Online forex trading

Until you really get into Forex trading online, it will be really difficult for you to understand the true meaning of the title of this article. I will tell you a true story, and I believe myself to be a reasonably sane person, although after you read this story you might not think so.

I am a professional currency trader now who makes a real good living doing it. It was not always that way; I will tell what currency course that provided my first way to let me make consistent money online and started my new career in a second, but for now back to the story.

This is the story, and I could not make this up if I tried. I wish I did make it up; I would not look like such an idiot then. I am about two years into my new career and I make the biggest killing I ever made on a trade, I am talking like in the high six figures, on a low five figure investment. By the way, the Forex markets are the only place that provides you this type of leverage that permits you to make those types of Return on Investments (ROI) in such a short period.

Well, I am on top of the world, I think I am the smartest person ever on earth. I am going to be the next Warren Buffet. Then fifteen minutes I lose an amount in the low six figures on another trade. I lost this much, because I did not utilize the defensive techniques that you can learn in many Forex courses at that time. I do now, I learned my lesson.

So this is what I did; I pick up the computer monitor and I had a big one, a 21 inch model and this was not these new flat screens we all have now, this was one of the olds ones, that were heavy. My office is on the second story of our house and the room has a big double window in it. I throw the monitor right through the window. As if that was not enough, I then go get the computer and throw it through the other window. By the way, they hit right in the middle of the concrete patio outside the windows, at least I am a good shot. I really could not miss, to tell you the truth.

My wife’s comes in screaming, the kids are crying, the neighbors start banging on the front door. Everybody wants to know what’s going on? WOW, oh, WOW, this was a big mistake on my part. After all, I still made a mid six figures income that day; I thought of that afterwards, I just did not think of it at that time.

You should never do this for the following reasons.

A) You just have to pay to have the windows fixed.
B) You have to buy a new computer and monitor.
C) You have to clean everything up, because your wife is sure not going to do it. She is so mad at you at this time, she is thinking of divorcing you.
D) Your kids think there dads a crazy person.
E) You neighbors think there living next door to a lunatic.

Those are just some of the reasons not to do it, there are many more. But, that all happened in one day of Forex trading online. The currency class that first taught me how to make money every month in the markets is called Forex Trading Made E Z. You can check out its website and see if you’re into it. That’s my story for the day, the moral of it all is, what ever happens in the market that day, there is always another day. And NEVER but NEVER throw your computer out the window.

Forex trading only with moving average

At the moment I am rather busy. Moving to a new place and house. The house still needs a lot of work. As a result, I do not have time to update this blog. Trading is still going on but on a shorter timeframe. Result is consistent now. AudUsd is very kind at the moment with no sudden movement.In the next few weeks I will show you how to trade using only MA. As usual what works for me may not work for you. This is because some of you may not be able to follow the rules of the game.RULES OF THE GAME1. Trade based on your capital and the time that you have. The bigger your capital the longer the TF. The more time you have the longer the TF. Vice versa.2. Only trade at the direction pointed by the MA pairs. If the MA pairs is showing mixed direction, do not trade. The MA pairs must be pointing at the same direction.3. If a trade suddenly change direction, do not hesitate to close it at a loss and turn the trade. This is the hardest part where most of you failed. Free your mind or become a loser all your life.4. Keep in mind, there is no such thing as winning all the time. Just make sure you win a lot more than you lose. In the end your profit will grow along with your confident.Simple system with simple rules. I like to keep it simple. No point of having the most complex system when simple system can have the same result. With this system you will be out of the market most of the time. This is because you will only be taking the big move and avoiding the small move and market noise. Last advise. Do not anticipate. Forex is not a game of inteligence eventhough this system at full swing will show you possible turning point. I am having a possible turning point for audusd at 0.7200 but I will not take it coz there will be market swing before the actual turn. Why wast time waiting for the big move when you can actually see when its going to move.In the mean time, good luck for all of you. I will be back once my pc is online again. At the moment I am posting this on a laptop. I dont like laptop, too small keypad, makes it hard to do speed typing.

