Leading & Lagging in Forex

Leading & Lagging in Forex

What is Leading & lagging Introduction bain al aqwami kaarobar mein lidz aur legs aam tor par currency ki sharah tabadlah mein mutawaqqa tabdeeli ka faida uthany ke liye ghair mulki currency mein wajib alada adayigyon mein jaan boojh kar taizi ya takheer ka hawala dete hain. karporishnz aur hakoomaten ghair mulki currency mein adayigyon ka waqt day sakti hain agar woh currency ki qadron mein tabdeeli ki tawaqqa rakhtay hain jo un ke haq mein hai . Examples of Leading & Lagging currency ke tabadlay ki shrhon ki passion goi karna mushkil hai, lekin baaz maali aur siyasi waqeat mutawaqqa schedule ke mutabiq ho satke hain. yeh paish qiyaasi tay shuda waqeat sharah mubadla ki simt ke baray mein baseerat faraham kar satke hain. aisay waqeat mein intikhabaat aur budget ki aakhri tareekh shaamil ho sakti hai. misaal ke tor par, Bartania ka Europi union se niklny ka faisla, jisay brexit ke naam se jana jata hai, 23 June 2016 ko aik rifrndm ke zariye shuru kya gaya tha. vote ke foran baad Bartanwi pound ki qader Amrici dollar ke muqablay mein gir gayi. thora sa theek honay se pehlay yeh kuch hafton tak girta raha. 25 May 2022 tak, yeh ab bhi se pehlay ki satah par bahaal nahi sun-hwa hai. 1 agar aik Amrici company ne canada ka asasa kharidne par razamandi zahir ki hai to usay tranzikshn mukammal karne ke liye Canadian dollars kharidne aur Amrici dollar farokht karne ki zaroorat hogi. Amrici dollar ke muqablay Canadian dollar apni qader mein musalsal harkat karta hai. 25 May 2022 ko khatam honay walay saal mein, misaal ke tor par, canada ki currency Amrici dollar ke muqablay mein taqreeban $ 1. 20 aur taqreeban $ 1. 30 ke darmiyan thi. 2 agar company ka khayaal hai ke Canadian dollar Amrici dollar ke muqablay mein mazboot honay wala hai. yeh Amrici dollar ki sharait mein asasa ki qeemat mein izafay se pehlay lain deen ( lead ) ko taiz kere ga. agar company ka khayaal hai ke Canadian dollar kamzor ho jaye ga, to woh is umeed par adaigi rokkk day ga ke bil Amrici dollar ke lehaaz se sasta ho jaye ga. agar company ka andaza ghalat ho to kya hoga? agar, misaal ke tor par, bank of canada ghair mutawaqqa tor par sharah sood mein izafah karta hai to Canadian dollar mazboot hoga. yeh company ke adaigi ko roknay ke faislay ko nuqsaan da banaye ga. kuch companian muahiday ke waqt adaigi ka kuch hissa bana kar aur baqiya raqam ada karne ka intzaar kar ke –apne dau ko hadge karti hain . Leading vs Lagging tijarti hikmat e amli banatay waqt, kuch tajir sarkardah aur sarkardah takneeki isharay ke imtezaaj ka intikhab karte hain. kuch sirf leading ko tarjeeh dete hain, jabkay dosray ka istemaal karte hain. khalis price action traders andikitrz ko bilkul bhi istemaal nah karne ko tarjeeh dete hain aur is ke bajaye qeemat ke charts ko dasti tor par tajzia karne par tawajah dete hain. yeh itna ziyada nahi hai ke isharay ki darja bandi kaisay ki jati hai ( leading ya peechay reh jane wali ) jo ke ahmiyat rakhti hai, balkay fard ki taraf se isharay ka istemaal aur tashreeh kaisay ki jati hai. dono qisam ke andikitrz ke –apne istemaal hotay hain aur taajiron ko qeemat ki karwai ke baray mein kuch batatay hain. qayadat peechay rehne se behtar nahi hai, ya is ke bar aks. kisi bhi qisam ke takneeki isharay ya tijarti hikmat e amli ka istemaal karte waqt, har tijarat par khatray ke control ko shaamil karna zaroori hai agar qeemat tawaqqa ke mutabiq nah barhay. rissk mein stap las order ka istemaal shaamil hai, jo tijarat se bahar ho jata hai agar qeemat aik makhsoos raqam se mukhalif simt mein chali jati hai. taham, stap loss orders market ke utaar charhao ko mad e nazar nahi rakhtay, jaisay ke qeemat ke chart par phisalna ya farq. rissk control ki aik aur shakal position sayzng hai. munasib position ka size yakeeni banata hai ke har tijarat par bohat ziyada sarmaya khatray mein nah dala jaye. sarmaye ko mutadid تجارتوں mein phelaya ja sakta hai, ya agar tamam sarmaye ko aik tijarat ke liye istemaal kya jata hai, to aik stap las rakha ja sakta hai taakay is sarmaye ka sirf aik chhota sa hissa zaya honay ka khatrah ho

In the context of forex trading, "leading" and "lagging" refer to types of indicators that traders use to analyze and predict market movements. These indicators are tools that help traders make informed decisions about buying or selling currencies. Leading Indicators: Leading indicators are also known as momentum indicators. They provide signals that anticipate potential future price movements before they actually occur. Traders use these indicators to try to predict trend reversals or changes in the price direction. Leading indicators are considered proactive because they attempt to predict market movements ahead of time. Examples of leading indicators include: Relative Strength Index (RSI): Measures the speed and change of price movements to identify overbought or oversold conditions. Stochastic Oscillator: Identifies overbought and oversold conditions to predict potential reversals. Moving Averages (MA): These can be used as both leading and lagging indicators, depending on the timeframe used. Short-term moving averages can provide leading signals for short-term trends. Lagging Indicators: Lagging indicators are also known as trend-following indicators. They provide signals based on past price data and confirm the direction of a trend after it has already started. Lagging indicators are reactive in nature because they provide confirmation of a trend that is already underway. Examples of lagging indicators include: Moving Averages (MA): As mentioned earlier, longer-term moving averages can be used to identify the overall trend direction. MACD (Moving Average Convergence Divergence): Consists of two moving averages and a histogram to show the convergence or divergence of these averages, providing information about the strength and direction of a trend. Bollinger Bands: Consist of a middle band (usually a moving average) and upper and lower bands that represent volatility levels. These bands can help traders identify potential overbought or oversold conditions. It's important to note that no single indicator can guarantee accurate predictions in the forex market. Traders often use a combination of leading and lagging indicators along with other forms of analysis to make more informed trading decisions. Additionally, understanding the limitations and potential drawbacks of these indicators is crucial to successful forex trading.