Thursday, December 15, 2011

Centers, buy and sell FOREX


position

Login at the center of
All transactions and operations of Forex (as well as commodities and other financial markets), whether the selling or buying, calledinto the Centre.
There Tnoaan different centers:

1. Long positions / Centers for purchase - enter into a long position means buying the base currency. For example, if we choose EUR / USD, we expect that the euro is about to becomestronger compared with the dollar, we buy the euro and theadvantage of strength.
2. Short positions / points of sale - to enter into a short positionmeans sell the base currency. For example, if we choose EUR / USD, we expect that the euro is about to become weakercompared with the dollar, we sell the euro and take advantage ofhis weakness.
It is important to realize that entering into a short position does not necessarily mean that we actually have the base currency, meaning it can sell the currency, we do not.
Center is closed
Close the center is what ends the process of entering in the centerIf we entered into a buy position, and the price went up the base currency, and we wish to reap the profits, we have to closethe center by pressing the button "" closed position "" in the program trading, and not with Aamlah sale (which will open a newsales center).
Long / Short position -Gain/loss calculation
The following example will illustrate how to calculate profits and losses.
PairEUR / USD
Current price (price quote): 1.4906/1.4909
Your account balance: $ 5000
Leverageoffers you a Forex broker and a financial lift a maximum of 200 times.
The trading processenter into a short position (sell) the price of1.4906 (sell are always on the minimum price).
Stop-loss orderour stop-loss order on 14 916 (if the euro roseabove this price, the center will be closed automatically). You will learn more about how to place stop-loss order in the presentation of the strategic Altalmaimi.
Size of the operationRandom trading volume amounting to $ 100,000 (and so we chose to be a leverage 1:20,100,0005,000).

Scenario: a euro fell 40 points to 1.4866.
Profit in that case is 40 points × 10 dollars per point = $ 400 (asmentioned earlier, when entering a deal valued at 100,000 euros, the value of point is $ 10).
Scenario B: Analysis of Loss: Since we put a stop loss, the center has been closed automatically when the price 1.4916Ie, 10 points above the entry price at the center. The calculatedresult of this process is as follows: 10 points × 10 points perdollar = a loss of $ 100.


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