Forex introductory training

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Introduction:

Entering the forex market without exaggeration means starting economic activities with very high profit opportunities. There is no other financial market in the world that carries this volume of transactions throughout the day and has so many and famous players. If you also intend to experience a new type of financial life by participating in forex, you should research and learn about it. Once you start Forex training, you will be ready to make decisions and trade by gaining experience and knowing the necessary capabilities. In this article, we want to talk about the preliminary training to start working in forex. Be with us.

Forex training for beginners

Forex is an international market for exchanging different currencies of the world. In fact, with a simple look, we have to say that what is happening in this market is somewhat similar to the process of buying and selling different currencies in exchanges, but with very large dimensions. Exchange rates in this market are changing and the market situation is dynamic. Forex is not like the New York or London stock market and it is not considered a physical and central market. This whole market is accessible to people from all over the world without a central place and through the Internet. Forex operates 24 hours a day and you can connect to it and trade from anywhere in the world.

By buying and selling currencies in the shadow of various price fluctuations, the possibility of profitability and growth becomes stronger. To start trading, you should know that forex makes sense by exchanging currencies. Different currency pairs are exchanged on this platform, which we will mention in the continuation of the basic forex training.

Currency pairs in Forex

In the basic training of forex, we must mention currency pairs first of all. Currency pair means two currencies that are exchanged and traded together in forex trading. Various currency pairs are available in Forex and it is possible to trade them with each other. However, you should be familiar with the basic pairs in the beginning.

The main currency pairs are those that are more famous and are offered by the important countries of the world. Important currencies play a decisive role in the advancement of the world economy and it is necessary to know them. These are the ones that affect different financial markets, including Forex, with their fluctuations and rate changes:

Trading currency pairs

What does forex trading mean? Buying one currency and selling another currency for it. Brokers, who are intermediaries between buyers and sellers, provide a platform for exchanging currencies with each other. There are various currency pairs in the market; For example, US Dollar and Japanese Yen (USD/JPY). The exchange of currency pairs does not have a fixed rate, and which one of the currency pairs is stronger and has a higher value, affects the process of exchange and trading.

Currency pairs are divided into different categories:

• major currency pairs ( MAJORS ) ; One of these pairs is definitely the US dollar.
• Sub-currency pairs or crosses ( CROSS ) ; Currencies with high liquidity where the US dollar is no longer part of the currency pair.
• exotic currency pairs ( EXOTICS ) ; These include two currencies, one of which is a major currency and the other is an emerging market currency (for example, the Mexican currency).

When choosing currency pairs for trading, you should pay attention to various points. For example, consider how liquid they are, how much volatility they experience, and how much they cost to transact. In Forex beginner’s training, the correct identification of currency pairs is emphasized. You must know what market you are dealing with and what actors and agents you are going to see in it.

Understanding the category of liquidity in the forex market

In the introductory forex training, you must be familiar with the topic of liquidity. Liquidity refers to the volume and level of currency transactions. The most traded currencies have a higher trading volume and are easier to buy and sell. In fact, since these currencies have a lot of fans, you can easily trade them and they are easy to buy and sell. For example, currency pairs like USD/AUD are popular in the market. Therefore, it is obvious that they have higher liquidity than other currency pairs. The higher the liquidity of currency pairs, the more rational and profitable their trading will be. Of course, profitability and achieving desired results do not depend only on the liquidity of currency pairs and various other factors also play a role in this field.

Familiarity with speculation

When you are busy learning the basic Forex training, you should also familiarize yourself with another important concept. This concept is nothing but speculation. Transactions in any financial market are not associated with clear certainty. In fact, there is speculation and you have to learn to take risks. This issue and the nature of a market like forex causes the formation of speculation. It means a short-term activity in which traders are trying to make a profit in a short period of time by buying currencies at the right price and selling them in a fluctuating (upward and upward) price. If you are going to work in forex, you should be familiar with different strategies and tactics, including speculation.

Various transactions in the forex market

Considering the liquidity of currency pairs and different trading strategies in the introductory forex training, including speculation or long-term investment, you should also be familiar with the types of transactions available in forex:

• future transactions ; The price and time information of these transactions are known. In this style of trading, there is a contract to buy or sell a certain asset at a certain time and at a certain price.
• optional transactions or options ; In this style of trading, the trader can buy or sell the desired asset at a specified price on the expiration date of the transaction. The market liquidity of these transactions is not as high as future transactions.
• spot transactions ; In a side market compared to forex, i.e. spot, currency pairs are bought and sold based on the spot price.
• ETF transactions ; This type of transaction is carried out by financial institutions and a basket of currencies is bought in them. The purchased currencies are placed in a fund and kept.

at the end

By taking the introductory forex course from a reputable authority, you can quickly and quickly gain access to sufficient knowledge and information about the activity in the forex market. Remember that financial activities are never guaranteed. As a result, they are risky, but if you equip yourself with knowledge and experience, you will move within a controlled framework of possible risks.

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