Some Frequently Asked Questions About Forex
Basics Of Forex And Its Location Of Market
Forex stands for Foreign Exchange market it is also called FX market. It is largest market in terms of finance and offers high liquidity to traders. It has daily turn over of U.S$1.5 trillion approximately. It offers currency trading in pairs. There is no central location of Forex market; it is accessed globally through internet. Transactions are made through mails or via phone by two counterparts. Futures market and stock markets have centralized locations; they have their own futures trading techniques to work in their specialized fields.
Major Players Of Market
Forex market is mainly dominated by banks of the world. However, there is huge increase in traders from all other sections of finance in forex, due to high profit margins and liquidity of this market. There are many registered dealers, global money managers, huge multinational firms, money brokers, futures brokers and private traders coming in to this market.
Timing Of Forex Market
This market is open 24 hours a day; traders can do trading at any time. Official Forex day starts in Sydney and moves around whole world covering every financial center of the world namely Tokyo, London and then New York. This market never sleeps, so traders are free to buy or sell currency pairs when they feel effects on market by any terms like political influence, social and economic changes etc.
This market is for everyone who is ready to take chance, but it is very important to understand market before you start trading in it.