The existence of trading goes as far back as the ancient civilization and is present to this date in the world we live. It plays a crucial role in our everyday life and the concept has remained the same throughout the centuries. This concept is the trading of one good in return for another.
The origins of trading come from a process named bartering. The barter process is simply an exchange of goods. In the early times, one would trade an apple, for argument sake, to get a potato in return.
Nowadays with advancement in technology, trading is done by the use of a piece of paper commonly referred to as money. The process is still the same and the exchange of goods is still processed in the same way with only difference the use of money as the prime medium.
In today's world, trading has taken a far more advanced approach compared to its traditional counterpart. Trading over the years has evolved in such a way that it not only constitutes of goods and services but goes far beyond that. The 21st century has given birth to currency traders who buy/sell the currency of one country to that of another country.
The market which is being referred to is the Forex market. The biggest most traded market on the planet. With a colossal US$ 3.5 Trillion traded every single day, this value is more significant when compared to all the other financial markets put together.
Millions of dollars are traded by major corporations daily. These companies form part of the wholesale market and comprises of banks and big hedge funds. They have the power to move the market from one direction to the other due to the large volume and amount of money traded on every single position taken. Those moves usually results in currencies going up and down in any single day thus changing the quotes of each currency throughout the day. The change in quotes most likely relates to profit made or loss incurred.
Forex market seems very appealing compared to the stock and futures market mainly due to the fact that it is a 24-hour open market. Trading starts in Sydney, Australia on Monday, then Tokyo, Europe, London until it reaches New York City, which is the last market to open each day. Trading is opened nearly 7 days a week making it the most active market to date.
The major pairs which are the EUR/USD, GBP/USD, USD/CHF and USD/JPY are the most traded pair on the market. Next are the YEN pairs namely GBP/JPY and EUR/JPY, the commodity pairs AUD/USD, NZD/USD and USD/CAD which are believed to be the second most traded pairs on the currency market.
My first encounter with forex goes back to when I was in university. I knew nothing about the forex market and the way it operated. I had a mental blockage at a certain point to how the process of buying and selling a currency could actually work. Well after some research, it all made perfect sense. The world of today is not limited to buying/selling goods and services only but had open its doors to the ability to trade in currencies of other countries too.
Forex traders take advantage of buying and selling currencies they believe will appreciate or depreciate respectively. If they know what they are doing most of the time those appreciation and depreciation will turn out into some nice profit. Good traders make a great living through the process of buying and selling on the market.
Participating in this amazing market that is the forex has never been easier. All the tools required are available to individuals like you and me, the only thing needed is some proper education that will help understand this market.
Here is what you will need before starting:
- A computer
- Internet connection
- Money to trade
- A reliable broker
Looks quite easy in hind-sight, right?
Well, it is very easy to get started however, if you want to succeed in this market, education is crucial. Without a solid proven educational program you may well take quite a while before being successful. 5 years have passed now since I started my trading career and to tell you the honest truth I still keep on learning new things every single day. Here are some great tips to follow if you want to be successful. Be humble, disciplined and teachable. Do not expect to make thousands of dollars in a matter of days. Set a goal and follow your plans. This will be help you be on track to succeed.
The origins of trading come from a process named bartering. The barter process is simply an exchange of goods. In the early times, one would trade an apple, for argument sake, to get a potato in return.
Nowadays with advancement in technology, trading is done by the use of a piece of paper commonly referred to as money. The process is still the same and the exchange of goods is still processed in the same way with only difference the use of money as the prime medium.
In today's world, trading has taken a far more advanced approach compared to its traditional counterpart. Trading over the years has evolved in such a way that it not only constitutes of goods and services but goes far beyond that. The 21st century has given birth to currency traders who buy/sell the currency of one country to that of another country.
The market which is being referred to is the Forex market. The biggest most traded market on the planet. With a colossal US$ 3.5 Trillion traded every single day, this value is more significant when compared to all the other financial markets put together.
Millions of dollars are traded by major corporations daily. These companies form part of the wholesale market and comprises of banks and big hedge funds. They have the power to move the market from one direction to the other due to the large volume and amount of money traded on every single position taken. Those moves usually results in currencies going up and down in any single day thus changing the quotes of each currency throughout the day. The change in quotes most likely relates to profit made or loss incurred.
Forex market seems very appealing compared to the stock and futures market mainly due to the fact that it is a 24-hour open market. Trading starts in Sydney, Australia on Monday, then Tokyo, Europe, London until it reaches New York City, which is the last market to open each day. Trading is opened nearly 7 days a week making it the most active market to date.
The major pairs which are the EUR/USD, GBP/USD, USD/CHF and USD/JPY are the most traded pair on the market. Next are the YEN pairs namely GBP/JPY and EUR/JPY, the commodity pairs AUD/USD, NZD/USD and USD/CAD which are believed to be the second most traded pairs on the currency market.
My first encounter with forex goes back to when I was in university. I knew nothing about the forex market and the way it operated. I had a mental blockage at a certain point to how the process of buying and selling a currency could actually work. Well after some research, it all made perfect sense. The world of today is not limited to buying/selling goods and services only but had open its doors to the ability to trade in currencies of other countries too.
Forex traders take advantage of buying and selling currencies they believe will appreciate or depreciate respectively. If they know what they are doing most of the time those appreciation and depreciation will turn out into some nice profit. Good traders make a great living through the process of buying and selling on the market.
Participating in this amazing market that is the forex has never been easier. All the tools required are available to individuals like you and me, the only thing needed is some proper education that will help understand this market.
Here is what you will need before starting:
- A computer
- Internet connection
- Money to trade
- A reliable broker
Looks quite easy in hind-sight, right?
Well, it is very easy to get started however, if you want to succeed in this market, education is crucial. Without a solid proven educational program you may well take quite a while before being successful. 5 years have passed now since I started my trading career and to tell you the honest truth I still keep on learning new things every single day. Here are some great tips to follow if you want to be successful. Be humble, disciplined and teachable. Do not expect to make thousands of dollars in a matter of days. Set a goal and follow your plans. This will be help you be on track to succeed.
About the Author:
Looking for the best information on forex trading, then visit Forex Trading Domain.com for the best advice on Forex education.
Aucun commentaire:
Enregistrer un commentaire