Forex Tutorial

Posted by Unknown on Jul 10, 2011

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Forex is short for Foreign Exchange, or the exchange of the value of different currencies, forex activities without consciously or consciously, often carried out by all the people in the world, if you are traveling abroad you must exchange your currency with the currency of the country you want to go. Or another example as a result of export-import activities, the market needs as well as banking institutions, must conduct currency exchange!

If we are trading with exchange of utilizing the difference between purchase price and sale price is fluctuating every minute, usually referred to by traders who typically do forex trading through a trading house / brokers! Can go online or via phone, or by hand though!


What are tradable in the market of Foreign Exchange / Forex?
The answer of course money. Currencies are traded in pairs through a broker or dealer; for example the Euro vs. U.S. Dollar (EUR / USD) or Pound Sterling vs. Yen (GBP / JPY).
Unlike stock markets, eg New York Stock Exchange or the Jakarta Stock Exchange, the foreign exchange market has no trade center offices. NYSE located at Wallstreet NY, The JSE is located in Jakarta. The foreign exchange market can be considered as a market that is "Interbank" or OTC "Over The Counter" for the time trade that continue to follow the trade of each country and can be assumed that the foreign exchange market is open for 24 hours.

What is the difference in the forex market and forex markets traditional / modern online?
For the traditional forex market level of money used is 1:1, or a means to trade the $ 100 you need a $ 100 bill, or the means to do the traditional market can be said to have substantial capital, generally performed offline traditional trade in the FOREX markets.
While the modern market in using the level and margin trading, trading was using online media.

What is the level and margin?
Level here in the modern forex markets such as the example is 1:100, or the means to trade the $ 100 capital to be used only 1:100 its course, or $ 1 only,
$ 1 it was also mentioned by a margin (or also known as a deposit for quantity purchases $ 100).

How could $ 1 would buy $ 100?
well, because it can actually be said brokers who spend $ 100 the amount of money for you, so you only need to spend money (deposit accounts) to bear the losses and gains from the transaction was $ 100. So $ 1 as a guarantee of $ 100, and the rest account as the agency laen losses and gains from the transaction. Hence the modern forex trading system is more attractive to people than traditional.
You have to be careful, since levels or leverage could be a double-edged sword. Examples are:
Well if you play with $ 1 = $ 100, equates to $ 1 is 0.1 lot, if the money you have $ 10 that you play, every increase 20pips means you'll get $ 20 extra, but you do not forget each drop 20pips you signify that you have suffered losses minus $ 20, well before your capital for $ 10, it means that brokers will make a margin call because your money is not enough! Aka burn your money because the capital is up only because of the decline!

What currency is the most demanding people in the trade? Well, most of the world's major trading currencies (G7 and advanced), that reason alone because the currency is relatively stable and its movement is not too sharp, and the longer the currency of these countries who will influence the movement of world economy
EUR / USD: Euro / U.S. Dollar called Euro USD / JPY: U.S. Dollar / Japanese Yen is often called Dollar Yen; GBP / USD: British Pound / U.S. Dollar is often called Cable; USD / CHF: U.S. Dollar / Swiss Franc is often called Dollar Swiss, or Swissy; USD / JPY: U.S. Dollar / Canadian Dollar denganDollar called Canada, or C-Dollar; AUD / USD: Australian Dollar / U.S. Dollar Aussie Dollar is called; EUR / GBP: Euro / British Pound called Euro Sterling; EUR / JPY: Euro / Japanese Yen is often called Euro Yen; EUR / CHF: Euro / Swiss Franc Euro Swiss called; GBP / USD: British Pound / Swiss Francdisebut with Sterling Switzerland; GBP / USD: British Pound / Japanese Yen Yen called denganSterling; CHF / JPY: Swiss Franc / Japanese Yen is often called the Swiss Yen; NZD / USD: New Zealand Dollar / U.S. Dollar is often called New Zealand Dollar or Kiwi;
What is a BID / OFFER? Consider the example of currency Eur / USD follows: 1.1810/1.1813, 1.1810 is the bid and offer price of 1.1813 is Bid means the price at which brokers (wholesalers) want to buy our currency offer means the price at which brokers (wholesalers) want to sell the currency to us So if you install the buy position, then when the buy order is executed that is used is the price offer, Meanwhile, when put sell position, then the sell order is executed when the bid price is used.
 

