Forex

Understanding Forex Position Sizing Definition of Forex Position Sizing Given a particular level of investment risk, Forex traders use position sizing as a crucial risk management technique to determine the total units, lots, or volume that they should trade with. The primary objective of Forex position sizing is to control the risk associated with trading …

Understanding Currency Strength in Forex Trading Currency strength in forex trading refers to one currency’s relative strength against other currencies in the forex market. It essentially measures the overall stability or health of a nation’s currency in comparison to other nations. This strength is depicted via a comparison chart and it is instrumental to the …

Impact of a Country’s Trade Balance on Forex Understanding Trade Balance Before we delve into how the trade balance affects the Forex, it’s critical to comprehend what the term “trade balance” actually means. In simple terms, a country’s trade balance refers to its economic measure of imported and exported goods and services. When a country …

Understanding Inverse Currency Pair in Forex Trading Forex trading can be a complex enterprise for beginners and advanced traders alike due to the various terminologies involved. One such term is ‘Inverse Currency Pair’. This is a crucial concept that can dictate trading strategies and significantly influence the profitability of forex investments. Definition of Inverse Currency …

Regulatory Bodies in the Forex Market Forex trading is a vast, decentralized, and international platform with a daily turnover of numerous trillions of dollars. Due to the immense size, participation, and market reachability, regulatory bodies are significantly instrumental in structuring, supervising, and restricting fraudulent activities in the global Forex market. A concise understanding of these …

Investor Protection Schemes During Broker Insolvency Introduction Before delving into the mechanisms of investor protection schemes in the event of broker insolvency, it is critical to recognize that the foreign exchange market is a decentralized, global marketplace that permits the trading of currencies. As a dynamic hub of economic activity, it hosts various types of …