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Forex short vs long

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forex short vs long

Singapore - Indonesia - Malaysia. Travel Health Medical Cars Technology Home Family Business Interest Woman. What long ShortLongFlat or Square in Forex Trading? The image of the short fighting the bull refers to the directional movement of stocks or currency prices up or down. The bull lifts up the bear with it's horns. The bear crashes it's giant arms down upon the bull. The battle ensues and is non-stop. If a trader is in a trade on the basis that the market is going to force the price of a currency pair upward this is known as LONG position. SHORT position in forex trade is the other side of the coin. When the dollar gains strength ie the bear - sellers - starts to get the upper hand of the bull - buyers the price will be seen to move down. Forex, the trader can "close his position" and a profit has been made. These two ways to make a profit and movements in the market are known as "longs" and "shorts". The position you take will be long or short if you are entering short trade. Long position is "buy" position if you like and Short position is "sell" position. You can remember this because "S" is for SHORT and for SELL. It can be confusing in forex trading because you buy and sell in pairs. The first currency in a pair is known as the base currency sometimes. Later, when you "close your position" it is as though you short done the reverse. In fact that is exactly what you have done. That leaves us with the question, what is FLAT or SQUARE position. Well, the answer is simple. What if you decided not to trade at all? This is known as FLAT or SQUARE position. If you are FLAT it means you decided to stay out of the market, usually forex you couldn't see an opportunity to trade. If you are a gambler, you won't care if there is an opportunity to trade or not, you will miss the value in being flat or square and you will lose your money. Being flat is therefore a position. It's a positive position to long in, because although you are not winning money, you are not losing it either. Staying flat is the best thing to do when you're just not sure or uncertain about trading. This is why it's crucial to get a thorough understanding of a technical and fundamental strategy and learn it in "demo" until you're proficient enough and confident enough in your understanding the market and responding to it with your trading. Tips and Advice on Our travel guide includes Singapore Travel GuideBali Travel GuideBali MapsJakarta Travel GuideKL Long GuideMalaysia GuideJohor GuideMalacca Guide and is widely used by travelersexpats and tourists around the world. Weighing The Risks And Rewards Of Penny Stocks. Candlestick Patterns in a Bear Market. Should I Own Common Shares Or Preferred Shares? Option Trading Tip - Covered Call Cashflow. Improve Your Online Stock Trading. Lifetime of Long Term Care Benefits. Margin Usage and Introduction to Hedging. Best Ski Resorts to Buy in Forex Technical Analysis - Basics You Need to Know. Forex Day Trading Profits - Who Makes Them and Could You? Focus On Momentum Stocks - Utilizing Movements For Profit. Why Is A Great Investment Adviser So Hard To Find? Novice to Professional Trading Strategy. Helpful Signals in Foreign Exchange Trading. Moving Average Technical Analysis. More on SD Editorials? Hobbies for the Family. Gifts for loved ones. Back to SD Editorials Mainpage. Users Reading this article are forex interested in. Short Storyby Jesse S. Short Hairstylesby Alien. Short Storyby Dalip Singh Wasan. forex short vs long

What is short selling

What is short selling

5 thoughts on “Forex short vs long”

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