Enjoy Learning Forex Trading Investing Course !!
The foreign exchange market
(Forex, FX, or currency market) is the biggest global market – it is basically
used for the trading of currencies. Forex is also known as one of the most
amazing investing and trading opportunities. If you want to have the ability to
tap into this market, we will teach you all about foreign exchange
trading. We will start from the very
basic concepts, and step by step we will get to advanced forex trading
strategies and sophisticated FX tools.
This course consists of 15 fascinating and easy to read lessons Starting
with the building blocks of forex market and forex trading:
Spot Trading - This trade
represents a “direct exchange” between two currencies, has the shortest time frame.
Forward Trading - One way to deal
with the foreign exchange risk is to engage in a forward transaction. In this
transaction, money does not actually change hands until some agreed upon future
date.
Swap Forex Trading - The most
common type of forward transaction is the foreign exchange swap. In a swap, two
parties exchange currencies for a certain length of time and agree to reverse
the transaction at a later date.
Futures trade - Futures are
standardized forward contracts and are usually traded on an exchange created
for this purpose. The average contract length is roughly 3 months. Futures
contracts are usually inclusive of any interest amounts.
Option Trade - A foreign exchange
option (commonly shortened to just FX option) is a derivative where the owner
has the right but not the obligation to exchange money denominated in one
currency into another currency at a pre-agreed exchange rate on a specified
date.
Libor - The London Interbank
Offered Rate is the average interest rate estimated by leading banks in London
that the average leading bank would be charged if borrowing from other banks.
It is used as a reference in the forex market. Forex Risk aversion - Risk
aversion is a kind of trading behavior exhibited by the foreign exchange market
when a potentially adverse event happens which may affect market conditions.
This behavior is caused when risk averse traders liquidate their positions in
risky assets and shift the funds to less risky assets due to uncertainty.
Carry Trade - Currency carry
trade refers to the act of borrowing one currency that has a low interest rate
in order to purchase another with a higher interest rate. Forex Signals - Forex
trade alerts, often referred to as “forex signals”, are trade strategies
provided by either experienced traders or market analysts. The foreign exchange
Market – The entire currency exchange activity is estimated to be many
trillions of dollars, 24/7 trading, and high liquidity markrt Investment
Factors - theories that explain the fluctuations in exchange rates in a
floating exchange rate regime (In a fixed exchange rate regime, rates are
decided by its government).
Economic Factors - economic
policy, disseminated by government agencies and central banks, and economic
conditions, generally revealed through economic reports, and other economic
indicators. Political Conditions - Internal, regional, and international
political conditions and events can have a profound effect on currency markets
Market Psychology - Market psychology and trader perceptions influence the
foreign exchange market in a variety of ways as we will learn more in this
forex course.
Trading Manipulation - A country may gain an
advantage in international trade if it controls the market for its currency to
keep its value low, typically by the national central bank engaging in open
market operations. The People’s Republic of China has been acting this way over
a long period of time. Technical Analysis – An advanced strategy to trade in
the forex market as well as stock market.
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