Forex investments are made through online platforms or on the phone. The investor can buy market (share price at the time) or take orders to buy or sell at a certain level. Once you open a position you can place orders related to making profits or limit losses. We cite the following example:
An investor decides to buy EURUSD at a price of 1.33 and related form may place a limit sell order to take profits if the price reaches 1.3360 or a sell order to limit losses if the market drops to 1.29.
Thanks to the liquidity of the Forex market is possible with significant investment leverage, for example, an investor may open position by $ 100,000 using only a 1% margin.
Once an investor enters the market to effect the loss or gain should do the reverse for the same amount, ie if you have a long position (long) per 100,000 EURUSD should sell euros against dollars for the same amount. Due to the volatility of the currency market an investor can close or balancing their position within seconds of having taken large gains.