Browsed by
Category: Forex Trading

Forex Trading Definition, Advantages, and Disadvantages
Forex Trading Definition, Advantages, and Disadvantages

Forex Trading Definition, Advantages, and Disadvantages

Forex Trading Definition, Advantages, and Disadvantages – Forex trading today can indeed be regarded as a promising income field. How not, forex trading does not require large enough capital. In addition, it is not too complicated to use. For information, it is often found that forex trading players are those who have been in the stock trading world for a long time. Then, what exactly is the meaning of forex trading? And how does forex trading work itself? Here Qoala will give a complete explanation.

Understanding What is Forex Trading

Currently, maybe many people will say they can get rich quick if they play forex trading. However, this is not necessarily accompanied by an in-depth understanding of the meaning of forex trading itself, both in terms of characteristics, advantages, and risks. In the following explanation, we will discuss the basic understanding of forex trading that everyone must know. Then, what is forex trading?

READ ALSO : Let’s Get To Know The Character Of Trading With The Risks

Forex trading or also known as forex trading is trading currencies from different countries with the aim of making a profit. In this case, forex itself is short for Foreign Exchange or can be called a foreign exchange exchange. An example of forex trading would include buying Euros (the main European currency), while simultaneously selling USD (the American currency), which can be shortened to EUR or USD. In the minds of ordinary people, the meaning of forex trading is more on the activity of exchanging money at Money Changer, namely buying and selling foreign currencies manually which is done through a money changer. In fact, forex trading is actually different from manual transactions like in Money Changer. Another term you need to know is trader. What is a trader? Trader or forex trader is a term for people who do forex trading who trade currencies from various countries

Let's Get To Know The Character Of Trading With The Risks
Let’s Get To Know The Character Of Trading With The Risks

Let’s Get To Know The Character Of Trading With The Risks

Let’s Get To Know The Character Of Trading With The Risks – We must know and recognize the character and risks of the trading system so that we are exposed to risk before knowing it because it is very important to know

Trading or other language of this trade is an activity by exchanging goods or services based on mutual agreement. However, the trading term that we discuss this time is trading using forex instruments. For more details, you can understand through the article below. However, before that, please note that many people have traded with GIC by earning daily profits by downloading the GICTrade application on the Play Store and App Store.

Definition of Trading

In accordance with the name itself, in English terms, trade itself has the meaning of exchanging, or exchanging activities both goods and services from one party to another. This trading activity, in the past has been known as barter, which is the activity of exchanging goods without an official medium of exchange. Until the discovery of a medium of exchange that already has standardization, namely in the form of currency. And now, this activity continues to grow to become a money market or capital market.

Trading has become a term that is often used by people in the world of capital markets and forex, where these activities are like conventional trading activities in general which have the same function to be able to find a profit from these activities. In order to obtain a profit in question, the perpetrators of trading activities, referred to as investors or traders, must be able to work alone in order to get the target of the desired profit.

Hearing the word “Forex” itself, maybe for some people the term is a foreign term when heard. So it’s natural that you feel foreign to this, because this term is known to be more closely related to people who have become quite experienced in the investment and trading world. Forex or the abbreviation of Foreign Exchange has a meaning, namely as a transaction of foreign currency. In Indonesia itself, forex is better known as foreign exchange or foreign exchange. Then, what is meant by forex trading?

Forex trading itself is an investment product by conducting buying and selling activities using foreign currencies. The activity of buying and selling foreign exchange, known as forex trading, will offer a variety of attractive advantages. Maybe you will think that when you exchange money to a money changer, it is an activity that can also be called forex trading. However, the explanation itself is not in that sense.

What is forex trading? Forex trading is an activity to buy and sell foreign currencies which will usually be done online or online. The purpose of forex trading when viewed as an investment in itself is to seek a profit from the difference in numbers on the sale that is being made. Usually those who are doing forex trading activities can be known as a trader.

We already know the definition of trading, so then you can start consulting trading through trader assessment with GIC experts.

Trading Characteristics

In contrast to investment activities which will be passive, in trading itself usually an investor must be able to move more actively. Because trading activity itself is a type of short-term investment, if you are not good at managing the instruments being traded, the investor or trader can lose money in sufficient or even very large amounts. So in that case, investors themselves must be able to go deeper and also understand the nature of forex trading, strategies, and various other factors that can affect an existing profitability.

