LESSON 1: WHAT IS FOREX TRADING? (DETAILED)
Definition of Forex
Forex trading (Foreign Exchange Trading) is the process of buying one currency and selling another
currency at the same time with the goal of making profit from price changes.
Forex is a global decentralized financial market where:

• Banks
• Governments
• Corporations
• Institutions
• Retail traders (like us)
  exchange currencies every day.
  Market Size:
  Forex is the largest financial market in the world, with over $7 trillion traded daily.
• Why Currencies Move
  Currencies change price because of:
• Economic strength
• Interest rates
• Inflation
• Political stability
• Global events
• Supply & demand
  Trading idea:
  If a currency becomes stronger, traders buy it.
  If it becomes weaker, traders sell it.
• Simple Example
  You believe the Euro will rise against the US Dollar.
• You BUY EUR/USD at 1.1000
• Price rises to 1.1050

• You SELL
• Difference = Profit
  Key understanding:
  You are trading price movement, not physical money.
• LESSON 2: WHAT ARE COMMODITIES?
  Definition of Commodities
  Commodities are real, physical goods that are traded in global markets.
  In trading platforms, we do not buy the physical product, we trade price contracts.
• Common Commodities at AeroTrade
• Gold (XAUUSD) – Safe-haven asset
• Silver (XAGUSD) – Industrial + investment
• Crude Oil (WTI / Brent) – Energy market
• Why Commodities Move
• Inflation
• War & geopolitical tension
• Supply disruptions
• Interest rate changes
• US Dollar strength
  Example:
• When inflation rises → Gold usually rises
• When USD strengthens → Gold often falls
• LESSON 3: HOW FOREX TRADING WORKS
  Currency Pairs Explained
  Forex is traded in pairs, because you always exchange one currency for another.
  Example: EUR/USD
• EUR = Base currency

• USD = Quote currency
  Price means:
  1 Euro = X US Dollars
• Types of Currency Pairs
  Category Explanation
  Major Most traded (EUR/USD, GBP/USD)
  Minor No USD (EUR/GBP)
  Exotic One strong + one weak currency
• Buy & Sell Orders
• Buy (Long): Expect price to go UP
• Sell (Short): Expect price to go DOWN
  You can profit in both directions.
• Pips Explained
  A pip is the smallest price movement in forex.
  Example:
• EUR/USD moves from 1.1000 → 1.1001 = 1 pip
  Profits and losses are measured in pips.
• Lot Size (Position Size)
  Lot Size
  0.01 Micro
  0.10 Mini
  1.00 Standard
  Bigger lot = Bigger risk.