Currency Trading For Dummies: A Newbies View Of Forex - jordan shoes 2012

For instance when you see EUR/USD, you know that the Euro is stronger than the US dollar Nike Air Penny 5 . This is called the "base currency.

" Buying and selling always starts with your base currency nike shox shoes. So, if you sell 1000 EUR, you will be buying 1000 USD at the same time.

This is why it's called pairs. Think of it as elementary Algebra Lebron 10 Cheap. Whatever happens on the left, the opposite happens on the right at the same time.

On paper it would look like this, 10000 EUR/USD gucci handbags on sale. The currency on the right is called the "counter currency" or "secondary currency.

" The value of this currency when you buy or sell your base currency will determine what your profit or loss is on your trade.There are thousands of these trades taking place every minute of every day. The rates move and fluctuate very quickly. Your success as a trader depends on your ability to read market fluctuations and make trades proactively. You will find pairs that are extremely high risk and pairs that are very low risk. Knowing the how much risk you can afford to take will determine which pairs you focus on in trading.As you can see, this is just a teeny little peek at what there is to learn.