Week one in trading feels like learning a new language. Every trade idea we send uses the same handful of terms, and once you know them the rest falls into place. Here are the five words you will hear most often in your first week, what each one means, and why it matters for your account.
The trade itself: entry, buy and sell
The entry is the price where you open the trade. Every trade idea we send names one, so you know exactly where the position starts rather than guessing. Alongside the entry you will see a direction: buy or sell. You buy when you expect the price of gold to rise and sell when you expect it to fall. Gold can be traded in both directions, so neither word is better than the other.
Your safety net: stop-loss and take-profit
The stop-loss (SL) is the price where the trade closes automatically to limit a loss. It is your safety net, and it is why no single trade should be able to do serious damage. The take-profit (TP) is the opposite: the price where the trade closes automatically to lock in a gain. Every idea we send includes both, so the exit is decided before the trade is even open.
How big you trade: lot size
Lot size is simply how much you buy or sell. A smaller lot means smaller risk on each move in price, which is exactly what you want while you are learning. We help every new member pick a lot size that fits their account balance. New words come up in every live training session, which runs twice a week and is free to members.
Key takeaways
- Entry is the price where your trade opens.
- Stop-loss limits a loss; take-profit locks in a gain.
- Smaller lot size means smaller risk while you learn.
Common questions
What do SL and TP mean in trading?
SL is the stop-loss, the price where a trade closes automatically to limit a loss. TP is the take-profit, the price where it closes to lock in a gain.
What is lot size in gold trading?
Lot size is how much gold you buy or sell in a single trade. A smaller lot means each price move has a smaller effect on your account.
Trade ideas with the levels already worked out
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Join free on TelegramOpen the calculatorsRisk warning: This article is educational content, not personal investment advice. Gold is a leveraged, volatile instrument and you can lose some or all of your capital. Gold Trade Signals is not FCA regulated. Read the full risk warning.
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