Some of the important characteristics of trading are as follows:

Trade Often

Trading often involves buying and selling commodities, currencies, or other securities. Regular trading helps take advantage of fluctuations in the market. In general, traders buy low and sell high when the market has reached its maturity and is on the verge of falling. Buying and selling frequently is a way to earn high profits.

Some financial advisors and trading institutions advise against frequent trading. By trading frequently, traders can increase their buying and selling costs. This, in turn, reduces the overall return. This is one of the most important trading features.

Short Term Profit

Trading helps to earn short term profits by taking advantage of volatility through buying and selling. Even a small amount of volatility can give high returns. These short-term gains help meet short-term goals while meeting current needs. In addition, short-term gains increase the available corpus over a longer period.

In theory, arbitrage gains (short-term gains) may seem possible, but are practically impossible.

Short Term Approach

Trading has a short term approach. This approach can be very profitable, but it can also be risky. The investment period can be as short as a few minutes in trading. Investments are made when the market is low and sales are made as soon as the market rises even a little.

To succeed in this approach, the trader must understand the risks and benefits of each trade. In addition, they must know how to find good short-term opportunities and how to protect themselves. Some of the basic steps to follow are observing moving averages, understanding overall cycles or patterns, and understanding market trends.

Focus

In trading, full focus is given to the short-term aspects. Trading is short term, and therefore the focus is also on short term opportunities. Trading focuses on knowing the short-term trend of the price movement of the underlying asset. These short-term price movement trends can be analyzed and sometimes predicted. Thus, profits can be made by focusing on short-term trends in price movements.

The focus should be on the trading process and not the trading results. The overall trading result is the end game, that is, the overall result should focus on the trade. A trader must look at the big picture, which is the hallmark of a successful trader.

Technical Analysis

Technical analysis predicts future financial price movements based on the study of past price movements. Technical analysis does not produce absolute predictions. On the other hand, technical analysis can help investors anticipate what “may” happen to prices over time. Technical analysis uses a variety of charts that show prices over time. This is one of the main characteristics of the Indian market, which most of the traders follow.

Technical analysis is an important part of trading. Technical analysis provides the entire basis for making decisions about trading. For this, charts and graphs are widely used. Charts and charts help to understand various patterns, trends, etc., based on which trading decisions depend. Technical analysis also provides information about how an investment instrument has performed in the past, about how it is currently being applied, and about its prospects in the future.

Before proceeding to the risk of forex trading, be sure to invite friends or become an IB Affiliate to get various bonuses for every time you increase your IB level.

Risks of Trading Forex as an Investment Medium?

As an investment instrument, apart from offering various kinds of benefits, forex trading itself also has risks in its use. The following is a risk profile that will be offered by this form of forex trading investment.

Have high risk

When compared to other investment instruments such as mutual funds, stocks, and bonds, forex trading itself has the highest risk to do. So, what is forex trading and why does forex have a high risk? This high risk occurs due to the existence of a leverage system in its activities. Leverage itself is a system that can allow you to make transactions with large amounts of forex investments even though you have less capital.

When you start learning how to invest in forex, you will usually be introduced to this leverage system for the first time. As an illustration of leverage, there will be a ratio of 1:100. This comparison indicates that, with only 1 dollar, you can carry out a forex trading activity worth 100 dollars. Of course this system looks quite tempting. However, you also need to know that the benefits that you get can only be achieved if you set the leverage system with the correct ratio. If you take this strategy wrong, you might end up losing up to 100 dollars more.

Unpredictable currency movements

This currency has a comparison or movement that can be said to be very volatile. Many factors can affect the movement of foreign currencies in the forex market. Usually the value of this foreign currency will change based on economic factors, geopolitical factors, or it could also occur due to the transaction factors that are currently being carried out. If there are many transaction values ​​in a purchase, of course it can make the value of the currency increase. On the other hand, if more people start selling the currency they currently have, then there is a possibility that the value will also go down.

Lots of scams

This forex trading will usually be run online via the internet. The lack of face-to-face transactions can certainly present a high possibility of fraud. The mode of this fraud becomes quite diverse and will present a very large loss. One of them is the profile of a fraudulent broker. If you use the services of a broker to be able to make forex investments, then also make sure that the broker is indeed very qualified and has good references. If you don’t, the profits you get will be taken away by the broker. This can also cause forex trading itself to have a bad reputation as an investment instrument.

