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Old 12-01-2007, 03:03 PM
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Quote:
Originally Posted by zazakizi View Post
I'm starting to learn Forex from fxcm.com and it's interesting, but there is one thing that my brain just doesn't want me to understand... it's a real basic thing: -A buyer wants the price to go up -A seller want the price to go down To me this doesn't sound logical, because normally a buyer wants to buy for the lowest price and a seller want to sell for the highest price.
Well, to make it easy for you.. In foreign exchange transaction, you are simultaneously buying one currency and selling another.. Let's say you want to go long on GBP/USD order which means you buy(the one you receive) GBP and you sell(the one you spend) USD simultaneously.. So if you are the buyer, in order for you to receive a lot of profit then you want the price to go up.. And in order for you to make a profit when you are the seller, you want the price to go down..

I hope this would help clear your confusion..
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