Market Orders

Forex markets are open 24 hours a day, five days a week except on weekends. You cannot sit in front of your computer screen all the day watching the markets move. Currency traders use market orders to catch market movements when they are not in front of their screens. A market move is just likely to happen while you are asleep or in the shower as while you are sitting in front of your computer screen.There are many types of market orders. Proper use of market orders is very critical to your trading success. You should think of the different types of market orders as trades waiting to happen. You are in the market so be as careful as possible while playing with the market orders if you enter an order and the subsequent price action triggers its execution. Trading can be very difficult without these market orders.Professional currency traders routinely use market orders to limit risk in volatile or uncertain markets, implement a trade strategy from entry to exit, capture sharp short term price fluctuations and preserve trading capital from unwanted loss. Market orders are essential for maintaining trading discipline and your peace of mind as a trader.

Invest In Gold

The importance of gold in terms of wealth cannot be undermined. Gold is unarguably one of the most precious elements on the earth. However, the sources are limited. Gold is becoming rarer with each passing day and hence, the price of gold is continuing to rise higher and higher.Invest in GoldTherefore, it is a perfect alternative to trade gold. It is thus advisable that you buy gold when the price decreases in the market. Later on, when there is a rise in the price, you may sell gold in the market. Before you start to invest in gold, it is best to have a perfect strategy for investing in gold. You also have to be familiar with the market that deals in bullion to get the maximum benefits.Invest in GoldNext, investing in gold bullion bars of different sizes and weights like ounces, grams and kilograms is also a better option. To buy gold bullion of 10-ounce bar, which consist of a fine purity of 99.5% is the standard unit and may be the best vital alternative not only in gold trading, but also for personal use.There are many advantages of bullion gold. It is similar to stocks and can be traded at the latest market rates. Gold bullion is not only considered a tangible asset, but also an investment that ensures total security and value during the time of financial inflations or crisis.Invest in Gold Due to the multiple benefits, majority of investors think that it is better to invest in gold certificates. You can trade gold freely in the gold market by investing in gold certificates or funds. Gold funds and certificates are completely insuredFor investing in gold, bullion coins surely proves to be one of the best options. By selling gold bullion, you may earn cash in times of emergencies or urgency, while saving the others. By doing this, you will save some extra expenses. As these coins come in small sizes, there is no need of cutting them in more small pieces.Invest in GoldWhile considering the security in finances, gold bullion bars is the ideal liquid investment. These bars are easy and convenient for transporting and storing. In addition, gold bullion bars are very useful in times of inflation or recession and other such financial crisis.It is therefore good to consider investing in gold. It will be helpful for you to have a fair amount of knowledge about gold trading process and gold trading market before you actually decide to trade gold.

Common Guidelines in trading

Experienced traders will often say "trend is your friend" or "do not overtrade". What does it mean? The explanation below will lead you to pages where you can read more about basic trading guidelines. It is just basics - you will need to read much more related literature to become a successful trader.

Common Guidelines: Plan your trade and trade your plan: You must have a trading plan to succeed. A trading plan should consist of a position, why you enter, stop loss point, profit taking level, plus a sound money management strategy. A good plan will remove all the emotions from your trades.
The trend is your friend: Do not buck the trend. When the market is bullish, go long. On the reverse, if the market is bearish, you short. Never go against the trend.

Focus on capital preservation: This is the most important step that you must take when you deal with your trading capital. You main goal is to preserve the capital. Do not trade more than 10% of your deposit in a single trade. For example, if your total deposit is $10,000, every trade should limit to $1000. If you don't do this, you'll be out of the market very soon.

Know when to cut loss: If a trade goes against you, sell it and let go. Do not hold on to a bad trade hoping that the price will go up. Most likely, you end up losing more money. Before you enter a trade, decide your stop loss price, a price where you must sell when the trade turns sour. It depends on your risk profile as of how much you should set for the stop loss.

Take profit when the trade is good: Before entering a trade, decide how much profit you are willing to take. When a trade turns out to be good, take the profit. You can take profit all at one go, or take profit in stages. When you've recovered your trading cost, you have nothing to lose. Sit tight and watch the profit run.

Be emotionless: Two biggest emotions in trading: greed and fear. Do not let greed and fear influence your trade. Trading is a mechanical process and it's not for the emotional ones. As Dr. Alexander Elder said in his book "Trading For A Living", if you sit in front of a successful trader and observe how he trades, you might not be able to tell whether he is making or losing money. That's how emotionally stable a successful trader is.