How do I get the advantage in the trade? The way is by analyzing a currency pair which will go up or down, and take its difference from the trade. If you believe the currency will be stronger (up) soon do buy position, then wait for the price naek, do closed (sell) when the currency exceeds the purchase price you'd If you believe the currency will weaken (down) to do a sell position, wait for prices to fall, do closed (buy) when the currency is under your previous price.
As the example is this:
Opening of Euro 1.1750 / 1.1753, you analyze that the euro will rise to the position of 1.1770/1.1767, then the open buy position when the price (then you buy at the position of 1.1753), and when the position changed to 1.1770/1.1773, do the closed position / sell the currency (at the position 1.1770)
Consider the example above, the offer price and bid price, notice the difference between buy and sell prices, and when you use the offer price and when to use the bid price

How do I calculate the profit that we can? We suppose that the level of forex platform that we use is 1:100, then how to calculate the profit is
Profit = Margin x (difference in price and purchase-sale / 100)
for example the difference between purchase price and you sell when the transaction is 70 pips, and used margin (deposit) is $ 10 (for purchases of $ 1000) then
Profit = $ 10 x (70/100) = $ 7

What is market price, stop orders and limit price? When you open a position of course you will find the option to buy / sell limit price or market price. Market Price is the buy / sell at the current price on the market. Stop orders are buy / sell when the market direction as you want, this permisalan price of USD / JPY at 108.72 and you feel it will move higher, you dapet put a stop order to buy at 108.82, if the price was not up to 108.82 then the order you will not be executed. Price is the Limit While you decide when you want to buy / sell at what price, or by word laen if you requested level is not touched then the price will not be executed and can be canceled anytime.
What is stop loss and take profit? Stop loss is a loss limit or the lowest price you can bear Take profit is the highest price or profit limits that can not If your order has exposed one of the constraints that the position will be closed automatically.
 

What is the condition Margin Called? Conditions in which: account <(Loss + Margin, Used) when the condition occurs all of your transactions will be closed automatically, to avoid this try to always only use 20% of trading capital so that it can mennahan fluctuating market prices and play with discipline.

What are the requirements to become a professional forex trader? Based on the many ebook and life experience of professional traders is their secret 1. not easily give up in trading 2. understand the fundamentalist and technical analysis 3. understand the psychology of the market 4. Not greedy in trading 5. do not be afraid to enter and exit the market 6. always willing to research and read books and knowledge about forex.

What is fundamental ANALISYS?Is how to analyze market movements through the news or perceived factors can affect the economy of a country, you can follow her schedule in www.forexnews.com www.forexfactory.com www.vibiznews.com
What is technical analysis? Is how to analyze market movements and indicators through a graphic readout of ongoing market rates.
Which one is better fundamental or technical? Both are to be hold from forex experts, both to be hold in determining the decision, but based on history, rather than fundamental analysis technical analysis. And do not forget also the factor of market psychology that must be understood.
What is the pivot point? is the movement of the price at which prices will not move too far from that point in condition naek or down will remain a time back to that price.
 

What is the point of resistance?
the price point where the price hard to penetrate the upper levels of a certain limit, but if the point is impregnable usually the price will be increased naek smoothly, to meet resistance.

What is the point of support?
The price point where the price will be difficult to penetrate the lower levels of certain limits. But if the point is impregnable usually priced high enough to be down, to find the next support point.

What is the condition of stagnation?
Conditions where the prices are going to move relatively flat or not much fluctuation usually occurs because of keragu2an from the broker market (could also be due to waiting for the news would come out).

 

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{ 7 comments ... read them below or add one }

rino said...

just suggestion :
Luangkan lah dulu waktu mu sebelum kau menggeluarkan uang mu B-)
maksudnya habis kan lah dulu waktu main di akun demo kalau dah bisa membaca market dengan teknis atau dari news baru lah gunakan akun real :D
(oh iya tadi barusan cizz di sini hehehe) :x

Unknown said...

@rino : hahahahaha. iya sob. thanks buat ciss nya. ciss balik sudah d lancarkan. :D

adrian said...

nice sob..sy jdi tau nih stelah di translate..hehe..jgn lupa jga komen balik di blogku ya

Unknown said...

@adrian : iya gan sama2. thanks ya sudah mninggalkan jejak d blog saya. :D

obat alternatif asam urat said...

nice post sob..tpi kbanyakan gk ngertinya nich...hehe :?
goodluck !!

Obat Kanker Payudara said...

thank you sob atas infonya, semoga bisa memberi manfaat yah

Job Vacancy said...

info bagus gan, ane mulai faham sekarang nih tentang forex...tq.

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