|
|
|
Business and the Forex
The business world is a complex web of supply and demand. Money and goods, physical or otherwise, pass through the global market every single day. To meet this exchange between one country and another, foreign exchange, or forex, was born. The term...
Financial Trading - so many markets, so little time
Would you like to make money from trading but don't know how to trade?
Have you heard of others making a killing on the markets and wished yourself in their position?
Trading covers a multitude of sins, or at least a multitude of markets....
Hawala, or The Bank That Never Was
I. OVERVIEW
In the wake of the September 11 terrorist attacks on the USA, attention was drawn to the age-old, secretive, and globe-spanning banking system developed in Asia and known as "Hawala" (to change, in Arabic). It is based on a...
Learn Currency Trade - Intro to The FOREX Market
The Foreign Exchange Market – better known as FOREX - is a world wide market for buying and selling currencies.
It handles a huge volume of transactions 24 hours a day, 5 days a week. Daily exchanges are worth approximately $1.5 trillion (US...
What's Fibonacci Forex Trading?
Fibonacci forex trading is the basis of many forex trading systems used by a great number of professional forex brokers around the globe, and many billions of dollars are profitable traded every year based on these trading techniques.
Fibonacci...
|
|
| |
|
|
|
|
|
|
The Forex Market explained!
The word Forex is an abbreviation for The Foreign
Exchange Market. This is the market in which all is bough and sold is money itself, which means that with certain currencies you can buy other kinds of currencies. It is the largest and most liquid financial market in the entire world. More than one trillion dollars exchange hands everyday on this market. It is a sea full of money with potential to make large and substantial profits. I explain on this article what Forex is all about and how it works.
When talking about the Forex Market the following questions arise.
1) How much money can I make at the Forex Market?
A lot, you can make a fortune!
2) Can I loose money at Forex?
Yes you do. In fact you can loose your entire portfolio just minutes after you start trading.
3) Is it volatile?
Yes it is. It is very volatile.
4) Is it risky?
Yes it is. It is very risky.
5) What is the leverage at this market?
The leverage is usually 100:1 on most firms but sometimes 200:1 and some firms offer up to 400: 1 leverage. This means that for every dollar that you have available for trading you can borrow up to 100 to trade. So with $1000 USD you can control $100,000 of currency. No other market gives you so much liquidity and so much leverage at the same time.
6) How did The Forex Market begin?
Currencies like dollars and sterling pounds were backed up by gold until 1971. After 1971 countries abandoned that norm and started to issue currencies as they pleased so the Forex market originated where central banks could exchange their home currencies for other country currencies. That ensured certain security for the banks in case their own currencies devaluated against the one they were exchanging it for. So if a bank sold dollars and bought sterling pounds and the dollar devaluated too much in relationship with the sterling pounds, the bank didn’t loose money, because they had bought large amounts of sterling pounds. Do not confuse Forex with the money exchanging business. The money exchanging business dates back to thousands of years ago. People exchanged one kind of coin for another, silver for gold, etc. Today we exchange one currency for another through The Forex Market.
7) Why did nobody know much about Forex until recently?
Until a few years ago only the “big guys” could play this game. The initial requirement was that you could trade only if you had about ten to fifty millions to start. Remember that this was intended to be used by bankers and multinational corporations not “little guys”. Forex was widely opened to everyone on the 90’s decade, a very few years ago. It is the number one market in many different aspects. It is the most liquid, largest and it is growing fastest than any other financial market in the world. It attracts many new investors because of its large leverage and low starting funding requirement. Some firms let you start with a mini-trading account which reacquires only $300 - $350 to fund your account and start trading.
8) How can I make lots of money
on The Forex Market or how can I loose it all fast?
You can leverage your positions at 100:1. That means that if you start with $1,000 at full margin you can trade $100,000 of currency. Check this out. If you have $1,000 to trade and you want to buy euros for example, if the EUR/USD pair is at 1.32 and it rises to 1.33 in ten minutes you make a $1,000 profit in just ten minutes. You double your initial investment. But if you are wrong and the price goes down to 1.31 then you suddenly loose your entire investment. By just a 1-% change on the underlying you make a huge gain or a huge lost. Imagine that you are right on a long-term trade at 100:1 leverage and the pair change in value 20% favorably to you. If you traded $1,500 you would get around $30,000. This could happen in just one day, but at the same time if you are wrong and the market moves against you, you could loose your entire portfolio in 5 minutes. So you must be informed and you must know what you are doing if you want to make money on this market. High leverage and low initial funding requirement is what attracts many new and potential investors to Forex.
9) How can I start trading?
Forex trading is still controlled by an inter-bank system. There are no broker fees to pay and no commission. It is different to the stock market where you must pay commissions to the brokerage firm for every order executed. At Forex there is just a slight difference between the trading quote and the actual price of the currency. For example if you are trading the EUR/USD pair and the pair is trading at 1.3235 you will get a quote at 1.3237. You see the differences. That small difference goes to the Forex Firm through which you are trading. I personally believe that Forex encourage online trading more than any other financial market. Many individuals are self-made traders and trade from home or business offices. You just open an account with a Firm like Oanda, Refcofx, GFT or any other. There are many out there. Just choose the one that best fits your needs and interests. After you fund your account you will be able to start trading.
