FREE FOREX TRADING TUTORIAL
What is Forex Trading?
FOREX TRADING is a legal stock exchange that can be followed by every people around the world. This is a 24 hours activity start from Monday to Friday. Some countries are unable to provide mini forex program due to the Government policy. Furthermore, a participant needs to provide at least $10,000 to join with local broker. This letter will introduce an International Forex Online that can be followed by anybody for free with minimum transaction for only $1. Most people invest their money via Broker without understand the system first. Then, they will loss their money. Therefore, it is much better to understand first before start trading. As a result, you can take a profit easily with low risk.
In this tutorial, I will give you an example of "marketiva"
What is marketiva?
Marketiva is one of Forex Trading services and legal member of Swithzerland (lousanne/SWISS) which is providing online facilities to do Trading Forex easily, cheaply, simply, and able to be followed by many people around the world. The reason of cheap is because you can start trading from as a little as $1 only. I give you an example of marketiva because provides free practice trading before you can start with real money. Furthermore, you can start open a free account to start trading. Then, you will get free real money $5 and $10,000 virtual money to practice.
How to open an account?
First, open a new account by click a new tab here
-> click "Open account", fill the form, click activation link on your email, and you can log in straight away. Then, you will get $5 free and $10,000 virtual money at your marketiva account.
-> Important note: in order to be a legal member, you must "upload document(s)" such as photo and address on your identity cards. The purpose of this is avoid money laundering and other criminal actions. You can upload your identity by click on the link
https://www.marketiva.com/index.ncre?page=identification
or you can ask help from support (on the top right of your marketiva page) in your language.
-> Remember! One people / IP must have one account only or your account will be suspended.
-> After your documents have been approved, you can download and install marketiva streamster (get streamster) on your computer. Then, you can start trading!
Enter to marketiva streamster that has been installed and you can see like this:
Fill your user name and password, tick the box to remember your password and id, ignore profile, and sign in.
Then, you can see STREAMSTER view like this
You can see four windows in there. I put number 1 to 4 to make it easy to explain.
No 1. means currencies data / PAIR. It is used to order bid or offer and also to see daily high or low numbers.
- No.2 means Graphic / Chart to see market, trend, etc.
- No.3 means portfolio. It is used to see how much money do you have on your account and also plus or minus of your profits.
- No.4 means your order position status and data. You can close or change your order by click the pair. This window also has many purposes such as doing deposit and withdraws at "account centre".
What kinds of currencies have been used?
There is some PAIRs which are trading such as EUR/USD = EURO vs
How to trade?
Forex trading is different with normal trading. In the normal trading is normally buy some currencies first and then sell the money when the price has risen up. In addition, forex trading is using PAIR. So, the transaction is using two directions.
· Order Buy/Long. Do this order when you estimate that the price will grow up and finish it with "Close"
· Order Sell/Short. Do this order if you estimate that the price is opposite above and end up with "Close"
As a result, we can do transaction in both up and down of prices. Each order should be finished by "close":
· For example, we order "Buy". Then, the PAIR price is increase. After you make a profit, you can "Close" in order to finish the transaction.
· If order "sell", we get a profit when the price is going down and you can "close" the transaction.
Forex trading (at marketiva), we can do transaction with leverage 100:1. It means that we can do transaction with quantity 100 for $1.
MARGIN (the price for transaction)
When you have already a member, you will get $5 free and you can also deposit some more money if necessary. I urge you to trade around 10%-20% of your account / margin only in order to get flexibility. It does not mean that more money to deposit, more profit you will get. The most important thing is keep practice with virtual money first to get used. You can sometimes need to spend a couple weeks to be an expert. Then, you can start use real money to make a real profit.
HOW TO CHOOSE A PAIR FOR TRADING?
It is an important thing to understand due to minimize the risks and easy to get profits. It is especially for a beginner. Bigger range of PAIR moving will make bigger chance to take profits as well. Otherwise, you will be very easy to get loss if do a wrong thing. At this point, I prefer to take a PAIR with small moving range for beginner. In general, PAIRs are divided into three ranges:
- BIG Range (Ekstrim): GBP/JPY, GBP/USD (100-200 pips or more/day, High Risk)
HOW TO DO TRANSACTION?
You can start trading with click the currency as no 1 window. For example, you want to trade on the EUR/USD
- For order BUY/LONG clicks the currecy in the line EUR/USD underneath the "offer" column.
- For order SELL/SHORT click the currecy in the line EUR/USD underneath the "bid" column. Then, you will be asked to put quantity size (100 quantity size = $1). Choose live forex (for real trading) or virtual forex (for practice using virtual money). When you are ready to order, click ok to finish it. When you click pair eur/usd, the screen will show like this:
If you click Pair eur/usd underneath offer column for buy, it will be showed:
- no. 1 is EUR/USD
- between no. 4 & 5 is the quantity of your trading.
- underneath no.5 is the option to choose life or virtual trading.
- no. 5 is exit stop loss. Fill this column to minimize your loss. It will be closed automatically when you get loss until the market price become opposite of your estimation.
- no. 3 is price type. There are three differences of "Price type":
· Type "Market" is used to do real/direct transaction at that time.
