The word "forex" means short, the foreign exchange market or the global stock of foreign money which would fit the word "FOReign EXchange market" in the English language. And be speculation by buying and selling of major currencies, which possess the basic share from operations in the forex market is the U.S. dollar (USD) (base currency) and the euro (EUR) and pound sterling (GBP) and Swiss franc (CHF) and Japanese Yen (JPY).
And are buying and selling of those currencies in U.S. dollars or other currencies, among them the so-called currency pairs, and so against the U.S. dollar or any currency against another currency value. And considered speculative currency trade on the stock market, and also the most risky, because of rapid fluctuations in the currency of the upward trend to trend downward, or vice versa. In addition to the currency market there are other types of stock exchanges are: gold, silver, Petroleum Exchange, shares and bonds, agricultural crops and energy. The currency exchanges are characterized by various indicators and technical analysis, news analysis and rapid access to profits.
The daily volume of currency trading in the Forex market to reach $ 3 trillion. For comparison recall that the volume of activities of New York Stock Exchange does not exceed $ 300 billion per day, it was necessary to half a year to New York Stock Exchange to reach the size of the currency market.
I have a bond market and sell the future (Future - FUTURE) and lack of a fundamental difference compared to the forex market: they stop working at the end of the day and resume work with the next morning. And it is natural that if you are trading in the markets of Germany, for example, and there in America, the events of a significant impact on the market, you may find the market at the beginning of his work is significantly different than expected.
The forex market is not a market literal sense of the word, since it has no center and no place has a certain exercise a trade. The trading exercised through the telephone exchange and Internet computer at a time, one of hundreds of banks around the world. Alumblyonat hundreds of dollars are sold and purchased every few seconds, and this isis so-calledcurrency trading.
Forex market combining four regional markets: Australian and Asian, and European and American. And continue operations where all trading days of work, and the market operates around the clock, or 24 hours a day. And notes the relative calm from 20:00 until 01:00 GMT, and is attributed to close the New York Stock Exchange eighth in the evening and the start of the Tokyo Stock Exchange work at one o'clock in the morning.
The currency market is not about working hours because the stock traded between banks located in different parts of the world. And the prices of large multi-currency changes, which helps to do some business operations in a single day. It is known that reductions of a significant effect on the financial markets which could lead to the collapse of stocks or bonds. The forex market decline in the dollar (for example) means the price rise of other currency and there is no collapse of markets such as stocks or bonds.
The main thing for success in this market is not the size of the money entering the market as far as the Permanent Hoturkiz at market study, and understanding Mikhanykyate and wishes of the participants. This results in the continuous improvement of the way you work and organize your trading. This did not happen to successful people in the currency market was adopted on the capital only.
We have cut global currency system a long way in a thousand years of human history, but the changes that occur in today's most interesting and did not unthinkable one before. There are two basic alter define the new shape of the global system of currencies:
- The cash break now fully separated from any holder of material;
- Technology has enabled communication and exchange of information collection strong financial systems of different countries in the global financial system one.
