Trading system
Various companies and dealers offering services on the Forex market use various trading platforms (systems), but the most popular is the MetaTrader program. (Other trading systems may differ not only in the interface but also in their ideology, terminology, etc.) Therefore, any actions regarding deals on the Forex market place will be evaluated through examples fromMetaTrader. The program has a multilingual interface. When first launching the program, it will ask you to register a new trading account. Every dealer has its own particular registration, so answers to potential questions which may arise during registration can be found on your dealer’s web site. The MetaTrader trading system has a simple, standardized interface.
You can easily set it up on your own. The main thing to learn is how to open and close positions, also known as “orders”.
The major part of the window is taken up by the price chart. You may switch between different charts by choosing the necessary currency or the chart type. To open a position, either click “New Order” or the F9 key on the keyboard. A dialogue window will open in which you can enter the deal’s parameters.
The major part of the window is taken up by the price chart. You may switch between different charts by choosing the necessary currency or the chart type. To open a position, either click “New Order” or the F9 key on the keyboard. A dialogue window will open in which you can enter the deal’s parameters.
The “Symbol” parameter lets you choose the currency pair for the position you are opening.
Let’s review the “Amount” parameter in greater detail. The amount of the deal is set in lots. Usually 1 lot is 100,000 units of one of the currencies, although this may differ from one dealer to another. When making a deal we indicate how many lots of currency we want to buy or sell. For example, if you set 1, it means that you make a deal in 100,000 currency units. For Euros at the rate of, say, 1.3100 and the leverage of 1:100 to make a deal you need 100,000:100 * 1.3100 = 1,310 US dollars.
Choose the type of order – “Immediate Execution”. Buttons «Sell» and «Buy» in MetaTrader open short and long positions accordingly. Click one of these buttons, wait a few seconds, and that’s it. The deal has been made.
Once the rate enters into a profitable area, the position may be closed. In order to close it, right click on the line with the order information and choose “Close Order” in the dropdown menu. The same window will open as before, but the button “Close” will be accessible. Click it, wait a few seconds, and the order is closed. In the line below the chart you will see the status of the account.
It is highly recommended to open a virtual account and to practice with these purely technical procedures to better understand how positions are opened and closed. This is the essence of trading on the international currency marketplace.
Let’s review the “Amount” parameter in greater detail. The amount of the deal is set in lots. Usually 1 lot is 100,000 units of one of the currencies, although this may differ from one dealer to another. When making a deal we indicate how many lots of currency we want to buy or sell. For example, if you set 1, it means that you make a deal in 100,000 currency units. For Euros at the rate of, say, 1.3100 and the leverage of 1:100 to make a deal you need 100,000:100 * 1.3100 = 1,310 US dollars.
Choose the type of order – “Immediate Execution”. Buttons «Sell» and «Buy» in MetaTrader open short and long positions accordingly. Click one of these buttons, wait a few seconds, and that’s it. The deal has been made.
Once the rate enters into a profitable area, the position may be closed. In order to close it, right click on the line with the order information and choose “Close Order” in the dropdown menu. The same window will open as before, but the button “Close” will be accessible. Click it, wait a few seconds, and the order is closed. In the line below the chart you will see the status of the account.
It is highly recommended to open a virtual account and to practice with these purely technical procedures to better understand how positions are opened and closed. This is the essence of trading on the international currency marketplace.
