THE INTERNATIONAL CURRENCY MARKET FOREX

The international currency market forex was generated in 70th years of the XX-th century. World trade by currency has actually passed from fixed courses to the floating. Thus the course of one currency concerning another is defined by the most obvious image. The relation is defined by participants of the market on which they agree, that became more convenient and interesting.
The international currency market forex, in difference from the exchange market of futures and the share share market , has no certain site. It is possible to name it the synthetic market, for fulfilment of transactions on it it is possible not to leave at all the house. Trade in the market forex is carried out round the clock, exceptions are made by days off and holidays. To make trading operations on currency tools it is possible from any point of the world through the Internet or by phone. The computer is necessary for trade through the Internet on which for the trader the trading terminal (software maintenance of the broker for the market and trading analysis in a mode of real time) is established . The Internet and software maintenance is necessary that you instantly could find the person with which it is possible to conclude the bargain on this or that currency tool. If for example you wish to sell 1 prize EUR/USD it is necessary for you that someone wished to buy 1 prize EUR/USD. More precisely for you it will be made by the broker (the firm which carries out your exit on the international currency market forex). Liquidity of the market forex allows you to press only the button in the trading terminal of the broker and the transaction will be practically carried out simultaniously. The broker small compensation (on forex it is called spread) takes final for the services.

PARTICIPANTS OF THE MARKET FOREX (TRADERS)

The basis of the auctions in the market forex is made by transactions of speculative character, thus traders earn money and receive the income of the investments. As economy of the different countries are closely interconnected exchange rates considerably vary rather each other, that creates favourable circumstances for traders of the market forex. The basic idea of work in the currency market is simple - to buy currency it is necessary cheap, then to sell expensively or on the contrary (that at the beginning is not absolutely clear), to sell expensively, then to buy when it will fall in price.
The market forex allows traders to make round the clock an exchange of one currency concerning another. Exchange rates define relative quantity of each currency in this exchange. Forex for today has a turn more than 3 bln. US dollars a day. The volume of transactions on it is made "space".

BROKERS AND DEALING THE CENTERS

The broker is necessary for an exit on the market forex for the trader or dealing the centre - the company which will place money of the trader for the trading deposit, will give the trading terminal , quotations of traded tools, objective and timely financial news and will execute orders of the trader on fulfilment of transactions. Important that the broker, which has chosen the trader qualitatively and quickly executed warrants (command) of the trader. Deposits of traders should be reliably protected, is in reliable bank and to be insured in the solid insurance company . That trade conditions given by the broker, were as much as possible favourable to the trader - low speads is important also, a wide range of financial tools, with out restrictions at exhibiting of the postponed warrants to affinity to the market, not hanging and constantly not overloaded trading server, the big range of a credit shoulder and мнго other factors.

FOREX - THE MOST POPULAR FINANCIAL MARKET

Thanks to the availability, low size of the minimum deposit and wide advertising, the market forex is most popular of all financial markets of the world for trading through the Internet at the big circle of traders and investors. In trade in the international currency market forex as professional traders, the funds, the operating companies and banks, and individual traders.

TRADING STRATEGY FOREX

For reception of profit on the invested means traders use various trading strategy. Trading strategy happen: short-term - the trader keeps the open transaction within several hours, intermediate term - the transaction remains opened from one day about one week, and long-term - the position keeps opened during some months. One trading strategy are based on the technical analysis of the schedules constructed under quotations of currencies. Other trading strategy for the analysis use fundamental factors and financial news.

THE TRADING ESSENCE ON FOREX

We (further - forex traders) can receive profit, buying currency at lower course and selling on higher, or on the contrary - selling on higher and buying on lower. On a share of speculative operations the most part of transactions of the currency market forex is necessary. Forex is not trading the market and functions round the clock in the various financial centres worldwide. Early in the morning trade begins in Asia, then in process of opening of the financial centres moves to Europe and, at last, America. Hours of their work are blocked, therefore currency forex functions all day and night. Every second market works forex occur hundreds transactions of purchase and sale of currency.

THE DESIGNATION OF CURRENCIES FOREX

Currencies which participate in the transaction, are usually identified by a trigram code which is applied in payment system S.W.I.F.T. For example: USD - the American dollar, JPY - the Japanese yen, GBP - pound sterling, EUR - euro, CHF - the Swiss franc, CAD - Canadian dollar, AUD - the Australian dollar.