ALSO READ : Minimizing the Occurrence of Losses from Playing Online

Need to be active full-time

In order to avoid losses due to fraudulent brokers, when you start trading forex, it’s a good idea for you to be actively involved in full to be able to monitor the movement of your investment. Therefore, it will be very difficult if you make this forex investment as a side activity to be able to have additional income. You also have to prepare a large enough time and mind in doing forex trading activities, if you are a little careless it will be very possible for you to experience a loss. Therefore, after knowing what forex trading is, it would be highly recommended for you to be fully committed to the instruments on this one investment.

After knowing the trading risks, don’t forget to do a preliminary test and find out your trading talent through the test!

Before Trading, What Steps To Take?

Just understanding a theory is certainly not enough to be able to jump straight into the world of trading itself, before you can enter the world of trading, you can try to learn trading using a demo account first. On the demo account, you can try various strategies and risk management without losing the money you have because the demo account already has a balance for you to do a trading simulation. Don’t forget, you have to prepare some trading capital by considering how much money you can afford to trade. Also make sure the funds that you will use for trading are not to meet daily needs.

If these two things are ready, then you can continue trading forex by opening a real-time trading account at a trusted forex broker and starting to deposit the capital you have into your trading account. If you are looking for a trusted forex trading platform, then you can join GIC. Which many traders have joined us and get various bonuses and other benefits. For the benefits that can be obtained from trading itself, what you can get and do is, if the price is increasing after making a purchase transaction, or if the price is decreasing after making a selling transaction.

After knowing what forex trading is, its characteristics, and also the risks, maybe you can choose an investment product that will also offer security and less risk, but of course it will be adjusted to the risk profile of your financial goals. As an alternative, you can also try to start investing by trading forex together with GIC.

In short, forex is a suitable instrument as an investment instrument for those of you who want to start an investment as a novice investor, you can register with the related broker. Then the related party will later assist you in filling out the existing requirements and start filling the balance. After successfully carrying out the transaction, then you only need to pay attention to the movement and development of your trading while adding funds. Also make sure you have a good trading plan in order to get maximum profit. Therefore, forex trading will be very suitable as a short-term trading instrument. However, also make sure you are not in a hurry to make decisions in trading in order to generate maximum profit. If you are still not confident with the trading plan that you made, then you can copy the trades provided by GIC by following the masters at GIC.

Committed to assisting customers in trading, GICTrade acts as the first revolutionary peer to peer trading platform in Indonesia based on 2 advanced technologies MetaTrader 5 and Blockchain. There are various kinds of instruments offered by GIC, such as forex, commodities, and gold. In addition, enjoy various key features of the GICTrade application such as GIC Signal, GIC Trade, GIC Affiliate, GIC Bridge, GIC Academy, and GIC Social Trade. With these features, it will make it easier for customers to trade. Plus there are free trading signals that you can get through the GICTrade application to prepare trading steps and how to take them. You can trade with a relatively small capital of at least IDR 3,000,000. Let’s trade forex with GIC and enjoy various benefits and bonuses! Don’t forget to fill out the GIC internal survey for an even better GIC.

Get to Know Robots in Forex Trading

Get to Know Robots in Forex Trading

Get to Know Robots in Forex Trading – Currently, more and more people are investing and even trading in their own way. One type of trading that is quite well known and even many people use it is Forex trading. Nowadays, more and more people are interested in trading with trading robots, but some of them still do not understand the usefulness of trading robots clearly. As a result, they cannot get optimal profits because they often make mistakes that cause losses.

In fact, along with current technological advances, rating activities are growing, where trading can be done automatically so that the radar does not waste time in front of a computer screen. This term is known as Autotrade Gold.

Autotrade Gold carried out by this trading robot is also known as an Expert Advisor (EA), whose use can help carry out rating activities automatically according to its programming. However, of course traders need to check occasionally to see the progress or condition of the transaction

Get to Know Robots in Forex Trading

Advantages of Trading Robots

1. Work 24/7

As previously noted, the trading robot will work all the time without resting. Considering this robot will monitor and see market movements at any time and take appropriate actions. So your profits will not be missed.

2. Not Having Emotional

Unlike humans who have feelings and logic, where if the two are in conflict, it causes emotional overload. Some of the emotions that humans often experience when playing trading are fear, greed, prejudice and their own assumptions. It is these emotions that cause trading activities to become chaotic.

In contrast to forex robots that do not have emotions so they only do work according to the stipulated conditions. Psychologically, humans are what make a person focus on work so that they can get maximum results. So don’t be surprised if trading robots never complain, but can produce good results.

