Page 3 - NOT FOR SELL SIBUSISIWEFXupdate_Neat
P. 3
INTRODUCTION TO THE FOREX MARKET 2
HOW IS FOREIGN EXCHANGE TRADED? 3
ADVANTAGES OF TRADING IN THE FOREX MARKET 5
HIGH LEVERAGE 5
LOW MARGIN 5
24 HOURS TRADING 5
TRADE BOTH SIDES OF THE MARKET 5
Low Trading Costs 5
CURRENCY PAIRS 6
The Significance of Currency Pairs 6
When to Buy a Pair 6
When to Sell a Pair 6
THE CONCEPT OF LEVERAGE 7
What is LEVERAGE? 7
WHAT IS MARGIN? 7
HOW ARE LEVERAGE AND MARGIN RELATED? 7
TRADING COSTS 8
HOW MUCH DOES IT COST TO MAKE A TRADE? 8
BELOW ARE SOME EXAMPLES OF CURRENCY PAIRS: 8
FUNDAMENTAL ANALYSIS 9
WHAT INFLUENCES PRICE IN THE FOREX MARKET? 9
FUNDAMENTAL ANALYSIS TECHNIQUES 9
TECHNICAL ANALYSIS 10
WHAT IS SO GREAT ABOUT TECHNICAL ANALYSIS 12
FOREIGN EXCHANGE MARKET – THE BEST MARKET TO USE TECHNCAL ANALIYSIS 12
SUPPORT AND RESISTANCE 13
SUPPORT AND RESISTANCE IN A RANGE-TRADING 13
THE DISADVANTAGES OF RANGE-TRADING 13
SUPPORT AND RESISTANCE IN MOMENTUM MARKETS 14
TOOLS IN TECHNICAL ANALYSIS 14
RISK MANAGEMENT 16
THREE BASIC QUESTIONS FOR EVERY TRADER 16
PSYCHOLOGY OF THE TRADER 17
WHAT SHOULD THE PSYCHOLOGY OF THE TRADER BE? 17
HOW TO AVIOD FALLING IN A TRAP 17
CONTACT US 18