The Forex market is defined as the tradeonlinemarket of currencies of different nations in a non-stop market and usually done via brokers. Foreign currencies are bought at a constant pace and simultaneously which are then sold across local markets as well as global. Traders’ investment may increase or even decrease depending on the currency movements. The market condition varies according to real time events.
When you are planning to trade currencies, take note that trade only when the currency you are buying is expected to increase in value in comparison with the currency you are selling. If the value of the currency that you planned to buy does increase, in order for you to get the profit, you will need to sell out the other currency. An open trade refers to a trader who purchased or sold off a particular currency pair, but did not sell or buy an equivalent amount in order to close the position.
However, it is said that 70% to 90% of approximation of the Forex trading market is tentative. In another words, the institution or person who either bought or sold it does not have a plan to carry the currency till the end. They were just merely speculating on the behavior and movement of that currency.
