If you are new to forex trading, this article is a must-read. Here we will discuss the basics of forex trading and how to get started with your first trades.
What is Forex?
Before deciding on which broker to go for, it would be best to have a clear idea of what forex trading is all about.
The Forex market consists of more than 5 trillion worth of currency being exchanged every day. The foreign exchange market, also known as the forex market or FX marketplace, is the world’s largest and most liquid market. The foreign exchange market is one of the biggest in the world. The daily turnover is estimated to be over $1.5 trillion per day. This makes it one of the largest financial markets in existence, with its trading covering every time zone across the globe.
First, let’s clarify that there is no such thing as a “free” forex market. You will always incur trading fees when doing business with currency traders, whether you are trading in small or large volumes. This article aims to discuss the factors that affect forex trading fees and how you can try to minimize them.
How to Choose a Forex Broker
These days, there are thousands of online brokers offering their services in the currency trading market. The choice may seem overwhelming at first glance. We suggest you use markets.com to find a reliable Forex Broker.
What is Currency Trading?
Currency trading, sometimes called Forex trading, is a global market where the world’s currencies are traded. It is estimated that this market contains close to $5 trillion worth of currency trade each day. The foreign exchange market operates 24 hours a day, five days a week. As a result, this market is one of the most active markets globally, with billions of dollars being traded every day.
How to start trading in forex?
To trade currencies, you have to set up an account with either a bank or broker that deals in foreign exchange. This broker will be regarded as your forex broker. As a forex trader, you will convert your domestic currency into another currency. This way, you can get the most foreign currency for your domestic money while reducing the loss due to exchange rate fluctuations.
How to Trade Forex? – The Procedure
Once you have set up your trading account with a forex broker, you are ready to start trading currencies! There’s not much else to do except pick up the phone and place your order. The procedure is very straightforward: you call your broker and tell them how much you want to buy or sell, then confirm the price and instructions.
The Forex market contains the largest and most liquid pool of capital in the world. Furthermore, it is the only market that starts every day clean, meaning no transaction has occurred before or during its opening hours! With such dynamics on your side, who needs to be a millionaire to start an international business?