Do not trade based on a tip from a friend or broker: Trade only when you have done your own research and analysis. Be an informed trader.
Keep a trading journal: When you buy a currency or stock, write down the reasons why you buy, and your feelings at that time. You do the same when you sell. Analyze and write down the mistakes you've made, as well as things that you've done right. By referring to your trading journal, you learn from your past mistakes. Improve on your mistakes, keep learning and keep improving.

When in doubt, stay out: When you have doubt and not sure where the market or stock is going, stay on the sideline. Sometimes, doing nothing is the best thing to do.

Do not overtrade: Ideally you should have 3-5 positions at a time. No more than that. If you have too many positions, you tend to be out of control and make emotional decisions when there is a change in market. Do not trade for the sake of trading.

Investment in Forex Future

There are many many advantages over the various other ways of investing. First of all it is a 24 hr market, except for weekends of course. You have the US market then the European and then the Asian. One of the great times to trade is during the over lapping periods. The USA and European overlap between 5am & 9am eastern and the Euro & Asian between 11pm & 1am eastern. Usually the busiest time and best to trade.

The is also the risk factor for the accounts. With futures and options you can get margin calls that can wipe you out. If you get caught in a bad trade not only do you lose the money in the account but you may have to come up with a lot more from your pocket. It can be very risking. But not in Forex. Worst case scenario you could lose whats in you account. But you would have to do something really stupid. Like making a big trade on a Fundamental day and leave it alone. If market takes a bad move and you weren’t there. OOPS. But That wouldn’t happen with a smart trader.

Then there are the demo accounts which is an account where you can trade using all the right things, platform,charts,and information. But you are using play money, or what we call paper trading too.

Forex software security

n overview of the security needs of Forex software
Foreign exchange software should be designed for the utmost security, privacy, integrity and if necessary, recovery of data. Clearly, any security holes can mean millions of dollars in losses.
Secured data exchange

The common method for securing the exchange of data is to encrypt it. Encryption means that the data transferred over the communication line is encoded in a special way at the sending end, and decoded using the same algorithm in reverse at the
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receiving end. The data that goes through the communication channel is meaningless to an eavesdropper, even if he does succeed in intercepting the data. Unless the eavesdropper can decode the data, he cannot read it. The encryption strength is dependent upon the length of the encryption key. The key that is used to encrypt/decrypt the data is a very long number. The longer the number, the harder it is, exponentially, to decode the data. Lengths of keys vary between 32, 64, 128, 256 bit and so on. The minimum length for good security is 64-bit. The problem with selecting a very long key is the computing power that is required to encode/decode the message. So selecting a very long key can mean slow processing time. Privacy and data integrity have their own software protocols but are generally handled in the same way as described above.
Data recovery

Important data should be backed up in more than one location. Physical disasters such as the 9/11 attacks or software/hardware failures should be able to be managed by backing up the data in more than one physical location.
Easy-Forex security

Easy-Forex treats the issues of data security, privacy, integrity and backup with the utmost attention and care. This is achieved through:

* Ensuring authorized access only, Easy-Forex uses two layers of top class firewall protection: one at the server level and one at the application level.
* For user authentication and data transfer, Easy-Forex uses an advanced SSL by Verisign.
* Separating the application servers (the servers that handle our clients' online activity) from the transaction information, which is stored on a different data server.
* For data recovery, integrity and replication, Easy-Forex uses two different server farms, physically located away from each other. Data must be synchronized in both locations, and thus cannot be tampered with. All of the information on the servers is encrypted.
* Each server farm has very high physical security. Armed guards are on-site 24 hours a day, and access to the premises is strictly forbidden except for authorized personnel.

Forex software systems

An overview into modern Forex software systems and the Easy-Forex Trading Platform
Foreign Exchange (Forex) software is designed to allow end users to trade currencies online in a real time, secure, private and efficient manner.

The major issues that a foreign exchange software platform should address are:

* Real-time- providing constantly up-to-date exchange rates in increments of a few seconds. These rates, in contrast to traditional bank rates, are actual, tradable Forex quotes. Once you decide to trade on a currency you can "lock" in a rate and this will be the actual rate at which the transaction will take place.
* Security, privacy and data integrity- for any user performing financial transactions over the Internet, this is a main issue. This point is further emphasized with Forex trading software, where the amounts traded may be significant. Forex trading software must be designed with the highest level of data security, integrity and privacy. Most systems use at least one layer of at least 64-bit SSL encryption, as well as various data backup and recovery methods and procedures.
* 24x7 availability - providing updated Forex quotes 24x7 and allowing a trade any time of the week.

