Forex Trade part-2 How to sell and buy in Forex market

Forex part-1 What is Forex?

How to buy and sell in forex market?

In forex market very easy to open a trade. Trade opening process is simple and if you want to trade in the stock market, but you can understand some basic rules.

Exchange rate that you 1.1800 EUR / USD - Euro to buy $ 10,000 for $ 11, 8000 dollars. After Two weeks the EUR / USD exchange rate increased of 1.2500 .When you have $ 12,500 dollars, and sold it, you will receive $ 700 dollars revenue.

Exchange rate is the ratio of the price of a currency relative to another currency. For example: USD / CHF exchange rate of the denote that, bought for 1 US dollar how much needed to Swiss Franc...

How to read Forex Quotation?

At the same time, each trade you buy a currency and selling another. The Forex currency market is expressed through pear Price Quotation.

Example: EUR/USD exchange rate:-

Here that EUR is the base (base) currency and USD is quote or terms currency.

By (buy) when the exchange rate for the purchase of 1 unit of the base currency is the currency unit quotes. Example: To buy 1 British Pound 1.5125 Dollars to pay.

The base currency is buy and cell of the foundation. If buy EUR / USD, then you are buying the base currency EUR and the USD currency quote are sold. Simple words, EUR buying, USD selling.

What is the Long / short?

First you need to decide you can buy or sell.
If you want to by (the base currency is bought and sold quote currency), it means that you are trying to increase the price of the base currency and sell it to pay the high price. The traders in the long (long) or long positions taken. Remember, Long Bi = (long = buy).

If you would like to sell (base currency to be sold and bought quote currency), that means you want to reduce the price of the base currency and let you buy it more at low prices. The traders in the short (short) or short positions taken. Remember , short = cell (short = sell).

Example: (bid/ask):  

 All for quotation show that two price is Bid and Ask. Almost all cases Bid Price, Ask Price is less.
The bid price is the price of a currency broker quote wants to buy the base currency. The cell is the best price for the bid.Ask the price the price of a currency broker instead of quote wants to sell the base currency. In other words, by Ask for the best price.

Bid and Ask’s different spreads (spread) is known.

 
EUR / USD - The quotation the bid price is 1.3456 and 1.3458 is Ask price.
In other words, the spread is 2 pips.

If you click on the cell to 1.3456 - do the cell . And by the click, you 1.3458 - by the will.