You may be new in foreign trading, but this doesn't mean you can't earn some money from it. With an adequate Online Forex Trading Platform, you can learn forex trading quickly.
If an option writer writes a EUR/USD short call option at the strike price of 1.4175 and receives a premium of 50 pips per Euro the writer of the option is hoping that the spot price will be below 1.4175 and therefore the option expires worthless. If this becomes the case the option seller will have a profit equal to the premium received. If the option is exercised with a spot price above 1.4175 and below 1.4225 the option writer will loss part of all of the premium he received. If the spot price is anywhere above 1.4225 the option writer stands to lose $10 for every pip the price is above 1.4225.
This is no surprise since almost every job requires some kind of training and Forex online trading is no exception to that. If you are new to this, you really need to undergo some training exercises to expand both your knowledge and skills and make them more useful for your forex trading career. There are various training courses that you can get from the Internet. The training should be able to help you understand the Forex market better, how it works and what you need to do to earn profits from it. If you pass the training, you are most likely ready to embrace this opportunity.
The Foreign exchange market is portioned into several levels. The banks that have interbanking capabilities occupy the highest level. Within this structure is the bid and ask price of stocks, the more volume moved the smaller the difference between the bid and ask price. The inter-bank top-level echelon is responsible for over 50 percent of all currency trading. After this level of currency trading comes the smaller investment banks and then large international corporations who are hedging (high risk security buying). They pay their international employees in the currency of the country in which they live.
If you feel that you can do great with forex online trading, then by all means go for it. However, don't forget to prepare for this because this certain type of work is no joke. Make sure you got all you need before you start treading the Forex path. The paragraphs below will explain three "T's" that you have to come up with or undergo so that you will be ready to take on the said job.
All other documents should be scanned and sent to the broker as well. The broker will screen your application, and the documents submitted. You will be informed if your application is successful or not. If your application is successful, a confirmation message stating details of how to fund your account would be sent to you.
You don't get the first trading platform offered you, unless it has all the features that can make trading activities potentially profitable and less risky.
