How to read Forex?
Forex charts visually represent how currency prices move over time, helping traders analyse trends and make decisions. A pip (percentage in point) is the smallest recorded price movements in most currency pair. This is typically no smaller than 0.0001.A lot is the trade size. A standard lot equals $100,000 units of the base currency, though mini and micro lots are common on some beginner brokerage firms.
The most common way to display a Forex pair, is via a Candlestick chart. This shows price movements within a specific time frame. The time frame is chosen by the investor/trader. Each canclestick dispalys the opening, closing, high and low prices. It is common for traders use technical analysis, like support and resistance levels or moving averages to interpret these candlestick charts. Beginners should start by simply observing how prices react to economic news or market events before attempting complex strategies.