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    CHAPTER I

    INTRODUCTION

    1.1 OVERVIEW

    This project emphasizes about the Foreign Trade System which is an Interface

    between the Account holder and the market. In the initial phase details about the various

    currencies and the profit and loss of currency hold is collected. The project comprises of several

    modules which also includes currency converter and program to calculate profit and loss for both

    the operation of the buyer and then the operations of the seller to be considered.

    Purpose

    The purpose of this project is to scientifically approach the foreign echange market! and

    to evaluate whether we can develop a strategy that can automatically trade in the market

    successfully! and can outperform eisting basic strategies.

    To first understand the various overall market conditions" trending! directionless! and

    volatile.

    This is crucial! since different trading strategies prove appropriate for differing market

    conditions.

    1.2 SCOPE OF THE PROJECT

    The foreign echange #fore$ market is a financial market for trading currencies. Trades are

    made in currency pairs! such as %nited States dollar and the euro! in which e&uivalent amounts

    of money are echanged. In addition! hedge funds and investors may choose to trade in the fore

    market for profit! as speculators! as the values of currency pairs change.

    The fore market is rapidly growing! and an important contributor to this is the retail

    investor' the individual speculator who trades currency pairs for profit! either as a full"time job

    or for supplementary income. Technology and computers play a key role in bringing these

    individuals to the fore market.

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    OVERALL DESCRIPTION

    1.3 PRODUCTPERSPECTIVE

    (urrency (onverter gives you accurate and instant foreign currency (onversions .The

    options are varied for minimum currency trading investments. There is also mini account

    where with a very small initial investment in a leveraged foreign currency! you can reach a

    high level of reward and it is get it through the conceptual and satisfactory minimal risk.

    Soft!reI"terf!#e

    Front )nd (lient " The applicant and Administrator online interface is built using *S+ and

    ,T-. The Administrators/ local interface is built using *ava.0eb Server"1lassfish application server#2racle (orporation$.3ackend" 2racle database.

    H!r$!reI"terf!#e

    The server is directly connected to the client systems. The client systems have access to the

    database and with in the interface of the server and properly done the interfaces.

    1.% DEFINITIONS AND A&&REVATIONS

    Investor ' who are investing the amount to the bank account.

    3ank authority"which is continuously checking the account details and database.

    3roker" doing the trading account! buy and sell the shares.

    -arket authority"updating the market status.

    ,T- " -ark"up anguage used for creating web pages

    *4)) ' *ava 4 )nterprise )dition is a programming platform and it is the part of the java

    platform for developing and running distributed java applications.

    ,TT+ " ,yper Tet Transfer +rotocol. T(+5I+ ' Transmission (ontrol +rotocol5Internet+rotocol is the communication protocol used to connect hosts on the Internet.

    TECHNOLO'IES TO &E USED

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    6 ,T-

    6 *S+

    6 *avaScript

    6 *ava

    6 7-

    6 A*A7

    TOOLS TO &E USED

    6 )clipse I8) # Integrated 8evelopment )nvironment$

    6 9ational 9ose tool # for developing %- +atterns$

    1.( S)STE* FUNCTIONS

    LO'IN

    The ogin module contains the form which contain membership name and

    -ember password. It includes %sername and +assword.

    TRADIN' ACCOUNT DETAILS

    This form contains the information about account holder! market status!

    (urrency held! trading histories! etc.

    &U)

    After the user logged in they can buy stocks online the user can buy stock only

    it is available for buying.

    SELL

    After the user logged in they can sell stocks online! the user can sell his own

    Stocks only.

    &AN+ ACCOUNT DATA&ASE

    After the trading is finished user has to select the type of transaction whether

    (redit card account.

    1., USER CHARESTERISTICS

    &U)ER

    After the user logged in they can buy stocks online the user can buy stock only. It isavailable for buying.

    SELLER

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    After the user logged in they can sell stocks online ! the user can sell his own

    stocks only.

    &AN+ ACCOUNT DATA&ASE

    After the trading is finished user has to select the type of transaction whether

    credit card 8ebit account.

