Forex is the world currency market where transactions are made on the sale, the sale of foreign currency. Forex is one of the largest markets on the whole planet.
One of the market participants, for example, transnational companies that pay employees salary, want to exchange foreign currency. But the main part of the foreign exchange market consists of foreign exchange traders who earn on the resale of currency, the course of which fluctuates relative to other currencies. In addition to foreign currency speculators, there are exchange speculators who earn on fluctuations in promotional rates. One of the advantages of foreign currency speculators is that they can trade even on small fluctuations in the exchange rate.
Forex is very little service information. Most often, fluctuations in the exchange rate are caused by monetary streams and global macroeconomic changes. Global and significant news in the financial sector is taken to the public, and all traders receive the same news at the same time.
There is no single universal exchange for a specific pair of currencies in the Forex foreign exchange market. Forex works around the clock, every day, except weekends, banks sell with each other on weekends. There are 4 trading sessions:
Asian – 1:00 – 9:00
European – 8:00 – 14:00
North American-12:00-21:00
Pacific – 20:00 – 3:00
Statistics. The average trade volume in one day for 2010 was 4 trl. dollars on analytics of the Bank of International Settlements.
Forex market has a LRC – this is the value between the price of the supply and the price of demand. At the price of EUR/USD 1.2039 1 PIPS – for example, if the LRC is 4 pips, then the EUR/USD quotation looks like this: 1.2039/
A trader can work on Forex according to a free schedule, at any time within a day.
If you read the article “Forex market – what it is?”, We advise you to read about how to start trading in the Forex market.