In the 18th century, Japanese rice traders used candlestick charts for the first time. They are easier to read and more visually appealing than the previous chart types. The opening and highest price points of a currency are displayed in the upper...
The euro is supported by the ECB’s decision to raise interest rates and revise its inflation forecasts higher. For EUR/USD, the key factor is not only the rate move itself, but also the signal that the central bank is ready to contain the...
To achieve significant profits in forex trading, you need a combination of strategy, discipline, and risk management. First, educate yourself thoroughly—understand fundamental and technical analysis, economic indicators, and market trends. A strong...
In Elliott Wave Theory, a Flat Wave is a common corrective wave pattern within the broader market cycle. It is characterized by a three-wave structure labeled as A-B-C, where the waves move sideways or in a horizontal range rather than trending...
Inducement (IDM) is a concept in Smart Money Concepts (SMC) and price action trading that describes a market move designed to encourage traders to enter positions before the actual intended direction begins. Large institutional traders, often...
The spread between two currencies is one of the most common. This is referred to as the foreign exchange spread. This type of spread gives you exposure to the currency that is being bought and sold. The foreign exchange spread is very common in the...
The Forex market is a place where all currencies are traded. However, the volume of trade conducted in different currencies varies greatly. As a result, despite the fact that there are hundreds of currencies in the world, approximately two-thirds of...
Due to the availability of leverage, forex traders can make a return on a single trade that is multiples of the margin they used to open the trade. However, leverage is a double-edged sword in that big gains can also mean big losses. Therefore,...
A key reversal day is a technical analysis pattern that signals a potential change in the direction of a market trend. It occurs when price action shows a strong rejection of the prevailing trend within a single trading session. Traders often use key...
Risk management is the foundation of the Forex market. So in order to trade in the Forex market, you need to have a piece of good knowledge about risk management. Any trading strategy, regardless of how profitable, is subject to money management. In...