Forex trading is a concept that is running and accepted in the whole world in a very successful way. The foreign exchange also known as Currency or FOREX or FX market refers to the market for currency trading between two parties. This is the kind of trading where one party buying some amount one currency in exchange for paying a quantity of another. The forex trading market is the largest and most liquid financial market in the whole world, and includes currency trading between large industries, banks, currency speculators, corporations, governments, and other institutions. This trading is best and suitable especially for Companies, Banks, Importers, Exporters, Currency hedgers and Retail Traders.
There is no contract, and charges in the International forex market, and the foreign exchange market trade 24 hours a day. You can set Buy and Sell position orders as you want and carry forward as well. All exchange rates decided from international banks directly. Manipulation is impossible in forex trading because no one country will like to see neither their currency falls down nor go up more.
People who are new in the market must know that you can do trade with the small amount of 10 Dollar. There is no limit of earning, you can earn as much as you can.
All currency trading is performed under the terms and norms of FEMA (Foreign Exchange Management Act). As per FEMA rules, companies in India do their all transactions of deposit and withdrawal In Indian currency direct in Indian bank.
Forex trading is must be done through technical expert of a SEBI registered financial advisory company. As a forex trader you can choose a currency pair that you expect to change in value and place a trade accordingly. For example, if you had purchased 1,000 Euros in January of 2015, it would have cost you around $1,300 USD.
Suppose throughout 2015 the Euro value vs. the Dollar value increased and at the end of the year 1,000 Euros will be worth $1,400 U.S. Dollars. If you will choose to end your trade at that point, you would have a $100 gain.
Hope above forex trading tips will be helpful to traders and investors especially for newbie. We value and welcome your reviews on this blog. Thank you in advance!