Refers to the group of investors who hold a short position and are quick to exit their positions when the underlying asset shows signs of strength. This group of investors seeks to profit from a decline, but they are usually unwilling to take on as...
Forex divergence is the comparison of price action and the movement of a specific indicator (most commonly - an oscillator).
A currency that is not a Base Currency in the calculation of a financial index for a Cross Currency Pairs transaction is referred to as a Term Currency. Term Currency refers to the second currency in a currency pair.
There are some similarities between the forex and stock markets, but the forex market has some distinct advantages.
Forex options are derivatives that give a trader the right, but not the obligation, to buy and sell Forex at a predetermined price on a predetermined date. Keep in mind that forex trading, in general, is a way of speculating on currencies without...
Arbitrage execution necessitates a type of forex trade, as interest payments on daily open positions must be made at the end of the forex trading day. As a result, this trading system will not be used in trading the following day. This way, the forex...
When traders are confident that they understand how to trade with leverage, they should open an account with their preferred broker. While the tutorial will use eToro, it should be noted that the process is simple and somewhat similar on other...
On a longer time scale, the head and shoulders pattern usually indicates a reversal. As a result, after the pattern has played out and followed through, it is possible that it will continue to trend in the direction of the follow-through. An inverse...
A brokerage is a company that provides both retirement and non-retirement investment accounts. Brokerages will help clients buy and sell tradable securities for their accounts. Officially, security trades are made and security positions are held in...
When using the economic calendar, there are a few key indicators that every investor should be aware of. The two most important economic indicators to comprehend are: