Forex
or Foreign Exchange trading has a number of advantages over stock
market (share) trading, and this is why more and GPS Forex Robot 3 Review more people are
learning about the Foreign Exchange Market and trading Forex for
profit. Greater flexibility in trading and operating are just some of
the key benefits available.
There
are no broker commissions as such. Forex dealers earn their income
from the "spread" (the difference) between the buying and
selling prices. This is usually a fraction of one percent of the
relevant trade. The Forex market is open twenty-four hours, five days
per week. Unlike share trading you can trade any time you want. The
Forex market is open continuously from 0:00 AM GMT Monday to Friday.
It
is difficult for individuals or even companies to artificially
influence the Forex market. This is because the sheer volume of
daily trading is so large. (However, some corrupt individuals can
influence the value of shares. An example would be sending out
millions of emails, stating that shares in a particular company are
about to increase sharply and encouraging recipients to buy them.)
You
can trade the Forex using borrowed capital. This is called Margin
Trading. Margin trading is where you use between 0.5 and 4 percent of
your own money to control a much larger amount of borrowed money.
This enables you to leverage your investment. The Forex is traded in
lots, a standard lot Some dealers allow you to trade in smaller lots,
called Mini- and Micro- lots.
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