You already know that Forex trading (also known as
currency trading), is a great (and legal) way to make money at home.
But do you know that more than half of the Forex traders are actually
Forex losers?
70%
of Forex Traders lose money in the market; and only the remaining 30%
work towards earning millions annually. These 30% are a success at it
because they have Forex trading skills and are formally trained.
If
you are serious about working at home, making a fortune by trading at
home, you should consider LEARNING about Forex before you start. Forex
market is not a one off thing that a beginner can take risk with. An
investor needs to brush up his/her skills before nose-diving into it.
Forex
is an abbreviation for Foreign Exchange, and it is a system where
currency of one nation is traded for another. This is the reason why it
is done in currency pairs. The major currency pairs are the Euro Dollar
(EUR/USD); the British Pound (GBP/USD); the Japanese Yen (USD/JPY) and
the Swiss Franc (USD/CHF).
For
the understanding of beginners, Forex Trading is about simultaneous
buying of one currency and selling of another. The world's currencies
are on a floating exchange rate and therefore as already mentioned
earlier, are traded in pairs.
Forex
market is different from our regular shares & futures market. Since
the transactions in Forex trading are conducted between two
counterparts over the telephone or via an electronic network, Forex
Market is treated as an Over the Counter (OTC)/ 'Inter-bank' market.
Forex
trading is a 24-hour market that begins in Sydney every day and covers
the globe as the business day begins in each financial center, from
Tokyo, London, to New York and so on. Likewise an average small to
medium trader can trade as often as 10 times a day.
Forex
Trading is referred as 'Interbank' market because for years it was
dominated by banks. Of late though other participants like large
multinational corporations, global money managers, registered dealers,
international money brokers, futures and options traders, and private
speculators have also joined it.
The
most often asked question by beginners in Forex trading is, "How much
money can I make and how soon?" The one and only answer to this vague
question is rather simple. "Ultimately it depends on your appetite for
risk". Assuming you trade at the 100:1 leverage - while this type of
leverage allows investors to maximize their profit potential, the
potential for loss is also equally high. A more pragmatic margin trade
for beginners in the Forex markets would be 20:1.
Forex
trading skills and its complexities can be learnt irrespective of our
educational background, age, gender, country etc. Joining a forex
trading training program that is straight forward can help you to
understand the complexities of the Forex and teach you to trade
profitably.
Copyright
2009 - Vahid is a forex trader and forex market analyst. Hiswebsite is
the most reliable reference for advanced, intermediate and
beginnerforex traders: Trade Forex at Forexoma.
Join
Vahid's program now and start making money and learning forex at
thesame time. Earn while you learn: Earn Money through Forex.
