What is Forex?

Convertible currencies - those currencies, which can be freely exchanged in native country, and beyond. These include U.S. dollar, Russian ruble , Euro etc.. Surely you know, that exchange rates are not static and constantly changing. Although, that such fluctuations are negligible, if we take into account a small time interval, they are permanent. The price of any individual currency generated by the law of supply and demand. Central banks of different countries may affect the price of their home currency due to its increase or decrease in the market. For this reason, traditionally the price of freely convertible currency is not just changing one day, these changes do not let up thousandth of. 

Still, what does the term "Forex"?

If some currency to buy at low cost, but to sell more, can extract some profit. So, You have 100 000 USD. In the morning (for example at nine o'clock) You buy for them 65741.8947 Euro, at the price of 1,5211 dollars per euro. After a couple of hours before the price changes 1,5297 dollars per euro, and you can sell your 65741.8947Evro for 100 565,37 dollars. Parallel with what you get 565,37 dollars of net profit! If we repeat the operation for a given change in prices, every time you will receive half of one thousand dollars.

It may seem, that the above is so beautiful and promising, that can not be true, but currency market participants to exchange such earn decent money. According to statistics, the daily volume of transactions in the currency market for a total of about two trillion euros!

Is it any ordinary man to throw everything and go to trade on Forex? Hard to answer immediately. Example, described above, shows the situation, when the dollar depreciates against the euro, but quite likely be the reverse situation. We do not just can not make money, but lose existing. Forex any surgery carries some degree of risk. Forex – is a serious work, in which much depends on a number of key factors.

However, at the same time, Forex possesses certain positive aspects, who are able to adequately cover the entire film. So, working on the foreign exchange market, You work for yourself. Going up for auction, realize, that only depends on you directly earnings. Forex trading does not require expensive rental store or a warehouse, employees, that idle spend most of their time. For one day in the Forex market may earn more, than a week gets the owner of the supermarket chain. Suffice it to have a computer, certain software and access to the Internet.