1. Forex Trading Session 3
Otis
Hands-on Forex trading
04/04/2019

2. Trading on the FX Market
We will cover:
Trading
Trading strategies
Trading Tools
Any other incidentals
Hands-on Forex trading
04/04/2019

3. Trading Simultaneous buying and selling of a pair of currencies.
Eg EUR/USD buying this pair means buying EUR and selling USD.
What do you really buy and sell ?
Nothing physically. This is all computer generated entries in you account.
Hands-on Forex trading
04/04/2019

4. How Much Does a Trade Cost ?
The spread initially and the the PnL
Hands-on Forex trading
04/04/2019

5. Account Types & Leverage
Standard account 100K lot is bought or sold at a time.
Mini account 10K lot sold or bought at a time.
Non-USD denominated accounts.
The accounting currency is not USD and the system works in your denominated account e.g. GBP, JPY, EUR. Check FXCM.
Use of leverage in trading.
Gives you purchasing power.
200:1 leverage means you need 1/200 of 100k or 10K per lot for a std or mini account respectively. i.e. 500 and 50 respectively.
Hands-on Forex trading
04/04/2019

6. What Is Needed to Start Trading
An Account
Access to trading platform (software)
Good internet connection
Deposit
Knowledge
Treacherous streak (no emotions)
Hands-on Forex trading
04/04/2019

7. Getting Demo account Easy to use software Most are proprietary
Reliable support with both telephone and chat
Eg FXCM
Hands-on Forex trading
04/04/2019

8. Introduction to Rate quotation
Hands-on Forex trading
04/04/2019

9. Trading Strategies Position Trader Day Trader
Sets a Target for the Trade and Waits
Day Trader
Aims to Make a Profit and Get Out of the Trade. This Would Be for a Few Minutes or Days. Usually These Are Out the Same Day
Hands-on Forex trading
04/04/2019

10. Trading Tools Fundamental Analysis Technical Analysis
In a shopping mall, a fundamental analyst would go to each store, study the product that was being sold, and then decide whether to buy it or not. By contrast, a technical analyst would sit on a bench in the mall and watch people go into the stores. Disregarding the intrinsic value of the products in the store, his or her decision would be based on the patterns or activity of people going into each store.
Hands-on Forex trading
04/04/2019

11. Summary Rates refer to currency pairs
There are factors that affect every currency
Eg interest rates, inflation, trade balance
Other factors are currency specific
Eg oil,gold CAD, oil inventories USD,
Interest rate differentials fuel carry trade and rate movement
Hands-on Forex trading
04/04/2019

12. Where to Get More Information
Other training sessions
Consulting services, other sources
DailyFx.com
Internet
Investopedia
Wikipaedea
Hands-on Forex trading
04/04/2019