ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -Forex risks Forex trading has proven to be a risky venture. It’s important to understand that forex trading is a zero-sum transaction where one party profits and the other loses. Even knowledgeable and experienced investors can realize substantial losses when and if market conditions change.

Detailed explanation-2: -13 characteristics of a successful trader. Tip 1. Stick to your plan. Tip 2. Anticipate different outcomes. Tip 3. Stay flexibile. Tip 5. Keep up to date with the technicals. Tip 6. Tip 7. Focus, focus, focus. Tip 8. Tip 9. Don’t forget your stop loss. Tip 10. Tip 11. Keep a track record of your trades. Tip 12.

Detailed explanation-3: -Leverage Risk. For leverage in forex trading, a small initial investment known as a margin is necessary for conducting substantial foreign currency trades. Transaction Risk. Interest Rate Risk. Country Risk. Counterparty Risk.

Detailed explanation-4: -The Scalper. The Day Trader. The Swing Trader. The Position Trader.