account so you can widen your stops to see if you are being too conservative or not.

6. Always examine the one hour, four hour and daily charts that concern your trades. Although you can trade at 15 and 30 minute time intervals, doing so requires a handful of dexterity.

Soccer Over Under trading strategy

Trading on Over/Under Goals markets in betting exchanges can be very profitable if you apply this strategy well. The most popular market is 2.5 Goals. For this type of trading to work well you need to find a match between two low scoring teams. Appropriate teams will be with strong defence and relatively weak offence. Nice scenario for a match would be that one of these teams scores a goal in first 15 minutes and second goal is scored at least 10 minutes later after the first goal or isn’t scored at all.

Bet placement can be divided in two parts:

1. Choose a match. Wait for a goal in first 15 minutes. When goal is scored odds for Under 2.5 goals will jump up. Back it. Don’t trade if a goal is scored after first 15 minutes. Odds will rise by smaller amount and in a long term this strategy will not be profitable. 2. Wait for 5-10 minutes. Price will go down and now Lay in the same market. Use lower sum than when you Backed first to get profit on both results (over and under).

Most unsuccessful case would be that second goal is scored straightly after the first one. To avoid situations like this you need to avoid betting in active soccer matches. Also check statistics and previous meetings between chosen teams. Watch and analyze matches closely! If still you are stuck with your Back bet in match where first two goals were scored one after another, you have two options:

1. Trade out and take a loss. 2. If the match looks inactive and first goals looked like simply luck then you can wait for later minutes of soccer match and trade out with little loss or even some profit.

Summarizing all this you need to trade on low scoring teams, analyze them carefully and enter market only if a goal is scored in first 15 minutes.

Want to learn more? Read fullSoccer Over Under trading guide

Forex Trading Secret !

Automated Forex Trading: Clever yet Effective Technology

Why Forex trading?

This is probably one of the questions that you need a reasonable answer. There are hundreds of investments out there that you can prefer, but why go trading foreign currencies instead?

Forex investment is unique in various aspects.

Its trading volume is relatively huge compared to other market.
It has extreme liquidity or the capability of either buying or selling the currency without causing significant movement in the market price.
It has the largest number and variety of traders.
It is one of the markets that have long trading hours (24 hours each day, except during weekends.
Trading locations are almost everywhere, not just in the United States or major cities of Europe.
There are different factors that affect foreign exchange rate.

Another whooping fact that will make you excited to go on Forex trading: it has an average turnover in traditional foreign exchange market of around $1.88 trillion daily, according to the Triennial Central Bank Survey of the BIS (Bank for International Settlements). Here are the daily averages of turnover on the Forex market for the last 17 years:

$500 billion (April 1989)
$750 billion (April 1992)
$1.18 trillion (April 1995)
$1.48 trillion (April 1998)
$1.16 trillion (April 2001)
$1.88 trillion (April 2004)

From the figures alone, you will notice that the average trend of Forex turnover is increasing. It is estimated to reach as high as 2 to 3 trillion dollars within the next 8 to 10 years, if the number of traders around the world will continue to increase. As a matter of fact, everyone have the chance of getting a substantial slice of the Forex market wealth pie, especially that the Forex trading marketing is now on its automation process.

The concept of automation becomes the new trend to the foreign exchange trading market. The Interbank spot Forex market has also considered switching to the automated method as well.

There are several benefits that a Forex trader can derive from automated Forex trading. Here are some of such benefits and figure out why Forex trading as well as other investments (futures and commodities) prefer the automated process.

Through automated process, transactions can now be done in real time. Although manual systems have existed for quite some time now, it is difficult to achieve such benefit that the automated Forex system can offer to its traders. All of the trades can happen within a few milliseconds and can be a big plus for automated transactions against the manual system. In fact, there are problems that are addressed using automated Forex trading especially if the trader is losing a few times in a row that prevents him from making new trades. Such problem could be addressed using the automatic trading system.

With automated Forex trading, you will have a greater diversification. It means that you can trade in various markets in different time zones at a time. You can execute trades with traders from Singapore or London even it is already 12 midnight in the United States. This benefit allows you a multiple exchange model option. You can use varying trading models to evaluate short-term data. This means that you will be able to predict the trend for a shorter period of time, let us say from fifteen minutes to half an hour.

As previously mentioned, the Forex market is unique because of its extreme liquidity. This liquidity is increased when the market goes automated.

Risk management problems are solved through automated Forex trading. International checks, which are commonly used in making purchases on Forex market, are synchronized through automated technology. Since the transaction in an automated process is now on real time, there is a slim chance that the payments will be delayed, reducing the risk of non-payment by either parties. Although there are problems noted with the use of the automated system, it can be fixed through consistently-updated technologies.

