Principles of Forex

Forex market - a market currencies. In this market, the exchange rate is constantly changing under the influence of many factors. In the forex market players, that is, exporters and importers, different companies, both large and small, and honest person engaged in currency exchange. The lion's share of transactions in the Forex market is to maintain capital flows and international trade, and at least a significant proportion of exchanges with a view to profit from currency movements. Possibility of earning forex interesting individuals.


Trade, or trading in the Forex market - this is the fulfillment of exchange of one currency for another. To take part in the trade, you need a small capital to start, and a computer with Internet access. Trader can expect big profits if he has more start-up capital.

Forex trader - is a market participant, engaged in trade. Job trader has its advantages. This is a free schedule, lack of competition and superiors, and earnings prospects. Trading - this is a very interesting work on yourself.

Principles of Forex.

Forex - a market of foreign exchange, and easier to compare it to a well-known currency exchange at the bank.

What common traits do they possess?

• As in the exchange, as well as Forex, is an exchange of currencies.

• In both cases, there are buying rate and the selling rate of exchange, and the exchange can be made ​​at the exchange rate, which is present at the time of the transaction. The difference between the buying and selling rates is called spread.

• Changes in exchange rates are like in exchange and the Forex market. And with the correct prediction of exchange rate can be a winner, and a profit.

• And in the exchange, and forex transactions are conducted through an intermediary (which may be the forex company or bank), but not between the customers directly.

FX differences from the exchange point.

• In the exchange transactions are carried out exclusively with cash, and the only non-cash forex transactions. And operations in the Forex market are executed after opening a trading account in the forex company. Forex account is similar to the current bank account and is accessed through the Internet.

• Operation in exchange has to get a different currency than the one that is available. Therefore, in exchange is usually only one operation. A goal of the work on the Forex - a profit as a result of exchanges. And there are usually two operations. For example, buying euros for dollars and then selling euros for dollars to have another course. The first operation of a pair of colliding transactions is called opening the position, and the second - is closed.

• In exchange office in the commission of the exchange is expected only currency that is the customer. And the Forex market allows you to enter into transactions that exceed the amount on deposit. This is possible because the forex company will provide the leverage, or, in other words, the lever for the transaction. For example, with a deposit of one thousand dollars and one hundred lever, you can perform operations on currency exchange in the amount of $ 100,000.

• Sell in exchange can only be the currency which is the client. In Forex can sell any currency, not just the one that exists on deposit. To make a deal, you can use the credit in the currency sold. This makes it possible to sell, for example, British pounds for the Japanese yen.

• Currency exchange rates in exchange may change several times a day, and in the Forex market - several times per minute. And this is happening around the clock. This dynamic forex market. For the analysis of changes in exchange rates are used specifically for this computer program that runs in real time.

• With regard to the exchange point, there is the difference between the buy and sell quite substantial, and Forex spread is one hundredth of a percent. When combined with the dynamism it allows to play the spread and thus reach the break-even level for a few minutes.

Descriptions Forex indicators , which greatly facilitate the work.