How to buy/sell in Forex?
How to buy/sell in Forex?
How to set stop loss and set take profit when buying selling in Forex?
From the technical point of view, it depends on the trading platform you use.
Every Forex broker will gladly give you the Forex trading Platform manual or will be able to guide you through the steps of setting buy/sell orders, profit targets and exits per you request.
As an example, let's review the basic order setting steps at the one the most popular trading platforms - METATRADER4.
On the price chart - mouse Right Click. Go to 'Trading', 'New order'.
You will have a new window with order specifications.
Symbol - the currency you'll be trading
Volume - how many lots you'll be buying
Stop loss - you need to put the price you want to be stopped at in case a trade goes against you.
Take profit - your profit goal.
Comment - leave it blank.
Type - leave it as Instant execution.
Then you have two buttons: Buy and Sell.
Press one of them. Ok. You have a new trade open.
You will be able to see it on your chart and also you can check menu 'Trade', located below your chart. If you now try to Right click on this trade, you will have an option to 'Modify or Delete order', where you'll be able to change your trading preferences.
1. WHAT IF A TRADER STARTS TRADING BY BUYING AT THE LOWEST, LETS SAY, EXCHANGE RATE AND STOPS WITH THIS POSITION AT THE END OF THE DAY? IS HE CONSIDERED TO BE SUCCESSFUL OR NOT AT THE END OF THE DAY? WHAT I MEAN IS, HAS THIS POSITION TO BE FOLLOWED/CLOSED BY ANOTHER ONE IN ORDER TO REALISE A PROFIT (I.E. TO SELL AT A HIGHER LEVER RATE) OR IS THIS A "COMPLETE" ACTION BY ITS OWN?
WHAT IF HE MAKES ANOTHER POSITION ANOTHER DAY (SAY, NEXT DAY)SO AS TO "COMPLETE" HIS PREVIOUS DAY'S POSITION BY SELLING AT A HIGHER EXCHANGE RATE?
THANX IN ADVANCE (SORRY IF MY QUESTION IS STUPID, I HAVE NOT YET STARTED PLAYING)
The best thing, of course, to get a Forex demo account and see how orders work.
But, since you ave a question, let's answer it.
When you buy at some price, you put so called "Buy order". This means that you now hold a currency that you bought, for example EURO. During the day the value of the currency will rise or fall. In order to realise the profits you've earned, you'd need to Close your "Buy order". On the trading platform it will simply be shown as "Close an order" or "Close a trade" etc. What actually happens, you sell a currency you bought earlier, capitalising on the changes it produced while you were holding it. It can be a day, a few hours, a few minutes, a week, a month and so on.
I have asked this question before but i believe the construction of the question made me not to be understood.
Please once again i want to know how i can set: stop loss, Take profit, Type(buy limit or buy stop), and At price. All these are what to fill in for a pending order to trade fundamental analysis.Please help me resolve this proplem of gap in knowledge. Just yesterday i placed a trade where i got up to 80 pips but because of difficulties of no being able to exit the trade, i lost the pips and even took some losses.Trading without TP and SL is like a car without break. Please help.
Lionel D.L (Nigeria)
The exact steps of setting a stop loss, take profit etc will depend on the trading platform you use. Typically you have an option to set stop loss and take profit orders during the moment when you request to open a trade, either a market order or a limit order. In the new order window you should be able to see fields for stops and profit inputs.
If you opt not to set stops and profit targets during the time when you were placing a new order, you always have an option to edit your existing order. Usually by doing Right mouse click on an existing trade line on your account you can see a menu option inviting to edit the order.
Finally, you always have the third option to close the trade here and now any time. This is also done by either clicking on the open trade on the chart(if platform supports trading form the charts) or in your trade display/account window.
Note: in most cases you won't be able to close your trades using market order (e.g. manually here and now) if you come to do it on the weekend, to be precise: from 5 pm Friday to 5 pm Sunday.
4-th option in to call you broker by phone and ask to close a trade.
Also your Forex broker can always give you step-by-step explanation of how to use their trading platform and set up/close orders.
i dont know when is right to place a buy or a sell pls help....
Currency trading is a speculative market. You want to buy when the currency is cheap and then sell it when it becomes more expensive.
For example, buying EUR/USD pair (when you buy EUR for US dollars), traders expect EUR to rise in value, because if it does, they can sell it back and receive more US dollars in return.
Regarding the topic of where to find good buying and Selling opportunities, first open any free live charts of any currency pair. Take a simple look and try to anticipate the next possible move. If this makes you exited and you want to learn what evaluation methods stand behind market forecasts, you've got an exiting world of Forex which is all about how and when to buy and sell. Read just about everything you can find. Start from: http://www.forex-charts-book.com/