Currency Trading
Forex trading can be defined as a trade in which the foreign currencies are being traded against each other, wherein buying of one currency and selling of another currency takes place simultaneously.
Here one countrys currency is being purchased by that of another and the traders do so by particular price negotiations known as the exchange rate and the entire transaction is called Forex transaction.
Forex trading is the backbone of all the international capital transactions worldwide. Being the largest trading market in terms of trading volume it is estimated that about $1.5 trillion USD worth of transaction takes place every single day.
Currency trading has exceeded the stock market too in terms of popularity and volume and under the present scenario has emerged as the most potential business in the world of trade. Huge profits are generated in Forex trading within a short span. Minor currency movements too results in great profits as compared to small profit margins in other businesses dealing with currency like commercial banking and the stock markets.
The trading throughout the world varies with respect to place and time and with respect to the daily working hours the market timings vary from place to place. Forex trading begins every Sunday at 7pm in the evening New York time, as the markets open for the week in Tokyo located in the easternmost part of the world. Next in line to open the markets is the Hong Kong and Singapore markets followed by the European markets. Last in line to follow is London and trading takes place throughout the world.
Currencies of the world are being traded in the Forex markets particularly for hedging and for certain speculative purposes as well. Reasons for trading foreign currencies are diverse and vary from one investor to another. No matter what type of investors they are, either corporate agencies or financial institutions or individual traders, they have surely all the good reasons for investing in Forex trade and the most obvious reason is that Forex trading is by far the best platform with huge profit potential.
Forex trading operates well in speculative markets. In just less than a decade Forex markets have grown tremendously and its present size is about 50 times that of all the other capital markets combined together. In Forex trading the most favored currencies till date are USD, EUR, JPY, GBP, CHF, CAD, and the AUD.
Even for the execution of a large buy and sell orders there is just no slippage of the market price in Forex trading. The traders are able to take the advantage of both upward as well as the downward trend, thereby increasing the market profit potential. This is probably the reason why the Forex trading is considered to be the most efficient markets in the world. - 23305
Here one countrys currency is being purchased by that of another and the traders do so by particular price negotiations known as the exchange rate and the entire transaction is called Forex transaction.
Forex trading is the backbone of all the international capital transactions worldwide. Being the largest trading market in terms of trading volume it is estimated that about $1.5 trillion USD worth of transaction takes place every single day.
Currency trading has exceeded the stock market too in terms of popularity and volume and under the present scenario has emerged as the most potential business in the world of trade. Huge profits are generated in Forex trading within a short span. Minor currency movements too results in great profits as compared to small profit margins in other businesses dealing with currency like commercial banking and the stock markets.
The trading throughout the world varies with respect to place and time and with respect to the daily working hours the market timings vary from place to place. Forex trading begins every Sunday at 7pm in the evening New York time, as the markets open for the week in Tokyo located in the easternmost part of the world. Next in line to open the markets is the Hong Kong and Singapore markets followed by the European markets. Last in line to follow is London and trading takes place throughout the world.
Currencies of the world are being traded in the Forex markets particularly for hedging and for certain speculative purposes as well. Reasons for trading foreign currencies are diverse and vary from one investor to another. No matter what type of investors they are, either corporate agencies or financial institutions or individual traders, they have surely all the good reasons for investing in Forex trade and the most obvious reason is that Forex trading is by far the best platform with huge profit potential.
Forex trading operates well in speculative markets. In just less than a decade Forex markets have grown tremendously and its present size is about 50 times that of all the other capital markets combined together. In Forex trading the most favored currencies till date are USD, EUR, JPY, GBP, CHF, CAD, and the AUD.
Even for the execution of a large buy and sell orders there is just no slippage of the market price in Forex trading. The traders are able to take the advantage of both upward as well as the downward trend, thereby increasing the market profit potential. This is probably the reason why the Forex trading is considered to be the most efficient markets in the world. - 23305
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