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Here there are some terms Forex you need to know before entering the forex trading world ;

Forex

is an investment that trade one currency with another currency. Is an abbreviation of Foreign Exhange or exchange foreign currency. If the transactions in the money changer or bank for the sale and purchase between the U.S. Dollar to Rupiah, so-called Forex transactions 'Spot' (buying and selling occurs in place - the handover takes place.) Forex transactions are non-Spot is buying or selling currency contracts, so it is not immediately handing over the goods, only the contract alone.

Lot, Mini Contract and Contract Standard / Regular

If we buy oil, its size is a quart, if the size of sugar is the kilogram. For forex called Lot size. How big does a Lot? If the world stock 1 Lot = 500 shares, on 1 Lot = 10,000 Forex currency in question, eg, 1 Lot USD / JPY = 10.000USD and 1 Lot of GBP / USD = £ 10,000. 1 Lot size = 10,000 Contract called the Mini, why is called the Mini? Since earlier in the forex world it 1 Lot = 100,000 currency in question (also known as the Contract Standard / Regular), then because of the high interest in forex trading then made a mini contract whereby 1 Lot = 10,000 corresponding currency

Margin

is guaranteed in forex trading, suppose such Advance purchase of a home. When you submit a home purchase down payment of 30 million rupiah for a house worth 100 million dollars and we have the contract purchase agreement, you are legally legitimate owner of the house, although only holding the contract. This contract can you sell at full price to someone else, for example, to 120 million. You'll get a net gain of 20 million (120 - 100jt). The same is true in forex, which are contracts traded currency, eg USD / JPY then 1 lot contract value is USD 10,000, to get us out quite a margin (deposit) of USD 100. Why $ 100? This is related to leverage which is discussed below.

Margin deposited when opening a position and then will be returned when closing the position, the same as buying or selling a house earlier. You deposit money when purchasing 30 million and then resold for $ 120 million, when you receive the money of 120 million, then we allot 100 million in the first seller and the seller return the down payment (initial capital) of 30jt and we have the money 30 million of initial capital and surplus 20 million.

Leverage

Is the leverage in Forex trading is the ratio to determine how much margin (deposit) required in the transaction, where the ratio will be multiplied by the contract size. Example: Leverage 1:200 on a mini contract account is 10,000 then the margin is (1 / 200) x 10.000 = 50 units of currency traded. Eg open a position USD / JPY for 1 lot for a mini contract, then the purchase is $ 10,000, the margin needed is 1 / 200 x $ 10,000 = $ 50. If trading with GBP / USD then used margin is 50 pounds. For the Standard account, the contract used was 100,000 with 1:100 leverage, so 1 lot USD / JPY = USD 100,000 and the margin required 1 / 200 x $ 100,000 = $ 1,000

is the position in Forex Trading for the Buy and done if the price is expected to rise. In short time buy cheap and sell when expensive, your profit is the difference between the price when bought with resale time

Sell

is the position in Forex Trading for Sale and done if the price is expected to drop so that when prices go down you can close your position with a Buy Sell lower. In short, such as consignment, we sell a good price in advance (borrow) and then we buy back when prices are low, the difference becomes our advantage. Read more in Two Way Opportunity

Order and Position

Orders are orders to buy or sell at a certain price but if the Order was delivered 'match' or 'no rival', for example if you order and purchase at the price of 9500 and by chance there is that want to sell at the same price, then the Order into position. So long as the order has not 'match' then the name remains the order but after the 'match' is now a position. To sell back your existing position (closed position) then it can be done through Order berlawaran back but with the direction (if it is closed with a Buy Sell and vice versa)

Floating Loss / Profit and Realized

When you have a buy position in 9500 and then the price moves down to 9000, so if you calculated the estimated loss is 9000-9500 = -500. But that value can still be changed tomorrow, either increased or decreased to 8700 again rose to 9700. Well, the value of -500 at the moment is called Floating Loss (Loss), if the value is positive, such as pricing now to 10,000 the difference is 10000-9500 = +1000 called Floating Profit. If you decide to sell / close your positions when the price is 10,000, then the value of +1000 to be Realized Profit (no longer a floating / floating but has become Real / Real)

is rated 1 point rise or fall in price movements. For a mini account, a value of 1 point is $ 1, for the standard account is $ 10.

Technical Analysis

is an analysis in Forex trading to measure the movement of prices through price charts. The things that are noteworthy from this technical analysis is the trend, saturation, support, ressisten, and Pivot Point.

Fundamental Analysis

is an analysis in Forex trading to predict price movements based on fundamental news. Fundamental news here in the form of economic news, politic, and security that affect price movement.

Resistance

is the price limit above which is a psychological price, for example the current (year 2010) dollar exchange rate is 9000 and has the upper price limit (resistance) 10,000 rupiah, which could mean that until the price of dollar exchange rate through the price of 10,000 rupiah then there will likely continue to rise away from the 10,000 but over 10,000 have not touched the price likely will move up and down just under 10,000.

Support

is the limit below which the price of a pair of resistance (above), for example the current (year 2010) dollar exchange rate has a lower price limit (support) 8500 amount, which could mean that until the price of dollar exchange rate fell through the price of 8500 dollars then there is likely keep away from fall 8500 but for 8500 probably has not touched the price will only move up and down on top of 8500 (support) and below 10,000. (resistance)