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Forex Day Trading

Written by ForexCult Team
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Forex Day Trading In the following article, I am going to tell you about forex day trading. By the end of the article I hope that you are able to fully understand what forex day trading is and how it can benefit you as a trader in the forex market. Day trading has a fairly simple definition and that is the reference to the purchasing and also selling of different instruments that involve finances, which are known as futures as well as options and also currencies. However, the goal of all of this is to actually be able to make a profit out of the difference among the purchasing price and the actual selling price. You will notice that day trading is a little different than the other styles of trading that are out there on the market today mainly because of the fact that the positions are not normally held overnight and normally take place before the market actually closes for the night. Originally, day trading was made only available to banks or other financial companies due to the fact that they actually had access to the actual exchanges and also the market data and were the only ones that had that access as well, there was no one else that was granted access of that type. However, now that the internet has became so popular, the traders as individuals now have the access that they need in order to be able to view the same exchanges as well as the same market data and they are actually able to make the same trades at a rather low cost. Forex Day Trading Now I am going to take a step deeper into forex day trading and I am going to tell you the different trading styles that you may see during the forex day trading so that you are aware of the different ways that people trade. When it comes to forex day trading, you are going to find that there are a wide variety of trading styles due to the fact that the styles are actually based on the individual trader’s personality. You will notice that the styles can actually range from short term styles which are also known as scalping to longer term sing styles as well. When it comes to forex day trading, the short term styles are when the trade positions are only held for a short period of time as in a couple of seconds or minutes. With a longer term style you will notice that the position can be held for as long as the trading day. You will notice that a lot of the forex day trading systems there is a lot of flexibility that is present and that you can actually have positions that are open for a few minutes to a couple of hours it all depends on how the actual trade is doing basically relating to whether there is profit or not. Forex Day Trading and the Different Types You will also know that with forex day trading, that there are different types or styles of trade. You will have trend trades and also counter trend trades, not to mention ranging trades as well. You will notice that the trend trades are actual trades that are made in the direction of the movement of the price at the current time. You will also see the counter trend trades are the trades that are made against the actual direction of the movement of the current price. Another style that you will learn about is the ranging trades in which the trades actually go in a forward and backward motion between two actual prices and are normally used when the market is actually moving side to side. I hope that you have found the information in this article very useful and I hope that it comes in handy when you are participating in day trading. There are also websites that you can visit as well that will give you information on day trading as well but it will be similar to the information that I have given you because of the fact that there is only so much information that you can learn about day trading. The key to all of the success is the ability to make sure that you are able to understand the information and put the information that you have learnt to work when you are trading. There is no great mystery to forex trading that you have to know, you just have to be determined.

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Which is the Best Forex Broker you have traded with?

Interview with Matthew Sheppard

Senior Forex Advisor at XForex

1. What is your name and position?

Hello, my name is Matthew Sheppard and I am a senior forex advisor at XForex.

2. What is your experience and professional background?

In the last 6 years I had filled several positions in financial institutions such as a stock broker, a foreign exchange desk manager, a financial consultant and in my recent role I serve as a senior Forex advisor for XForex which is an online forex company.

3. What type of clients you deal with?

We deal with clients on all levels from the beginning stages to the more advanced trading levels.

4. Does most of your business activity come from the online or offline world?

Because of our high presence on the web, most of our business comes from the online world.

5. Why should a trader pick XForex from all forex brokers?

Aside from all the benefits that XForex offer like commission-free trading, 24/7 online support, high leverage (200:1), XForex offers educational and learning trading experience that you won’t find anywhere else..

Our team of experts and financial trainers provide personal assistance and guide clients to financial success. We provide daily analysis and market reviews to our clients giving them a better understanding of the market and helping them trade profitably.

6. From your experience, what advice would you give a person who wants to enter the forex world?

My advice to the beginning trader entering the Forex world is as follows:
  • Learn the market and understand what you’re getting into.
  • Research and find the broker that suits your needs and wants. Look for a good offering but more importantly customer service, don’t go for the low rates offer without being certain they have a good customer service department. From my extensive experience in the Forex world your key to success will be your client-broker relationship. I can honestly say that at XForex they put an emphasis on servicing clients, which is so important.
  • Invest smartly and calculate your risks.
  • Always know when to get out of a trade.

Broker of the Month

5_small_logoUFXBank provide up-to-date charts and news feeds, coupled with an easily navigated trading platform. UFXBank traders can access the biggest market in the world 24 hours a day with ease.

By keeping their platform, site and deposit process simple, safe and secure, UFXBank have become the web’s premier online forex trader.