- What is FOREX?
The international currency market FOREX (Foreign Exchange Market) is a set of operations for the purchase and sale of foreign currencies.
- Where is the international currency market FOREX located?
FOREX does not have a specific location for trading. Transactions between bidders are carried out using the Internet, while one side may be in America, and the other — in Japan.
- Who is a broker?
Broker is a company or legal entity, a professional market participant that has the right to conduct trading operations on behalf of the client and at his expense or on his own behalf and at the expense of the client on the basis of reimbursable agreements with the client.
- Who is a trader?
A trader is a person who makes transactions in the foreign exchange market. He makes money on fluctuations in world currencies. The essence of the activity of a market participant is to analyze information, build forecasts and make a deal at the right time. The key to the success of a trader — knowledge of the basics of fundamental and technical analysis, money management rules, the main aspects of the psychology of stock trading.
- How does a trader make money?
The principle of operation of a trader in the foreign exchange market is simple. To earn money, you need to buy a currency cheaper and sell it more expensive or vice versa. This is precisely the advantage of the FOREX market over other financial markets — here you can earn both on the growth of the market and on its fall.
- What currencies are most often traded on FOREX?
The main currencies in the foreign exchange market are the US dollar (USD), euro (EUR), Japanese yen (JPY), British pound (GBP), Canadian dollar (CAD), Australian dollar (AUD) and Swiss franc (CHF).
- How much can a trader earn on currency fluctuations?
It all depends on the desire of the trader and how much time and effort he is willing to devote to working on the foreign exchange market. As the experience of many professionals shows, it is realistic to earn 100% per year and even more in the FOREX market.
- Is FOREX something like a lottery?
The international currency market is not a lottery where you should rely only on luck. To achieve success, you need knowledge that can be gleaned from books, thematic magazines, Internet resources, as well as webinars, seminars and training courses conducted by specialists. For successful trading on FOREX, it is necessary to study the principles of work and the basics of the analysis of the foreign exchange market. An insufficient level of knowledge and preparedness of a trader can lead to losses.
- What is the best place to start?
Start by looking at the charts, analyze, carefully follow the changes in trends. Constantly engage in self-improvement, study thematic literature. You can definitely find out everything you need from the employees of InvestGT. By following this scheme, you will soon achieve success.
It is better to start trading with a demo account. However, many professionals are of the opinion that working on a demo account does not give a complete picture of real trading on the FOREX market, and therefore it is better to start with a small but real amount on a real trading account. Or use the services of traders and start earning big money. So the choice is yours.
- What education should a trader have?
Your diploma is not important in the FOREX market. As practice shows, success is achieved only by those who really strive for it. Main — Your desire to master currency trading, and you can quickly learn everything you need, because today a trader has the opportunity to use a lot of free educational resources to gain the necessary knowledge and skills for trading on FOREX.
- How much money do you need to start trading on the foreign exchange market?
Everything will depend on how much you want to earn in the financial markets
- What is spread?
The spread is the difference between the offer to buy and sell currencies. The spread is what the broker earns on client transactions.
- What is an order?
An order is an order received by a broker from a trader to sell or buy a currency at a certain price. The order is valid until it is executed or canceled, so the trader, in any actions with orders, must wait for confirmation of such actions from the broker. Important elements of FOREX trading are orders, take profit and stop loss.
- What is "stop loss" and "take profit"?
A "stop-loss" order is an order by which a position is automatically liquidated at a specified price. This order is a tool that limits the movement when the market goes against the trader. A "take profit" order is an order that is designed to take profit on an open position when a financial instrument reaches a certain price. This order is a tool for timely profit taking even before the market turns in an unfavorable direction for the investor.
- What is leverage?
Leverage is the ratio between the collateral amount and the volume of the transaction. For example, a leverage of 1:100 means that in order to conduct a trading operation, it is necessary to have an amount on the trading account that is 100 times less than the amount of the transaction.
- What is a quote?
Quote - the value of one currency in units of another at a certain point in time. This is the most specific value, in contrast to the exchange rate
- What is Bid and Ask?
The bid is the bid price, that is, the price at which the client is willing to buy a particular currency. In a quote, it is always indicated on the left.
Ask is the offer price, that is, the price at which the client is ready to sell a certain currency. In the quote, it is always indicated on the right.