A swing trade is a trade that trades in one currency at a time, trading either up or down between the two currencies, without having any specific plan.
The trade would happen because both the currency and the currency pair are moving upward or downward in value.
However because forex is always based on the current market value of the currencies involved, both the currency pair and the currency (if it is the top currency among those involved in the trade) must be held close to current market value of the currencies involved.
To explain, the currency pair involved, such as the US dollar (the top currency among the traders) or euro (the second currency among the traders) would move up or down by 50% to 300% or so in the forex market if the top currency was $50 (when trading on average) and the bottom currency was $30 (when trading on average)
However, because the exchange rate for both the currency pair (if they are involved in the trade) and the currency pair is fixed by the market, both are held close to their current market value and the exchange rate cannot be moved to where you could trade them.
It is possible, however, to move the price of a currency up or down from its current market value to create a swing trade, and move the amount of forex currency that is being traded to somewhere else.
This is why forex is also referred to as “strictly futures trading”.
When trading a trade with an implied price, the forex currency and the currency pair must both be present at any time in order for the trade to occur.
A swing trade can result in a gain of forex currency and losses if the currency pair moves at an unsustainable rate.
When to choose a forex trade?
The answer to this question is simple.
Do not use a swing trade if it has no trading account with ForexDirect (it will likely not have a trading account with a forex broker) or ForexOne as a broker for Forex Direct because it cannot make forex trades with the forex currency pair in-house for it.
If you use ForexDirect to trade your forex trades, check the brokerage account they have and see what kind of forex transactions are allowed.
You can also check the limits and restrictions for trading forex.
ForexTrade offers trading without forex accounts, free of charge.
swing trading strategies audiobook, best swing trading software rated k full, swing trading algorithm bot, best swing trading stocks for 2020 year when is illumination, swing trading profitability studies