Most Important Terms In Forex - Going Long - Going Short
 |
| forex-buy-sell |
One may be easily confused with most important trading terminology associated with forex trading specially one is a newbie. There are a few basic terms a beginner must be aware of before venturing into world of forex market.
What is Long Position?
When a currency pair is long it indicates the first currency is bought while the second one is sold or short. In other words a long position means one has decided to buy the first currency in a particular pair of currency under the assumption that the price of the same is going to increase letting one make a profit when one closes his position. So, going long means buying the first currency in a pair.
In forex market currencies are always traded in pair e.g. USD/EUR. The first one in the pair is called 'base currency' while the second is called the quote or 'cross currency'.
Therefore, when it is said a trader is going long on the USD/EUR pair, it indicates that the trader is buying USD (as in this case) the base currency rather than EUR which is cross currency (as in this case). Going long in a specific pair always refers to the position taken specifically to the 'base currency'.
Going Short
As you can think 'going short' is just the opposite of 'going long'. This means a short position indicates when the first currency in a pair is sold and the second one is bought. When a trader goes short on a currency it emphasizes that the trader expects a decline in its market price.
A position either long or short is always expressed in terms of the base currency. In forex trading a trader is always required to go long in one position while simultaneously going short in another or vice versa.
Very good)
ReplyDeleteThe simple truth about binary options which many of us do not know is the fact that it is mainly based on predictions. Without proper knowledge of what next can happen to the stock market, you are sure to lose your funds. That is why it is important to be tutored or mentored by a professional investor in binary options. During my weeks of being mentored by Mrs Patricia Morgan, I’ve learnt much and also succeeding in trades and was able to recover my lost funds. Feel free to contact her on patriciamorgan984 @ gmail .com for positive results or contact her on Whats App on +32460230365
DeleteThe simple truth about binary options which many of us do not know is the fact that it is mainly based on predictions. Without proper knowledge of what next can happen to the stock market, you are sure to lose your funds. That is why it is important to be tutored or mentored by a professional investor in binary options. During my weeks of being mentored by Mrs Patricia Morgan, I’ve learnt much and also succeeding in trades and was able to recover my lost funds. Feel free to contact her on patriciamorgan984 @ gmail .com for positive results or contact her on Whats App on +32460230365
If you are in general interested in forex, then here's a good site about forex brokers https://topbrokers.com/ I really liked the advice given there are literate, especially for beginners, so I recommend that you read
ReplyDeleteThese practices are speculative; see the moral problem of trading
ReplyDeletehttp://tradingonline-a-moral-problem.blogspot.it/
All thanks to Mr Anderson for helping with my profits and making my fifth withdrawal possible. I'm here to share an amazing life changing opportunity with you. its called Bitcoin / Forex trading options. it is a highly lucrative business which can earn you as much as $8,070 in a week from an initial investment of just $500. I am living proof of this great business opportunity. If anyone is interested in trading on bitcoin or any cryptocurrency and want a successful trade without losing notify Mr Anderson now.
ReplyDeleteEmail: tdameritrade077@gmail.com
I lost my job few months back and there was no way to get income for my family, things was so tough and I couldn't get anything for my children, not until a met a recommendation on a page writing how Mr Bernie Wilfred helped a lady in getting a huge amount of profit every 6 working days on trading with his management on the cryptocurrency Market, to be honest I never believe it but I took the risk to take a loan of $1000. and I contacted him unbelievable and I was so happy I earn $12,500 in 6 working days, the most joy is that I can now take care of my family I don't know how to appreciate your good work Mr. Bernie Doran God will continue to bless you for being a life saver I have no way to appreciate you than to tell people about your good services. For a perfect investment and good strategies contact Mr Bernie Doran via WhatsApp :+1(424)285-0682 or Telegram : @Bernie_doran_fx or Email : Bernie.doranfx01@gmail.com
ReplyDelete