Sunday, July 20, 2008

Brief overview of the foreign exchange market

Forex market is a very specific nonstop cash market where different currencies are being traded, usually by brokers. All the currencies are constantly bought and sold on many local and global markets. Investments increase or decrease in value following every movement of the currency pairs. Foreign exchange market is very vulnerable to real-time events.

Typically Forex offers:

v 24/5 nonstop access by the online platforms.

v Enormously liquid market.

v Volatile markets offering excellent opportunities.

v Different instruments giving easy control over risk exposure.

v Ability to gain profit in both rising and falling markets.

v Leveraged trading having low margin requirements.

v Many possibilities for zero commission trading.

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