AvaTrade is a regulated broker, dedicated to providing you with safe and secure trading solutions. Your capital is securely kept in segregated accounts, and all your personal data is SSL encrypted.
When trading Forex, you are simply buying one currency and selling another. Therefore, the trader is trading currency pairs and not the individual currency. Take for example the EURUSD. When you BUY the pair – it means you are buying EUR and selling the USD. When you SELL the pair – it means that you are buying USD and selling the EUR.
The pairing of the currencies is presented as a rate that reflects the ratio between the values of the two currencies. For instance, the rate for buying the GBPUSD pair is 1.50514, i.e. £1 GBP = 1.50514 USD.
The Forex pairs are divided into three main groups – majors, minors and exotic pairs. The main difference between them is their liquidity, which is a result of the trading volume of these pairs. For example, the major currency pairs are the most traded pairs, and each includes the USD and another popular currency; the most traded minor pairs includes one of the three major non-USD currencies (The Euro, the UK Pound and the Japanese Yen).
To learn more about Forex trading we recommend you visit our education centre, where you can find Sharp Trader, trading video tutorials and more.
AvaTrade offers a selection of trading platforms for both automated and manual trading. Fine tune your predictions with unique analysis tools and optimise your trading experience, whether you trade on your own or copy the positions of others. You can also open a free demo account on each platform and practice trading with zero risk and enhance your trading skills.
Leverage is given by the broker to enable traders to hold trading positions that are larger than what one’s own capital would otherwise allow.
When you open a position at AvaTrade, you are not charged any other commissions beside the spread. The spread is the difference between the BUY and SELL prices which are measured in pips (the fourth digit after the decimal point – 1/100th of a cent).
AvaTrade offers over 50 Forex pairs, including all the major currency pairs, minors and exotics. You can also enjoy 24/7 cryptocurrency trading on Bitcoin and other popular e-coins.
For more information regarding leverage and spreads for all Forex pairs, please see our Trading Conditions & Charges policy.