3. Seize Opportunities Faster

Humans have limitations, feel tired and need to rest so it is very difficult to trade on their own. Using a trading robot, you can scan the market, get opportunities based on parameters, see market movements and take action quickly and precisely.

Disadvantages of Trading Robots

1. Requires Monitoring

Even though trading robots are very cool and help traders a lot, they still need monitoring from their traders. So you still have to work and make sure the trading robot does its job well. Hopefully in the future there will be a robot that actually does its own thing.

Also Read : Know the Difference between Forex and Stocks

2. Requires Fee

Of course, in using a trading robot you have to pay quite a lot of money. This fee is used to pay for the rental of the virtual private server. This is not a bad thing and worth it, because you will feel the benefits of a trading robot. So, you don’t have to be afraid to spend a little money for big profits.

3. Make sure to search for information

Radio robots are easy, but make sure you look for information about the robot used. Don’t just use a trading robot that can’t provide optimal assistance. You also need to know the market conditions to know when to take over the trading work in a timely manner.

Those are some things about trading robots that you can know from their uses, how they work, to their advantages and disadvantages. If you utilize or use trading robots optimally, then you will also get good results.

Autotrade Gold is the right choice to give you autotrader gold, to be able to trade more easily and provide big profits. Of course there are many benefits and advantages that you can feel by using a trading robot from Autotrade Gold. You can feel the performance of BotForex using the Auto Compound system, as well as the Autopilot Forex Gold Trading Bot.

Another advantage, you can get a fairly large and consistent profit above 10% every month without sharing profits. This Autopilot Gold Trading Robot is also monitored by a professional team for 24 hours and is proven to provide income every month. The profit you get is 100% yours without any deductions. In fact, this trading robot is also suitable for a beginner who only has a few trading strategies, or even knows nothing, but still earns 24 hours a day.

Know the Difference between Forex and Stocks

Know the Difference between Forex and Stocks

Know the Difference between Forex and Stocks – For those of you who like to invest or trade, surely you will find out what trading, forex or stocks are. The following are the differences between Forex and Stocks that you should know

1. Differences in understanding forex and stocks

Although both are investment markets. However, in terms of understanding alone already visible difference. Forex is defined as a type of trade or transaction that trades the currency of a country against the currency of other countries involving the main money markets in the world for 24 hours continuously.

Meanwhile, shares are proof of ownership of the value of a company with a claim to the income and wealth of the company. Stocks are one of the capital market products that are one of the investment instruments for the long term. So, shares can be purchased in the capital market by qualified investors.

Know the Difference between Forex and Stocks

2. Different traded instruments

In forex, the instruments traded are the currencies of countries in the world that do not have a centralized exchange. Meanwhile for shares, the instruments traded are proof of ownership of a company or limited liability company registered on the Indonesia Stock Exchange.

3. Has a different liquidity appeal

Liquidity is the ability of a company to meet its short-term obligations when they fall due. In the investment world, liquidity can be the main attraction for investors.

In the forex market, the liquidity is the most liquid compared to others because of its large capitalization. Meanwhile, liquidity in the stock market is highly dependent on the popularity and capitalization of the shares purchased.

Also Read :How to Trade Crypto Safely

4. Volatility that shows the price fluctuations of the two is different

An easy definition of volatility is the market mood to see if the price spikes sharply or even falls freely (fluctuation range) which means that there is high volatility.

However, volatility is not the same as risk. In this case, volatility can be used to measure risk opportunities, but cannot be directly used as a benchmark as a source of risk in foreign exchange transactions.

In the forex market, the volatility is very high. This means, prices can go up high quickly and can go down quickly too. In contrast, stock price patterns tend to be more stable and can be tracked over time.

2
8 Disadvantages of Trading Using Robots

8 Disadvantages of Trading Using Robots

8 Disadvantages of Trading Using Robots – In trading most people do it using robots. Robots are used to be able to automatically play and make profits in a fast way. However, did you know that trading using robots can also be detrimental? Here are the disadvantages of trading robots

#1. Expensive Cost
Because it is an automated system, forex robots are usually expensive to build. Forex robots are structured in a metatrader language, which only a few traders can build. But the expensive costs that must be incurred are not only when buying a robot.

There are other costs involved if you want to trade forex using a robot. Because everything is completely automated, traders obviously need a reliable 24 hour internet to be able to trade automatically. Likewise with the computer specs used, must be high and that means expensive.

#2. Must Always Update
It doesn’t matter how good a strategy is applied to a forex robot, a trader cannot avoid the fact that the forex market is constantly changing. On the one hand, forex robots are hard-wired and rigid systems that traders should always take the time to update.

