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Long term and short term, choose it now! |
Long vs Short Term Trading - For those of you who are beginners in the world of forex, and you asked a question, how to play the forex trading sich? The answer is easy.
Forex Infrastructure
Before entering into a trading, we first explain about the supporting infrastructure. For online forex trading can take only PC computer, and Internet connection. Coupled with a software application that can be downloaded and used for free. Very easy is not it. To view the illustrations online trading directly on your computer with a demo-account, you can read the instructions here. And also forex trading can be done at any time, read in time and hour forex trading, for more details.
The Base And How To Forex Trading
Basically forex is predicted to play a pair of currencies that the later value will rise or fall. And confidence of the predictions that we make in opening trading position (open position).
In forex there are only 2 types of open positions. I.e.
- BUY/LONG: predict the value of the pair is going up
- SELL/SHORT: predict the value of the pair is going down
For more details please refer to the illustration below:
- Handoko entry at position BUY (BUY) EUR/USD at 1.3000, after a certain time
- Handoko CLOSE 1.3064 then Handoko benefit 64 pips
- If Handoko CLOSE at 1.250 then Handoko losses 50 pips
- Erik entered in position SELL (SELL) GBP/USD at 1,500, after a certain time
- Erik CLOSE at 1,400 then Erik 100 pips profit
- If it'S CLOSE at 1,650 Erik Erik suffered losses 150 pips
Note:
-Close it is to shut down the trading is running or open.
-Pip is the smallest unit in the forex. The value and meaning of PIPS
Conclusion
- Requirements/infrastructure in forex trading online is very easy and cheap.
- The basics of forex trading is very simple:
- Buy if it predicts will be rising, and Sell if it predicts will decline.
- And if the predictions are correct then it would gain, if not otherwise.
Infrastructure, ways, and rules for trading forex is easy, cuman yg trading correct way how to be winners/profit, it is difficult.
Learning forex article this time will discuss about trading style, short term or long term. Between long-term trading (long term trading) and short-term trading (short term trading), which is better? Generally traders prefer to trade on a daily basis (short term trading) to take just a few pips profit target and trading several times in 1 day. But the difficulty is trying to be able to consistently achieve your desired profit. Patience to be able to take 20 – 30 pips every day and repeat it continuously, it will make you sick. And in the end make the mistake that leads to the floating loss is great.
In fact if you can consistently do so – i.e. manner determine your daily profit target – then you will be able to control how your trading and your profit, of course. If there is a trend of a long (long term), but in a short period of time (short term) it often makes you feel in doubt whether it is really reliable. And you will never know when it's time a trend will reverse direction, this is certainly a very risky because it would threaten the profit that you have collected. Hence very few traders who play for long term, this might be one of the cause.
Economic Fundamentals
Long term trading requires knowledge economic fundamentals are very complicated. Fundamnetal economy requires a very long time to dig it. Knowledge of fundamentals is one step forward, but mengaplikasinya in forex trading is another question that may make you confused. Long term trading action usually requires a bit more because of the momentum or trend that not every day is going great. This trading style is no match for the trader who relies solely on keberutungan only. If you thinks back, long term trader is actually more had the chance to print a profit than shor term trader.
Good Profit
But whatever the reason, you can achieve good profit from short term trading or long term trading as long as you have the basic knowledge to do an analysis on technical and fundamental. The trading system between the two, which one is better? Surely this depends heavily on your style with each. What is clear, please choose your forex strategy and do it consistently to achieve profit in forex trading. Evaluation of trading system that you use and continue to learn forex trading kemampuam to increase.
Goodluck for your trading!
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