What is Forex? Forex, short for foreign exchange, refers to trading one currency for another. It is also known as FX. Where is Forex Traded? Forex is primarily traded through three venues: the spot markets, the forward markets, and the futures markets. The spot market is the largest of all the three markets because … Read more
Pros and Cons of Trading Forex Positives The forex markets are the largest in terms of daily trading volume in the world and therefore offer the greatest amount of liquidity.3 This makes it easy to enter and exit a position in any of the major currencies within a fraction of a second for a small … Read more
Strategies Forex Trading Long and short trades are the basic forms of forex trading. In a long position, the trader is betting that the price of the currency will rise in the future and he can profit from it. A short position consists of a bet that the price of a currency pair will … Read more
Forex Terminology The best way to start your forex journey is to learn its language. Here are some terms to get you started: Forex Account: A forex account is used to conduct currency trading operations. Depending on the lot size, there can be three types of forex accounts: Micro Forex Accounts: Accounts that allow you … Read more
How to Start Trading Forex Forex trading is similar to stock trading. Here are some steps to start your forex trading journey. Learn About Forex: Although it is not complicated, forex trading is its own project and requires specialized knowledge. For example, the leverage ratio for forex trades is higher than for stocks, and the … Read more
Forex for Speculation Factors such as interest rates, trade flows, tourism, economic strength, and geopolitical risks affect the supply and demand for currencies, resulting in daily fluctuations in the forex markets. There is an opportunity to profit from changes that may increase or decrease the value of one currency compared to another. Expecting one currency … Read more
forex hedging Companies that do business in foreign countries are exposed to risk due to fluctuations in currency values when they buy or sell goods and services outside their home markets. Foreign exchange markets provide a way to hedge currency risk by setting the rate at which a transaction will be completed. To achieve this, … Read more
Spot Market forex Forex trading in the spot market has always been the biggest because it trades the largest underlying real assets of the forward and futures markets. Previously, volumes in the forward and futures markets exceeded those in the spot markets. However, trading volumes in the spot forex markets received a boost with the … Read more
Forex Market The foreign exchange market is where currencies are traded. It is the only continuous and non-stop commercial market in the world. In the past, the forex market was dominated by large corporations, institutions and banks, which acted on behalf of clients. But it has become more retail-oriented in recent years, and traders and … Read more
Forex Trading Forex is a source for foreign exchange and exchange. Foreign exchange is the process of changing one currency into another for a variety of reasons, usually for trade, commerce or tourism. According to the 2019 triennial report from the Bank for International Settlements (a global bank of national central banks), daily forex trading … Read more