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Thursday, May 27, 2010

About FOREX

Foreign exchange market is decentralized, global OTC financial market currency trading. Financial centers around the world, serving as anchor of trade between a number of different buyers and sellers at all times, except holidays. Foreign Exchange determining the relative value of different currencies.

The main goal is to help foreign exchange markets, international trade and investment, allowing companies to convert one currency into another currency. For example, it allows U.S. companies to import goods and pay in euros, although the company's revenues in U.S. dollars. It also supports and promotes such speculation trade, when investors are getting a low currency, and to (invest), high-yield currencies, and (as claimed), may lead to loss of competitiveness in several countries.

In a typical exchange transaction, the party becomes the number one currency, the amount paid in another currency. In the currency market today began in 1970 at a time when the country gradually moves to a floating exchange rate from the previous exchange rate, which remained at the bottom, as one of the Bretton Woods system.

Foreign exchange market is unique in that

* Large volume of trade as a result of high liquidity
* Countries rozkydanist
* Continuous: 24 hours a day, except holidays, ie from trade 20:15 GMT, Sunday to Friday 22:00 GMT
* Other factors that influence the exchange rate
* Low coefficient of relative profitability compared with other markets, fixed income
* Using forks to improve profits, depending on the size of the account

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