XMTrading: GBP/JPY is the killer currency in FX

When it comes to investing in the pound in FX trading, it is said that while you can make a lot of money from market trading, it is high risk, highly liquid, and highly gambling-like. This is because the pound’s price movements are quite dramatic. Therefore, when you can make a profit, you can make it, but when you lose, you often lose a lot. That is why the pound is called the killer currency.

XMTrading: Why the pound is called a killer currency Be careful of price movements

The pound-yen and pound-dollar currencies fluctuate greatly, so the market is prone to volatility. We will explain the risks of FX trading. When trading with pound currency pairs on XMTrading, you need to be careful. Compared to other currency pairs, pound pairs tend to fluctuate more violently, and even small movements can often result in large losses. In order to avoid large losses, you will need to set the lot size lower when trading with pounds. We will explain the reasons for changing your phone number. If you have not contacted us, even if your number has changed, you must contact us. You can easily change your account by tapping on Kiwami, Standard, or Demo. We accept applications even on holidays, depending on the situation, so please process your application as soon as possible.

www.worldforexintroduction.com

2024.06.06

Pound is a killer currency

Those who trade the British pound should be careful because it is highly volatile. It moves violently, so if it moves in the right direction, it’s OK, but if it moves in the wrong direction, it can be irreversible. If you don’t have the knowledge beforehand, you will lose your assets. This time, we will explain the information about the risks involved in making money in Japan.

Not suitable for beginners

There are various currency pairs of the pound, but overall the volatility is extremely high and the price movements are flashy, so it is not suitable for beginners. If a beginner suddenly does a pound, it will go backwards greatly, and it is often the case that the entire amount is lost while worrying about when to stop loss. Therefore, trading the pound is very dangerous unless you get used to it.

person who cannot cut losses

Pound is not recommended at all for those who can not easily cut losses. The pound fluctuates wildly, so if you hesitate to cut losses even for a moment, you could end up in a terrible situation. This is because those who cannot cut losses will have a high probability of losing all their money. However, you can still make a profit if you stick to it.

How high is the volatility?

The chart below is from Tradingview. This is a daily chart of GBP/JPY as of July 2023. As you can see from this, you can clearly see that it fluctuates from 158 yen to 184 yen. If you look at the latest, there has been a sudden surge, so those who were fighting with the decline should have suffered a lot. If this is the euro dollar or dollar yen, the price movement will not be so intense.

Best timing for pound

As mentioned above, the pound is very gambling, so the risk is also high, but depending on the timing, it is highly recommended. Specifically, the pound has the widest price range when the market is as follows.

range market

In a range market, basically no movement occurs in any currency pair. Pound is recommended in such a case. Because you can get more price range than other currency pairs. Even if it is a range, you can trade with confidence because you can get a certain amount of price range.

one-sided trend market

From 2021 to 2023, the Japanese yen continued to sell unilaterally. This kind of one-sided movement was quite rare in the exchange market. However, when there is an overwhelming trend market like this time, if you buy and sell in pounds, you can win very easily because it will be carried without permission.

GBP/JPY or GBP/USD

The pound-dollar is among the most popular currency pairs in the exchange market. For that reason, compared to the pound yen, price movements are relatively less likely to occur. Compared to that, the pound yen tends to be more intense. However, this is also a trend, and it is not always the case, so be careful.

Points to note when trading the pound

As mentioned above, the pound is characterized by its very high volatility compared to other currency pairs. Therefore, if you make a mistake, you can suffer a huge loss. As a result, you may leave the EU. Since Brexit, the price movements in the financial sector have been intense, and many people are now losing money by starting. Please consider the trading volume and other factors when considering the environment.

keep the lot down

Compared to the euro and the US dollar, the pound is characterized by its volatile price movements. Try to keep the lot size as small as possible when trading. The UK economy is also unstable, making it somewhat difficult to win in the service.

Drop positions during economic indicators

The pound is more volatile than the euro and the US dollar. When it comes to economic indicators, there is a big movement, so if there is a possibility of making a big profit, there is also a possibility of a big loss. It is better not to do it during economic indicators as much as possible.

get used to price movements

If you want to trade in pounds first, practice trading. The pound is very volatile and dangerous. Until you get used to it, do not increase the lot and trade small.

Recommended XM

XM was originally known as a forex company with too wide spreads. But this was only recently. Now there is an account type called KIWAMI account. The spread is very narrow and very suitable for trading. Therefore, this account type is highly recommended. Especially for those who trade in pounds, it is recommended because the spread is extremely narrow.

XMTrading: Latest real account opening method and procedure, required documents, important points explained

In this article, we will introduce and explain the methods and procedures for opening a real account with xmtrading, necessary documents, bonuses, and other points to note. XMTrading is the most used Forex company in the world. In order to actually do FX, you need a wide account at a FX company. By the way, opening an account is easy, even for beginners, and there are no fees. Opening an account may sound like a hassle, but it only takes about 10 minutes to fill out the registration form and 30 minutes to authenticate the required documents, so you can start trading from the first day after completing the opening procedure. It becomes possible to start.

www.worldforexintroduction.com

2024.04.29