I was able to read the news feeds from the many on line brokers I had demo accounts with; I was
able to read information on the fundamentals of the forex market from websites such as
www.forexnews.com , www.fxstreet.com , www.dailyfx.com . When I read some of the articles on
these sites I get so much more from them, I really understand the bigger issue that all these
articles form a part of. However at this early stage of my forex education it was like reading about
how to fly an airplane.
I knew this lack of knowledge was what stood between me and potential success. I looked on the
internet for some material on the subject. I read a lot about Government bond markets, how high
oil prices pressure the $ and the use of gold as a financial instrument. I also purchased a highly
recommended book, Julian Walmsly’s “The Foreign Exchange and Money Markets Guide”.
I cannot fault Julian Walmsly he did not promise to make me millions in the forex market, his book
was extremely factual. The first half of his book talks about the local banking systems and the
ways in which government may supply or with draw money from the market, he then goes on to
talk about the forex market day and the reasons behind why money is moved from one country to
another. The second half of his book covers the different financial instruments in foreign
exchange.
From the first few chapters of the book I was able to get a better idea of both the local and
international “money markets” how money supply is regulated and how money is moved to where
it needs to be.
When it came to the more technical chapters on calculations and the different instruments I
quickly lost the will to live. I think to a professional, perhaps some one who had a degree in
economics the book would have been a better read, but I was an IT consultant just trying to learn
what was going on in the spot market and much of the book was over my head.
Another reason I would not really recommend this book to people trying to learn forex trading is,
although the book is good at being what it is, it is not a beginner’s guide, it does not explain things
in a simple fashion and it does not give you much of the history behind what money actually is.
So I think Julian wrote a good book but it was just over my head, I would hope to read it in later
years with a better understand and perhaps enjoy the whole thing.
The next chapter will deal with a mentor I became involved with; he presented the information to
me in layman’s terms, and started from the very beginning. It may sound funny but makes total
sense, that after I learnt about what mankind has been using for money over the millennia and
how the ruling powers at different stages in global history managed their empires money,
understanding the money system used in the modern world all of a sudden became as clear as
glass.
Before learning this I had often heard people talk of the power men like George Bush, Zhu Rongji,
and Tony Blair / Gordon Brown wield, after learning this I realized exactly what that meant.
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