Forex simply means *FOREIGN EXCHANGE*. It is the Largest market in the world with a Total Daily Liquidity of $7 Trillion dollars.
The New York Stock Exchange is the Second Largest Market and has a Daily Trading Volume of $169 Billion Dollars.
The Crypto-market has a Total Market cap of just $262 Billion as of today, this is not even the Daily Volume.
*All these Statistics are online, you can do your personal research.*
*WHAT DO WE TRADE ON FOREX?*
In the Forex market,we trade *Currency Pairs* of countries. We constantly buy and sell currency pairs of countries to make money in Forex.
*FOREX BROKERS & THEIR FUNCTIONS*
Forex Brookers are Firms that gives us trading access to the *FOREX MARKET.* They provide us with a Trading account to commence our trading activities. Brokers also provide Support Functions to the traders to make trading smooth.
*There are various Brokers in the Forex Market, they include: XM, Deriv,octafx Etc*
FOREX TERMINOLOGIES & JAGONS*
In every Field you find yourself, you will definitely encounter Terms that are unique to that field, Be it Law, Sport, Business, etc And you would have to get yourself acquainted with their Terminologies so as to be able to communicate properly.
Forex is no different. You need to learn about the Terminologies so as to be able to communicate with Market Analysts, understand the News and Flow with your Fellow Forex traders.
In Forex, a *BULLISH MARKET* is a market that is going Upwards.
*BEARISH MARKET* is a Market that is going downwards.
*RANGING MARKET* is a Market with no particular direction. It's neither moving Upwards or Downwards.
*TRENDING MARKET* is a Market that has a direction. It's either moving Upwards or downwards (Bullish Or Bearish)
*BULLS* are Buyers in the Forex market
*BEARS* are Sellers in the Forex market
As we proceed with the Training, We would get to see more Terminologies and Explain them as we see them.
*THERE ARE 2 TYPES OF FOREX TRADING;*
1) Fundamental Analysis
2) Technical Analysis
*FUNDAMENTAL ANALYSIS:* is also called News Trading, In this type of trading, Forex Traders analyse the Forex market with respect to News. Each day, different news are being released by major countries. These news affects these currency pairs negatively or positively. Traders take trading decisions based on the expected effect of the news.
We see all these News on CNN, Bloomberg, CNBC etc
Also, sites like forexfactory.com, dailyfx.com etc
Gives traders summary and direction of the News.
As a Forex trader, whether the news is positive or negative, that doesn't concern you, because you make money both ways.
Crypto-Traders would tell you that you only make money when a Coin is appreciating. But in Forex, we make Money when it is appreciating or depreciating.
If a Currency pair is about to appreciate, We buy. When its about to depreciates, We sell. As simple as that!
*Technical analysis*:this the study of price movement.in one word technical analysis =chart(bar chart,line chart and Japanese candlestick).
Thanks.