The foreign exchange market (Forex or FX for short) is one of the most exciting markets, fast-paced. Until recently, forex trading in the world market had been the domain of large financial institutions, corporations, central banks, hedge funds and extremely wealthy individuals. The emergence of Internet has changed all that, and now it is possible for average investors to buy and sell currencies performs it with the ease of one click and operate through online brokerage accounts.
Daily currency fluctuations are usually very small. Most currency pairs move less than a penny per day, representing a change of less than 1% in the value of the currency. This makes foreign exchange one of the least volatile financial markets around the world. Therefore, many currency speculators rely on the availability of enormous leverage to increase the value of potential movements. In the forex market retail, leverage can be up to 1:250. Higher leverage can be very risky, but because of trade - all day and high liquidity, forex brokers have been able to make high leverage an industry standard in order to make the movements are meaningful to currency traders.
Extreme liquidity and the availability of high leverage have helped fuel the rapid growth of the market and made it the ideal place for many traders. Positions can be opened and closed within minutes or can be kept for months. The currency prices are based on objective considerations of supply and demand and can not be manipulated because easily the size of the market does not allow it not even the biggest players, such as central banks, which can move prices at will.
The foreign exchange market offers many opportunities for investors. However, in order to be successful, a currency trader has to understand the basic concepts behind these movements.
The objective of this tutorial is to provide a base Forex for investors or traders who are new to the currency markets. We will cover the basics of exchange rates, market history and key concepts you need to understand and to participate in this market. We will also venture into how to start forex trading and the different types of strategies that can be employed.
Major Forex Pairs: EURUSD, GBPUSD, USDJPY, USDCHF, USDCAD, AUDUSD, NZDUSD
Forex Pair of Crusaders: EURAUD, GBPCHF, CADJPY, GBPJPY, AUDCAD, AUDJPY, EURCAD, NZDJPY, EURCHF, EURJPY, CHFJPY