    1.- ENVIRON*ENTAL SPECIFICATION

    SOFTWARE FUNCTIONS

    Front )nd (lient " The investor and buyer online interface is built using *S+ and

    ,T-.The buyer/s local interface is built using *ava.

    0eb Server " 1lassfish application server#2racle (orporation$.

    3ack )nd " 2racle database.

    1. CONSTRAINTS

    The investor re&uire a computer to submit their information.

    Although the security is given high importance! there is always a chance of intrusion in

    the web world which re&uires constant monitoring.

    The user has to be careful while submitting the information.

    USE CASE *ODELLIN' DESCRIPTION

    %se (ase diagrams identify the functionality provided by the system #use cases$! theusers who interact with the system #actors$! and the association between the users and the

    functionality.%se (ases are used in the Analysis phase of software development to articulate the

    high"level re&uirements of the system. The primary goals of %se (ase diagrams include:

    +roviding a high"level view of what the system does.

    Identifying the users #;actors;$ of the system.

    8etermining areas needing human"computer interfaces.

    ASSU*PTIONS AND DEPENDENCIES

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    6 The Applicants and Administrator must have basic knowledge of computers and )nglish

    anguage.

    6 The applicants may be re&uired to scan the documents and send.

    1./ I*PLE*ENTATION0

    After the completion of %- diagrams for F29)I1< T9A8IA5>35*4)). Then go ahead and select

    the generate code option as a result of code generation.

    1.1 TESTIN'0

    To perform the testing for the generated code again select the tools option from menu

    bar and choose &uality architecture option a sub window gets opened. 0e are going to perform

    %nit Test and Scenario testing for our project. So! select these testing option one by one and

    testing activity is carried out for all the coding and testing is carried out.

    CHAPTER 2

    DEVELOP THE USECASE *ODELIN'

    2.1INTRODUCTION TO USE CASE *ODELIN'

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    %se case diagrams identify the functionality provided by the system!the users who

    interact with the system#actors$!and the association between the users and the functionality. %se

    cases are used in the analysis phase of the software development to articulate the high level

    re&uirements of the system.

    &!s# Ee4e"ts0

    A#tor

    Actor is something with behaviour!and is depicted using a stick figure. Actors are not

    limited to humans. If a system communicates with another application! the that application can

    also be considered an actor.

    Use #!se

    A %se case describes a se&uence of actions that provide something of measurable value to

    an actor. A use case is the functionality provided by the system.

    Asso#!to"

    Associations are used to link Actors with %se cases !and indicate that an actor participate

    in the use case in some form. Associations are depicted by a line connecting the actor and the use

    case.

    (from Actors)

    (from )

    0e had mentioned the use case in fully dressed style.

    2.2 USE CASE WRITTIN'

    Use #!se "!4e UCI : overall trading system.

    S#ope : net generation Trading system.

    Le5e : investor "goal level

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    Pr4!r6 !#tor : investor

    St!#7 8o$ers !"$ "terest : Investor :should be accurate! no payment error.

    3anking authority: accurate record transaction of

    bank account

    .ensures it recorded into the data base.

    3roker: should have an involment in trading the

    account that related to buy and sell.

    -arketing authority : very well knowledge about

    the current

    market status for buying and selling.

    *!" su##ess s#e"!ro : ?.investor investing the amount to the account.

    4.bank authority record it in the database.

    @.this account is traded by the broker.

    .the broker can buy the amount when.

    low market value.

    B. the broker can sell the amount when high

    market value.

    C.market authority analyses the account and current

    market status.

    D.based on the market value the amount in sell to

    the investor.

    E.investor leaves with the maimized profit.

    E9te"so" : a:anytime the banking system get damage.

    ?.showing the error and gives message.

    4.there may be power failure or main system

    complaint.

    4a: bank authority record it into the database.

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    ?. if it has some database complaints or overload.

    then show the message and reject the record

    4. if there is no authorization then reject the entry.

    @.if it is a invalid account number then show themessage and stop recording.

    @a: This account is traded by the broker.

    ?.broker can/t take the account due to low values

    in the market. Then it shows the message and put

    the account in waiting.

    4.broker can/t view the account due to system

    failure. then shows the message and try again.

