Trading Articles

Read all the articles related to forex trading and binary options trading. Our forex articles help both new traders as well as experienced traders to help improve your trades. Our articles are focused on forex as well as binary options trading. The forex articles section is updated every week, so keep checking for new articles.

Technical Analysis in Forex Explained

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Technical analysis is one of the two main fields of study of the financial markets. The approach in technical analysis is very different from fundamental analysis. Technical analysis is the study of price charts and price action. It can be used in tandem with fundamental analysis to gain a complete picture of the markets. The definition of technical analysis is as follows: Technical analysis is the study of price action. It works on the principle that price reflects the available information. Therefore technical analysis is the study of past price action to predict future price. Technical analysts or chartists employ various tools in their study. Most of these tools are either mathematical or linear in nature. For example, the most popular technical indicator, the moving average is noth...

Forex Fundamental Analysis Explained

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Forex fundamental analysis is about identifying and measuring the factors that affect the fundamental worth of financial instruments. These can be economic or political climate of a country as well as the fundamental issues that will influence the supply and demand of a product or services. For example, a decrease in the supply of a product without any change in the demand of a product will result in an increase in the market price. In contrast, any increase on the supply side will have the opposite result that is a decrease in the market price. In the context of Forex trading, a fundamentalist will study the supply and demand of a country’s currency, its merchandise trade (products & services), its government policies, the way the country is managed. He will also analyze the past a
Difference between Binary Options & Forex Trading

Difference between Binary Options & Forex Trading

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Forex and binary options are primarily the same products from the broader financial markets spectrum, however, their similarity ends there. For traders who contemplate whether to trade forex or binary options, this article aims to present a clear picture of the difference between forex and binary options. Binary options, or ‘Options’ as they are often referred to, fall under the category of the derivatives markets. The derivatives market is made up of financial products whose value is derived from the actual market. Other examples besides options include ETF’s, Eminis which although similar are not exactly the actual products that you trade, but are products designed to reflect the actual security. Similarly, when comparing forex to binary options, the binary options (for forex) are

Forex leverage explained

Trading Articles
First of all, the word leverage comes from lever. A lever is a simple machine that makes work easier for use; it involves moving a load around a pivot using a force. In other words, lever is a small push given in order to produce bigger impact. Most new traders would notice that forex brokers mention leverage of 50:1, 100:1, 200:1 Leverage is a ratio of amount used in a transaction to the required deposit; a 100:1 leverage means that you can trade $100,000 in currencies with only a $1,000 deposit. If a broker offers you a 100:1 leverage on your $1,000 and you decide to trade a position worth $100,000, that means that you are borrowing $99,000 from your broker (you shell out $1,000). Your trade will be closed (margin call) as soon as your position losses 1% which is the total amount ...