Through today's report, we are going to learn the basic things that you need to know to trade online. We are discussing them step by step below. If you want, read this report carefully, then you will be able to know and understand the subject of trading better. However, to learn training, you need to know a lot of information.
What is trading and how does it work?
Trading is the act of buying at a low price and selling at a high price in a specific market (Stock, Forex, Crypto, Commodities) to make a profit.
This can be done in two ways:
- Buying (Long Position) – buying at a low price and selling at a high price.
- Selling (Short Position) – selling at a high price and then buying at a low price (possible in some cases of Forex and Stock Markets).
Main Trading Markets
✅ Stock Market – Company shares are bought and sold.
✅ Forex Market – Currencies of different countries are traded against each other.
✅ Crypto Market – Digital currencies like Bitcoin, Ethereum are traded.
✅ Commodities Market – Gold, oil, silver, etc. are traded.
Important Trading Terms
Pips – The smallest unit of measurement for price change in Forex.
Lot Size – The number of units traded.
Leverage – The ability to make large trades by borrowing from a broker.
Margin – The amount of money required to trade leverage.
Spread – The difference between the Buy (Ask) and Sell (Bid) prices.
Stop Loss (SL) – The setting to close a trade at a specific price to minimize losses.
Take Profit (TP) – The setting to close a trade at a profit.
Main Analysis Methods of Trading
✔ Technical Analysis
Predicting future price changes using charts, candlestick patterns, indicators.
Popular indicators: RSI, MACD, Moving Average, Bollinger Bands.
✔ Fundamental Analysis
Taking trades based on economic news, company reports and global events.
Examples: NFP (Non-Farm Payroll), GDP Reports, Interest Rate Decisions, etc.
Trading Styles
📌 Scalping – Taking quick profits in a very short time (seconds/minutes).
📌 Day Trading – Starting and ending trades on the same day.
📌 Swing Trading – Holding trades for a few days or weeks.
📌 Position Trading – Long-term investments, held for months or years.
Open a demo account and practice
🔹 Before moving on to real trading, open a demo account and practice.
🔹 Popular trading platforms:
- MetaTrader 4 (MT4) / MetaTrader 5 (MT5)
- TradingView
- Binance (Crypto Trading)
🔹 Try to understand how the market moves through demo trading.
Money Management and Risk Control
Risk Management
- Never risk more than 1-2% on a single trade.
- Use Stop Loss to protect your trading capital.
- Try to keep a Risk-Reward Ratio of 1:2 or higher (e.g., target a profit of $20 if you lose $10).

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