Learn Forex Trading Techniques for beginners

Forex trading education must be comprehensive because at its core Forex trading is not just a theory. To become a successful trader who makes a lot of money trading, you have to keep learning and practicing.

 

Forex trading is one of the fields of online trading that is now growing rapidly and is in great demand in various circles. This is not surprising, because many successful people become entrepreneurs and earn thousands of dollars in a short period of time from their efforts.

 

Examples of successful people in business will surely attract new people to us. But, as we said before! Trading is not an instant science. We created this article to give you a quick overview of what you want to learn, discover, experience and succeed in the world of Forex trading.

 

What is trading?

Before we continue learning forex trading, we need to know first what to do. As a warrior, you must be the first Battlefields, opponents and battle objectives for you to succeed later.

 

So what is trading? If we follow the definition of trade from a linguistic perspective, it is the act of exchanging goods and services for currency. In short, we can understand business as business.

 

 

Well, in this modern era, trading is defined as one of the buying and selling activities that take place in the field of financial instruments. Trade currencies, stocks, precious metals and cryptocurrency equivalents.

 

What is Forex?

You must have heard the term foreign currency right? Yes! Forex means foreign exchange or foreign exchange. In the traditional concept, forex trading is like holding a few dollars and converting the currency into rupees.

 

Well, what makes forex trading different is not looking at physical objects or money. You only trade currencies in your trading account balance. Income generated from the difference or difference in the value of the two Currency.

 

How to Learn Forex Trading

In this digital era, it is not difficult for us to get information about forex trading. If you surf the internet, you will find many free and paid lessons shared by experts in the business world. Our last article this time is a sample of free knowledge that you can use as a basis for getting started in the forex market.

 

Once you begin to understand the basics and general knowledge of trading, you can continue to learn how to trade in the forex market by watching educational videos about trading or taking paid courses. But remember, don't get too carried away with the lure of big and instant income, which is usually the marketing language of salespeople for business courses or seminars.

 

Choose one of the best offers for beginners to learn forex courses. Don't trust too much in the promise of instant success. If you don't get it you will be very disappointed you expect

 

Once you have the basic knowledge and feel you are starting to understand this business, try creating a trading account on your favorite online trading platform. Trading is mainly based on skill and experience, so you cannot fully rely on knowledge without careful training and mastery of market algorithms.

 

Learn About the Forex Exchange market

The concept of forex trading is to buy when prices are low and sell when prices are rising or rising. In short, many often use the term 'buy low, sell high'. Very simple isn't it?

 

However, this concept is not easy because before you get into the actual trading activity, you need to know a few important things.

 

So you need to pay attention to find, know and determine forex rates in the trading market.

 

Learn how Forex trading works

Pair

In the world of trading, there is such a thing as a currency pair and we define it as a pair. In Paris One of the important factors in determining currency exchange rates. For example, currency pairs are US Dollars versus Euros or US Dollars/Euros.

 

Let's take a schema as an example. Here is the value of the Euro against the US Dollar :

Purchase/purchase: 1,1216,000

Sell/Sell: 1,1213,000

On the other hand, the buy price is 1 EUR = 1.1216 USD and the sell price is 1.1213 USD.

 

Open buy and sell

Opening long positions, we expect the euro to rise against the dollar later. Or you could say conversion to 1 euro is more expensive. Well, if this turns out to be true, the value of the euro will strengthen, so we should buy close.

 

Vice versa, when we are in an open sell position. We expect the euro to depreciate, so it takes fewer dollars to meet the value of 1 euro.

PIP

PIP is the price movement in the forex market. PIP can be seen as four digits after the decimal point. For example, if we create an instance with a value greater than 1.1216, the value above PIP will be 1216. If the market value moves to 1.1217, it means that there is an increase in the value of 1 PIP.

 

PIP is also a measure of our profitability. It depends on the lot size we choose. So here is the table for you.

 

Profit or profit that we get depends on the amount we set earlier. As an example We play standard lots, so when you buy 1 lot at 1.1216 EUR/USD, the value strengthens to 1.1316 which means the forex price has increased by 100 pips.

 

Base	100.000	10 Dollars
Small	10.000	1 Dollars
Micro	1.000	1 Cent

 

How to calculate it: 1 Lot X PIP Value ($10) X Difference PIP Value (100) = $1000. Well, this is your $1000 profit.

Well, here are some important things to know when learning Forex trading. We still have a lot to learn after this. Contains links to indicators, other trading tools, brokers and more. Look forward to the next article on trading.