Forex trading learning series episode 5
Автор: Shuhaib TK
Загружено: 2025-12-18
Просмотров: 257
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💱 FLS Episode 6: How to Make Money Trading Forex
Forex trading isn’t complicated — but it is misunderstood.
At its core, forex trading is speculation.
You’re speculating on whether one currency will increase or decrease in value compared to another.
🔹 How Forex Trading Works
Currencies are always quoted in pairs, like EUR/USD or GBP/USD.
This is because in every forex trade, you are:
👉 Buying one currency
👉 Selling another at the same time
Your goal?
To buy a currency that will increase in value or sell one that will decrease in value.
🔹 Base vs Quote Currency
In a pair like GBP/USD:
• GBP is the base currency
• USD is the quote currency
If GBP/USD = 1.2122, it means:
💷 1 British pound = $1.2122 U.S. dollars
When you:
✔️ Buy GBP/USD → you’re buying GBP and selling USD
✔️ Sell GBP/USD → you’re selling GBP and buying USD
🔹 Going Long vs Going Short
• Long = Buy (you expect price to rise)
• Short = Sell (you expect price to fall)
You don’t need prices to go up to make money.
You can profit from both rising and falling markets.
🔹 Bid, Ask & Spread (Quick Intro)
Every forex price has two numbers:
• Bid – price you sell at
• Ask – price you buy at
The difference between them is the spread —
and it’s one of the main costs of trading.
Forex trading is about understanding direction, timing, and price structure — not luck.
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📌 Follow for Episode 7
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