A reason to trading in Forex
What you will read ...LiquidityUrgencyAvailabilityManaging Flexible Trading ProcessCostGuarantee the price of the transactionMarket trendMargin size
This section shows the main benefits of the Forex market to other financial markets. You will find out in this section why the foreign exchange market is a great deal of attraction for traders and you will get to know all the benefits of the Forex market.
Factors that make trading Forex a great experience for you can be cited as follows:
Forex involves a tremendous amount of money that offers an unlimited freedom to open and close deals at current market prices. High liquidity is the most attractive part of Forex for all traders, because such a feature makes it possible to get into and out of the market with any volume.
As Forex follows a 24-hour working pattern, unlike other Forex markets, traders do not need to wait for an event to respond.
On Forex, there is a possibility to trade 24 hours without regard to the geographical location, so you only have to have a computer connected to the Internet. You can even use a mobile phone, PDA or PDA.
Managing Flexible Trading Process
Each trader can, according to his needs, open a deal at a predetermined time that allows managing the transaction process.
Traditionally, Forex trading is done without any charge, and the Bid / Ask bid is normally calculated to open any deal.
Guarantee the price of the transaction
Forex, unlike futures trading and other currency investments, guarantees the execution of orders at the current market price, regardless of the volume of the transaction.
Currency fluctuations have a definite general direction that is visible in short-term periods. Each currency has its own fluctuations that make Forex prediction possible.
The leverage (“credit line”) in the Forex market is determined by an agreement between the customer and the bank (brokerage firm) and identifies customer access to the market (usually 1: 100). The margin is part of the deposit that is “blocked” for opening a transaction on a customer’s trading account. The margin depends on the leverage and the volume of the transaction. For example, you can make a deal of $ 100,000, while the account balance is only 1% of the trading volume, $ 1,000. The use of such a large leverage, combined with extreme exchange rate fluctuations, has made Forex highly profitable (on the other hand, it can be highly risky). But in any case, the leverage and margin adjustment mechanism is completely in the hands of the trader.