As you can see Forex is very interesting, profitable and at the same time risky. So people make fortunes and others loose their life savings. Information is the key. I just briefly described some aspects of The Foreign Exchange Market on this article.
If you want to learn more about the subject above visit the website bellow, which is full of valuable information that can turn you into a very wealthy person – (courtesy of John Kaka). John has years of experience on subjects related to business, finance, wealth building, how to profit from e-books, the stock market, forex market, real estate, employment, true home based business opportunities, how to attract amazing wealth to your life, and everything related to money, business and finance.
John Kaka © 2005.
About the Author
http://hop.clickbank.net/?aj345/waytrade
Use this article as you please, but leave its content
intact and include this author’s resource box. – John.
|
|
|
|
|
| Currency Trading, Forex Trading, Forex, Online Currency Trading |
| Offers 24 hour online currency trading for institutions and professional traders. |
| www.fxcm.com |
|
| OANDA FXGame - Currency Trading Demo Platform |
| You can start playing the currency trading market with real market conditions ... The platform was created with the goal of making currency trading ... |
| fxgame.oanda.com |
|
| Forex | Forex Trading | Forex Minis | Online Currency Trading |
| FOREX.com - THE site for forex trading. 24hr commission-free currency trading w/ real time execution and guaranteed fills. Forex mini accounts from $250, ... |
| www.forex.com |
|
| Currency Trading News, Forex Trading News, FX News, Forex News |
| Currency Trading News, Forex Trading News, FX News, Forex News - Daily FX. |
| www.dailyfx.com |
|
| Currencies - Currency Converter & Latest Rates at CNNMoney.com |
| Dec 6 1:18pm ET †, US $, UK £, Japan ¥, Euro €. US $, 0.5079, 115.05, 0.7517. UK £, 1.969, 226.50, 1.4798. Japan ¥, 0.008692, 0.004415, 0.006533 ... |
| money.cnn.com |
|
| FOREX Advisory |
| The CFTC urges you to be skeptical when promoters of foreign currency trading claim that their services or account management will earn high profits with ... |
| www.cftc.gov |
|
| Forex Trading: Online Currency Trading from Global Forex Trading |
| Global Forex Trading is the premier online foreign currency trading firm and a primary market maker. To learn more about forex trading, visit GFTForex.com. |
| www.gftforex.com |
|
| Amazon.com: Foreign Currency Trading: From the Fundamentals to the ... |
| Amazon.com: Foreign Currency Trading: From the Fundamentals to the Fine Points: Books: Russell Wasendorf by Russell Wasendorf. |
| www.amazon.com |
|
| Forex, Online Currency Trading, FX, Foreign Exchange | ACM Forex |
| Forex Trading with The Forex Broker. ACM offers online currency trading, commission-free, tax-free, lowest forex spreads on the market, guaranteed fills, ... |
| www.ac-markets.com |
|
| OANDA FXTrade - Currency Trading, Forex Trading, Online Currency ... |
| Currency Trading with FXTrade, leader in online currency trading, provides real-time execution, free forex charts and quotes, and 24 hour forex trading. |
| https: |
|
| Forex-Day-Trading.com - Currency Trading with FREE Training |
| Learn how to day trade currencies with our free training. Try a free forex trading demo for 30 days. |
| www.forex-day-trading.com |
|
| Forex Online Currency Trading: Welcome to Global Forex |
| Global Forex offers online currency forex trading at inter-bank FOREX rates. Try our FREE online forex demo trading system. |
| www.globalforex.com |
|
| Forex trading - Realtime Forex online currency trading |
| Realtime Forex offers commission-free online currency trading on live foreign exchange prices. Realtime Forex’s currency trading service also includes free ... |
| www.realtimeforex.com |
|
| Forex Blog |
| Forex news blog with daily commentary. Has a good beginner's article. |
| www.forexblog.org |
|
| Common Questions About Currency Trading |
| Whether you're puzzled by pips or curious about carry trades, your queries are answered here. |
| www.investopedia.com |
|
| OANDA FXTrade - Currency Trading Basics |
| Currency Trading Basics. Exchange Rates and Spreads: ... In currency trading, these codes are often used to express which specific currencies make up a ... |
| fxtrade.oanda.com |
|
| Currency trading, free forex charts, news and analysis |
| Online currency trading with technical analysis, charts and forex news. |
| www.gfforex.com |
|
| Finance - Currency-Trading Ezine Articles |
| EzineArticles.com allows ezine or email list publishers to upload or download free expert content that can be used within email newsletters or websites. |
| ezinearticles.com |
|
| MGFOREX |
| MG Financial Group - Forex, FX, Online Forex Trading. |
| www.mgforex.com |
|
| DirectoryM - Debt Settlement Solutions |
| Simply provide your contact details and describe your needs to receive a free consultation from business or personal debt service providers. |
| www.directorym.com |
|
|