In Forex trading, currencies are traded in units called “lots”. Think of them like cartons of eggs, where one carton has 12 eggs. In Forex, a standard lot represents 100,000 units of currency. However, there are smaller lot sizes too: …
When trading forex, you might hear the terms “pip”, “pipette”. Here’s a simplified breakdown: The good news? Most forex brokers calculate this for you. But it’s helpful to understand the math behind it.
Trading in “Lots” Imagine going to a shop and wanting just one egg. But they don’t sell single eggs. They sell them in boxes of 12. That’s like a group or “lot” of eggs. In foreign currency trading, it’s similar. …
What is Forex Trading? Forex, short for “foreign exchange,” is a global marketplace where individuals and institutions speculate on currency prices. Think of it as the world’s biggest financial market. How Does It Work? In forex trading, you’re betting on …
What is Forex Trading? Forex is short for “foreign exchange.” It’s about trading one country’s currency for another’s. Imagine you’re swapping dollars for euros. That’s forex trading in its simplest form. How Do You Do It? There are a bunch …
Imagine a huge, worldwide market where people buy and sell currencies like dollars, euros, and yen. This is called the forex market. Unlike a regular store or market, this one doesn’t have a physical place where you go to trade. …
When doing this, you’re dealing with pairs of currencies. For example, you might trade euros for U.S. dollars, or British pounds for Japanese yen. Let’s imagine two currencies are in a tug-of-war game. The “exchange rate” is like the score …
Understanding Forex Trading for Beginners Forex trading is all about exchanging one currency for another. It’s like trading money from different countries. Imagine you’re buying a piece of a country’s economy. When you buy a currency, like the Japanese yen, …
Understanding Forex Forex, at its core, is the worldwide platform for currency trading. Profits arise when you predict the strengthening of one currency against another and are proven right. Remember the days before the global health crisis, when international travel …