Place a Trade

The FXCM Trading Station software is your direct connection to the forex market is where traders buy and sell currency pairs and manage their accounts.

PLACE YOUR FIRST OPERATION

Place an operation is simple. All you need to do is right-click price "buy" or "sell" on the currency pair you wish to trade from the window "Quotes". Then simply confirm the order details and click "OK".

• Step 1: Click on "Buy" or "Sell"
• Step 2: Confirm the order and click "OK"
• 

MONITOR YOUR TRADES LIVE

You want to know if you are making or losing money when you open market operations. To do this, you have to look at the window of "Summary". There you can see live operations and the details of them.

THE DEFINITIONS OF THE SUMMARY WINDOW
Symbol:	The currency pair is trading
Volume:	The total volume in all positions
C / V:	The type of operation. S = Sell, B = Buy
Opening average:	The average value of contributions
Closing:	The current market price at which the symbol may be closed
G / P Gross:	The profit / loss of all positions of that symbol.
G / P Net:	The G / P with gross commissions and interest included.
Stop Net:	The net position of the stop
Trailing Stop:	The remaining amount of pips to net stop moving.
Limit Net:	The net position limit

CLOSING ITS OPERATIONS

When you are ready to close their active positions, simply click the appropriate price in the column "Close Sale" or "Close Buy" in the window of "Summary". Then, confirm the order details and click "OK". Once the transaction closes, your profit or loss from this operation will be saved and your account balance will be updated in the window "Accounts". Remember, your balance only reflects the actual gains or losses. Your "Home Equity" on the other hand, is your balance plus any gain or loss of your open trades.

How to Read a Chart

Forex traders have developed several methods to determine which direction a currency pair will continue.Fundamental traders read news resources DailyFX.com for interest rates, economic growth, unemployment, inflation and political risks that affect supply and demand of currencies. Technical traders use charting tools and indicators to identify trends and the importance of price levels to see where to enter and exit the market. 

No matter what kind of trader you are, you need to know how to read a chart ....

OPENING A PRICE CHART

To begin, click on the tab "Graphics" at the top of the Trading Station II platform, and then select "Create a market view." Finally, you need to choose the currency pair, the period and specify the data range.

The period is the time interval that is updated in the chart. For example, the period can be one day (D1), which means that each point on the graph represents data of a trading day. When placed five minutes (m5) it means that the graph represents data of five minutes. The data range refers to the history that is visible on the graph. You can select the one-year option if you want to see the data of the last year.

USING CANDLESTICK CHART

The default chart type is called "graphic Candlestick". This chart type is the one mostly used in the Forex market. Candle bar shows the opening price, closing, maximum and minimum for a given period. The candle body shows the opening price and closing show fuses where the maximum and minimum.

If the closing price is higher than the opening price of the previous candle, then the candle will be blue. However, if the closing price is lower than the opening price of the previous candle, then the candle will be red. Candles provide just see if the period ended trading up or down. 

ADDING AN INDICATOR

Only look at the graph can facilitate the decision making, but also many traders use indicators that help them make more informed trading decisions. These tools can help the trader find trends and predict future price movements. The Trading Station is equipped with more than thirty indicators already downloaded. More than six hundred popular custom indicators and can be downloaded online. To add an indicator to the chart, right-click the chart and select "add a flag."

DRAWING A TRENDLINE

The prices tend to move in three ways: to increase (bull market), down (bear market) or laterally (market range).Trend lines are used to visually recognize the current trend. It is reasonable that the trader thinks the trend will be maintained until it is "broken". You can draw trend lines with the tool "pencil". Commonly two or more extreme price highs or lows are connected to define the trend and draw the line. Here are some examples.

BULLISH TREND

BEARISH TREND

HORIZONTAL TREND

Basic concepts

 

WHAT IS FOREX?

Forex is the common abbreviation of "foreign exchange" or "currency exchange". This typically involves buying and selling currencies on the market, especially among investors and speculators. The familiar expression "buy low and sell high" applies to currency trading. A forex trader purchasing currencies that are undervalued and sells coins that are over-valued, as does a trader buys shares when a stock is undervalued and sell when the market is over-valued.

HOW TO READ A QUOTE?

Forex quotes are always presented in pairs because one currency is compared against another. This can be confusing at first, but it's pretty intuitive. For example, the EUR / USD at 1.4022 shows how much a euro (EUR) US dollar (USD).

WHAT IS A LOT?