THE SHOULDER INCREASES BOTH THE INCOME OF INVESTMENTS, AND RISKS

At trade on forex, the trader usually works with the sums several times surpassing its capital. Broker firms give to clients a shoulder, for small deposits it usually happens 200:1, that is potentially the trader can work with the sum of 200 times more than its capital. Thus margin trade on Forex gives potential possibility to earn huge money with small investments, but into too time is not necessary to forget and that in case of the incorrect forecast losses also can be big.

QUOTATIONS OF CURRENCIES FOREX

Difference of forex from a commodity market consists that the goods is money, to be exact currency of the different countries, but not simply currency (for example GPB, USD and so forth), and the relation of these currencies to another. These relations are called as quotations. For example EUR/USD, USD/CАD, GPB/USD, EUR/JPY, etc. Quotations of forex always consist of 2 numbers: the first (is called bid) - the price on which you can sell the first of currencies in the quotation, the second (is called аск) - the price on which you can buy currency. For example EUR/USD 1,3650 1,3652. The difference between ask and bid is called as a spread.

THE GOODS ON FOREX IS MONEY

As well as in any market, on Forex there are goods, sellers, buyers and money. You can act, both in a role of the seller, and in a role of the buyer. More precisely to tell, any trader on Forex ALWAYS becomes both the seller, and the buyer. Specificity of the market consists in it: transactions are made not for final consumption of currency, and for the subsequent sale/purchase for the purpose of reception of profit on a difference in the prices, i.e. you physically cannot take advantage bought yesterday 10 000 thousand EUR/USD. That bought EUR/USD have turned to real money for your account, it is necessary to sell them at the price of higher, than the purchase price. Here and all knowledge of trade on Forex.

WORK IN MARKET FOREX

Work on Forex, and is work since she demands from the person of the big intellectual and nervous expenses, consists in the constant analysis of the market. The analysis is necessary for forecasting of behaviour of the prices for the purpose of occurrence on the market in an optimum situation. Imagine, as it would be healthy to get to the future on a week and to learn, that the British pound against the American dollar will fail on 500 points because of any awful event, and then to return to the present, and to sell large quantity GPB/USD. Having waited a week, it will be necessary to buy so much GPB/USD, how many it has been sold, but already under the new, failed prices. Thus it is possible to earn the big money for a difference of exchange rates, participating in the auctions on forex. And so, to have possibility « to get in future», it is necessary to carry out constantly the market analysis, to analyze an economic and geopolitical situation in the world. There are two types of the analysis: fundamental and technical.

THE FUNDAMENTAL ANALYSIS OF THE FINANCIAL MARKETS

The fundamental analysis is based exclusively on research of the reasons of change of the prices on forex, i.e. the analysis of world events such, as performance of head FRS the USA with the report, explosion in the British underground, natural cataclysms in the European countries, a birth of the next child at the US president (probably illegitimate) etc. It is possible to list similar events indefinitely, therefore it is necessary to remember, that « anything on the Earth does not pass бесследно». Naturally not all events render strong influences on the prices, therefore there are special economic calendars to which officially planned events which can appear rotary in dynamics of movement of the price and which it is necessary to watch at work in the currency market of forex are written. Also it is necessary to remember, that two events can compensate influence each other. In general, there is a set of nuances, which are necessary for knowing qualitatively to predict behaviour of the prices.

THE TECHNICAL ANALYSIS OF THE FINANCIAL MARKETS

The technical analysis does not have affairs to the reasons of change of the prices - its purpose forecasting on the basis of the retrospective information on the prices. Basis of the technical analysis - the schedules of the prices received under quotations of currencies for the certain period. Construction of trends, use are various indicators, oscillators, sliding averages, definition of graphic figures on schedules and many other things - that allows the trader to define with a high share of probability the future behaviour of the price, and, accordingly, to make the decision. And nbsp; Possession of both kinds of analyses - a key to riches on forex.

THE COMPUTER AND ACCESS TO THE INTERNET

For a long time already the computer became articles of prime necessity for the trader. Now it is possible to tell, that the computer of the trader working in the market forex, should be necessarily connected to the Internet. Except it-lajn of trade and information systems, the Internet gives to the trader set of other possibilities. Among them: conferences of traders, news and analytics forex, the software, and also libraries, bookshops, collections of useful references and many other things. Many web sites offer analytical articles, forecasts of economic indicators, calendars of economic and political events, the technical analysis executed by known experts of the market forex.

SOFTWARE MAINTENANCE

For trading in the market forex the software for the graphic analysis of the financial markets is necessary for the trader and is direct for fulfilment of transactions (or the trading-analytical terminal). We give to our clients the best of the most popular trading-analytical terminals of forex: Metatrader 4 and Metatrader 4 Mobile .