What is Forex (Foreign Exchange)?
The vast currency market is a foreign concept to the average individual. However, once it is broken down into simple terms, the average individual can begin to understand the foreign exchange market and use it as a financial instrument f...
Introduction to Forex ⑦ -Order Types-
Orders: Stops and Limits In the Forex market traders are able to enter a trade at the current spot rate (also known as a market order where you Sell at the Bid or Buy at the Ask), or alternatively at a future rate – these are known as Or...
Introduction to Forex ⑥ -Margin-
Margin Whenever you enter a trade, margin is set aside by the broker according to their policies. There may also be margin calls along the way, and it's important to understand the margin policies of the broker as each act in different ...
Introduction to Forex ⑤ -Leverage-
Leverage One of the main advantages to trading in the foreign exchange market is leverage. After reading the previous chapter you may be thinking, I need to have 100,000 Euro in order to make $10 a pip?!? That doesn't seem to be worth t...
Introduction to Forex ④ -Spread-
Spread The term inter-bank prices are often discussed in FX terminology. As implied by the name this refers to the exchange of information or in this case live prices between banks and large institutions, these prices reflect the current...
Introduction to Forex ③ -Trading Examples-
What are the Bid and the Ask prices? When currency pairs are quoted for trade they will be followed by two numbers under the heading of Bid (also known as Sell) and Ask (also known as Offer or Buy). The following is an example of a typi...
Introduction to Forex ② -Market-
Shorting When trading in most financial markets, one normally has the ability to go in one direction "buy" or "up", the only other option available is to be out of the market. For instance say you were looking at a particular share that...
Introduction to Forex ① -Basics-
What is The Forex Market (FX, Foreign Exchange) The Forex Market (FX, Foreign Exchange, 4X) FX, Forex, Foreign Exchange and 4X are all abbreviations of the same thing – the Foreign Exchange Market. Not so long ago, the Forex market was ...
