Trading CFDs on Forex
PrimeFin Forex assets list
|EURUSD||Euro vs. US Dollar||24H||Buy Sell|
|GBPUSD||Great Britain Pound vs. US Dollar||24H||Buy Sell|
|EURGBP||Euro vs. Great Britain Pound||24H||Buy Sell|
|USDJPY||US Dollar vs. Japanese Yen||24H||Buy Sell|
|AUDUSD||Australian Dollar vs. US Dollar||24H||Buy Sell|
|NZDUSD||New Zealand Dollar vs. US Dollar||24H||Buy Sell|
|USDCHF||US Dollar vs. Swiss Franc||24H||Buy Sell|
|EURAUD||Euro vs. Australian Dollar||24H||Buy Sell|
|EURNZD||Euro vs. New Zealand Dollar||24H||Buy Sell|
|GBPAUD||Great Britain Pound vs. Australian Dollar||24H||Buy Sell|
|GBPJPY||Great Britain Pound vs. Japanese Yen||24H||Buy Sell|
|GBPNZD||Great Britain Pound vs. New Zealand Dollar||24H||Buy Sell|
|NZDJPY||New Zealand Dollar vs. Japanese Yen||24H||Buy Sell|
|USDHKD||US Dollar vs. Hong Kong Dollar||10:00 - 18:00||Buy Sell|
|EURPLN||Euro vs. Polish Zloty||10:00 - 19:30||Buy Sell|
|USDMXN||US Dollar vs. Mexican Peso||8:00 - 20:00||Buy Sell|
|USDPLN||US Dollar vs. Polish Zloty||10:00 - 19:30||Buy Sell|
|USDRUB||US Dollar vs. Russian Ruble||10:00 - 18:00||Buy Sell|
|USDTRY||US Dollar vs. Turkish Lira||9:00 - 19:00||Buy Sell|
|USDZAR||US Dollar vs. South African Rand||9:00 - 20:00||Buy Sell|
|USDINR||US Dollar vs. South India Rupee||05:00-13:30||Buy Sell|
|EURZAR||Euro vs. South African Rand||09:00-20:00||Buy Sell|
|GBPZAR||Great Britain Pound vs. South African Rand||09:00-20:00||Buy Sell|
|EURJPY||Euro vs. Japanese Yen||24H||Buy Sell|
|USDCAD||US Dollar vs. Canadian Dollar||24H||Buy Sell|
Forex pairs in a nutshell
What is Forex pairs? These are the pairs of fiat currencies where the value of one currency is quoted (i.e compared) the other one. The first currency indicated in the Forex pair is known as base currency while the second one is called quote currency. The base currency, is the one that a trader speculates on, thinking it will go up or down against the second currency in the pair. In the pair USD/EUR USD, for example, the base currency is USD, and EUR is a quote one accordingly. If a trader buys USD/EUR Forex pair, they suppose that USD will increase in value compared to EUR.
Types of Forex pairs
There are many Forex pairs to choose from. All of them are split in three categories. Major, minor (also known as cross-currency), and exotic.
Major Forex pairs are the currencies most heavily traded on Forex market. What makes them major? They always include US dollar. As of today, the most liquid FX pairs are EUR/USD, USD/JPY, USD/ CHF, and GBP/USD.
Minor FX pairs also called cross-currency pairs do not include USD. But what makes them desirable for trading? They include one stable currency such as EUR, GBP, or JPY. There are seven minor currencies quite popular on FX market: EUR/GBP, EUR/JPY, GBP/JPY, GBP/CAD, NZD/JPY, EUR/AUD, and CHF/JPY.
In exotic FX pairs major or stable world currencies are quoted against a developing country currency. EUR/ TRY (Euro, Turkish Lira) or GBP/ ZAR (British Pound, South African Rand) are the examples of exotic FX currency pairs.
Trading CFDs on Forex step by step
First step: to trade CFDs on Forex one should understand what CFD is and how this financial derivative works.
Second step: learn the pros and cons of trading on the margin via CFDs with spreads and leverage. Trading with this financial instrument requires good preparation and understanding.
Third step: choose any Forex pair you would like to trade on. Do the market analytics (study the economic context of the base currency) to plan your trading strategy.
Fourth step: after careful market analysis, open trade in the trading terminal and decide whether you should buy or sell and how regularly this should happen.