EURUSD How to buy and Sell

[0Swan0]

I'm a beginer. I want to know how i can trade the EURUSD, given that my base currency is EUR. Do I have to go bearish all the time? Given that I only have euros to begin with, How can i buy the base currency (EUR) when it is about to rise?

 

[Enivid]

You can trade EUR/USD the same way as any other currency pair disregarding your account currency. You do not have to open only bearish positions. You can go long anytime.

When EUR is about to rise and you want to profit from it, you just hit buy open a long EUR/USD position. If you are interested in the mechanics of the process - how it happens behind the scenes, look at this example:

1. To open a 1 lot of EUR/USD long position at Ask = 1.2000, you need 100,000 EUR or 120,000 USD.
   
2. Since you are trading on margin account with some leverage, the actual amount of margin you need to set aside for this trade will be much smaller. If your leverage is 1:100, you only need 1,200 USD for this trade.
3. 1,000 EUR from your balance is the same as 1,200 USD and is used as margin to open a 1 standard lot position in EUR/USD.
4. When EUR/USD rises to Bid = 1.2100, you close it for profit.
5. It gets converted to 121,000 USD.
6. That's 1,000 USD profit, which is then converted to 826 EUR and credited to your account along with the freed up margin.

This all happens automatically and you don't really need to do anything about it.