How to Trade Forex

1
How to Trade Forex

• Presented byThe Forex Secret

2
Introduction
Though Forex trading may seem complicated, the
truth is that most people can get started with a
new account in as little as a single afternoon.
3
Understand the Lingo
Base Currency
The currency you are holding. If youre from the
United States, your base currency is most likely
the U.S. dollar.
Quote currency
The currency you are going to purchase.
Bid price
The price that your broker would be willing to
bid or buy the base currency you are holding.
Ask price
The price that your broker will ask you for in
exchange for buying your quote currency of choice.
4
Understand the Lingo
Spread
The difference between the bid price and the ask
price. This is just the brokers commission.
Pip
The smallest measurable value of currency
movement. The word pip is an acronym standing
for percentage in point, and a single pip is
equal to 1/100th of 1 of your currency. For
example, if the value of the USD rises by a
single pip, that means it increased in value by
0.0001.
5
Choose the Right Broker
Before you begin forex trading, youll need to
choose a brokerage firm. Your brokerage firm will
help you make trades, and many brokers also offer
additional financial services.
Working with a reputable broker can mean the
difference between profiting from your trades and
losing money between the bid and the ask price
Not all brokerage firms offer forex trading, so
make sure its available before you open an
account. Working with a broker that offers
multiple outlets for customer service is highly
recommended for beginning traders.
6
Analyze the World Economy
Making money trading currencies is all about
accurately predicting the movement of the global
economy.
To be a profitable trader, you must convert your
base currency into a quote currency set to rise
in value, then convert your quote currency back
to your base currency when the value peaks.
Research the trading positions, GDPs and
political climates of countries you are
interested in purchasing currency from, and
youll get a great lead on which quote currency
is worth your investment and which countries have
economies projected for growth.
7
Make Your First Trade
Once youve decided which quote currency youre
going to buy, its time to place an order for
your first trade.
Your brokerage firm probably provides online
trading software that allows you to place an
order to buy or sell a currency.
Using your trading platform, place a market order
with your broker. The specifics of your platform
may vary. View a standard market order execution
After youve finished placing your order, sit
back and let your broker handle the rest.
8
Final Thoughts
Before you get started, read up on some trending
forex news and understand the risks associated
with currency trading. Your wallet will be more
at ease.
9
THANKS FOR YOUR INTEREST

• FOR MORE INFO VISIT
• Theforexsecret.com