Traveling from one country to another would necessitate you to exchange currencies. This very basic situation is what constantly happens in the forex trading market.
Forex trading also known as Foreign Exchange Trading, Currency Trading, Spot Forex Trading, FX trading is just the simultaneous buying and selling of currency.
The trading happens over the counter through an electronic network of Banks, Broker Dealers and Hedge Funds which is actually has its advantages. One of these is that the market is open for business 24 hours a day, 6 days per week. The operating hours are from Sunday at 5pm to Friday, 5pm New York time. http://www.hervelegerdress.de . The market begins in Sydney, Australia and continues around the world to the New York, USA.
Forex trading also involves low transaction cost. The costs of each transaction is less than 0.1 percent when market conditions are fair. When the transactions are bigger, the costs can reach to 0.07 percent.
One more plus with forex trading is that there are no commissions. This means that there is no clearing fees, no exchange fees, no government fees, no brokerage fees. Brokers in forex trading are paid through bid-ask-spread method.
Another amazing advantage is that no single company can manipulate the market. This is because the foreign exchange market is so huge and has so many participants that no single company or organization can control the market price for an extended period of time.
Even with this size, getting in and out of trades can be done easily. You would not need millions of money just to get in. There are actually forex brokers that offer mini accounts that you can open with just $25 on hand.True ECNBrokers can be difficult to find. Here’s our website that may help.
With Forex trading, there is also no middleman in the process which allows you to trade directly with the market responsible for the pricing on a particular currency pair.
Finally, you can expect that free stuff will be available for you in forex trading. Most online forex brokers offer “demo” accounts to practice trading and build your skills, along with real-time forex news and charting services. A very good illustration of this website is theIC marketswhere you can practice and even become the best forex trader in the world.
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