Learn the basics on how to choose a forex broker and analyze the currency markets.
The first step in the real world of forex is opening an account with a forex broker. Here's what you need to before you choose a broker.
Choosing a forex broker will be the first crucial decision you’ll make as a new trader. Here’s what you need to know.
How do forex brokers work? Here’s a story that helps explain what forex brokers actually do.
You are about to open a trading account with a forex broker and deposit your money so you can trade. Can you trust it?
Is your forex broker licensed and regulated? Learn why you should choose a regulated broker and how to verify its status.
Retail forex traders do not buy or sell actual currencies. If that’s the case, then WHAT are you actually trading?
Learn how retail traders who trade forex use derivatives called CFDs and rolling spot FX contracts.
Retail forex traders do not trade in the “real” FX market. If that’s the case, then WHERE are you actually trading?
Learn how forex brokers make money and manage the risk on the other side of your trades.
Learn how forex brokers take the opposite side of your trade and accept the market risk by using B-Book execution.
Learn how forex brokers transfer their market risk by using A-Book execution.
Learn how forex brokers who use A-Book execution make money.
A-Book execution for forex brokers is not risk-free and comes with its own challenges. Learn how A-Book brokers can end up as a money-losing business.
Learn about the STP execution model. Forex brokers may use STP and A-Book interchangeably but they are different.
Instead of managing the risk of each trade individually, internalization allows a forex broker to aggregate customer trades that are similar so it only has to hedge any excess exposure.
Learn why forex brokers choose to B-Book even though it exposes themselves to market risk and losing money.
A forex broker is not limited to just one form of hedging. It can A-Book, B-Book, or do both. This is known as the Hybrid Model.
Aside from forex brokers who “A-Book” or “B-Book”, you might also come across the term “C-Book”. Learn about this controversial order execution method.
Make sure you understand your broker’s hedging policy so you can properly assess counterparty risk in dealing with your broker.
Did you know that your forex broker may show any price it wishes? Are you sure that the prices are the same as the real FX market?
There are shady brokers out there that manipulate order execution conditions in their favor. Is your forex broker committed to treating you fairly when it executes your orders?
What's it gonna be? The red pill, the green pill, or the blue pill?
There are three basic types of market analysis: technical, fundamental, and market sentiment. Which suits you?
Technical analysis is the framework in which traders study price movement.
If you like analyzing social, economic, and political factors that affect currency supply and demand, then fundamental analysis is for you!
Sometimes it’s not always about the numbers, but how market players feel…how do you figure out and trade forex off of that?
Discover the best type of analysis for trading—technical, fundamental, or sentiment. Learn how each approach works and which is best suited to your trading style.
What's your type? (By that we mean charts.)
Sometimes, it’s all about perspective when understanding a market. Different types of charts can influence how you analyze an asset like currencies.
Not sure which chart to use? Explore the pros and cons of line, bar, and candlestick charts to optimize your trading approach.
Procrastination is the thief of time.Edward Young