forex En
What is forex
The word “forex” refers to the foreign exchange market or the global stock exchange for foreign currencies, and it is an abbreviation for the economic term from the foreign language “Foreign Exchange Market”, meaning “foreign exchange market”, and it is symbolized by the symbol FX It is the largest trading market, open 24 hours a day and five days a week from Monday to Friday .
It's a very important market.
The daily volume of exchanges in it exceeds 5 trillion dollars, and it is the market in which all participants find themselves ready to buy or sell one currency for another. It extends all over the world where currencies are exchanged by several participants, where the currencies of countries are traded among millions of investors, banks and investment funds. Forex is one of the types of direct trade, by trading one currency against another, often with the aim of benefiting from the change in currency exchange rates and making a profit through buying and selling operations. Currency prices in the forex market are determined based on the rate of supply and demand, while the price difference between them is known as the “spread”. It is important to know that while it is not easy to trade successfully and you certainly will not get rich quick, it is possible to make money from trading.
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The new platform is an updated version of its predecessor, which has long been the industry standard for traders around the world. The company is pleased to introduce the next generation platform, which includes everything you need to trade in the financial markets. Advanced charting technology and advanced order management tools help you monitor and control your positions quickly and efficiently. It is an attractive platform full of completely new features aimed at improving your trading experience. It is available for free on all of our account types.
Questions and information about forex
When learning how to trade forex, it is not hard to see why it is so popular with traders. There are a myriad of different currency pairs that can be traded - from majors to emerging currencies to exotics - 24 hours a day. Learn how to trade forex through CFDs or through a forex broker, how the forex market works and see an example of forex trading.
The forex market consists of currencies from all over the world, which makes it difficult to predict exchange rates as there are many factors that may contribute to price movements. However, like most financial markets, forex is primarily affected by the strength of supply and the strength of demand, and it is important here to understand the influences that lead to price fluctuations.
The spread is the difference between the bid price and the bid price quoted for a forex pair. Like many financial markets, when you open a forex position you will be shown two prices. If you want to open a buy position, you will be trading at the buy price, which is just over the market price. If you want to open a sell position, you will trade at the sell price - just below the market price.
Currencies are traded in lots - lots of currency used to consolidate forex trading. Since foreign currencies tend to move in small amounts, lots tend to be very large: a standard lot is 100,000 units of the base currency. So, the vast majority of forex trades are done with leverage because individual traders may not necessarily have 100,000 pounds (or whatever currency they trade) to put into each trade.
Leverage is a way to gain exposure to large amounts of currencies without having to pay the full trade value upfront. Alternatively, you can place a small deposit, known as margin. When you close a leveraged position, your profit or loss will depend on the total volume of the trade.
Margin is a major part of leveraged trading. It is the term used to describe the initial deposit you place to open and maintain a leveraged position. When you trade forex on margin, remember that your margin requirements will change depending on your broker and the size of your trade.
Margin is often expressed as a percentage of the full position. So, trading EUR/GBP, for example, may require paying only 2% of the total value of the position in order to open it. So instead of depositing £100,000, you will need to deposit just £200.
Pips are the units used to measure movement in a forex pair. A forex pip usually represents a single digit move in the fourth decimal place of a currency pair. If GBP/USD moved from $1.35361 to $1.35371, then it moved by one pip. Other decimal places that appear in the price after the pip are known as fractional pips or pipettes.
