What is Forex?

Foreign Exchange (forex) or known as the foreign exchange (forex) is one of a growing investment options around the world today. Forex Trading is trading exchange foreign currency in international financial markets. Forex market is the largest financial market in the world.

That the transaction in the forex market are: the governments in the world, major banks of the world, international companies, hedge funds, currency speculators and individuals. Thus the number of players in the forex market is causing the velocity of money becomes very fast. Transactions that occurred more than 1.9 trillion U.S. dollars every day that makes money can be transferred from one place to another in just a few seconds.

Like the stock market players can do forex trading by using brokerage services (Commission house) or do it yourself online via the internet.

Forex trading has several advantages compared with the trading of financial products such as stock trading, namely:

24 Hours Trading

Can be done 24 hours a day, 5 days a week, whenever and wherever we are.

Liquidity

Very liquid with the number of broker / dealers who play in the forex market.

Low transaction costs

Brokerage commissions are relatively small, even for online trading through the internet there are no transaction fees but are charged only the amount of variety. In addition the spread is also small.

2 Potential advantages direction (up or down)

Having a good profit potential in a strong currency and the currency weakened.

Margin Trading

Trade on margin investors to make purchasing power exceeds the amount of capital owned.