Forex Trading

Forex Trading 

Forex Trading

Forex Trading

Forex Trading

Forex Trading – A Promising Financial Career

 

 

Forex trading is a promising career to a valued and tough working individual. It does not require a college education nor does it require extensive working experience. Forex trading is done by a trader using trading platform. This platform consists of brokerage companies and online brokerage services. Good knowledge of events and trends in the market is necessary. The primary earning possibility comes from discrepancies between currencies that may create a trading opportunity. In this market, investors sell a currency with a lower rate of interest and buy another currency with higher interest rates. The difference in rates attracts the investor, buys the currency with higher interest rates and makes profit.สล๊อตเว็บตรงแตกง่าย

 

When to trade

 

It is best to start trading after studying the market for a few hours. One has to learn the system well and time tested strategies before trading. One can also learn the types of charts, using prevailing trends to make good investments. Charts are one of the most important tools for investors. Different types of charts are used to monitor the market performance.Forex Trading

 

Types of charts

 

Line charts

 

Line charts are the most basic charts used to monitor market performance. They have a line running from one closing price to the next one. The line is generally drawn to mark the changing closing price. The closing price is the most important figure, as it is the figure that shows the difference of profit and loss.Forex Trading

 

Bar charts

 

Bar charts are advanced charts, that include volume and other movements within the market. The small bar shows the rise and fall of the value of currency. The larger bar shows the higher and lower levels of the value. When the small bar is highlighted, it is likely to represent a time when the value closed below the small bar. It is also likely to represent a time when the value closed above the small bar.Forex Trading

 

Candlestick Charts

 

The candlestick chart is a very popular choice among the Forex traders. It is a combination of lines chart and bar charts. It provides the necessary information above and beyond the data provided by bar charts. First, the candlestick makes a representation of the open, close, high and low of a currency. It is represented in a shape of a thumb. The length of the thumb is dependent on the value of a currency. The length of the other end is dependent on the currency value. The end with the longer toe represents a lower price, while the end with the shorter toe represents a higher price. The head and shoulders and the three horizontal bars are common candlestick patterns.Forex Trading

 

Point and Figure Charts

 

The points and figure charts are another form of chart, which is also complex. Point and figure charts are also complex, but not as complex as the candlestick charts. The head and shoulders, three horizontal bars, and the rest of the candlesticks are common features.Forex Trading

 

Heikin Ashi Charts

 

The Japanese candlesticks are a complicated system. The head and shoulders, three horizontal bars are the basic features. The price activity is typically displayed in a vertical line. There are also two variations. The body of the bar is now transparent, and there are two eyes staring at you. The first eye is the open price, and the second eye is the close price. It is possible to intermingle these two eyes. One eye looks at a higher price, and the second eye looks at a lower price. This allows you to find the pivot point. A larger price fluctuation in one eye will indicate a larger reversal potential. It will be very difficult to identify which way the currency will go as a result of these multiple eyes. The benefits of the heikin Ashi Charts are as follows.Forex Trading

 

1. The primary benefit is that they do not lie. Technical analysts can verify candlestick rules. Most lies are immediately corrected by a candlestick reversal.Forex Trading

 

2. They show the currency formulated with the boasts of individuals and fund managers. The so-called smart money is prone to recognize the next trend. spot and passquote charts are introduced to clarify the road ahead. The benefits of this chart are respectively, clearness and simplicity of reading. Introducing moreONGs to the chart will make the reading easier and the chances of making a profit easier.Forex Trading

 

3. They have the capacity to close the deal faster. The deal speed is the speed at which the spread has to change in order to break even. The bigger the spread, the harder it will be to close deals. By introducing moreONGs to the chart, you can understand the general direction of the currency.Forex Trading

 

4. You can plot more variables. If the price data is complicated, analysts will find it hard to interpret it. On the other hand, if the chart only deals with a single price variable, analysts can focus more on one variable and understand the movement of the currency.

 

5. You can use different timeframes.Forex Trading

Forex Trading