Basic FOREX Calculations

Don't panic! It is copacetic to learn the various numeric values, calculations, and formulas along the way. Practicing on your demo account is the way to go for most new traders. The most critical data at the outset are profit and loss, winners to losers, and consequent profit threshold. But the math is not nearly as complex as it may appear at first. In fact, I can reduce it all to the following cheat sheet. Tables through are available for download from the Getting Started section of

By Michael Duane Archer
Michael Duane Archer has been an active futures and FOREX trader for more than 35 years. He has worked in various advisory capacities, notably as a commodity trading advisor, registered SEC investment advisor, and branch manager for Heinold of Hawaii. He currently trades FOREX and futures and is involved in several technical analysis research projects.

Copyrighted 2016. Content published with author's permission.

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