Forex Study#6 How to make money trading forex

how to make money trading Forex this video has many different sub titles such as Vietnamese Japanese and more please click CC button to select your language placing a trade in the foreign exchange market is simple the mechanics of a trade are very similar to those found in other

financial markets like the stock market so if you have any experience in trading you should be able to pick it up pretty quickly the objective of forex trading is to exchange one currency for another in the expectation that the price will change more specifically that the currency you

bought will increase in value compared to the one you sold how to read a forex quote an exchange rate is simply the ratio of one currency valued against another currency currencies are always quoted in pairs such as gbp/usd or usd/jpy the reason they are quoted in pairs is

that in every foreign exchange transaction you are simultaneously buying one currency and selling another here is an example of a foreign exchange rate for the British Pound versus the US dollar the first listed currency to the left of the slash is known as the base currency in this

example the British Pound while the second one on the right is called the counter or quote currency in this example the US dollar when buying the exchange rate tells you how much you have to pay in units of the quote currency to buy one unit of the base

currency in the example above you have to pay one point five one two five eight US dollars to buy one British pound when selling the exchange rate tells you how many units of the quote currency you get for selling one unit of the base currency in the example

above you will receive one point five one two five eight US dollars when you sell one British pound long and short first you should determine whether you want to buy or sell if you want to buy which actually means buy the base currency and sell the quote currency

you want the base currency to rise in value and then you would sell it back at a higher in traitor talk this is called going long or taking up long position just remember long means by if you want to sell which actually means sell the base currency and

buy the quote currency you want the base currency to fall in value and then you would buy it back at a lower price this is called going short or taking a short position just remember short means sell the bid-ask and spread all Forex quotes are quoted with two

prices the bid and ask in general the bid is lower than the ask price the bid is the price at which your broker is willing to buy the base currency in exchange for the quote currency this means the bid is the best available price at which youth the

trader will sell to the market if you want to sell something the broker will buy it from you at the bid price the ask is the price at which your broker will sell the base currency in exchange for the quote currency this means the ask price is the

best available price at which you will buy from the market another word for ask is the offer price if you want to buy something the broker will sell or offer it to you at the ask price the difference between the bid and the ask price is known as

the spread on the eur/usd this quote the bid price is one point one zero five one and the ask price is one point one zero five three look at how this broker makes it so easy for you to trade away your money if you want to sell your

you click sell and you will sell euros at one point one zero five one if you want to buy your you click buy and you will buy euros at one point one zero five three please click the subscribe button and don't forget to check the description below for

more information