What is Technical Analysis in Forex Trading？
In the dynamic world of forex trading, predicting price movements and making informed trading decisions are crucial for success. One of the most widely used methods for achieving this is technical analysis. But what exactly is technical analysis, and how does it apply to the forex market? Let’s dive into the fundamentals of technical analysis […]
What are rollover and swap in forex trading
A forex swap fee, also known as rollover or overnight interest, is the cost or reward associated with holding a forex position overnight. It reflects the interest rate differential between the two currencies in a currency pair being traded.
CFD Trading Order Types: Stop Loss & Limit Orders
In Forex CFD trading, a limit order is a directive given to a broker to execute a trade at a predetermined price or better. Rather than entering the market immediately at the current price, traders use limit orders to specify the exact price they wish to buy or sell a currency pair.
Risk Management in Forex Trading
In trading, the cornerstone of effective risk management involves three crucial steps aimed at sustaining profitability and mitigating potential setbacks. Initially, traders must adeptly identify the diverse risks inherent in the market, encompassing factors such as volatility, credit exposure, liquidity constraints, operational risks, and geopolitical influences. Subsequently, a thorough analysis of these identified risks is […]
What is Spread in Forex Trading
In forex trading, the “spread” refers to the difference between the bid price (the price at which you can sell a currency pair) and the ask price (the price at which you can buy a currency pair). It is essentially the cost of executing a trade in the forex market.
What is a Pip in Forex？
In forex trading, a “pip” stands for “percentage in point” or “price interest point.” It is the smallest unit of price movement in the exchange rate of a currency pair. For most currency pairs, a pip is typically the fourth decimal place of an exchange rate, except for pairs that involve the Japanese yen, where a pip is the second decimal place.
What is traded in Forex?
In the Forex (foreign exchange) market, currencies are traded, the simple saying is ‘MONEY’. More specifically, traders exchange one currency for another with the aim of making a profit based on fluctuations in exchange rates.
How to trade Forex?
The Forex market offers a variety of financial instruments that cater to different trading styles and objectives. Among the financial instruments, the most popular ones are retail forex, spot FX, currency futures, currency options, currency exchange-traded funds (or ETFs), forex CFDs, and forex spread betting. We will focus on Contract of Difference here. Forex CFD […]
What is Forex Trading?
Forex trading, also known as foreign exchange trading or currency trading, involves the buying and selling of currencies on the foreign exchange market with the aim of making a profit. It is one of the largest and most liquid financial markets globally, where currencies from various countries are traded against each other.
