What Is Forex

WHAT IS FOREX

The simple sense of Forex (Forex currency exchange, Foreign Exchange) is simultaneous purchase and sale of the currency or the exchange of one country's currency for the one of another countr. Forex is an interbank market that was created in 1971 when international trade transitioned from fixed to floating exchange rates. Since then the rates of currencies relative to each other are determined by the most obvious means which is the exchange at a mutually agreed rate. The Forex market is a non-stop cash market where currencies of nations are traded, typically via brokers. Foreign currencies are constantly and simultaneously bought and sold across local and global markets and traders' investments increase or decrease in value based upon currency movements. Foreign exchange market conditions can change at any time in response to real-time events.

WHAT IS FOREX

The simple sense of Forex (Forex currency exchange, Foreign Exchange) is simultaneous purchase and sale of the currency or the exchange of one country's currency for the one of another countr. Forex is an interbank market that was created in 1971 when international trade transitioned from fixed to floating exchange rates. Since then the rates of currencies relative to each other are determined by the most obvious means which is the exchange at a mutually agreed rate. The Forex market is a non-stop cash market where currencies of nations are traded, typically via brokers. Foreign currencies are constantly and simultaneously bought and sold across local and global markets and traders' investments increase or decrease in value based upon currency movements. Foreign exchange market conditions can change at any time in response to real-time events.

The forex market exists wherever one currency is traded for another. It is the largest and most liquid financial market in the world, and includes trading between large banks, central banks, currency speculators, multinational corporations, governments, and other financial markets and institutions. The average daily trade in the global forex and related markets currently is almost US$ 4 trillion.

The main enticements of currency dealing to private investors and attractions for short-term Forex trading are:

1. 24-hour trading, 5 days a week with non-stop access to global Forex dealers.

2. An enormous liquid market making it easy to trade most currencies.

3. Volatile markets offering profit opportunities.

4. Standard instruments for controlling risk exposure.

5. The ability to profit in rising or falling markets.

6. Leveraged trading with low margin requirements.
7. Many options for zero commission trading.

The investor's goal in Forex trading is to profit from foreign currency movements. Forex trading or currency trading is always done in currency pairs. The world currencies do not have a fixed exchange rate and are always fluctuating being traded in the currency pairs Investments usually deal with 4 major pairs: Euro against US dollar, US dollar against Japanese yen, British pound against US dollar, and US dollar against Swiss franc or EUR/USD, USD/JPY, GBP/USD, and USD/CHF used to sign these pairs accordingly. These major pairs are considered as Forex market's "blue chips". You will not receive any dividends on the currencies. Well known "buy low - sell high" gives the profit for currency trades.

Links
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1. moneycentral.com
2. www.forex.com
3. cnbc.com
4. nymex.com
5. earnforex.com
6. http://www.vibby.net/main-e-club.php?screen=FA
7. http://hanzhouforex.blogspot.com
8. Decom MqL4
9. http://myforexstrategy.blogspot.com/?expref=next-blog
10. http://www.abiyanto.net/?page_id=139
11. http://www.mql4.com/
12. http://mircku.blogspot.com
13. http://www.masterclickcom.com
14. http://10toolsrolodex.howtosimplyautomate.com/
15. http://translate.google.com/translate?u=http%3A%2F%2Fhowtosimplyautomate.com%2FBlog%2F%3Fp%3D120&langpair=en|id&hl=en