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IQ Option for beginners

27-07-2017, 12:19 1 936 Information / News / Новости

Best Forex Signals

New traders are often faced with confusing words, so let's briefly discuss the most popular ones:

  • Asset

Something that has the price we see on charts. We anticipate price movement (quote) and earn from that.
For example:
- Currency: EUR/USD
- Stocks: AAPL
- Indices: S&P500
  • Currency pair
The ratio two currencies prices. When one currency is sold the other in being bought.
For example:
While EUR is a base pair, USD is the quote currency.

Currency pair means that for USD – U.S. dollar, we buy EUR – Euro.
- Quotation
How much do we need of currency to buy another.
For example, EUR/USD quote of 1.22. We need 1.22 dollars to buy 1 Euro.
  • Volatility
In simple words, it is the power and speed of price movement.
Large (strong) volatility:

Low (low) volatility:

  • Timeframe
The period of time interval, where quotes are grouped.
For example, H1 – period equal to 1 hour. So each candle will be drawn on the chart for exactly 1 hour.

  • Expiration
In binary options trading — the time of completion of the transaction. The time period after which will end our discussion with a broker about what will happen with the price.

  • Trend
Directional movement of the market. Given that the market moves in waves, not a straight line, we find that the trend is clearly the wave. It is a directional movement of the market up or down.

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