Short selling is a form of trade whereby a seller borrows an asset from a lender, hoping that the price will fall from their original price, thereby enabling the seller to profit. For example, if you short a company's stock when it is at $100 per share, it means that you expect it to fall, while the entity lending you expects it to rise. If the price falls to $90, you will … [Read more...] about Successful Short Selling in Trading: How Forex Is Different From Stocks
Forex Trading Strategies
How to Trade the Trend Successfully
What is a trend? It is essential to know what a trend is and its characteristics so that you’ll be able to spot it easily. It also helps to differentiate a trend from other formations to avoid entering a trade you do not understand. There are two main types of trends, namely an uptrend and a downtrend. During an uptrend, the highs become progressively higher and the … [Read more...] about How to Trade the Trend Successfully
How to Be a Successful Part-Time Day Trader
A part-time day trader refers to a person who allocates a small portion of their time to trading the financial market. Most of these people are usually in other forms of employment or entrepreneurship. Others are students who want to earn an extra income. In recent years, millions of people are juggling between these occupations and day trading. In the United States, … [Read more...] about How to Be a Successful Part-Time Day Trader
What You Need to Become a Swing Trader in Forex
One of the interesting things about swing trading is how it hits the sweet spot between day and position trading, two methods based on the short and long term, respectively. This approach focuses mostly on the medium-term future price movements by taking advantage of ‘swings’ in the markets by holding trades for several days up to a few weeks. Granted, it’s still a … [Read more...] about What You Need to Become a Swing Trader in Forex
What You Need to Become a Position Trader in Forex
The nature of any financial market is that long-term trends usually take several weeks and months to form. For those looking to strictly invest in forex rather than actively speculate, position trading may be a methodology worth considering. It is somewhat better than a traditional investment as the investor has the luxury of profiting from going long and short instead … [Read more...] about What You Need to Become a Position Trader in Forex