Forex Trading

The foreign exchange market or forex is the largest and most liquid markets in the world. Its growing popularity can be seen by the whooping $2 trillion trades a day. While the forex can be an extremely lucrative market, it can also be somewhat complicated. These ten tricks will help insure trading success in the foreign exchange market.

First, make sure you implement ...

What should the psychology of the trader be?

Before placing trades, traders must sufficiently analyze the position they are about to take. However, many do not thoroughly plan out their actions, and instead make trades based on guesses and hunches. This psychological viewpoint can result in traders losing a

lot of money very fast. How can this be avoided? Through careful planning and analyses, including where to place stop and limit orders, a trader can keep losses to a minimum while allowing...

There are three basic questions that every trader should answer BEFORE entering a trade.

How much do I believe the market will move and where do I want to take my profit?
Limit Orders allow traders to exit the market at profit targets. If you are short (sold) the system will only allow you to place a Limit Order below the current market price because this is the profit zone. Similarly, if you are long (bought) the system will only allow you to place a limit order above the current market p...

Support and Resistance

At the core of all technical analysis th...

What is so great about technical analysis?

Once a trader masters t...

EUR/USD

When the dollar weakens...

What influences prices in the forex market?

Prices in the currencies market are affected by macroeconomic factors, such as inflation, unemployment, and industrial production. Information on events such as these is easy to find and are based on their analysis of economic data, which traders take positions on the market to make profit.

There are three main macroeconomic factors a trader should focus on when analyzing foreign exchange rates:

Interest Rates: Each currency has an overnight len...