It is the smaller size of transaction. FXCM accounts have a lot micro 1,000 currency units. The owners of the accounts can place orders of different sizes while maintaining increases in 1000 as 2,000, 3,000, 15,000, 112,000, etc.

WHAT IS A PIP?

A pip is the unit in which the gains or losses are counted. Most currency pairs, except the Japanese yen, quoted to four decimal points. The fourth space after the decimal point (in a 100th of a cent) is typically what you look for counting "pips". Each point moving in that place is a movement of 1 pip. For example, if the EUR / USD rises to 1.4022 a1.4027 it is up 5 pips.

WHAT IS THE LEVERAGE / MARGIN?

As mentioned above, all operations are executed with borrowed money. This allows you to benefit from leverage.The 100: 1 leverage allows you to trade with $ 1,000 in the market putting aside only $ 5 as a security deposit.This means you can take smaller movements in the currencies market controlling more capital in the market which effectively takes into the account.

Why Trade Forex?

The online forex trading has become very popular in the last decade because it offers a number of advantages:

THE FOREX MARKET DOES NOT SLEEP

 

The trading goes around the world during different times of markets in different countries. Therefore, you can operate the most popular currency at any time, 24 hours a day. Since there is no specific timetable for appointing exchange rates, there is something going on almost every moment of the day and night.

YOU CAN GO LONG OR SHORT

Unlike many other financial markets, where it can be difficult to take short positions, there is no limitation to go short on coins. If you think a currency is on the rise, buy. If you think you're going to fall, sell it. This means that there is no such thing as a "bear market" in forex - you can make (or lose) money at any time.

LOW TRANSACTION COSTS

Most forex accounts without commissions operate without expensive license fees or data. The cost of trading is the spread between the buying price and the selling price, always available on screen trading.

LIQUIDITY INIGUALABLE

Since the forex market is a market of $ 4 trillion a day, mostly concentrated in only a few currencies, there are always many people operate. This typically makes it easy to enter and exit operations at any time, even with larger amounts.

LEVERAGE AVAILABLE

Because of the deep liquidity in the forex market, you can operate with considerable level of leverage (100: 1).This allows you to leverage even small market movements. Leverage is a double-edged sword, of course, because it can substantially increase gains and losses.

INTERNATIONAL EXHIBITION

As that the world is becoming more global, investors seek opportunities wherever they can. If you want to take a general view and invest in another country (or sell short), forex is an easy way to gain exposure while avoiding the vagaries as the laws of rate change and the financial statements in different languages.

Forex what is?

What is Forex?

WHAT AM I DOING WHEN OPERATED FOREX?

Forex is an abbreviation commonly used for "foreign exchange" or "currency exchange" and is often used to describe the trading in the forex market by investors and speculators.
For example, imagine a situation in which it is expected that the value of the US dollar it will weaken against the euro. A forex trader in this situation will sell dollars and buy euros. If the euro strengthens, the purchasing power to buy dollars has increased. The trader now can buy back more dollars than they had to begin making a profit.

This is similar to stock trading. A stockbroker buy a stock if you think the price will increase in the future and will sell a stock if you think its price will fall in the future. Similarly a forex trader will buy a currency pair if you expect the exchange rate to increase in the future and sell a currency pair if you expect the exchange rate to fall in the future.

WHAT IS AN EXCHANGE RATE?

The forex market is a global and decentralized market determines the relative values ​​of different currencies.Unlike other markets, there is no central repository or exchange where transactions are carried out. Instead, these operations are performed by various market participants in various places. It is rare for two coins have an identical value to each other and also rare that two currencies remain the same relative value for more than a short period of time. In Forex, the exchange rate between two pairs of currency changes constantly.

For example, the January 3, 2011, one euro was worth about $ 1.33. On May 3, 2011, one euro was worth about $ 1.48. The euro has appreciated 10% against the dollar US during this time.

WHY CHANGE EXCHANGE RATES?

Currencies are traded in an open market such as stocks, bonds, computers, cars and many other goods and services. The value of a currency fluctuates as its supply and demand fluctuates, just like anything else.

·         An increase in supply or a reduction in demand for currency may cause the value of the currency falls.

·         A decrease in supply or increased demand for currency may cause the value of the currency is increased.

A great benefit of Forex trading is that you can buy or sell a currency pair at any time, subject to availability of liquidity. So if you think the euro zone will separate, you can sell the euro and buy dollars (sell EUR / USD). If you think the gold price will go up, based on the historical correlation patterns, you can buy and sell Australian dollar US dollar (Buy AUD / USD).