Trading For Beginners

Beginner’s Trading Guides

Our Trading for Beginners section gives you all the information you need to start trading forex and CFDs with confidence. This should be your first stop to find out about currency pairs, how the forex market works, market analysis and CFD instruments.

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What is …

What is Forex?

Learn about the global FX market, currency pairs and how a trade works. Here you’ll also find descriptions of some of the common online forex trading concepts such as order types, rollovers and hedging.

What are CFDs?

Contracts for Difference – more commonly known as CFDs – are an important financial instrument that allows traders to speculate on the rising and falling value of currencies, indices, commodities and stocks without owning the underlying asset. Here you can find out more about the various features of CFDs and how they work.

What Are Options?

Vanilla options are contracts giving traders the right to buy or sell a specified amount of an instrument, at a certain price on a pre-defined time. When trading currency options, the trader has the power to control not only the instrument and the amount he trades, but also when and at what price. Options can be traded for a day, a week, a few months or even a year.

What is currency trading

In this section we go a little deeper into how different currencies interact together in currency pairs – the basis of forex trading. You’ll also learn about the difference between major, minor and exotic currency pairs.

What is the Stock Market?

What’s a stock exchange? What are the primary and secondary markets? How shares are issued, bought and sold? Want to learn about the medium where shares are traded? Here you’ll find information on stock market structure, main regional stock exchanges, different life cycles of issued shares, and the ways one can profit from them.

What are Financial Derivatives

Find out what derivatives are and how they could be useful to you in trading, how their value is determined by various market fluctuations in the underlying assets. Learn all about the most common derivatives, including Futures, Forwards, Options, CFDs and Swaps.

What is MetaTrader?

MetaTrader is a platform provided by MetaQuotes Software that allows online trading in the CFD, Futures and forex markets. The software is licensed to AvaTrade for your convenience. There are two types of platforms known in the trading world today MT4 and MT5.

What is a Trend

In the financial markets, there is an expression: ‘The trend is your friend’; and while this phrase might make logical sense, in practice it is as opaque as it can get. But what is a trend and how do we define it as well as trade with it?