When we talk about trading, we often use the expressions “long” and “short”. A long position is the buying of a commodity or currency with the expectation that the asset will rise in value.
When you are trading foreign currency and go “long” in a currency, you are simply placing a buy order on a currency pair.
A long position is the opposite of a short position.
What is long position in Forex?
In Forex, whether you are making “long” or “short” trades, you are always long of one currency and short of another. If you buy, or go long, EUR/USD for example, you are buying EUR. You are long EUR and short USD.
Remember that every FX trading position requires a trader to go long in one position while going short in another, at the same time.
Find more terms and definitions in LQDFX website!
Sources: Wikipedia, Investowords, the balance.com
PLEASE NOTE The information above is not investment advice.