Everything you need to know about forex, explained simply
A doji is a candlestick where the open price and close price are almost the same, so the candle has little or no body. It looks like a plus sign or a cross on the chart. A doji means buyers and sellers fought to a draw during that time period.
MACD stands for Moving Average Convergence Divergence. It's a popular indicator that helps traders spot changes in momentum and trend direction. It's made up of two lines and a set of bars called a histogram. When the lines cross or the histogram flips from positive to
The Average True Range, or ATR, is an indicator that measures how much a currency pair typically moves in a given period. It doesn't tell you direction — it doesn't say whether price will go up or down. It only tells you how much movement to expect.
Revenge trading is when you open a new trade right after a loss, not because the setup is good, but because you want to "win back" your money fast. It's driven by emotion, not strategy. You increase your position size, skip your checklist, and chase the
ADX stands for Average Directional Index. It measures how strong a trend is, not which direction it's going. ADX gives you a number from 0 to 100. A low number means the market is flat or choppy. A high number means there's a strong trend happening,
Bollinger Bands are three lines drawn on a price chart that show whether price is trading high, low, or normal compared to its recent past. The middle line is a moving average. The upper and lower lines sit above and below it, based on how much price has been bouncing
A good risk-reward ratio in forex trading is generally considered to be 1:2 or higher, meaning you aim to make at least twice what you're willing to lose on a trade. If you risk 20 pips, you'd target a 40-pip profit. This isn&
Support and resistance are price levels where a currency pair tends to stop and reverse, or at least pause. Support is a level below the current price where buying pressure has historically stepped in, stopping a fall. Resistance is a level above the current price where selling pressure has historically
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