For example, the forex robot is not updated, the robot cannot work so trading will most likely end in failure. So even if you use a forex robot, try to choose the type of robot that can be updated so that the trading strategy can be adapted to the market situation.

#3. Higher Risk
The majority of forex robots are made with the main goal of maximizing the profits that can be obtained from trading without having to involve traders. But robots are actually generated from various combinations of high-risk trading strategies such as martingale, scalping, and hedging.

This strategy has proven to be effective in generating extraordinary amounts of profit from correlation forex trading, as well as the risks it presents. As an illustration, the strategy used to build a forex robot is usually not equipped with a stop-loss order.

Also Read : Easy Way of Technical Analysis in Trading

#4. Data Bias
One of the hidden enemies of forex traders is data bias. This situation refers to the backtesting process carried out to test forex robots. In general, backtesting results will show excellent results but show failed performance when used for trading.

This situation can occur because of the data used for backtesting forex robots. Robot sellers usually use data that matches the robot, not market data for the current period. The result is that forex robots are sometimes irrelevant to the current market situation.

#5. Scam
The logic is, if the forex robot shows outstanding performance and gives high profits, why should it be sold? One-sidedly it can be concluded that there are conditions that do not make sense. This is what traders must understand if they want to trade forex using robots.

For example, finding a trader who sells a forex robot with the lure of big profits, you can be sure that the forex robot is a scam. Avoid traders or other forex robot providers if you encounter an anomaly like this.

#6. Less Safe
Forex robots are automated software that has been created in such a way that trading can be done automatically. Although this is an advantage, it can also be called a weakness. The reason, the software could have been given some kind of virus or other.

A condition that is very likely to be experienced by traders is that they often suffer from losses, even if they win, only a small amount of profit can be taken. The possibility of profit is usually taken by the virus and then sent to the owner of the virus. Therefore, make sure that the robot is completely safe from viruses and malware.

#7. Quality Must Be Maintained
In addition to some of the advantages provided by trading robots, traders also have the potential to regularly get into trouble if trading forex using robots. Traders should always keep the EA in high quality, or the trade will end up disappointing for the trader.

Forex robots do not have the ability to deal with errors or other unexpected events, so traders are required to monitor continuously in order to maintain the quality of the performance displayed. So, even though they have used forex robots, traders also cannot just walk away and relax.

#8. Limited Strategy
Some types of trading strategies sometimes cannot be applied to forex robots. The results of pattern and wave analysis from charts, including fundamental analysis, are very difficult to enter into trading parameters mathematically into the trading platform.

In the current stage of developing artificial intelligence technology, this task still cannot be carried out by robot traders. Basically, forex robots only do what they have been told without being able to improvise on market conditions.

1
Easy Way of Technical Analysis in Trading

Easy Way of Technical Analysis in Trading

Easy Way of Technical Analysis in Trading – In today’s world most people are at home. Trading is one of the right ways to earn money. But in trading there are also advantages and disadvantages that will be obtained. Here are easy steps to do technical trading analysis that you can do

1. Get to know the current trend

See and recognize current trends. Starting from the long-term trend, then retreating to the mid-term or short-term trend.

Although you can choose which trend you will take advantage of, it is advisable to look for a long-term trend (major trend) and follow it.

If you have recognized the trend, then the best trading strategy you need to have is to take a position (transaction) in the direction of the current trend.

If the trend at that time is up (uptrend), then you should pursue buying opportunities. Conversely, if the current trend is down (downtrend), then look for selling opportunities.

2. Determine support and resistance levels

In forex trading, this strategy is a boundary that connects the highs and lows of a price where you can look for opportunities to buy in the support area or sell in the resistance area.

Also Read : Forex Trading Strategy

If in the first step you take a position in the direction of the trend and see the current trend as an uptrend, then look for a long position in the support area, and vice versa.

3. Validate the trend with the moving average indicator

Moving average indicators can clarify the direction of the trend by smoothing fluctuations in price movements. You can look at moving averages (MAs) to help identify trends.

MA can function as resistance if its position is above price movement, and if MA is below price movement then its function can turn into support.

Because the MA is fairly simple and quite objective in determining the trend, this indicator is often used as a reference in forex trading.

4. Confirm with the oscillator indicator

This type of indicator can give an idea of ​​​​whether the market is in a state when the price is considered high enough at that time and is often followed by a decrease in price (overbought) or when the price is considered low enough at that time, and is often followed by an increase in price (oversold). .

