Forex trading can easily become an overwhelming experience for many traders. It’s an exhilarating experience that tests the decision-making and concentration of traders. With 24-hour access to the market and thousands of potential instruments to trade, newcomers can easily start changing strategies frequently. A challenge that traders have to overcome is to remain consistent in… Continue reading What is the 5-3-1 Rule in Forex?
To become a successful forex trader, one has to understand how markets move. This understanding is a skill that has little to do with luck or guessing currency movements. Like all other skills, it can be honed and optimized with practice. Understanding how markets move is achieved through the analysis of forex markets. Since there… Continue reading What are the 3 Types of Analysis in Forex? A Complete Guide for Traders
As forex traders try to understand market movement and predict it reliably, they usually try to learn the underlying economic, political, and social factors that influence currency values. This approach to understanding the forex market is known as fundamental analysis. Though it’s not the only type of forex analysis that exists, it’s one of the… Continue reading Forex Fundamental Analysis: A Comprehensive Guide for Traders
To gain insight into the forex market and its price movements, traders use different types of forex analysis. Many traders focus on price trends on the microeconomic level (technical analysis), whereas other traders focus on macroeconomic events such as geopolitical events and central bank policies (fundamental analysis). Both of these approaches focus on measurable economic… Continue reading Forex Sentiment Analysis
Many people who get into forex trading think that the most important part is predicting the market’s direction. Though that is a crucial part, experienced traders understand that forex trading also consists of costs that have to be kept to a minimum in order to acquire as much profit as possible. One of the most… Continue reading What is Spread in Forex Trading?
One of the most crucial parts of forex trading is understanding trading costs. A trading cost that many traders overlook, yet is extremely important to take into consideration, is commission. Commission in forex is one of the costs that can affect traders’ long-term probability. Basically, every time a trader enters or exits a position, they… Continue reading Types of Commission in Forex
There are various costs and mechanisms in forex trading, one of which is called the swap. In forex, a swap refers to an interest fee that is either paid or earned by trades holding positions overnight. The interest fee is because of the difference between interest rates in currency pairs. Since swap is a critical… Continue reading What is Swap in Forex?
One of the key concepts every trader should understand perfectly is the concept of margins. In forex trading, margins and their other half, leverage, allow traders to control larger positions with smaller amounts of capital in their accounts. In this article we will explore the role of margin in forex trading, how traders can calculate… Continue reading What is Margin in Forex Trading?
In forex trading, traders can control large positions with small amounts of capital using a tool called leverage. By using leverage in forex, brokers open up trading opportunities to traders who don’t have initial large deposits. This has made leverage a uniquely useful tool for amateur and experienced traders. But leverage also increases the amount… Continue reading What is Leverage in Forex Trading?
Throughout its history, the forex market has gone through several important developments, evolving itself and all traders that work with it along the way. The events that have shaped the forex market to be what it is today include technological advancements, regulatory changes, and shifting economic conditions. As the past few recent years have shown… Continue reading What is the Future of Forex Trading?