Web-based versus downloaded Forex software

Forex software comes in two main forms - web-based and client-side Forex software:
Web-based Forex software system

Web-based Forex software means that all the operations are performed on the vendor's website, pending user verification. That means that users are offered a familiar, web-based interface, to perform their desired operations. The advantages of such a system are:

* No need to download and install proprietary software
* Log in anywhere, anytime. A web-based system allows instant access to a user account, from any Internet connected computer.
* Familiar and friendly, web-based user interface.

Client side Forex software system

Client-side Forex software is a program that a user downloads and installs to gain access to the Forex markets. The software communicates with the vendor's server offering Forex services.
Easy-Forex Trading Platform

Easy-Forex offers a web-based Forex trading system. We believe in making foreign exchange easy, thus we offer a friendly, fast, secure, no-download, web-based Forex system to allow even the novice Forex investor easy access to the Forex markets.

With regard to our backend, Easy-Forex has two different server farms in different locations to ensure backup and recovery. Each server farm uses load-balancing software to balance the load handled by each node and to ensure an immediate, real time response to any user operation.

We accept credit cards, pending approval by the credit card company. Please read more about the robustness of our system in the sections describing the security and real-time aspects of our Forex software.

forex reserves

Foreign exchange reserves in a strict sense are only the foreign currency deposits held by central banks and monetary authorities. However, the term in popular usage commonly includes foreign exchange and gold, SDRs and IMF reserve positions. This broader figure is more readily available, but it is more accurately termed official reserves or international reserves. These are assets of the central bank held in different reserve currencies, such as the dollar, euro and yen, and used to back its liabilities, e.g. the local currency issued, and the various bank reserves deposited with the central bank, by the government or financial institutions.HistoryForeign exchange Reserves were formerly held only in gold, as official gold reserves. But under the Bretton Woods system, the United States pegged the dollar to gold, and allowed convertibility of dollars to gold. This effectively made dollars appear as good as gold. The U.S. later abandoned the gold standard, but the dollar has remained relatively stable as a fiat currency, and it is still the most significant reserve currency. Central banks now typically hold large amounts of multiple currencies in reserve.PurposeIn a non fixed exchange rate system, reserves allow a central bank to purchase the issued currency, exchanging its assets to reduce its liability. The purpose of reserves is to allow central banks an additional means to stabilise the issued currency from excessive volatility, and protect the monetary system from shock, such as from currency traders engaged in flipping. Large reserves are often seen as a strength, as it indicates the backing a currency has. Low or falling reserves may be indicative of an imminent bank run on the currency or default, such as in a currency crisis. Central banks sometimes claim that holding large reserves is a security measure. This is true to the extent that a central bank can prop up its own currency by spending reserves. But often, very large reserves are not a hedge against inflation but rather a direct consequence of the opposite policy: the bank has purchased large amounts of foreign currency in order to keep its own currency relatively cheap.Changes in ReservesThe quantity of foreign exchange reserves can change as a central bank implements monetary policy. A central bank that implements a fixed exchange rate policy may face a situation where supply and demand would tend to push the value of the currency lower or higher (an increase in demand for the currency would tend to push its value higher, and a decrease lower). In a fixed exchange rate regime, these operations occur automatically, with the central bank clearing any excess demand or supply by purchasing or selling the foreign currency. Mixed exchange rate regimes require the use of foreign exchange operations. sterilized or unsterilized to maintain the targeted exchange rate within the prescribed limits.Foreign exchange operations that are unsterilized will cause an expansion or contraction in the amount of domestic currency in circulation, and hence directly affect monetary policy and inflation: An exchange rate target cannot be independent of an inflation target. Countries that do not target a specific exchange rate are said to have a floating exchange rate, and allow the market to set the exchange rate; for countries with floating exchange rates, other instruments of monetary policy are generally preferred and they may limit the type and amount of foreign exchange interventions. Even those central banks that strictly limit foreign exchange interventions, however, often recognize that currency markets can be volatile and may intervene to counter disruptive short-term movements.To maintain the same exchange rate if there is increased demand, the central bank can issue more of the domestic currency and purchase the foreign currency, which will increase the sum of foreign reserves. In this case, the currency's value is being held down; since the domestic money supply is increasing , this may provoke domestic inflation.Since the amount of foreign reserves available to defend a weak currency (a currency in low demand) is limited, a foreign exchange crisis or devaluation could be the end result. For a currency in very high and rising demand, foreign exchange reserves can theoretically be continuously accumulated, although eventually the increased domestic money supply will result in inflation and reduce the demand for the domestic currency (as its value relative to goods and services falls). In practice, some central banks, through open market operations aimed at preventing their currency from appreciating, can at the same time build substantial reserves.In practice, few central banks or currency regimes operate on such a simplistic level, and numerous other factors will affect the eventual outcome. As certain impacts (such as inflation) can take many months or even years to become evident, changes in foreign reserves and currency values in the short term may be quite large as different markets react to imperfect data.Costs and BenefitsLarge reserves enhance a government's ability to manipulate exchange rates -- but they carry an opportunity cost. The "quasi-fiscal costs" of holding reserves are the gap between the low-yield assets that asset managers typically hold, and the average cost of government debt in the country. In addition, governments can suffer losses from management of reserves - all of which is ultimately fiscal. Even in absence of a currency crisis, there can be a fiscal cost. China, for example, holds huge U.S. dollar-denominated assets, but the greenback has been weakening.Excess ReservesForeign exchange reserves are important indicators of ability to repay foreign debt and for currency defense, and are used to determine credit ratings of nations, however, other government funds that are counted as liquid assets that can be applied to liabilities in times of crisis include stabilization funds, otherwise known as Sovereign wealth funds. If those were included, Norway and Persian Gulf States would rank higher on these lists, and UAE's $1.3 trillion Abu Dhabi Investment Authority would be second after China. Singapore also has significant government funds including Temasek Holdings and GIC. India is also planning to create its own investment firm from its foreign exchange reserves.

