What are the advantages of the Forex Market over other types of investment markets?
When thinking about various investments, there is one investment vehicle that comes to mind. The Forex or Foreign Currency Market has many advantages over other types of investments and these advantages can help you make money with forex.
One advantage is that the forex market is open 24 hours a day unlike the regular stock markets. Also unlike the stock markets, forex requires much less of an amount of capital to take advantage of an investment opportunity.
To trade Forex, you only need a small amount of capital. Anyone can enter the market with as little as $300 USD to trade a "mini account", which allows you to trade lots of 10,000 units. One lot of 10,000 units of currency is equal to 1 contract. Each "pip" or move up or down in the currency pair is worth a $1 gain or loss, depending on which side of the market you are on and which currency pair you are trading. A standard account gives you control over 100,000 units of currency and a pip is worth $10.
The forex market is also very volatile and that means liquidity. You are not require to allow your money to be held for long periods of time. You have full control of you capital.
And last but certainly not least, forex markets are the most trending markets. There are always trends beginning, running and ending; therefore, creating excellent trading opportunities. The Forex market can be traded anytime, anywhere. As long as you have access to a computer, you have the ability to trade the Forex market.
Additionally there are trading strategies, which are taught that provide for compounded profits; these are profits on top of profits.
In addition, free demo accounts are available within the industry of forex trading, which facilitate the sharpening of skills without the risk losing any capital. And the advantage regarding the time factor in trading foreign currency is a very attractive point for any investor.
Compared to one of the most sought after avenues of investing, which often requires forty or more hours each week, namely in the real-estate market, the forex market requires a much smaller demand on the investor's time.
Forex trading requires approximately ten to fifteen hours each week to earn a full time income. It's easy to see that the advantages and great leverage that exist in the forex market, make it among the most lucrative, time liberating, and easy to enter by far.
Copyright (c) 2010 Rob Patterson
When thinking about various investments, there is one investment vehicle that comes to mind. The Forex or Foreign Currency Market has many advantages over other types of investments and these advantages can help you make money with forex.
One advantage is that the forex market is open 24 hours a day unlike the regular stock markets. Also unlike the stock markets, forex requires much less of an amount of capital to take advantage of an investment opportunity.
To trade Forex, you only need a small amount of capital. Anyone can enter the market with as little as $300 USD to trade a "mini account", which allows you to trade lots of 10,000 units. One lot of 10,000 units of currency is equal to 1 contract. Each "pip" or move up or down in the currency pair is worth a $1 gain or loss, depending on which side of the market you are on and which currency pair you are trading. A standard account gives you control over 100,000 units of currency and a pip is worth $10.
The forex market is also very volatile and that means liquidity. You are not require to allow your money to be held for long periods of time. You have full control of you capital.
And last but certainly not least, forex markets are the most trending markets. There are always trends beginning, running and ending; therefore, creating excellent trading opportunities. The Forex market can be traded anytime, anywhere. As long as you have access to a computer, you have the ability to trade the Forex market.
Additionally there are trading strategies, which are taught that provide for compounded profits; these are profits on top of profits.
In addition, free demo accounts are available within the industry of forex trading, which facilitate the sharpening of skills without the risk losing any capital. And the advantage regarding the time factor in trading foreign currency is a very attractive point for any investor.
Compared to one of the most sought after avenues of investing, which often requires forty or more hours each week, namely in the real-estate market, the forex market requires a much smaller demand on the investor's time.
Forex trading requires approximately ten to fifteen hours each week to earn a full time income. It's easy to see that the advantages and great leverage that exist in the forex market, make it among the most lucrative, time liberating, and easy to enter by far.
Copyright (c) 2010 Rob Patterson