The Course

Question 1

What is trading?

Answer 1

Trading is an exchange that happens between two people.

When the market is LOW, we enter BUY trades. When the market is HIGH, we enter SELL trades.

Question 2

What types of currencies are there?

Answer 2

Major, Minor and exotic pairs.

Question 3

What are major pairs?

Answer 3

Major pairs are currencies that are predominately known around the world.

Question 4

What are examples of major pairs?

Answer 4

EUR/USD, USD/JPY,GBP/
USD, USD/CHF,
USD/CHF,USD/CAD, AUD/USD.

Question 5

What are minor pairs?

Answer 5

Minor pairs are currencies that are less dominant in the market.

Question 6

What are examples of minor pairs?

Answer 6

EUR/GBP, EUR/AUD,GBP/JPY,CHF/JPY, NZD/JPY, GBP/CAD.

Question 7

What are the different Forex market sessions?

Answer 7

London session:
Movement happens between (7am-3pm)(Morning)

New York session:
Movement happens between (1pm-9pm)(Afternoon)

Sydney session:
Movement happens between (8am-4am)(Evening)

Asian session:
Movement happens between (11pm-3am)

Question 8

What are the different types of traders in the market?

Answer 8

Scalper
Day Trader
Intra Day trader
Swing Trader
Position trader

Question 9

What is a scalper?

Answer 9

A scalper is someone that likes to get in and out of the markets very quickly. They place a trade then in a matter of minutes the trade moves and they take take their profits. A scalper normally stays on the market for no longer than 30 mins.

Question 10

What is a Day trader?

Answer 10

A day trader is someone that is on the market for several hours but does not exceed longer than this, they normally are out of the TRADE before the day ends.

Question 11

What is a Intra Day trader?

Answer 11

A Intra day trader is someone that likes to hold onto trades for a certain amount of days but it doesn’t go onto weeks.

Question 12

What is a swing trader?

Answer 12

A swing trader is someone who likes to enter trades and hold them for a number of WEEKS.

Question 13

What is a position trader?

Answer 13

A position trader is someone who likes to enter trades and hold them for a number of MONTHS going onto a YEAR. These traders are normally well - off and enter trades as long term investments.

Question 14

What is a lot size?

Answer 14

A lot size simply means how much your willing to risk

Question 15

What does 1 lot mean?

Answer 15

1 Lot means standard lot, which is 1.00. 1.00 also means that each PIP is equivalent to $10. if the market moves up 10 PIPS, I’ve now made $100.

Question 16

How do we calculate pips?

Answer 16

By using the FXTM PIP calculator.

Question 17

What is stop loss?

Answer 17

A stop loss is the safety net that allows you to only lose the amount you are willing to risk.

Question 18

How much should we risk?

Answer 18

only 1%

Question 19

What is take profit?

Answer 19

Take profit allows you to take profits without the need to do it practically. It allows you to secure profits automatically.

Question 20

What is BULLISH?

Answer 20

When the trend is going upwards.

Question 21

What is BEARISH?

Answer 21

When the trend is going downwards.

Question 22

What are WICKS?

Answer 22

Wick are the thin lines at the end of the candlestick, they’re used to identify the highest highs of the candlestick at the given
time - frame and also the lowest lows of the candlestick.

Question 23

Where is the OPEN of a candlestick located?

Answer 23

The OPEN of a BULLISH candlestick is located at the BOTTOM of the candlestick whereas the OPEN of a BEARISH candlestick is located at the TOP of the candlestick.

Question 24

Where is the CLOSE of a candlestick located?

Answer 24

The CLOSE of a BULLISH candlestick is located at the TOP of the candlestick whereas the CLOSE of a BEARISH candlestick is located at the BOTTOM of the candlestick.

Question 25

How should your Psychology be when trading?

Answer 25

The trading industry