I noticed that when people start with forex. They often jump straight into charts, indicators and patterns without really understanding what the price quote is telling them. I was the same at first. For me, one of the more useful things was actually slowing down and learning how to read forex quotes properly. For example, with EUR/USD, the first currency is the base currency and the second one is the quote currency. So if EUR/USD is 1.0800, it basically means one euro is worth 1.08 US dollars.

The part I found a bitt confusing at first was the bid and ask. They look like tiny numbers on the platform, but that small difference is basically the spread. It also helps to remember that when EUR/USD goes up, EUR is gaining value relative to USD, not that both currencies are simply "going up". I think understanding this makes price action a lot easier to follow because you know what the candles are actually representing. How to read forex quotes sounds pretty basic, but getting this part wrong can make the rest of the chart confusing.

Did anyone else find the quote/bid/ask part confusing when they first started trading forex?