Okay, I’ve read through the babypips.com entire school guide for the first time (there will be others, I’m sure…), and I’m still not 100% clear on this–here’s my question:
How can you profit from a trade when after entering, the exchange rate falls. For example, if I’m trading EUR/USD, and when I enter the trade, the exchange rate goes from 1.3350 to 1.3310, how would I profit? I’m assuming I’ve purchased the base currency (EUR) and sold (USD) at 1.3350. What would I do at 1.3310 to take a profit? If anyone can explain this to me in plain english, I’ll be very appreciative!