Forex Trading Strategy
Forex Trading Strategy

Forex Trading Strategy

Forex Trading Strategy – Next we will provide reliable articles that we have summarized and made as light as possible, so that they can be read by all groups, here is a discussion about forex trading strategies.

Why do so many people trade? especially Forex Trading through brokers.

Big and Unlimited Profit Opportunities
2-Way Trading Advantages
Fast, Easy, Can Be Done Anytime and Anywhere
Flexible Trading Times
Affordable Capital

Let’s discuss the benefits or advantages of forex trading.

# 1 Big and Unlimited Profit Opportunities

Simply put, forex investing promises huge and unlimited profit opportunities.

Unlimited profit! Who doesn’t want to.

Forex traders have frequent opportunities to take advantage of price fluctuations due to the high volume of trading activity and the large number of buyers and sellers in the market.

In FX prices are affected by macroeconomic data such as decisions made by central banks which make speculating on market prices relatively easy compared to equity markets.

In forex you only need to evaluate whether one country’s currency will be worth more or less than the currency of another country.

# 2 Advantages of 2-Way Trading

By taking advantage of market movements, you have the opportunity to get profit opportunities both in rising and falling market conditions.

In a rising market, you get the opportunity by buying at a low price, then selling at a high price. This is known as a buy or long transaction.
However, when market conditions go down, you can also sell at a high price and then buy it when the price drops. This transaction is called a sell / sell transaction, or short.

This 2-way advantage distinguishes transactions on the stock exchange from forex trading because short selling is prohibited in stock transactions, while forex trading is allowed.

# 3 Fast, Easy, Can Be Done Anytime and Anywhere

It’s easy enough even for novice investors because you only need a laptop or smartphone and a stable internet connection to start trading Forex. Increasingly sophisticated software support allows you to execute trades almost instantly, whenever you see an opportunity.

With active trading hours for 5 days a week, you can trade from anywhere and anytime, without having to travel or contact intermediaries.

You can do a demo in advance with an online demo account at the chosen broker to ensure that you become more familiar and can run it in reality after finishing with a demo account at that broker.

Demo is also a way to give an feeling whether forex investment is in accordance with your risk appetite. In the demo account, you don’t lose and experience failures during the walk with the demo.

Also Read:Opportunities that Can be Achieved from Forex Trading

# 4 Flexible Trading Times

In time, in contrast to stock trading which has a time limit, forex trading, for example for USD trading, runs 24 hours a day.

In other words, forex trading can be done on the sidelines of a lunch break, you don’t have to wait a long time, for example after office hours.

Especially with Fintech technology, mobile trading is easier to do. The mobile application makes trading time available at any time.

# 5 Affordable Capital

In terms of capital, how much capital is needed to start Forex transactions?

To start trading forex in Indonesia, you don’t need big capital.

With a trading capital of IDR 5 million, you can start trading forex. Of course you don’t need to set a large income target from forex trading with relatively affordable capital.

With a profit of 10% per month, forex trading can certainly add significantly to your monthly income. For example, if you have a capital of IDR 20 million for trading, try to calculate how much profit is 10% per month. Not quite a number, right?

However, trading is a risky option, with the potential for making a large profit. The risk factor in trading is proportional to the potential profit that can be achieved.

Therefore, if you want to become a successful and successful trader because you are tempted by the lucrative forex trading profit, please study the tips below.

Opportunities that Can be Achieved from Forex Trading
Opportunities that Can be Achieved from Forex Trading

Opportunities that Can be Achieved from Forex Trading

Opportunities that Can be Achieved from Forex Trading – For cloud people, they must be a little confused with the word forex, forex is the abbreviation of foreign exchange, which means the exchange rate between one currency and another.
The Forex value can change at any time depending on the mechanisms on the market, buy and sell.
Let’s discuss the benefits or advantages of forex trading.

# 1 Big and Unlimited Profit Opportunities

Simply put, forex investing promises huge and unlimited profit opportunities.

Unlimited profit! Who doesn’t want to.

Forex traders have frequent opportunities to take advantage of price fluctuations due to the high volume of trading activity and the large number of buyers and sellers in the market.

In FX prices are influenced by macroeconomic data such as decisions made by central banks which make speculating on market prices relatively easy compared to equity markets.

In forex you only need to evaluate whether one country’s currency will be worth more or less than the currency of another country.