    @.the broker can/t match the amount to another due

    to invalid entry. Then asking for valid entry.

    a: The broker can buy the amount when low

    market value.

    ?.the broker can/t buy it due to low value in the

    market. again show the message and put it in

    waiting.

    4.the broker can/t buy it due to systemcomplaint.Then shows the error message.

    Ba: the broker can sell the amount when high

    market value.

    ?.the broker can/t sell the amount due to low value

    in the market. Again shows the message and put it

    in the waiting.

    4.the broker can/t sell it due to mismatch with the

    investor need. Take an agreement from the investorand can sell it.

    @.the broker can/t sell it due to some transaction

    error. Then show the message.

    .can/t sell it due to error in the system.

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    Ca:market authority analyses the amount and

    current market status.

    ?. market authority can/t update the market status

    due to miscommunication with the market.

    4.it can/t calculate the raised amount due to system.

    (alculation problem. Then show the message and

    calculate it again.

    @. authority can/t sell it to the investor due to some

    transaction problem. Then show the message.

    . the authority can/t update the market due to

    system complaint. Then giving alert.

    Da: 3ased on the market value the account in sell tothe investor.

    ?.can/t sell it to the mismatch in the values. Shows

    message try again.

    4. it due to some error in the market then giving

    alert.

    @.the market can/t sell it due to failed in updating

    the latest status.

    Ea:investor leaves with the maimized profit.

    ?.can/t get the profit due to system complaint .it

    shows some message . then the investor try again.

    4.he profit due to did/nt sell the amount alert to the

    broker.

    Spe#! Re:ure4e"ts : computer system! internet connection! printer !

    che&ue leaf.

    Te#8"oo;6 !"$ $!t! 5!r!to" : over rider record . for ever record enter an

    authorization code.

    """"""""""""""""""""""""""""""""""""

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    Use #!se "!4e u#2 : ogin operations

    S#ope :

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    ?. Showing the error.

    Spe#! Re:ure4e"ts : (omputer System! Touch screen or Geypad!

    internet connection.

    Te#8"oo;6 !"$ $!t! 5!r!to" : 2verride username and password

    """""""""""""""""""""""""""""""""""""""

    Use #!se "!4e U#3 :Trading account details.

    S#ope :

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    Spe#! Re:ure4e"ts : 8atabase software and its physical components!

    internet connection.

    Te#8"oo;6 !"$ D!t! 5!r!to" : override the records after withdrawing the amount.

    """"""""""""""""""""""""""""""""""""""""""""""""

    Use #!se "!4e U#% : 3roker operations

    S#ope : erify the market status and sell it to theinvestor.

    ?. cannot verify market due to connection problem.

    4.cannot verify the market due to irregular market

    changes.

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    ?.Alert the user to try again.

    Spe#! Re:ure4e"ts : Internet connection! (omputer system .

    Te#8"oo;6 !"$ D!t! 5!r!to" : 2verride the records after withdrawing the

    amount.

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    Fig ?:%- %se case 8iagram

    CHAPTER 3

    DEVELOPIN' U*L ACTIVIT) DIA'RA*

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    3.1 INTRODUCTION TO U*L ACTIVIT) DIA'RA*

    Activity diagrams are used to document workflows in a system! from the business

    level down to the operational level. The activity diagram is a variation of the state diagram where

    the Hstates represent operations! and the transition represent the activities that happen when the

    operation is compleate. The general purpose of Activity diagrams is to focus on flows driven byinternal processing vs. eternal events.

    &!s# Ee4e"ts

    1=A#t5t6 st!tes

    Activity states mark an action by an object. The notations for these states are rounded

    rectangles! the same notation as found in state chart diagrams.

    2=Tr!"sto"

    0hen an activity state is completed! processing move to the other activity state.

    Transitions are used to mark this movement and modeled using arrows.

    3=I"t! st!te

    The initial state marks the entry point and the initial activity state. The notation for the

    initial state is the same as in state chart diagrams! a solid circle. There can only be one initial

    state diagram.

    %=F"! st!te

    Final states mark the end of the modeled work flow. There can be multiple final states

    on a diagram and these states are modeled using a solid circle surrounded by another circle.

