Questions about trading forex ...

Discussion in 'Forex' started by djxput, Oct 25, 2006.

  1. djxput


    1. Is there a place that you can say input your dollar amount and pips you expect to gain and see what your profit is (or loss).

    2. Where's the best place to see r/t forex charts? I was using onada but then I saw E.S.'s charts and saw that he uses metatrader; so started up a demo account with them and I do like their charts a bit better (but I think they lag some behind IB and onada).

    hmmm not sure about other questions ...

    just getting back into trading and only fooled around with forex before - wanted to look into it more.

    Looks like something that would be good for long term investments also (like instead of having your cash sit there you could have it in a currency ...)
  2. Lucrum


  3. djxput


    thanks will check it out
  4. djxput


    another question(s) ...

    1. does trading currenies work against your margin? ie how much you can trade with ...

    What I am wondering is lets say I see a currency pair that looks like it might do something but it will take its time a couple months ... Can I still use the money that I traded via currencies for other things ie futures trades/stocks etc?

    Or does trading a currency use up your buying power?

    2. I'm trying to understand how much commissions are for trading forex with IB

    it says this at IBs site

    Commissions - 0.2 basis point(1) *Trade Value

    Minimum per order - $2.50 or base currency

    USD 50,000 trade for EUR = USD 2.50
    USD 1,000,000 trade for EUR = USD 20.00

    So basically from what I understand if you trade say 50,000 in USD it = 2.50$ on eway so both ways are about = to 1 pip
    this correct?

    3. Also I assume stop orders work for the forex ...

    4. Oh one more ... does it matter how much you trade? meaning I know when I click on a order with IB it comes up with a arbitrary # and alot of times I change that # depending how much I want to throw at the trade ... does this really matter? I hear people talking about lots this and that ... I just pick a dollar amount and trade it (this ok).?

  5. EUR/USD

    100,000 K position each pip is $10.00
    10,000 K position each pip is $1.00
  6. djxput


    a question about orders ...

    I never had this issue so it never came up ...

    But If I am long something can I set a sell limit at a specific price target and set a sell stop if it drops down to a certain point?

    So I will have 2 orders pending ... but what if it hits both of them? Will it execute both orders so now I will be short?

    Most of the time in the past I just set one or the other ... but with currencies since they are running constantly and there will be alot of times that I wont be looking at a chart etc ... (sleeping/working you name it).

    How do you guys/gals deal with being in a market that trades 24/6 or is it 24/5 ...

    thanks for the help
  7. Yes you can.
    When one order is hit - at a profit of loss - your position will be closed.