Forex Long and Forex Short and Forex Charts

In Forex trading, there are two types of trades, these are:

• Long (buy trade) - long is if the trend is buy/bullish.
• Short (sell trade) - short is if the trend is sell/bearish.

Buying/Long and Selling/short

Both terms, refer to things we do when open a trade.

Buying Long - forex term to use when buying and when opening a buy trade.

Selling short - forex term to use when selling and when opening a sell trade.

Long - Long is another forex term used to refer to buying in forex, If a trader opens long it means that he buys the currency pair that is heading in an upward trend. When the price is moving in an upward trend the trend is referred to as bullish trend.

Short - Short is a term used to refer to selling of a currency pair that is going in a downward trend. When the price is going downwards then the trend is referred to as a bearish trend.

Basically the forex term, "selling short" can refer to selling currencies in the markets. Selling short is used to trade a currency that is predicted to depreciate in its value compared to another, when this currency is sold then it is the same as not holding value in this currency and holding the same value in the other currency.

Buy/Long

If the price is going up we buy, this is referred to as going long. Therefore, long is just another name for buy. When the market trend is going up it is known as to as a bullish trend, this is when a buy order is placed. A bullish trend is identified by drawing an upwards trend line on a chart. The example below shows a long/buy signal.

Buy/Long - How to Open a Buy Trade - Going Long in Forex Trading

Sell/Short

If the price is heading down we sell, this is referred to as going short. When the market trend is going down it is known as to as a bearish trend. The example below shows a downward trend, this is when a short sell is placed. The short/sell is identified by drawing a downward trend line on a chart. The example below shows a short/sell signal.

Sell/Short - How to Open a Sell Trade - Going Short in Forex Trading

Charts - What are Forex Charts?

What are Forex Charts? A chart provides a visual representation of exchange rates (plotted on the y-axis) against time (plotted on the x-axis) for a given currency pair. The movement of prices is plotted and drawn on these charts. The chart can be plotted as trading candlestick charts like the one shown below or as forex line charts or forex bar charts.

Chart - Candlesticks Charts Described - What are Forex Charts?

The 3 common types of charts used in forex are:

• Candlestick Charts
• Forex Line Charts
• Forex Bar Charts

The Three types of charts are covered in the topic Chart Types.

Platform - What are Forex Trading Platforms?

What is a platform? - platform is software that is provided by a broker to help traders make place their trade transactions online. Once you download and install this platform software on your computer you can then begin to trade in the market. All trade trade transactions are executed through this platform. If you want to learn a platform, MT4 Forex Software is a good platform to start with.

To set these buy and sell orders, open MT4 Platform, open a "chart", right click on the "chart', choose "New Order", then choose order either sell order or buy order as shown below. (Short Cut Keys - Press F9)

Setting Buy Long and Sell Short on MT4 - How to Open Buy & Sell Orders on MT4