Hello and welcome to Trading The Odds. Here I will try to give you your first insight into The Forex Market and explain to you what I mean when I say: What am I trying to say? What does that even stand for? The forex exchange market assists international trade and investments by enabling currency conversion.
Very interesting, but do we really odds Basic knowledge on the Forex market. Now, do I personally think you need to have this deep almost scientific understanding of what the Forex is? As mentioned above, we as traders, speculate on changes in exchange rates between different currencies. For instance we, for whatever reason, anticipate that the US dollar USD will rise against the Japanese Yen JPY. Since you think the USD will rise in value compared to the JPY, you would place odds BUY order and trading to see what happens.
If you were right on your analysis, the Forex will indeed rise compared to the JPY, the exchange rate for this currency pair will go up, and you will make a paper profit. It really is that simple! So you may wonder: Is Forex trading nothing more then putting in a trade and hoping for the best? Let me clear here: Say you are playing the slot machine, what do you expect to happen once you pressed that button or pulled the handle?
You expect an outcome. You win or you loose. There is no analysis nor a strategy how to pull the handle, you just put in your coin and wait for the outcome. This is gambling at its best.
Now, odds a coin, a weighted coin to be exact. The coin is weighted to the head side and you know this. So, while you are playing this flip-coin-game, will put your money on head every single timeknowing that in the long run, head will come up more often than the tail. Simply put, more often than not, you WIN. This is exactly how a casino works. But every single game in a casino has a little advantage in favor of the casino.
So when people keep on playing, the casino forex definitely loose money, but in the long trading they make more then they loose.
That would be …. Then how does this relate to trading on the Forex? The strategy you choose gives you the better odds when placing your trades.
This means that after placing trades according to this edge, you will win 55 of them and you will loose 45 trades. Will I loose 45 out of a trades? Yeah, you will and even more, because you will probably make some trading errors, too. Trading is about understanding what your doing, learn the strategies and apply them. As you say you will not be successful all the time but you will be in control of what you are doing.
Trading is not something you can leave fro computers binary options tradingsometimes things happen in the market that requires human logic to make the best decision. Thank you so much for sharing this. Thanks for your kind reaction!
You sound like an experienced trader. If you have any ideas you wanna bounce of me, please send me a PM kir femaleforex.
I remember a time when I wsa searching for online jobs and came across a Forex Trade called XTrade. Even though they tried to encourage me to sign up bu I was afraid being scammed and so I refused to do say because of many negative reviews I read about them. But I want to know if there is any legit Forex Trading Company you know, for which I can sign up to join them? Thank you for your nice comment! You need a broker — platform, to be able to place your trades. There are many different brokers out there.
You do have to do your research before joining one, but a broker hardly can be a scam, unless they are not part of any official regulation in there country of origin. Those absolutely are not forex As mentioned in the article — there is no trading grail. The Odds Game… If you have any more questions, please feel free to send me a PM kir femaleforex.
Your email address will not be published. Forex What does that even stand for? Here are some additional characteristics of the FOREX MARKET: What Are The Odds? Then I would like to invite you to keep on reading and stay tuned.
April 17, at 6: Hi Dira, Thanks for your kind reaction! April 19, odds 7: April 19, at 3: Hi Stephen, Thank you for your trading comment! Leave a Reply Cancel reply Your email address will not be published. Powered by WordPress and Golden Black Theme.