Monday, April 30, 2012

Trading Basics

Trading Basics

Financial market is a mechanism that allows people to easily buy and sell (trade) market instruments at low transaction costs and at prices that reflect efficient markets. Financial markets have evolved significantly over several hundred years and are undergoing constant innovation to improve liquidity.
If you believe value of a market instrument is going to increase, then you would buy the instrument and at one point in the future you would sell it for a higher price. This is the basic motivation for trading on financial markets.


Forex Market (Introduction)

Check this video to see what Forex is all about: discover the basics of currency trading, understand how forex trading work, get to know the difference between long and short positions.






Although Contract for Difference trading operates in the same way as currency trading, this tutorial explains how you can trade on leverage and get profit from opening and closing CFD position.