· Type "Limit" is used to predict rebound price after touching a maximum or minimum price.
· Type "Stop" is used to estimate that the price will continue after passing through target prices.
Your transaction will keep open/active until you "Close".
How to use Type Limit or Stop?
For instance, eur/usd position is 1.2660-1.2663 at the moment. So, you can request "BUY STOP" +20 ( 1.2683) and exit target +30 ( 1.2713). Then, what you can do are:
> click pair EUR/USD underneath "Offer" column:
1. EUR/USD (make sure that you fill in the right currency)
2. BUY (chose Buy)
3. STOP (chose Stop)
4. In the price 1.2683 (fill in the price as you want)
5. SL (it is better to fill this column, for instance 30 points differences. so, 1.2653)
6. TP 1.2713 (is a Target Profit as you want)
In other condition, you can request " SELL STOP" in -20 from recent price (1.2640) with TP 30 (1.2610). So, you will get profit when the price is always going down.
> Click pair EUR/USD underneath " Bid" column:
1. EUR/USD (make sure that you fill in the right currency)
2. SELL (chose Sell)
3. STOP (chose STOP)
4. In the price 1.2640 (fill in the price as you want)
5. SL (it is better to fill this column, for instance 30 points differences. So, 1.2670)
6. TP 1.2610 (fill it as you want)
How to do SELL LIMIT or BUY LIMIT
This technique is appropriate with stable price/range condition at that time. It means that both high and low prices are stable. So, when the price is become high, a rebound price will be occurred.
For example: eur/usd 1.2675 - 1.2600
What you can do is order automatically:
· When the price is become high 1.2675, then you can order "SELL"
· When the price is become low 1.2600, then you can order "Buy"
Another example is " SELL LIMIT" for EUR/USD: the price is 1.2675 with TP/Exit Target : 1.2625
It means that sell EUR/USD is automatically ordered when the price become 1.2675. Then, what you need to do are:
> Click pair EUR/USD underneath " Bid" column.
1. EUR/USD (make sure that you fill in the right currency)
2. SELL (chose Sell)
3. LIMIT (chose limit)
4. In the price 1.2675 (fill in the price limit as you want)
5. SL (it is better to fill this column, for instance 30 points differences. So, 1.2705)
6 TP 1.2625 (fill it as you want)
More example is "BUY LIMIT" in position 1.2600 with TP: 1.2650 (+50 Pips)
> Click pair EUR/USD underneath "Offer"
1. EUR/USD (make sure that you fill in the right currency)
2. BUY (chose Buy)
3. LIMIT (chose limit)
4. In the price 1.2600 (fill in the price limit as you want)
5. Exit Stop Loss (SL) 30 pips, so: 1.2570
6. TP 1.2650 (fill it as you want)
Important Notes!
The information above is only basic information about how to make a trading transaction. In order to get profit, you must understand "market trend" before making transaction order. It due to market trade will guide you to make decision whether sell or buy.
Understant the Trend by Pivot Calculator
This is one of methods to understand the market trend. This calculator is very easy to use and FREE. How to use it?
Firstly, see the graphic at streamster. Then, right click on the graphic and chose candlestick of the "style". Then, right click on the graphic and chose "Timescale" for daily. Finally, put the cursor on yesterday result and you can see open=..., high=..., low=..., close=..., and volume.
Fill the data high, low, and close in the box of pivot calculator. Click here to access pivot calculator.
OR you can use the formula below:
Pivot = ( H + C + L ) / 3
Res1= 2 * P - L normal trading range
Sup1= 2 * P - H for the next period
Res2= P + (Res1-Sup1) extreme trading range
Sup2= P - (Res1-Sup1)
Res3= H + 2*(P-L) super extreme trading range
Sup3= L � 2*(H-P)
P = Pivot , Res = Resistance , Sup = Support .
H = High of the day
L = Low
C = Closed price
Then, the result should be appeared: Pivot :: Res1, Rest2,Rest3 :: Sup1, Sup2, Sup3.
You can use this result to see what is the market trend for tomorrow (daily) or next week (weekly).
· To sum up, we can estimate whether Uptrend or Downtrend. Uptrend is usually showed by white candlestick continuously and going up. Downtrend is usually showed by black candlestick continuously and going down. I recommend that you are not supposed to do order opposite the market trend. It is because very high risk to loss.
· This trend is also showed by close position of the days before. If the close positions of the days before are higher than pivot, it means that the trend will go up. Otherwise, this trend will become downtrend when close position from the days before are below than pivot.
· If the market is opened by "close" on the day before higher than pivot and the range is going up continuously, the price should go to Res 1. Then, if the price is passing through Res1, it will try to go to Res 2.
To get daily estimation, you can also consider "the Daily comment & Prediction" at the box below. Drive your cursor at the box below and move it down for details:
Note: For beginner, do not deposit money until you get used and confident! In fact, some traders are able to get 300% profit a week. As long as you have already submitted your document(s), you can use your $5 bonus to get so many profit without spend your own money.
Open a free account by click
HERE!
Start practice today and get more profit next month or next week! Good Luck!