Tips to Make Money Fast in Forex

This is all about making a fortune with Forex. Most traders just go with the flow and make average gains, with this article you will learn what makes some traders stand out and a lot richer than others!

We are going to assume that you know how to trade, and has quite an experience in trading.

With simple changes in your trade selection, money and risk management, and mindset, you can change that average gains into larger ones!

Fast money is in Forex, it is a lifestyle. here is it how its done.

Tip 1 . Embrace Changeability and Risk With a Smile

Forex systems have instability.

If you cannot manage and calculate your risk, then don't ever think about trading in Forex. Many traders back away from forex because of this ( why do you even traded in the first place?). But taking manageable risks has its rewards.

It's just simple, you know what your losing if ever it doesn't work out, yet what you gain is unpredictable but sure is high! That is what I call excitement, my friend.

To a well-educated Forex trader, this is something you shouldn't be afraid of, might as well embrace it.

Tip 2. Trade Less, gain more

Most traders think that if they don't trade, another door has closed, or miss some move. The tendency, they trade frequently. Most of the trades that come big come a few times in a year. Focus on the trades that make the really big gains. Be alert, and informed.

Tip 3. Diversify is a no-no

Most Investors accept the fact that diversification can make money fast - in reality it does exactly the opposite.

Tip 4. Money and Risk Management

This article has been concentrating on the Big gains, because this is your money, so every penny should be controlled, this is where money management kicks in.

Control your risks, but increase your chances of success:

- Give yourself staying power by buying options at or in the money, this prevents you from getting stopped out. Many traders lose not by the market direction, but because they were stopped out by a instable move, and options will give you staying power.

- Keep your stop in its original position - until the move is well in profit, before moving it up.

- Trading fast and selectively - have the courage to trade when you feel it is good. and enjoy the cash.

Tip 5. Compound growth has its benefits

The way to make money fast in forex, is to understand the power of compound growth. For example, if you target 50% a year in your trading, you can grow an initial $20,000 account, to over a million dollars, in under 10 years.

Break the norm, and gain more. Follow some of these tips and make your way into the big gains!

