BASICS OF FOREX TRADING

FOREX

DEFINITION

1)               Exchange of a currency against another currency.

2)               Buying and selling of currency

3)               Buying into an economy and selling out of an economy.

ECONOMY/COUNTRY	CURRENCY	SYMBOL
UNITED STATES	DOLLAR	USD
GREAT BRITIAN	POUNDS	GBP
JAPAN	YEN	JPY
EURO ZONES	EURO	EUR
CANADA	DOLLAR	CAD
AUSTRALIA	DOLLAR	AUD
NEW ZEALAND	DOLLAR	NZD

CURRENCY PAIR

GBPUSD: 1.5393

EURUSD: 1.3169

TWO TRANSACTIONS:

BUY AND SELL

BROKERS TO BE USED.

WWW.LITEFOREX.COM

WWW.FXPRO.COM

TYPES OF ACCOUNT REQUIRED IN FOREX TRADING.

1)               LOCAL  ACCOUNT( NORMAL BANK ACCOUNTS)

2)               BROKERS ACCOUNT

A.              DEMO/PRACTICE ACCOUNT

B.               LIVE/REAL/TRADING ACCOUNT.

FOREX MARKET ANALYSIS

1)               FUNDAMENTAL ANALYSIS(NEWS)

WWW.FOREXFACTORY.COM

WWW.DAILYFX.COM

WWW.ACTIONFOREX.COM

2)               TECHNICAL ANALYSIS (GRAPHS AND CHARTS)

PRACTICAL TRADING

1)               SETTING UP OF OUR EQUIPMENTS

A)              COMPUTER

B)              INTERNET CONNECTION

2)               VISIT THE WEBSITE OF THE BROKER AND INSTALL THE TRADING PLATFORM. WWW.LITEFOREX.COM

3)               OPEN A DEMO ACCOUNT.

4)               CHART ANALYSIS

A)              SET YOUR CHART TO 15 MINUTES TIMEFRAME.

B)              IDENTIFY THE MARKET DIRECTION ( TREND)

ALWAYS TRADE ALONG THE MARKET TREND

GBUSD,EURUSD,USDCHF,AUDUSD,NZDUSD, USDCAD,USDJPY

5)               ENTERING A TRANSACTION (BUY/SELL)

BALANCE	LOT SIZE/VOLUME
100	0.01
200	0.02
300	0.03
400	0.04
500	0.05
1000	0.1
2000	0.2
10,000	1.0

WWW.LITEFOREX.COM.NG(FUNDING/WITHDRAWAL