Best for forex trading
The top currency pairs are characterized with the highest liquidity of transactions, global popularity and a huge number of players. By the way, the prize of spectator sympathies, no doubt, would also have been accrued to it.
It accounts for over one-third of the total volume of transactions on Forex. This is due to various factors, the main of which are the scale and transparency of EU economies and the US. High liquidity of the instrument, which determines the favorable conditions of conclusion of transactions. Therefore, it is popular and the most traded currency amongst professional traders focused on short-term aggressive strategies.
The pair quotes are sensitive to fundamental factors and statistical data on the state of the British economy and the actions of the Bank of England, as well as to macroeconomic data in the USA. The pair have high volatility, allowing you to maximize profit on short time periods. In addition, a higher rate of the Bank of England compared to the U.
Federal reserve allows financial market participants to use the pound sterling as a tool for medium and long — term investments. It is undoubtedly, one of the best currency pairs to trade. They are held out as commodity currency pairs, as their prices are closely correlated with gold and oil. Cross-currency pairs Crosses , i. From the point of view of trading activity, they are behind. This group includes the following popular currency pairs: This list is not exclusive, as there are more traded currency pairs.
Of course, not all of these popular cross-currency pairs should be used in trading. Exotic pairs Exotics , i. These currency pairs are characterized by low liquidity, high volatility, high spread and risks.
Profitability of transactions on these assets is inevitably susceptible to decline because of the exotic currency pairs are poorly amenable to technical analysis, and forecasting of their trend is very difficult.
They are no not so many market participants, who trade them, and usually these are the representatives of the countries concerned. Beginners are not recommended to trade many currency pairs at the same time. Specialization in one or two instruments gives much better results, and knowledge of successful trading on the major and most traded currencies in the world.
You can gradually expand your trading portfolio with new currency instruments. Concentrate on the most simple and quite popular currency pair, and it will bring you profit subject to observance of other Safe trading rules! Closely related to the misuse of leverage is the mistake of not understanding how a particular trade will impact your profit and loss. Because of the substantial leverage that is associated with CFD trading Even the most seasoned professionals have been known to accidentally buy instead of sell or trade the wrong quantity or even the wrong security from time to time Social trading is the most exciting way of trading, it's fun, and it's the easiest way to make profits and big money in the forex world.
By using the social trading, the trader can benefit from other trader's skills, also he can make a profit from Company fundamentals, such as the amount of money the companies earns and how efficiently they utilise their resources, drive the share and CFD markets. While some of the Forex trading books mentioned below discuss one dedicated strategy, most will provide three to ten new Forex strategy ideas for you to test in the market.
You just have to purchase one currency trading book and all your trading systems, ideas and your mindset will be laser focused and generating pips like nothing else.
Trading Forex like a professional requires a combination of ideas, strategy, implementation, testing, building your confidence and then after a few years, combining all those elements with your own dedicated trading strategy. The reason you will want these is you will need to revisit them several times throughout the year. As you grow as a trader, your mind will have changed and you will see the Forex markets in a new way. When you pick up one of the best Forex trading books, you will learn new ideas you can add to the strategies you are currently trading with.
Fortunately, Kathy has taken the time to write a few books including this regularly updated must-have Forex book. Kathy can discuss the macro fundamental picture of any major currency pair in the world, but then identify key breakout levels for entry or exit criteria. You will gain a very broad knowledge of the markets and be able to start implementing trading ideas with a Forex demo account after reading this book.
You will love the clear and concise way in which Jim is able to explain everything you need to know about Forex trading. In his book, Jim runs through all the critical elements of Forex trading, including entry strategy, exit strategies, money management and the all-important trading psychology.
At the end of the book, you are presented with a basic trading system. You can use this as a way to build new Forex trading ideas or strategies of your own. His Forex strategy in this book is not meant to be your bread and butter system, but instead, you can use it as a basis for future trading systems which are suited to your trading style. Currency Trading for Dummies is more of an encyclopaedia of Forex basic, technical analysis, trading strategy and everything you need to know about the Forex markets.
As you know, the currency markets are driven by key fundamental data releases. You need to be aware of the critical economic data releases and how that impacts on your Forex trading. Currency Trading for Dummies will help you navigate the fundamental aspect of the FX markets with ease. They also cover technical analysis, the patterns you may consider for your Forex systems, but not in the greatest of detail.
If you are involved in FX, then you will want to know all the tips and tricks to using MT4 in the best possible way.
In this book, Jim outlines a simple Forex trading method which is given away freely. You can literally read the book, pull down his trading method, implement it within your own MT4 trading platform and be executing it live in the markets in no time. But of course, you want to make sure you understand the risks associated with FX trading.