Forex Market

Forex education for beginners

Forex education for beginners, the forex market is one of the large financial markets, the daily income of the forex market ranges from 5 to 6 trillion US dollars per day, the forex market is the largest and most widespread electronic financial market around the world, as there are many different entities that trade in forex On a daily basis, one of the most important of these bodies are private and central banks as well as governments. Banks are the semi-major controllers in the rise or fall of markets. There are many people who want to trade forex, but there is not much information that will qualify them to participate in the forex markets.

Forex education for beginners

There are a lot of terms that we use in the world of forex and we will now get to know them together:
• Currency pairs: This term is a basic term in forex and we will get to know it more, for example, EUR/USD, the euro in this pair represents the primary currency and the first currency here is called the base currency, and the second currency in this pair, the dollar, is called the secondary currency, when you look To which currency you will see that there are two prices for the currency the first price is the buying price and the second price is the selling price For example EUR/USD: 1.10973 / 1.0978, in this case the purchase price is 1.0978 USD and the selling price is 1.10973, once you want to You buy or sell US dollars or Euros. As soon as you click on buy or sell, your broker withdraws money from you so that he can buy Euros or US dollars, and this process happens within one second.
• Point: The point is the minimum change in the price and at the same time the point is one of the most popular terms among traders and it is one of the basic things that you should know in trading,
• Volume or Lot: A lot is the size of the deal within the market, one lot in the deal is equal to 10 units of the quoted currency, for example when you trade one pair of EUR/US in this case, one pip is equal to 10 USD.
• Spread: The spread is the distinction between the price tag and the selling cost. The purchase price is always more expensive than the selling price, but this depends on the timing only.
• Margin: Margin easily is the amount of money that a person uses to enter into a deal, for example if a person wants to open a deal of 1000 euros and the EUR/USD exchange rate is 1.2500, what is the amount of money that he trades with the person? – The money that a person trades with is $1250. If the person has about $2000 in his account, then 1250 is withdrawn as an operating margin for the transaction, and the free margin is $750
• Leverage: Leverage is the multiplication of money. A leverage of 1:100 can transfer an account of €100 to an account that controls about €10,000 for the currency pair, making small fluctuations in the market profitable, but it should be noted that this leverage as it is profitable in Many times the risks are much more, so care must be taken when using them.

By Michael Emad

My name is Michael Emad from Egypt, I am 20 years old. I will try as much as possible to review the latest news about Forex and Forex market .

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