The forex market is the largest financial market in the world. The liquidity that comes from a market that trades over $5 trillion every day enables you as an investor to enter and exit you positions easily without having to worry about the price jumping too far before you execute your trade. Having a market this size also makes it much more difficult for any single group to come in and try to manipulate the market. This means your analysis of supply and demand will most likely be more accurate. Forex market is an over-the-counter market,...
As with anything else, trading has evolved substantially within the last few decades and the markets have become very accessible. While there are many attractive markets, the forex market remains the largest and the most liquid market in the world. This is one of the reasons why so many traders choose to trade forex online and why forex trading is so popular nowadays, which lead us to the question: is forex trading for a living possible? The answer is yes absolutely. This is not an easy endeavor of course, as any sort of work that can provide...
In the world of trading, hedging refers to making multiple investments with inverse price-action relationships. If one investment weakens, another will strengthen at the same time, limiting the total negative impact that any single investment can have on a portfolio. Although hedging applies most directly to stock trading or investing in general, it is possible to put the concept of hedging into practice when trading currencies in the forex market. Hedging is primarily a risk-management technique, allowing investors to limit the amount of...
Success in trading is not only about the knowledge and understanding of the fundamentals or technical analysis but the trading psychology plays a vital role in the success or failure of our trading. Whatever are our psychological traits we all, at times, make some common mistakes. A strict control to avoid these to repeat is what the trading discipline is all about. Bringing discipline in our trading career is the most important aspect and the foundation stone for the success. Currency trading is a speculative investment that involves taking...
Almost every day in the investing world people hear the terms "bull" and "bear" to describe market conditions. As common as these terms are defining and understanding what they mean is not so easy. Because the direction of the market is a major force affecting your portfolio, it's important you know exactly what the terms bull and bear market actually signify, how they are characterized and how each affects you. The terms bull market and bear market describe upward and downward market trends, respectively, and can be...
