Newbie question about trading

Hi all,

i hope someone can clear my doubt.

I undertstand that when we trade in Forex we trade in pairs like: Eur/Usd; Eur/Jpy.

I got a question here, when each time we look at the chart for example like Eur/Jpy, each candle stick will show information like:

Open: 149.09
High: 150.54
Low: 149.07
Close: 150.34

My question to you all is that from the candle if i were to enter Long, the chart above is reflecting on what currency?

Going long or short isnt important. You would have went long at the open you would have done ok. It looks like a euro got stronger or the jap got weaker.

Hi,

Thanks for your reply. Meaning we only enter when we look at the open price?

No Im not. Open price is the price at the time that stick opened. That all relates to that specified period. Look at Tymens thread to trade sticks.

It depends on the pair. If it is EUR/USD then you would buy Euros in hopes that it would increase in value relative to the US dollar. If you shorted the pair that means you would expect the Euro to decrease in value relative to the US dollar.

Candles have an open a close and the wicks on the candles show the highest price it has reached and the lowest price it has reached in that span of time. So in your example if you entered a long position on the open of the candle and closed and the close of the candle, you would have made 125 pips if it was a jpy cross. But within that candles period of time it also went lower than the open and it also went higher than the close.

you are replying to a 3 year old thread?

Maybe, maybe not