# 2 Advantages of 2-Way Trading

By taking advantage of market movements, you have the opportunity to get profit opportunities both in rising and falling market conditions.

In a rising market, you get the opportunity by buying at a low price, then selling at a high price. This is known as a buy or long transaction.
However, when market conditions go down, you can also sell at a high price and then buy it when the price drops. This transaction is called a sell / sell transaction, or short.

This 2-way advantage distinguishes transactions on the stock exchange from forex trading because short selling is prohibited in stock transactions, while forex trading is allowed.

# 3 Fast, Easy, Can Be Done Anytime and Anywhere

It’s easy enough even for novice investors because you only need a laptop or smartphone and a stable internet connection to start trading Forex. Increasingly sophisticated software support allows you to execute trades almost instantly, whenever you see an opportunity.

With active trading hours for 5 days a week, you can trade from anywhere and anytime, without having to travel or contact intermediaries.

You can do a demo in advance with an online demo account at the chosen broker to ensure that you become more familiar and can run in reality after finishing with a demo account at the broker.

Demo is also a way to give an feeling whether forex investment is in accordance with your risk appetite. In the demo account, you do not lose and experience failures during the walk with the demo.

Also Read :The Day Tranding Stopped Running forex

# 4 Flexible Trading Times

In time, in contrast to stock trading which has a time limit, forex trading, for example for USD trading, runs 24 hours a day.

In other words, forex trading can be done on the sidelines of a lunch break, you don’t have to wait a long time, for example after office hours.

Especially with Fintech technology, mobile trading is easier to do. The mobile application makes trading time available at any time.

# 5 Affordable Capital

In terms of capital, how much capital is needed to start Forex transactions?

To start trading forex in Indonesia, you don’t need big capital.

With a trading capital of IDR 5 million, you can start trading forex. Of course you don’t need to set a large income target from forex trading with relatively affordable capital.

With a profit of 10% per month, forex trading can certainly add significantly to your monthly income. For example, if you have a capital of IDR 20 million for trading, try to calculate how much profit is 10% per month. Not quite a number, right?

However, trading is a risky option, with the potential for making a large profit. The risk factor in trading is proportional to the potential profit that can be achieved.

Therefore, if you want to be a successful and successful trader because you are tempted by the lucrative forex trading profit, please study the tips below.

The Day Tranding Stopped Running forex

The Day Tranding Stopped Running forex

The-Day-Tranding-Stopped-Running-forex

The Day Tranding Stopped Running forex – Have you ever felt like your entering the market at exactly the wrong time? You see a great trade setting up and enter, only to see the price almost instantly reverse, stop you out, and then run in the direction of your original trade.

If that sounds familiar than you have been the victim of what I call a day trading stop run reversal.

Market makers, banks, and institutions do not intentionally move the price in this fashion to hurt retail forex traders, they do so to profit from them.

Retail forex traders do not create the moves we simply ride them. Knowing this, if we can recognize frequently recurring chart patterns such as stop run reversals, then we can effectively learn to day trade these reversal patterns.

Let examine this pattern more in depth and explain the process, order flows, and supply/demand surrounding these trade setups.

Stop hunting is something well known in the forex market, but the reasons behind “stop hunting” are not as well know. What is the real reason behind these moves just beyond a major area of support/resistance and then a complete rejection?

Quite simply put, large banks and financial institutions have to move huge sums of money and want the best price possible.

If they want to go short the GBP/USD for example, they will run the price up past the previous high by a few pips or more, and trigger the stop losses they know are lurking just beyond previous highs.

This gives them a “supply” of orders to meet their “demand”. Additionally selling into all the buy orders (stop losses) allows them to move large sums of money without spiking the price in their expected direction providing a far better overall entry price.

Another factor supporting the stop run reversal setup is that of the breakout trader. Most of you reading this have tried or are currently testing some type of breakout trading strategy. It’s a commonly used strategy/idea, and thus it becomes another consistent form of liquidity smart money uses to their advantage.

Knowing this, not only does “smart money” get the orders from those stopped out as in the example above, but they also have all the people buying the breakout (supply) which only gives them more orders to sell into to meet their demand.

As the larger bank or institution moves the price down following the stop run, they know that all those that bought the false breakout higher will have to begin closing the position for a loss.

They move the price up into an area of huge supply (stop location, as well as people buying a breakout) and thus fill their demand.

After the breakout begins to reverse, the breakout traders are forced to cover their position (sell) and thus they fuel the institutions short trade even more aggressively to the downside.

