Forex Basics

The following is an introduction to some basic terms, definitions and concepts used in forex trading. It is designed to be read in chronological order, starting with the most simplest terms and moving through to some more advanced terms used in the forex market, or you can click on any individual term if you want an explanation of a specific term.

Basics

Automatic Execution
Base Currency
Bid
Buy Quote
Counter Currency
Counterparty
Currency Pair
Currency Pair Terminology
Dealing Desk
Drawdown
ECN
Exchange Rate
FCM
Foreign Exchange
Foreign Exchange Market
ISO Currency Codes
Leverage
Lot
Manual Execution
Market Maker
Margin
Micro Account
Mini Account
NDD
Offer
Pip
Pip Value
Resistance
Rollover
Sell Quote
Slippage
Spot Market
Spread
Standard Account
Support
Terms Currency

Basic Order Types
GTC Order
Limit-Entry Order
Limit Order
Market Order
OCO Order
Stop-Entry Order
Stop-Loss Order
Basic Trade Types
Long Position
Short Position
Basic Trading Styles
Automated Trading
Carry Trading
Day Trading
Discretionary Trading
Fundamental Trading
News Trading
Position Trading
Range Trading
Scalping
Swing Trading
Technical Trading
Trend Trading