off. If you are looking to gain 30, then this is the reward you are seeking and you think is achievable based on your analysis. As the price keeps going in weather forecast nj saturday the opposite direction to your trade, you could in theory lose your entire trading account. The first thing that you will notice when we introduce you to forex trading is that we refer to what is called a currency pair. A long position is when you have opened a trade and bought something.
Forex trading terminology jargon pdf
Specialist -works at the nyse and forex billionaires club serves as an auctioneer for the stocks assigned to him/her. When trading the EUR/USD currency pair, EUR/USD is the instrument. When the trader exits the market, they are said to have closed their position. A trader must be able to distinguish the difference and know the specific currency that will be affected when those economic data are released. A variable spread will condense and widen as market conditions and liquidity change. Long position When we refer to something being long, we think of it as going. Margin can be either free or used.
Essential Forex Trading Terminology.
Published: November 6, 2016 Updated: April 5, 2017 by Forextraders.
Some of these special jargon words are also commonly used among dealers trading in other financial markets, while some are pretty much unique to foreign exchange trading.
Part 2: Forex Trading Terminology - The Forex market comes with its very own set of terms and jargon.
So, before you go any deeper into learning how to trade the Fx market, it's important you understand some of the basic Forex terminology that you will encounter on your trading journey.