Do you know Forex trading?

An small introduction to Forex trading

The keyword "What is Forex Trading System?" is so Common these days, daily Means of People searching this long tail keyword from various countries.

So, actually forex trading is trading currencies to all over the world from various countries against each other. the word "Forex" is acronym of foreign Exchange currencies. 

Lets take an Example just for further briefing you, in europe the currency in circulation is called the Euro [EUR] and in the United States the currency they use is the US Dollar [USD]. So as a example of forex trade is to buy the Euro Spontaneously selling US Dollar$.  This process is known as Going Long on the EUR or USD.

Now, most of you will thinking of the word "going on" used in above paragraph.  its means Short position  finance.

The process of forex trading is basically done by the help of a market maker or something like that broker. As if you'r a forex trader you can choose a currency pair for forex trading that you might think to change in value and place a trade accordingly. Let's have an example, if you had purchased 2,000 Euros in January of 2010, it would have the lumsum cost you around $2,400 USD. Throughout 2010 the Euro’s value vs. the U.S. Dollar’s value increased. At the end of the year 2,000 Euros was worth $2,500 U.S. Dollars. If you had chosen to end your trade at that point, you would have a alot of gain of dollars.

Forex trades can be placed through a market maker or broker and the Orders can be placed with just a few number of clicks and the market maker then passes the order along to a partner in the Interbank Market to fill your position. When you are near to close your forex trade, the market maker closes the position on the Interbank Market and credits your account with the loss or gain on your luck. This can all happen literally within a few seconds. So at last i will just say forex trading is a business of Dream rich or Dream poor.

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