What is the difference between a Long or Short position in Forex?

In trading, "long" and "short" are terms used to describe the two main types of positions that traders can take in the market:

• Long position: When a trader takes a long position, it means they are buying into a financial instrument with the expectation that its value will rise over time. In other words, they anticipate that the price of the asset will increase, allowing them to sell it later at a higher price and make a profit.
• Short position: When a trader takes a short position, it means they expect the value of an instrument to decrease below the current market price. Unlike stock trading where the price of an asset must increase above the purchase price to make a profit, CFD trading allows you to speculate on price movements alone. This means you have the potential to profit in any market direction.