Using Forex Calculators Provides Accuracy in Trading

The use of a forex calculator saves time, eliminates mistakes, which are very easy to do otherwise, and provides a basis for succesful trading. Unlike handheld calculators and the use of formulas where one has to enter the data in a serial way, hence entering the wrong number is quickly overlooked, embedded forex calculators work like spreadsheets. All data are seen at one glance, mistakes are corrected right away. And also The trader can view the numbers of different hypothetical trades at very fast speed, such as:

• stop loss size
• profit targets
• LLS pivot numbers
• exact pip size and more.

Forex Calculators – When is Most Critical to Be Fast with Numbers

Forex exchange rates, also known as live forex rates are fast moving numbers. Day traders have to pay attention to pip size, leverage, and overall trade risk and profit target, otherwise they cannot follow a money management plan. If the numbers are off by a small margin, it usually doesn't matter a lot, except when one is trading at high leverage or with a lot of money. Then even a tiny margin of error becomes magnified through the power of leverage and may result in much bigger loss or profit. Which the money management plan doesn't allow. Accuracy is very important to day traders and scalpers. Hence using embedded forex calculators is second nature to them. Moreover, as one trades at high frequency they soon find out that they might improve their trading skills and profitability through better money management. Again the use of these forex calculators allows to simulate many different hypothetical results in few minutes, and work out optimal trade size.
Traders use embedded calculators for fast and accurate trade planning.

Forex Calculators - Long Term Carry Traders Also Need to Be Accurate

Carry traders don't have to be fast, but they have to be extremely accurate with numbers and know how to work out interest rate charges and credits. A small miscalculation and the trading plan will fall apart soon. Every forex exchange rate is unique and has unique interest rate differentials, which can be used in various Carry trade strategies. Accuracy of several decimal points is absolutely essential. And if the trade is very large, then accuracy has to extend over more decimal points. Overlooking just one decimal point may prove costly, to the tune of hundreds of thousands of dollars per day on interest rate alone. Carry traders can also extend their strategies to arbitrage and trade different currency pairs for interest rate gain, while offsetting market price risk through other correlated pairs that tend to move by the same magnitude, but have very different interest rates. Here the trade becomes even more difficult as not only the interests rates but also the correlation numbers have to be calculated accurately. Except that interest rate is a fixed number, whereas correlation is a statistical, kind of dynamic number. The strategy does work though, and the longer the time frame, the more accurate it will be. As correlation is a long term relationship.