You could put your verification ID in a comment Or, in its own meta tag Or, as one of your keywords FOREXCOSTS: Free Forex Training - Forex Trades Dictionary

Saturday, May 26, 2012

Free Forex Training - Forex Trades Dictionary

Let us continue this free forex training. We now turn to the words they used in forex trading and is commonly used by traders. But if you're familiar with these words, then you can skip this post and go to the following article. Let's start with
Standard / Regular Lot - Mini Contract and contract
Lot is the standard unit for deals happen. Any agreement, the range of values is the number of lots. In Indonesia, the size varies depending on the policy of the dealer / broker



If you buy fuel, the size, in liters, for forex trading called Lot. How big is the lot? If the global pool of a lot = 500 shares, forex trading 1 pack = 10,000 for their money, for example, Lot 1 USD / JPY = $ 10,000 and a lot GBP / USD = € 10,000. Lot 1 = 10,000 Mini is called the contract because the contract is called the Mini? Because earlier in the forex market 1 pack = 100,000 money (also known as common Contract / normal), then due to great interest in Forex trading then made a contract in which a mini lot = 10,000 corresponding values
Margin
The margin is one trade Forex Capital necessary to secure the transaction
Suppose that, before buying a house. When you send a home purchase down payment of five hundred thousand dollars for a house worth $ 1 million and the contract of purchase contract, you are the rightful owner of the house legally, although only the owner of contract. This contract can be sold at full price to someone else, for example, to 1.2 million. You will get a net of 200,000 people. The same is true in Forex, which are contracts traded currencies, eg USD / JPY amount of a multiple contract is $ 10,000, for us quite a margin (deposit) of USD 100
Forex trading, the margin deposit when opening a position, then return when you close the position, both to buy or sell a house before. You deposit money for the purchase of 500,000, then resold for $ 1.2 million when he receives the money of 1.2 million euros, 100 million euros, and then assign the the first seller and the seller to return the deposit (the first capital) 500 000 500 000 and we have money for start-up capital and surplus of 20,000
Influence
The shaft of the transaction currency is the report to determine the amount of margin (deposit) required for the operation, in which the ratio is multiplied by the amount of the contract. Example: Use a mini account 1:200 contract is 10,000 while the margin is (1/200) x 50 = 10,000 units traded currencies
For example, open a position USD / JPY for a mini lot for a contract, then the purchase is $ 10,000, the margin requirement is 1/200 x $ 10,000 = $ 50. If you trade GBP / USD then the margin used is 50 pounds. For standard accounts, 100,000 contracts were used 1:100 leverage, so a lot USD / JPY = $ 100,000 and the margin required 1/200 x $ 100,000 = $ 1,000
Order
Forex trading instructions to perform operations at a certain rate
The orders are orders to buy or sell at a certain price, but if the order is given the "game" or "nonrival," for example, if you order and purchase at a price of 9500 and by the time you want to sell the same price, then the Order in place. As the order does not match ", then the name is still in order, but after the" match "is now. To sell your current position (closed position), then it can be done by back-order, but in the opposite direction (if it is closed with a sale and redemption
Buy
The site for forex trading buy and the price will increase. In a short time to buy cheap and sell when expensive, profit is the difference between the purchase price upon resale
Sell
The position trades forex sales and prices should fall so that when prices fall, you can close the position with a buy to sell. In short, as the transmission, we sell a good price before (borrow) and then buy back when prices are low, the difference becomes our advantage
 

No comments:

Post a Comment