Forex trading focuses on the exchange of foreign currencies, stocks and products. A country's currency is compared to another country's currency to calculate its value. The value of foreign currencies is one of the things that are considered during FOREX trading. Generally speaking, most countries have a lot of leverage in determining the value of their own currency. The FOREX markets are comprised of banks, other financial institutions and even governments.
Are there differences between the FOREX market and the stock market? A FOREX market trade is a transaction that involves two countries that can be anywhere in the world. In some cases, one of the countries is the one where the investor is, and the other one where the investment is going to. Brokers are the ones that typically handle transactions sent through the FOREX.
But, what exactly makes the FOREX markets? The FOREX is comprised of many different transactions and foreign markets. Brokers that deal on the FOREX trade in large volumes and invest very large amounts of money. They either trade cash, or they turn around assets that are easy to liquidate. It is an extremely large market. The FOREX market is a lot larger than the stock market in any given country. Entities trade on the FOREX 24 hours a day, 7 days a week, for the most part.
You would not believe the number of people involved into FOREX trading. There were almost two trillion dollars being traded daily already in 2004. That is an incredible sum of money to even envision. If you can just visualize how much a trillion dollars is, you can multiply that amount and have an idea of how much money is traded every day.
The FOREX market was started in the early 1970's. As the internet continues to grow, FOREX trading is certain to expand even more. So far, FOREX trade only accounts for about 10% of trade in most countries, but as its popularity continues to grow, so will the trade.
Are there differences between the FOREX market and the stock market? A FOREX market trade is a transaction that involves two countries that can be anywhere in the world. In some cases, one of the countries is the one where the investor is, and the other one where the investment is going to. Brokers are the ones that typically handle transactions sent through the FOREX.
But, what exactly makes the FOREX markets? The FOREX is comprised of many different transactions and foreign markets. Brokers that deal on the FOREX trade in large volumes and invest very large amounts of money. They either trade cash, or they turn around assets that are easy to liquidate. It is an extremely large market. The FOREX market is a lot larger than the stock market in any given country. Entities trade on the FOREX 24 hours a day, 7 days a week, for the most part.
You would not believe the number of people involved into FOREX trading. There were almost two trillion dollars being traded daily already in 2004. That is an incredible sum of money to even envision. If you can just visualize how much a trillion dollars is, you can multiply that amount and have an idea of how much money is traded every day.
The FOREX market was started in the early 1970's. As the internet continues to grow, FOREX trading is certain to expand even more. So far, FOREX trade only accounts for about 10% of trade in most countries, but as its popularity continues to grow, so will the trade.
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