Forex trading can be a jungle for those who are not aware of how the financial markets function. A bear trap is amongst one of the traps that one can fall prey to. Bear traps can have devastating consequences when traders fall prey to them. They seem to indicate the onset of a downturn but in reality, lead to a steady increase in the price. In this article, we take a look at … [Read more...] about Bear Trap
Forex Glossary
Long Term Trading
Also termed as position trading or big picture trading, long term forex trading is considered more effective than holding multiple positions of short term. The longer span indicates trades that extend to weeks, months, days, or sometimes a year too. Despite being profitable, this technique is not for all traders. Only those who do not mind the extended waiting span and shun … [Read more...] about Long Term Trading
IM or Initial Margin
For the purchase of securities, investors borrow cash from brokerage firms via margin accounts. A specific rate of interest is charged by the broker for the borrowed amount. To become eligible for the margin account, the investor should provide specific funds in the form of collateral, money, or securities. This requirement is called the initial margin. How the Requirement … [Read more...] about IM or Initial Margin
Bull Trap
A bull trap is a pseudo breakout scenario. What happens here is that a buyer goes into a trade with the belief of an upside. Sometimes such stocks do not give an upward trajectory and hit the support levels of the trader's stop loss. What exactly makes the bull trap important? Let's find out! In a bull trap, long-term traders get forced to leave their positions as a result … [Read more...] about Bull Trap
Analyst
Being a forex analyst is no simple matter. One has to have a lot of knowledge about the financial world and enough experience. So, what does the job of a forex analyst constitute and which areas does one need to be proficient in? In the world of finance and forex, there is no career as lucrative and coveted as that of an analyst. An analyst should be well aware of the … [Read more...] about Analyst