    (=S6"#8ro">!to" ?!r

    Activities often can be done in parallel. To split processing! or to resume processing

    when multiple activities have been completed! synchronization bars are used. These are modeled

    as solid rectangles! with multiple transactions going in and5or out.

    3.2 DRAWIN' U*L ACTIVIT) DIA'RA*

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    Fig 4: %- Activity 8iagram

    Lo;" oper!to"

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    enter a/c no.andpassword

    authentication

    allowingaccess

    invalid

    valid

    Tr!$"; !##ou"t $et!s

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    storing informationabout a/c holder

    invalid

    checing amountwithheld

    no mone!held

    record tradinghistor!

    valid

    &ro7er oper!to"s

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    bu!ng the amountfrom ban authorit!

    verif! the maretstatus

    sell it to theinvestor

    CHAPTER %

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    DEVELOPIN' THE DO*AIN *ODEL

    %.1 INTRODUCTION TO U*L CLASS DIA'RA*

    A (lass diagram in the %- gives an overview of the system by showing its classes and

    the relationships among them. (lass diagrams are static"they display what interacts but not what

    happens when they do interact.

    &!s# Ee4e"ts

    1= C!ss

    A class is a set of objects that share a common structure and common behavior. Its

    represented by a rectangle divided into three parts: class name! attributes and operations.

    2= Re!to"s8ps

    9elationships between classes are the connecting links. 9elationships between

    classes are generally represented in class diagrams by a line or an arrow joining the two classes.

    != Depe"$e"#6

    If A depends on 3 then this is shown by a dashed arrow between A and 3.

    3= Asso#!to"

    J(ASS

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    There is an association between two classes if an instance of one class must know about

    the other in order to perform its work. An association between A and 3 shown by a line joining

    two classes.

    %=A;;re;!to"

    Aggregation is the association in which one class belongs to the collection.if 3 aggregates

    A!then A is the part of 3.

    (='e"er!>!to"

    1eneralization is an inheritance link indicating one class is a superclass of the other.A

    genalization has a triangle pointing to the superclass.An inheritance relationship is indicated in

    the %- by an arrow with a triangular arrow head pointing towards to the general

    %.2DRAWIN' U*L CLASS DIA'RA*

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    Fig @: %- class diagram

    CHAPTER (

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    DEVELOPIN' U*L INTERACTION DIA'RA*

    (.1 INTRODUCTION TO U*L INTERACTION DIA'RA*

    Interaction diagram describes how group of objects are collaborated with each other.

    Two types of Interaction diagrams

    ?$ S)L%)

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    (.2 DRAWIN' THE SE@UENCE DIA'RA*

    Fig : %- se&uence 8iagram

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    Lo;" Oper!to"

    "nvestortradingaccount

    #$ submitt account no.and password

    %$ invalid &enter correct details

    '$ reset a/c no.&password

    Tr!$"; AC $et!s

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    maretauthorit!

    bandatabase

    investment

    #$ bu!

    %$ ban a/c balance> trading a/c balance

    '$ mae investment

    ($ sell

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    &ro7er oper!to"s

    broer tradingdatabase

    #$ bu!ing the amount from ban

    %$ if no mone!.then confirmation

    '$ verif! the maret status

    ($ if status is profit

    )$ selling operation

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    (.3 DRAWIN' COLLA&ORATION DIA'RA*

    Fig B: %- (ollaboration 8iagram

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    CHAPTER ,

    DEVELOPIN' THE STATE CHART DIA'RA*

    ,.1 INTRODUCTION TO U*L STATE CHART DIA'RA*S

    A %- statement diagram illustrate the intresting events and states of an object and

    the behavior of an object in reaction to the event transition are shown as arrows ! labeled with

    their events state are shown as rounded rectangles .

    &ASIC ELE*ENTS

    1=E5e"ts

    An event is a siginificant or noteworthy occurrence

    For eamples : A telephone reciver is taken off the hook

    2=St!tes

    A state is a condition of an object at a movement in a time ! the time between events

    For eample

    A telephone is in the state of being Hidle after the reciver is placed on the hook and until it is

    taken off the hook.

    3=Tr!"sto"s

    Transition is a relation between states that indicates that when an event occurs!the object

    moves from the prior state to the subse&uent state.

