FOREX TRADING TERMINOLOGIES
FOREX TRADING TERMINOLOGIES – VOLUME, LONG & SHORT POSITIONS, TP And SL
1. VOLUME –
Volume is a term used at two places in the trading platform. One is to select the number of units to trade (lot size) and another to represent the trading volume of the particular currency quote Known as Tick Volume, which is a measure of the number of times the price of the currency ticks up or down
This is present in the MT4 Trading Platform in the order window. (See image-1 the marked option is of volume). This option is used to select the volume in lot size of trades.
2. LONG & SHORT POSITION-
A long position where the trade is already executed and the buyer or trader expects that the value of the underlying asset will Go Up. When the currency pair is sold then this position is called a short position. it is the reverse of a long position, the short position means that the trader is expecting that the value of an underlying asset will Go Down.
STOP-LOSS ORDER (SL) –
Stop-loss acts as an order which helps traders to limit losses in an open position if the underlying assets reverse its moving direction opposite of the expectation of the trader. In this case, the trade can cause losses, to limit those losses we can put stop-loss order.
4. TAKE PROFIT ORDER (TP) –
A Take Profit (TP) order acts as an order which is used to close the trade once it reaches a certain level of profit. See below image to put take profit level. This option to put take profit level is available to see in the new order window.
For More type INFO in Comment Section