Saturday, March 17, 2018

What is Forex Trading... Here's some short explanation

Back to basic, what is forex trading all about, Forex is considered to be the most heavily traded market all over the world, 24 hours, with different time zone, because individuals, organizations and countries participate in it.

While traveling abroad, for instance when you go to the US you convert your US dollars for euros and you're participating in the global foreign exchange market. The price or the rates Depending on the demand of the particular currency the value will either push it up or down in relative to other currencies.

• In Forex trading, currencies always trade in 'twos'. When you exchange dollars for euros, two currencies are involved. For every transaction at the foreign exchange, one currency is exchanged in lieu of the other.

• Forex market uses symbols for currencies. For instance, the euro is symbolized by EUR, US dollar as USD, Australian dollar as AUD and British pound as GBP and so on.

• All forex pairs have a standard market price associated with it, which refers to how much of the second currency it takes to buy one unit of the first currency. For example, in case price of EUR/USD is 1.3635 it will cost 1.3635 US dollars to buy one euro.

#forex #forextrader #forexbasically 

Source : times India

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