Choosing a Long term or Short term in forex

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Choosing a Long term or Short term in forex

In forex trading there are 2 terms, namely trading with a long period of time and also trading in the short term.

Both types of trade have their own strategies and management methods. Many professional traders often say, “that one of the keys to success in the financial market is knowing what type of trade is suitable for yourself”. That’s like that.


Here we will discuss typical trading in forex trading.

Short-term trading is a typical type of forex trading that opens a position within a maximum period of 1 week. Broadly speaking, short-term trading has a slight disadvantage. Namely we must have plenty of time to monitor market movements all the time.

Usually, forex traders with this type of short term open and close positions in less than one week. Some even open a position and close it for just a few minutes. This type of forex trader is often known as a scalper (using minute and 1 hour time frames). Most of these Short Term traders also use H1 and H4 time frames.

While for the type of long term is typical trading that opens positions for weeks or even months. In forex trading we very rarely meet a typical forex trader like this. In the same way as with short-term trading, the Long term trading type also has few drawbacks. That is, you have to be really patient when the market doesn’t give a signal of entry.

If you try to use this type of short term forex trading, you are expected to have a lot of time to monitor market conditions.

On the other hand, long term forex trading also has a few obstacles, namely the problem of the amount of capital. What we mean is the amount of capital, because the type of long term trading also has the opportunity to lose more than short-term trading. This is because long-term trading opens and closes positions in a minimum weekly time. So when losing, it must be bigger than short-term type trading.

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  1. Three Types of Scalping - Forex Trading Signals, Forex4live Reversal 20192 months ago

    […] Scalping is one of the most popular trading strategies. But not all traders fit this strategy. You must understand the exact meaning of scalping and the risks. In addition, you must understand the main terms of scalping and the time period used. We have discussed in the previous 2 articles. […]


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