    For eample

    0hen the event Hoff hookoccurs!transition the telephone from Hidle to Hactivestate.

    %=Tr!"sto" !#to"

    A trancition can cause a action to fire . in a software implementation ! this may representthe invocation of a method of the class of the state chart diagram

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    ,.2 DRAWIN' THE U*L STATE CHART DIA'RA*

    Fig C: %- State chart 8iagram

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    CHAPTER -

    DEVELOPIN' THE U*L PAC+A'E DIA'RA*

    -.1 INTRODUCTION TO U*L PAC+A'E DIA'RA*

    The logical architecture is the large scale organization of the software classes into

    packages! systems and layers.

    Its called the logical architecture because there/s no decision about how these elements

    are deployed across different operating system process or across physical computers in a

    network.

    LA)ER0

    A layer is a very coarse grained grouping of clasess!packages or subsystems that has a

    cohesive responsibility for a major aspect of the system.

    ayers are organized such that higher layers call upon services of lower layer!but not

    normally vise versa.

    ayered architecture is divided into

    ?$Strict layered architecture

    4$9elaed layered architecture

    In strict layered architecture! a layer calls upon the services of thee layer directly

    below it .This design is common in network protocol stacks! but not in information systems!

    which usually have a relaed architecture! in which a higher layer calls up on several lower

    layers.

    U*L PAC+A'E DIA'RA*0

    It is used for designing logical architecture of the system using this package we can group

    anything

    ): classes! other packages

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    It is common to shoe dependency between packages so that developers can see the large

    scale coupling in the system.

    T he %- dependency line is used for a dashed arrow line with a arrow pointing

    towards the dependant on packages.

    +ackages are defined by @ symbols

    )mbedded packages

    %- fully &ualified names

    (ircle cross symbol

    -.2 DRAWIN' THE U*L PAC+A'E DIA'RA*

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    Fig D: %- +ackage 8iagram

    CHAPTER

    I*PLE*ENT THE TECHNICAL SERVICE LA)ER

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    Technical services layer shows general purpose objects and subsystems that

    provide supporting technical services! such as interfacing with a database or error logging. These

    services are usually application"independent and reusable across several systems. Technical

    service layer describes the relationship between different actors! components of the software

    process for any admin seek the registration for new members. So that the new visitor can login

    the website and search for book and if need can buy it.

    SCREENSHOTS0

    F29-4

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    F29-@

    F29-

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    F29-B

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    F29-C

    F29-D

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    CHAPTER /

    I*PLE*ENT THE DO*AIN O&JECT LA)ER

    8omain object layer shows the software objects representing domain concepts#for

    eample! a software class sale$ that fulfill application re&uirements! such as calculating the sales

    total.

    After technical services layer! the coding can be generated in (MM using 9ational

    9ose )nterprise Suite.

    Do4!" O?Be#ts L!6er for Fore;" Tr!$"; S6ste40

    ACCOUNT

    2ption )plicit

    NOO-odelIdP8CQBEBR?F+rivate accoutno As Integer

    NOO-odelIdP8CQBE)R?EC

    +rivate balance As IntegerNOO-odelIdP8CQBQ3R4QR

    +rivate due As Integer

    NOO-odelIdP8CC?4QQR4QR+ublic Sub accountno#$

    -sg3o ;your transaction is successfull;

    FormC.Show)nd Sub

    NOO-odelIdP8CC?@RFR?4E

    +ublic Sub accountpay#$

    -sg3o ;your transaction failed. 8o your trading again;FormB.Show

    )nd Sub

    ITE*

    2ption )plicitNOO-odelIdP8CQB3CRR(3

    +rivate name As String

    NOO-odelIdP8CQB3(R4?@

    +rivate id As IntegerNOO-odelIdP8CQB(AR4B?

