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Hello Forex Traders!
This is for those of you that are interested in leaving Casino for FOREX, here is some helpful information:
About The Forex
FOREX is the acronym for the Foreign Exchange, a financial market where individuals and institutions exchange the currency of one country for the currency of another in order to transact business and investments internationally. Practically every person in the world has a relationship to the world of foreign currency trading. On a daily basis, you are involved in this market because you carry money in the form of your country’s currency. Whether you are holding U.S. dollars, Mexican pesos or Japanese yen, you’ve made the decision to the keep the currency you have in place of changing it for another country’s currency. Should you travel to another country and exchange your national currency for their own, your exchange transaction would be conducted through the Forex market.
Unlike other markets which trade though one main financial center (like the NYSE), the Forex does not have a home in one central location. Rather, the Forex is a network among banks, governments, corporations, liquidity providers, hedge funds and individuals all involved in currency trading. The Forex is open 24 hours a day, five and a half days a week, as currencies are constantly being exchanged through major financial centers, like New York, Tokyo and London, across the globe. This constant supply of currency buyers and sellers internationally makes the Forex the deepest and most liquid financial market in the world. On average, over $3.98 trillion is traded daily — an amount that exceeds the daily combined activity of all other financial markets.
In the past, investing in the Foreign Exchange was restricted to only central banks and large investment funds due to the high amount of capital needed to get involved in the market. By the mid-1990s, the internet consistently allowed Forex brokerage firms inexpensive electronic access to this market. This development, along with the creation of trading accounts with high leverage capabilities, made it possible for individual investors to finally trade the Forex in an affordable way.
Advantages
- 24 Hour Trading – The Forex trades 24 hours a day, five and a half days a week, from Sunday at 5:00 PM US EST to Friday at 4:00 PM US EST. Individuals have great flexibility to trade at their convenience, more so than in any other fianancial market.
- Unparalleled Liquidity – With thousands of buyers and sellers continuously trading currencies around the world, the potential for great financial rewards exists for everyone.
- Greater Leverage – In the stock market, individuals are usually limited to 2:1 leverage. With an eFOREX trading account, traders are granted higher leverage for FX trading, as all accounts come standard with 400:1. For example, a stock market trading account with 2:1 leverage and $2,000 on account can buy up to $4,000 worth of stock. In an eFOREX trading account with 400:1 leverage, the same $2,000 of margin leverage can command up to $400,000 worth of currencies. Leverage is a tool for Forex trading; it can substantially increase potential losses as well as potential gains.
- Commission Free – Outside of the bid/ask spread, Forex traders aren’t charged for software fees, brokerage fees, exchange fees or clearing charges for conducting business in the FX market.
- Portfolio Diversification – Trading in the Forex market can offer greater diversification to your total investment portfolio. The Forex is often uncorrellated to the fluctuations of the stock, bond and commodity markets.
FOREX Brokers:
eFOREX
- We are the complete Foreign Exchange online Trading solution. Come take advantage of our standard 400:1 leverage, Hedging capabilities, No FIFO restrictions, as well as Award Winning Meta Trader and ACT Trader Trading Platforms.
- With over 30+ currency pairs (with CFD’s coming soon), Monthly Account funding incentives / promotions, and a very handsome Affiliate CPA compensation structure (with the ability to earn up to $300 per referral), it is simple to see why eFOREX is one of the fastest growing online trading firms in the industry.
