What is the FED? The Federal Reserve System is the central bank of the United States. FED is responsible for USA’s monetary policy.
Category: Terms
Volatility is a statistical measure of a market movements over time and is calculated by using standard deviation. Associated with high volatility is a high degree of risk.
“Take-profit” or T/P order closes your trade when it reaches a predetermined monetary amount (profit) to exit the transaction. All the trader has to do is to place a take-profit order at an exchange rate higher than the purchase rate. Let’s try to define whether there is some key level that would make a logical take-profit point.
A forex economic calendar is one of the most powerful tools for a trader. It usually covers all major events, updates and releases influencing the forex market.
Stop-loss order cuts off your transaction at an exchange rate that you predetermine when the market moves against the trade, i.e. it is the closing order that limits your loss to a maximum amount which is known and determined in advance.