What a beautiful trap…if you’re on the right side of the market

So how can we profit from this setup, instead of being taken advantage of by it?

First, we must identify a valid manipulation point in the market.

We then wait for that level to break by at least 3 pips to initiate the stop run followed by a confirmation candle.

This forex trading strategy is similar in many respect to trading an area of support or resistance but much more powerful.

The fact is, only large institutional order flow can create this type of whipsaw movement in the market.

Knowing this, if you can learn to track smart money, you’ll have a much higher probability of success. Let the market show you what it’s doing first, stop trying to be the first in and just ride smart money’s wave!

1-HOUR STOP RUN REVERSALS

1.) Notice how the market retraces to a previous intraday swing high, briefly breaks it and is quickly rejected. Additionally, the candle that broke the previous resistance closes as a nice reversal candle before pushing towards lower prices.

2.) Example #2 there is a nice double bottom that already formed. As the price looks to make a third test of this level it accelerates threw it and is quickly rejected.

As with example #1, the candle that broke the support closes as a nice reversal candle formation and the price reverses up.

3.) As the market approaches the previous high it actually test and breaks the level a few times. Finally, there is a strong bearish reversal candle that closes. As with the previous examples, the market then continues down after the stop run of the previous high.

While there is no such thing as the holy grail of forex trading strategies, this setup does massively improve your reward to risk potential which is the biggest key to profitability in my opinion.

Tricks And Tips To Always Profit Forex Trading

Tricks And Tips To Always Profit Forex Trading

Tricks-And-Tips-To-Always-Profit-Forex-Trading

Tricks And Tips To Always Profit Forex Trading – Forex trading is often said to be high risk, so the possibility of losing is greater than profit. However, in fact, not a few Indonesian and foreign forex traders can successfully harvest forex trading profits. Even though learning forex up to 100%, always making a profit in every trade that is made is not possible, but in a certain period it is possible to get a higher profit than loss. There are times when losses are inevitable, but as long as the profit exceeds the loss every week or every month, can’t that always be considered profit !?

Well, the question is, how do you always make forex trading profit? Here are some ways you can do it right now:

1. Find a reliable forex broker
Broker’s position in forex trading is irreplaceable. Without a broker, we cannot trade online. Likewise, the success or failure of forex trading often depends on the broker. If the broker’s trading rules don’t match your trading style, it will be difficult to get profit.

Even more unlucky if the broker turns out to be a scam or a trick. This is the importance of knowing very well the trading facilities offered by the broker and whether your broker has been regulated by the regulatory authorities or not.

2. Review market conditions before starting trading
Forex trading is not a gamble based solely on guessing numbers. To achieve success, traders need to closely observe market conditions before starting trading. Understand the factors that affect changes in currency exchange rates, including a country’s economic and geopolitical conditions. Also know the technical indicators that you use. This device is a provision for you to profit from forex trading.

3. No need to use too many technical indicators
To make trading smooth, every trading software is equipped with dozens of technical indicators, ranging from the easiest to the most complicated to use. Various technical indicators are also traders’ favorite forex analysis tools. However, the use of technical indicators in trading should be sufficient. Whether you will get profit trading forex or not, has nothing to do with how many technical indicators are used. Some indicators can even be contradictory if used together.

On the contrary, according to a number of professional traders, one of the keys to successful trading is minimizing the use of technical indicators. As long as the indicators on the chart allow you to read market conditions and predict the direction of the next price movement, that’s enough.

4. Minimizing risk in forex trading
Including the key to success so that forex trading profits are also minimizing the risk in forex trading. In this case, it is known as Money Management. Money Management are efforts that traders can make to ensure that losses can be limited, while profits can be accumulated. Concretely, this means drawing up a trading plan as well as implementing Stop Loss and Take Profit. It is even better if you use a Trailing Stop on an opened trading position.

5. Keep a trading journal in a disciplined manner
Traders need to treat forex trading like normal business. In business, a one-two loss doesn’t matter, because what matters is how the business will turn out over time. Therefore, traders don’t need to be overly ambitious to get carried away with emotions every time they experience a profit or loss. Manage your psychology, set sensible targets, apply good Money Management, and keep a trading journal in a disciplined manner.

As in ordinary business bookkeeping is required, forex trading also needs a journal as a record. With a note, you can make sure you don’t open a position just because of your emotions. In that note, you will also be able to follow the development of your understanding of the world of forex trading from time to time and avoid making mistakes that cause the same loss. In the end, forex trading profits can be guaranteed in the long term.