With automated Forex trading market, the prediction of $2-3 trillion average daily turnover within the nest 8 to 10 years can be changed within the next 4 to 5 years. Given the quick yet efficient trades on varying time zones, automated Forex trading will now be among the existing lucrative business around the world.

History Of Indian Capital Markets

The history of the Indian capital markets and the stock market, in particular can be traced back to 1861 when the American Civil War began. The opening of the Suez Canal during the 1860s led to a tremendous increase in exports to the United Kingdom and United States. Several companies were formed during this period and many banks came to the fore to handle the finances relating to these trades. With many of these registered under the British Companies Act, the Stock Exchange, Mumbai, came into existence in 1875.

It was an unincorporated body of stockbrokers, which started doing business in the city under a banyan tree. Business was essentially confined to company owners and brokers, with very little interest evinced by the general public. There had been much fluctuation in the stock market on account of the American war and the battles in Europe. Sir Premchand Roychand remained a kingpin for many years.

Sir Phiroze Jeejeebhoy was another who dominated the stock market scene from 1946 to 1980. His word was law and he had a great deal of influence over both brokers and the government. He was a good regulator and many crises were averted due to his wisdom and practicality. The BSE building, icon of the Indian capital markets, is called P.J. Tower in his memory.

The planning process started in India in 1951, with importance being given to the formation of institutions and markets. The Securities Contract Regulation Act 1956 became the parent regulation after the Indian Contract Act 1872, a basic law to be followed by security markets in India. To regulate the issue of share prices, the Controller of Capital Issues Act (CCI) was passed in 1947.

The stock markets have had many turbulent times in the last 140 years of their existence. The imposition of wealth and expenditure tax in 1957 by Mr. T.T. Krishnamachari, the then finance minister, led to a huge fall in the markets. The dividend freeze and tax on bonus issues in 1958-59 also had a negative impact. War with China in 1962 was another memorably bad year, with the resultant shortages increasing prices all round. This led to a ban on forward trading in commodity markets in 1966, which was again a very bad period, together with the introduction of the Gold Control Act in 1963.

The markets have witnessed several golden times too. Retail investors began participating in the stock markets in a small way with the dilution of the FERA in 1978. Multinational companies, with operations in India, were forced to reduce foreign share holding to below a certain percentage, which led to a compulsory sale of shares or issuance of fresh stock. Indian investors, who applied for these shares, encountered a real lottery because those were the days when the CCI decided the price at which the shares could be issued. There was no free pricing and their formula was very conservative.

The next big boom and mass participation by retail investors happened in 1980, with the entry of Mr. Dhirubhai Ambani. Dhirubhai can be said to be the father of modern capital markets. The Reliance public issue and subsequent issues on various Reliance companies generated huge interest. The general public was so unfamiliar with share certificates that Dhirubhai is rumoured to have distributed them to educate people.

Mr. V.P. Singhs fiscal budget in 1984 was path-breaking for it started the era of liberalization. The removal of estate duty and reduction of taxes led to a swell in the new issue market and there was a deluge of companies in 1985. Mr. Manmohan Singh as Finance Minister came with a reform agenda in 1991 and this led to a resurgence of interest in the capital markets, only to be punctured by the Harshad Mehta scam in 1992. The mid-1990s saw a rise in leasing company shares, and hundreds of companies, mainly listed in Gujarat, and got listed in the BSE. The end-1990s saw the emergence of Ketan Parekh and the information, communication and entertainment companies came into the limelight. This period also coincided with the dotcom bubble in the US, with software companies being the most favoured stocks. There was a melt down in software stock in early 2000. Mr. P Chidambaram continued the liberalization and reform process, opening up of the companies, lifting taxes on long-term gains and introducing short-term turnover tax. The markets have recovered since then and we have witnessed a sustained rally that has taken the index over 13000.

Several systemic changes have taken place during the short history of modern capital markets. The setting up of the Securities and Exchange Board (SEBI) in 1992 was a landmark development. It got its act together, obtained the requisite powers and became effective in early 2000. The setting up of the National Stock Exchange in 1984, the introduction of online trading in 1995, the establishment of the depository in 1996, trade guarantee funds and derivatives trading in 2000, have made the markets safer. The introduction of the Fraudulent Trade Practices Act, Prevention of Insider Trading Act, Takeover Code and Corporate Governance Norms, are major developments in the capital markets over the last few years that has made the markets attractive to foreign institutional investors.

This history shows us that retail investors are yet to play a substantial role in the market as long-term investors. Retail participation in India is very limited considering the overall savings of households. Investors who hold shares in limited companies and mutual fund units are about 20-30 million. Those who participated in secondary markets are 2-3 million.

Capital markets will change completely if they grow beyond the cities and stock exchange centers reach the Indian villages. Both SEBI and retail participants should be active in spreading market wisdom and empowering investors in planning their finances and understanding the markets.

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