The business of currency trading

The business of currency trading is very profitable, if done with proper intelligence. Forex is usually traded based on a Forex trading signal or Forex alerts.
The foreign trading signals help to build up the forex strategy system, which are sent for two types of currencies; Western and Asian. Trading Signals for Asian countries are sent out in the night, where as for western countries, they are sent in the day.
Forex trading is always done in currency pairs. Two currencies that make up an exchange rate are called currency pair. Investors who trade currency pairs require rapid buy and sell Forex signals. External factors like trade reports, GDP, unemployment, manufacturing, international trade etc. affect the forex currency trading.
Forex currency trading has an advantage over stock market. Statistical information affecting a particular currency becomes known to everyone in the trade. Also there are many forex trading signal platforms online to get information and act within time.
To become a successful trader, all you must know is how to limit risks, while making the best constructive moves and you can do wonders with forex.
Exchanging one currency for another is known as currency trading and the quoted price is now many of one currency is worth one of the other currency. The forex has to play an essential role in world economy and the need for forex will always be deific. It encourages international trade with technology and communication. Japan sells its products in the United States and is able to receive Japanese Yen in exchange for US Dollar. It is all possible only because of forex trading.
Right trading techniques and tactics help the traders make immense profits in forex market. The main foreign exchange market turnover is broken down as spot transaction, outright forwards, forex swaps and gaps in reporting. The foreign trading signals help to formulate forex strategy system. Forex trade can be carried out easily based on daily foreign trading signals offered by foreign trading internet.

The best forex strategy

Many forex traders find themselves asking the age old question what's the best forex strategy? To know the answer to that question, one must look at the history of trading. Not just forex trading, but trading, in general.

The moment that the first bell rang on the stock market floor, traders were coming up with strategies to beat the market. Obviously they didn't have the technology that most of us have at our disposal. They didn't have the thousand dollar charting platforms that so many traders are overpaying for, just for the privilege of using them, nowadays. So how do you think the successful traders of the past made their money?

Well, one way was through fundamental analysis. They were able to comprehend a company's financial statements such as balance sheets, income statements, statement of cash flows, etc. to know a bargain when they saw one. But these kind of people would be categorized as investors, not traders. Traders generally believed in technical analysis over fundamental analysis.

So how did traders of that generation made their money? Simple. They understood the concept of price action. Plenty of floor traders became rich just by paying attention to how the other floor traders were trading the respective stock.

How come a concept as simple as price action has been pushed back in favor of all the technological bells and whistles that most people use in their day to day trading?

People, today somehow feel that the best forex strategy has to be in these maze of indicators,colors, noises,and whatever else is en vogue nowadays. Its really quite sad that it has gotten to this point.

Traders used to pride themselves on how they were able to truly understand the market, but in the present time we live in, they are more worried about understanding what their indicators are telling them.

If you want to learn forex, then its a good idea to learn from our ancestors. The less is more approach has and will always result in more success. To find out more about price action and to get a forex trading education, make sure to visit Trading In The Buff.

Economical collaps

We actually see this happening every time there is an economic recession. People can no longer pay for various goods and services, and so have to rely on friends and neighbors instead. Where there is no money to facilitate transactions, gift economies reemerge and new kinds of money are created. Ordinarily, though, people and institutions fight tooth and nail to prevent that from happening. The habitual first response to economic crisis is to make and keep more money -- to accelerate the conversion of anything you can into money. On a systemic level, the debt surge is generating enormous pressure to extend the commodification of the commonwealth. We can see this happening with the calls to drill for oil in Alaska, commence deep-sea drilling, and so on. The time is here, though, for the reverse process to begin in earnest -- to remove things from the realm of goods and services, and return them to the realm of gifts, reciprocity, self-sufficiency, and community sharing. Note well: this is going to happen anyway in the wake of a currency collapse, as people lose their jobs or become too poor to buy things. People will help each other and real communities will reemerge.In the meantime, anything we do to protect some natural or social resource from conversion into money will both hasten the collapse and mitigate its severity. Any forest you save from development, any road you stop, any cooperative playgroup you establish; anyone you teach to heal themselves, or to build their own house, cook their own food, make their own clothes; any wealth you create or add to the public domain; anything you render off-limits to the world-devouring machine, will help shorten the Machine's lifespan. Think of it this way: if you already do not depend on money for some portion of life's necessities and pleasures, then the collapse of money will pose much less of a harsh transition for you. The same applies to the social level. Any network or community or social institution that is not a vehicle for the conversion of life into money will sustain and enrich life after money.