The global forex market boasts around $5 trillion in average daily trading volume, making it the largest financial market in the world. Forex’s popularity entices traders of all levels, from greenhorns just learning about the financial markets to well-seasoned professionals. Because it is so easy to trade forex - with round-the-clock sessions, access to significant leverage and relatively low costs - it is also very easy to lose money trading forex. Just because forex is easy to get into doesn't mean that due diligence can be avoided....
Beginning traders often face hard times when starting to trade. Whether they trade on a live or demo account, the difficulties faced by different new traders are often the same. When you first start forex trading things seem to be so simple and straight-forward; all you have to do is to buy a currency pair and then sell it once the price increases. However a few weeks down the lane and probably after losing most of your account you have come to realize that forex trading is not easy. One of the biggest issues facing traders is complacency,...
Markets move in waves known as swings in the price of the instrument. No market will trend up without having some sort of retrace in price. The best swing trading techniques will attempt to ride either the swing up in price or the swing down in price. If you are trading against the main direction of the price trend, this is known as counter-trend trading. Some swing trading strategies will have both a trend and counter-trend trading component. Many of the best swing trade techniques will have you holding a position from a day to several...
The exotic currency pairs typically refer to the currency of emerging markets such as peripheral Europe, Latin America, Asia, and the Middle East. Exotics tend to be less liquid and more volatile than their counterparts in more developed countries. For this reason, these currencies are traded in lesser quantities or used purely to facilitate international trade. Examples of exotic currencies are any currencies other than the heavily traded major currencies such as the South African rand, the Indian rupee, the Mexican pesos etc. Exotic...
The global foreign exchange market is the largest, most active market in the world. The benefits of forex over currency futures trading are considerable. The dissimilarities between the two instruments range from philosophical realities such as the history of each, their target audience, and their relevance in the modern forex markets, to more tangible issues such as transactions fees, margin requirements, access to liquidity, ease of use and the technical and educational support offered by providers of each service. The forex market is the...
