How Profits Are Generated In Forex Trading
How Profits Are Generated In Forex Trading Foreign exchange trading is buying or selling one currency in exchange for another, in an attempt to extract the profit from the price movements. Currency markets are open 24-hours a day during the week, which is the advantage over the Stock Market which is only open for each weekday. These blogs provide an overview of these fundamental basics, including how profits are made, leverage, Forex brokers and trading fees. 1. How Profits are Generated in Forex Trading Trading Forex takes into the account all that have learned so far. We can Buy and Sell a currency pair and whether that price moves in our favor will determine if we make or lose the money. The amount of that profit/loss is defined by how many pips price moves, the position size and the pip value. Most Forex traders use the price charts to help determine which trades they will take. If they believe that the EUR/USD is going to rise, then they will buy the EUR/