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    +rivate rate As Integer

    NOO-odelIdP8CQB8?R@(E

    +rivate available As IntegerNOO-odelIdP8CC?4(4R4()

    +ublic Sub getperfume#$

    [email protected]@.Tet P [email protected]@.Tet " [email protected]

    )nd Sub

    NOO-odelIdP8CC?48@R?CD+ublic Sub getdoll#$

    [email protected] P [email protected] " FormD.TetB.Tet

    FormE.Show

    )nd Sub

    TRADER0

    NOO-odelIdP8CQB4BRR33

    +ublic Sub login#$If Form?.Tet?.Tet P ;ramya; And Form?.Tet4.Tet P ;ramya; Then

    -sg3o ;logined successfully;FormB.Show

    )lse

    -sg3o ;invalid login;)nd If

    )nd Sub

    NOO-odelIdP8CQB4QR?(B

    +ublic Sub sourcing#$If FormB.(ombo?.Tet P ;perfume; Then

    [email protected]

    )nd IfIf FormB.(ombo?.Tet P ;dolls; Then

    FormD.Show

    )nd If)nd Sub

    NOO-odelIdP8CQB@?RRB8

    +ublic Sub placeorder#$

    FormB.Show)nd Sub

    NOO-odelIdP8CQB@CRRFA

    +ublic Sub pay#$Form4.Show

    )nd Sub

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    AD*INISTRATOR

    NOO-odelIdP8CQCR@R?4E

    +ublic

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    CHAPTER 1

    I*PLE*ENT THE USER INTERFACE LA)ER

    USER INTERFACE LA)ER for Fore;" Tr!$"; S6ste4

    &U)ER

    After the user logged in they can buy stocks online the user can buy stock only. It isavailable for buying.

    SELLER

    After the user logged in they can sell stocks online ! the user can sell his ownstocks only.

    &AN+ ACCOUNT DATA&ASE

    After the trading is finished user has to select the type of transaction whether

    credit card 8ebit account.

    LO'IN

    The ogin module contains the form which contain membership name and

    -ember password. It includes %sername and +assword.

    TRADIN' ACCOUNT DETAILS This form contains the information about account holder! market status!

    (urrency held! trading histories! etc.

    &U)

    After the user logged in they can buy stocks online the user can buy stock onlyit is available for buying.

    SELL

    After the user logged in they can sell stocks online! the user can sell his own

    Stocks only.

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    CHAPTER 11

    DEVELOPIN' THE I*PLE*ENTATION DIA'RA*S

    11.1 INTRODUC)ION TO I*PLE*ENTATION DIA'RA*S

    Implementation shows the implementation phase of system development. Two types of

    implementation diagrams:

    i. (omponent diagram

    ii. 8eployment diagram

    11.2 CO*PONENT DIA'RA*

    A component diagram depicts how the components are wired together to form larger

    components and or software systems. (omponents are wired together by using an assemblyconnector to connect the re&uired interface of one component with the provided interface of

    another component. The components are slightly fuzzy thing.

    It describes the module part of the system which encapsulates its components.

    It describes the behaviour in terms of interface.

    It is a design level perspective.

    11.3DOCU*ENTATION OF CO*PONENT DIA'RA*

    The main component in the component diagram is foreign trading system. The traderwho come to do the trading process and administrator who manages all the other processes is the

    sub components.

    11.% DRAWIN' THE U*L CO*PONENT DIA'RA*

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    Fig E: %- (omponent 8iagram

    11.( INTRODUCTION TO DEPLO)*ENT DIA'RA*

    A deployment diagram models the physical deployment of artifacts on nodes. The nodes

    appear as boes! and the artifacts allocated to each node appear as rectangles within the boes.

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    Fig Q: %- 8eployment 8iagram

    CHAPTER 12

    CONCLUSION

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    This project is to scientifically approach the foreign echange market! and to

    evaluate whether we can develop a strategy that can automatically trade in the market

    successfully! and can outperform eisting basic strategies. As the fore market and the number of

    individual retail investors grows! a new! successful strategy is valuable to those seeking financial

    prosperity by trading currencies.

    2ur approach was to first understand the various overall market conditions" trending!

    directionless! and volatile. This is crucial! since different trading strategies prove appropriate for

    differing market conditions. After determining the type of market! we tested basic strategies and

    eamined their performance. After optimizing these systems! we discovered the best approach

    would be to develop our own system! incorporating the most successful features from several

    strategies! and come up with a strategy that greatly outperformed the basic ones we had tested.