9. What are Software and Glossaries in Trading Forex?

November 17, 2022
The most popular software in forex trading is MetaTrader. In order to trade well, you also need to understand some important glossaries like Bid, Ask, Stop Loss, and others.

Forex trading is performed on a platform software, and one of the most well-known software for forex is MetaTrader. It is provided by almost all brokers as a reliable trading platform because it offers fast execution as well as easy download and installation. The trading tools available on the MetaTrader platform are nearly unlimited, helping traders carry out more accurate analysis and execution.

Within MetaTrader, you will find many trading terms that frequently appear in the glossary. Here are some examples:

metatrader platform

Based on the picture above, here is the meaning of trading terms as shown by the numbers:

  1. Bid-Ask: The Bid price is the amount the broker is willing to pay to buy the forex pair, while Ask price represents the price at which you can buy the forex pair. The difference between Bid and Ask price is called the spread.
  2. Stop Loss: An order to automatically close position to stop the loss from going further. Traders usually set the Stop Loss at a maximum loss that they can tolerate for each trade.
  3. Balance:  The amount of money that is available in the trading account, accumulated only after closed positions.
  4. Equity: The amount of money in the trading account that is counted from all kinds of positions, both closed and floating ones.
  5. Free Margin: The amount of money in your trading account you can use to open new trading positions.

Education (46)

1. What Is Forex? 2. Why Does Forex Market Exist? 3. What Drives the Forex Market? 4. Why is Forex Trading Popular? 5. Can I Get Rich in Forex? 6. Are You Curious? Want to Discover More about Forex Trading? Meet Demo Acount! 7. I'm a Newbie, How to Master Forex Trading? 8. What Forex Knowledge Should I Conquer? What Are the Steps to Go Thorugh the Journey? 9. What are Software and Glossaries in Trading Forex? 10. How to Read the Forex Market? 11. How to Practice Forex Trading? 12. How to Ride on the Forex Wave? 13. How to Prepare Basic Trading Requirement? By the Demo Account? What about the MT4/MT5? 14. What is Bid-Ask Spread? 15. What is Pip? 16. What is Lot Size 17. What is Leverage in Forex Trading? 18. What is Margin? 19. When to Trade Forex? 20. What is the Most Dominant Market in Forex? How is the Characteristic? 21. What is Chart in Forex? 22. What is Candlestick? Why is It the Most Popular Chart in Forex? 23. What is Technical Analysis? 24. What is Fundamental Analysis? 25. What are MT4 Indicators and How to Use Them? 26. What is Risk in Forex? 27. What is the Psychological Effect in Forex Trading? 28. How to Compile a Strategy Template? 29. How Long Should You Practice in a Demo Account? 30. When Do I Need to Start Learning about Brokers? 31. What Exactly Does a Forex Broker Do? 32. Can I Trade Forex without Broker? 33. How Much Money Do You Need to Trade in Forex Brokers? 34. How to Choose a Good Forex Broker? 35. What is Regulation? And Why Should Regulation Exist? 36. Why Should You Choose Forex Brokers with Top-tier Regulations? 37. How to Choose Forex Brokers Based on Your Need and Where You Are From? 38. What Brokers Should You Avoid? 39. Is There Any Broker Scam in History? How Bad Is It? 40. What are the Most Popular Brokers in The World? 41. What are the Best Brokers For Entry-Level Traders? 42. What are the Best Brokers for Traders with Minimum Deposit Capabilities? 43. Which Broker Provides a Demo Account and Easy Setup? 44. Which Broker Provides Easy Registrations? 45. What and How to Deposit on Forex Brokers? 46. What and How to Withdraw from Forex Brokers?

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