UNIJOS MTL COMMUNITY

Good afternoon

Good afternoon

New drills,

1 what’s the difference between pip and leverage in FX?

2 what currency pairs are considered as majors

3 How does economic borrowing affect the market?

4 why do traders mean by “going long” or “going short” mean?

5 why does currency market stay open 24 hours a day?

New drills,

1 what’s the difference between pip and leverage in FX?

2 what currency pairs are considered as majors

3 How does economic borrowing affect the market?

4 why do traders mean by “going long” or “going short” mean?

5 why does currency market stay open 24 hours a day?

New drills,

1 what’s the difference between pip and leverage in FX?

2 what currency pairs are considered as majors

3 How does economic borrowing affect the market?

4 why do traders mean by “going long” or “going short” mean?

5 why does currency market stay open 24 hours a day?

New drills,

1 what’s the difference between pip and leverage in FX?

2 what currency pairs are considered as majors

3 How does economic borrowing affect the market?

4 why do traders mean by “going long” or “going short” mean?

5 why does currency market stay open 24 hours a day?

New drills,

1 what’s the difference between pip and leverage in FX?

2 what currency pairs are considered as majors

3 How does economic borrowing affect the market?

4 why do traders mean by “going long” or “going short” mean?

5 why does currency market stay open 24 hours a day?

New drills,

1 what’s the difference between pip and leverage in FX?

2 what currency pairs are considered as majors

3 How does economic borrowing affect the market?

4 why do traders mean by “going long” or “going short” mean?

5 why does currency market stay open 24 hours a day?

New drills,

1 what’s the difference between pip and leverage in FX?

2 what currency pairs are considered as majors

3 How does economic borrowing affect the market?

4 why do traders mean by “going long” or “going short” mean?

5 why does currency market stay open 24 hours a day?

New drills,

1 what’s the difference between pip and leverage in FX?

2 what currency pairs are considered as majors

3 How does economic borrowing affect the market?

4 why do traders mean by “going long” or “going short” mean?

5 why does currency market stay open 24 hours a day?

2.

1. EUR/USD - Euro / US Dollar → "Euro"

2. GBP/USD - British Pound / US Dollar → "Cable"

3. USD/JPY - US Dollar / Japanese Yen → "Gopher"

4. USD/CHF - US Dollar / Swiss Franc → "Swissy"

5. AUD/USD - Australian Dollar / US Dollar → "Aussie"

6. USD/CAD - US Dollar / Canadian Dollar → "Loonie"

7. NZD/USD - New Zealand Dollar / US Dollar → "Kiwi"

Forex stays open 24 hours, 5 days a week because money has to move around the world non-stop

It’s a Global Market With No Single Exchange*

Stocks trade on NYSE or LSE and close when the building closes.

*Forex is decentralized "OTC" → Banks, brokers, and institutions just trade directly with each other over computers.

No central building to lock up = no closing bell.

1. PIP = The Ruler

Pip = "Price movement unit"

It measures how muchthe price moved.

2. LEVERAGE = The Rocket Fuel

Leverage = "Borrowed buying power from your broker"

It decides how big a trade you can open with your small capital.

1. The World Never Stops Trading*

Unlike stocks that only trade when NYSE or NSE is open, *forex is global.

When it’s night in Nigeria, it’s morning in London, and afternoon in New York.

The market just "hands off" from one financial center to the next:

1. Sydney* → 10pm - 7am WAT

2. Tokyo* → 1am - 10am WAT

3. London* → 8am - 5pm WAT

4. New York* → 1pm - 10pm WAT

So when London closes, New York is still trading. When NY closes, Sydney opens again.

→ No gap. 24/5 coverage

1. Banks + Companies Need It 24/7

- A company in Nigeria importing from China needs to convert NGN → USD → CNY at 3am

- A bank in London hedging risk at 11pm

- A trader in New York reacting to news at 2pm

If forex closed, global trade would freeze every night. Governments, banks, and corporations move billions daily and they need access anytime.

1. No Central Exchange

Stocks trade on 1 exchange like NYSE.

Forex is decentralized = "OTC" Over The Counter

It’s just banks, brokers, and institutions trading directly with each other electronically.

No building to close. No bell. The servers just keep running.

1. News Happens 24/7

NFP drops Friday 1:30pm WAT.

Fed speaks Wednesday 7pm WAT.

War, inflation data, earthquakes can happen Sunday night.

If forex was closed, you’d get massive gaps when it reopened. 24hr trading lets price adjust instantly.

4. “Going long” and “Going short” = the 2 ways you can make money in trading

It’s basically: Do you think price will go UP or DOWN?

1. GOING LONG = "Buy"

Meaning: You buy first, hoping to sell later at a higher price.

You profit when:* Price goes UP

Think: "I’m bullish. I’m going LONG on this"

FX Example:

You go LONG EUR/USD at 1.1000 with 1 lot

If price goes to

1.1100* → +100 pips → You profit

If price drops to 1.0900 → -100 pips → You lose

It’s like buying a phone for $200 today because you think you can sell it for $250 next month.

2. GOING SHORT = "Sell"

Meaning: You sell first, hoping to buy back later at a lower price.

You profit when: Price goes DOWN

Think: "I’m bearish. I’m going SHORT on this"

FX Example:

You go SHORT GBP/USD at 1.2700 with 1 lot

If price drops to 1.2600 → +100 pips → You profit

If price rises to 1.2800 → -100 pips → You lose

It’s like borrowing your friend’s phone, selling it for $200 today, then buying it back for $150 later and giving it back. You keep the $50 difference.

Economic borrowing= when governments, companies or people take on debt.

1. PIP = Price Movement

Pip = "Percentage In Point"

It’s the smallest price move a currency pair can make.

2. LEVERAGE = Buying Power.

Leverage = The broker lending you money to trade bigger.

The 7 Majors

These make up ∼75% of all forex trading volume:

1. EUR/USD - Euro / US Dollar → "Euro"

2. GBP/USD - British Pound / US Dollar → "Cable"

3. USD/JPY - US Dollar / Japanese Yen → "Gopher"

4. USD/CHF - US Dollar / Swiss Franc → "Swissy"

5. AUD/USD - Australian Dollar / US Dollar → "Aussie"

6. USD/CAD - US Dollar / Canadian Dollar → "Loonie"

7. NZD/USD - New Zealand Dollar / US Dollar → "Kiwi"

New drills,

1 what’s the difference between pip and leverage in FX?

2 what currency pairs are considered as majors

3 How does economic borrowing affect the market?

4 why do traders mean by “going long” or “going short” mean?

5 why does currency market stay open 24 hours a day?

Price Movement Marker! Yes it is