Currency Trading Information Channel
The Forex Market-What, When and Why?
Forex, FX and the Forex market are some common abbreviations for the Foreign Exchange market. Actually it is the largest financial market in the world, where money is sold and bought freely. In its present condition the Forex market was launched in the seventies, when free exchange rates were introduced, and only the participants of the market determine the price of one currency against the other proceeding from demand and supply. As far as the freedom from any external control and free competition are concerned, the Forex market is a perfect market.
With a daily turnover of over trillions of dollars, the Foreign Exchange market conducts more than three times the aggregate amount volume of the United States Equity and Treasury markets combined. The Forex market is an over-the-counter market where buyers and sellers conduct foreign exchange business using different means of communication.
Unlike other financial markets, the Forex market has no physical location or central exchange. Since the Forex market lacks a physical exchange, the market trades continuously on a 24-hour basis, moving from one time zone to the next, across each of the world's major financial centers every day. Trillions of dollars of foreign exchange activity takes place every day. From 1997 to the end of 2000, daily forex trading volume surged approximately from US$5 billion to US$1.5 trillion and more (according to various recent studies it has touched $1.7 trillion per day and dwarfs all other markets for trading in size and volume). It is really difficult, if not impossible; to determine an absolutely exact number because trading is not centralized on an exchange. But one thing is for sure that the Forex market continues to grow at a phenomenal rate.
Before the advent of Internet and ecommerce, only big corporations, multinational banks and wealthy individuals could trade currencies in the Forex market through the use of the proprietary trading systems of banks. These systems required as much as US$1 million to open an account. Thanks to advancements in online technology, today investors with only a few thousand dollars can have access to the Forex market 24 hours a day and around 5 ½ days of a week.
The Forex market is a nonstop cash market where currencies of nations are traded, typically via brokers called forex brokers. Foreign currencies are constantly and simultaneously bought and sold across local and global markets while traders increase or decrease value of an investment upon currency movements. Foreign exchange market conditions can change at any time in response to real-time events so it is also considered to be a highly volatile and fragile market too. Conditions of the Forex market never remain the same they changes every second.
The foreign exchange market dwarfs the combined operations of the New York, London, and Tokyo futures and stock exchanges. According to its size and scope it is many times larger than all other markets. Stats shows that spot transactions and forward outright Forex trading take place in the inter-bank market. 51% of the market is in spot Forex transactions, followed by 32% in currency swap transactions. Forward outright Forex transactions represent another 5% of this daily turnover, with options on 'interbank' Forex transactions making up another 8%. Therefore the inter-bank market accounts for 96% of the global foreign exchange market, with the remaining 4% being divided among all the global futures exchanges.
For traders, Forex trading provides an alternative to stock market trading. While there are thousands of stocks to choose from, there are only a few major currencies to trade (the Dollar, Yen, British Pound, Swiss Franc, and the Euro are the most popular). Forex trading also provides a lot more leverage than stock trading, and the minimum investment to get started is a lot lower. Add to that the ability to choose flexible trading hours (forex trading goes on 24 hours a day) and you have the reason why so many stock traders have flocked to day trade currencies.
Anthony Trister is a currency trader and is an owner of OneDayTrades which offers free, mechanical forex signals and an automated trading program for those wanting to trade forex. Free access available here: http://www.onedaytrades.com
MORE RESOURCES updated Sun. November / 17 / 2019
Why are forex trading signals important? ForexLive
Disappearing dollars drive global currency trading dependence | Business , International - The Daily Star
Disappearing dollars drive global currency trading dependence | Business , International The Daily Star
How To Start Out In Forex Trading Latin Post
Central bank trades prompted rival FX traders to share info Financial Times
Citi accused of trumpeting forex trader dismissal amid probe Financial Times
How to Make Money on the Forex Market BBN Times
When robots meet humans in forex trading Born2Invest
Angola abandons currency trading band Central Banking
Ion Group buys currency software supplier MarketFactory Financial Times
CFTC Commitments of traders: EUR remains the largest short position. CAD is the largest long position - ForexLive
CFTC Commitments of traders: EUR remains the largest short position. CAD is the largest long position ForexLive
Top 5 Reasons Why You Should Start Forex Trading Business Review
How does Trading Forex With Bitcoin Work? CryptoTicker
Ebury nabs £350M for foreign exchange and currency services for SMEs, Santander takes 50.1% stake - TechCrunch
Ebury nabs £350M for foreign exchange and currency services for SMEs, Santander takes 50.1% stake TechCrunch
Currency Market Do Not Share Trade Optimism Yahoo Finance
An interview with a trader: How much can you make on Forex? The South African
Top 5 Analytical Tools for Beginner Forex... Forex Crunch
Stocks staging a comeback. ForexLive
In Some of Africa’s Biggest Markets, Cutting Currency Risk Means Swapping the Dollar for Bitcoin - Fortune
In Some of Africa’s Biggest Markets, Cutting Currency Risk Means Swapping the Dollar for Bitcoin Fortune
Forex Trading: How To Get Started Without Losing Your Shirt 2oceansvibe News
What Will Affect Foreign Exchange Rates The Most In 2020? Insider Monkey
Why Should You Always Set Maximum Trading Losses? Siliconindia.com
Bank of Namibia clarifies forex trading rules New Era Live
What are the risks involved in forex Industry Reporter
4 Forex Trading Tips for Beginners FXDailyReport.com
The Japan Virtual Currency Exchange Association Joins the International Digital Asset Exchange Association - Crowdfund Insider
The Japan Virtual Currency Exchange Association Joins the International Digital Asset Exchange Association Crowdfund Insider
Trading Support and Resistance DailyForex.com
Navarro: "There is no agreement to rollback any existing tariffs as part of the Phase One deal" - ForexLive
Navarro: "There is no agreement to rollback any existing tariffs as part of the Phase One deal" ForexLive
GBP/INR: Rupee Benefits from US-China Trade Optimism Currency Live
Low Spread Currency Pairs to Trade on Forex Market FXDailyReport.com
Travelex Currency Exchange & Payments Malaysia leverages on its Asian regional hub shared services to commemorate Visit Malaysia Year 2020 - Yahoo Finance
Travelex Currency Exchange & Payments Malaysia leverages on its Asian regional hub shared services to commemorate Visit Malaysia Year 2020 Yahoo Finance
Forex Trading for Beginners Yahoo Finance
LSE announced the launch of Millennium platform for AAX crypto-currency trading - Lanka Business Online
LSE announced the launch of Millennium platform for AAX crypto-currency trading Lanka Business Online
(Video) Weekly Forex Forecast for November 18 - 22, 2019 Daily Price Action
Pound to Euro Exchange Rate: Sterling Reaches 6-Month High Against the Euro, Close to Breaching 1.17 Barrier - Pound Sterling Forecast
Pound to Euro Exchange Rate: Sterling Reaches 6-Month High Against the Euro, Close to Breaching 1.17 Barrier Pound Sterling Forecast
Euro Pound Exchange Rate Steady, German Recession Fears Hold Back Single Currency - Euro Exchange Rate News
Euro Pound Exchange Rate Steady, German Recession Fears Hold Back Single Currency Euro Exchange Rate News
Currency Trading for Beginners Benzinga
How does the currency market work? NuWire Investor
Crypto Currency In Nigeria: Regulatory Framework & Related Issues - Fin Tech - Nigeria - Mondaq News Alerts
Crypto Currency In Nigeria: Regulatory Framework & Related Issues - Fin Tech - Nigeria Mondaq News Alerts
What Is Forex Trading and How Does it Work? - RushPRnews.com