The Complete Newbies Guide To Online Forex Trading |
http://www.flashthemoolah.com/forex
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The Complete Newbies Guide To Online Forex Trading |
http://www.flashthemoolah.com/forex
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Welcome Thank you for downloading The Complete Newbies Guide To Online Forex Trading! I hope you will find real value in this report. If you are new to Forex trading, but not to stock investing, then this guide should help you to get a feel for the differences between trading on the foreign exchange market versus trading on the traditional Stock market. If you are new to investing in general, then this guide can open your eyes to a world you never knew existed, while not overwhelming you with too much complicated financial jargon. There are a lot factors unique to the Forex market which make it a very exciting, fast-paced alternative to traditional investing:
The market runs 24 hours a day, but it depends what times are best to trade.
The market is affected by world events and news more so than others
There are no commissions to be paid out on your trades
Extremely high-liquidity
100:1 Leverage (move $100,000 in currency using only $1,000 of your own money!)
These factors alone make Forex a fun and intellectually stimulating challenge. If you love to watch the news, keep up with politics and piece together all of the ways that the 'powers that be' influence the global economy, then you will really love the foreign exchange market. In order to be a good trader, you must learn to see how events in one part of the world create ripples that affect the economies of nations all the way on the other side. It is truly a study in the interrelatedness of us all. If you want to know more about what are quality trading times for the Forex, you should check out the link below:
http://www.forexmarkethours.com My hope is that you will be truly excited about Forex after reading this report, and come away with enough knowledge and confidence to pursue additional education on the subject if you so choose.
The Complete Newbies Guide To Online Forex Trading |
http://www.flashthemoolah.com/forex
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Introduction What Is The Forex Market All About? The term 'Forex' is short-hand for 'foreign exchange.' The Forex Market = The Foreign Exchange Market. What are being exchanged on this market are not stocks or bonds, but currencies (monies) from around the world. In other words, the Forex market is the place where U.S. dollars, Euros, Yen and other major currencies are bought and sold. It represents the largest financial market in the world by volume. The origins of the foreign exchange market date back to 1944, when The United Nations Monetary Fund convened in Bretton Woods, New Hampshire to devise a plan for stabilizing the world economy. The British Pound had been, up until World War II, the monetary unit of choice when comparing the relative value of foreign currencies. However, Hitler's regime managed to devalue the Pound by way of a massive counterfeiting scheme. Something had to be done quickly in order to avert a worldwide economic depression. Out of this meeting came the Bretton Woods Accord. This new policy implemented the Gold Standard, tying the value the U.S. Dollar to the price of one ounce of gold ($35.00 per ounce at the time). It was further agreed that the Dollar would replace the British Pound as the benchmark "currency of exchange". All other currencies were aligned to the Dollar, and a 'fixed exchange rate" of +/- 1% was established. In other words, a foreign currency could fluctuate up to a maximum of 1% higher or lower than the Dollar. Any fluctuations beyond this limit required that the 'offending' nation's central bank step in to correct the imbalance. The Bretton Woods accord remained in effect until 1971, when it was determined that the U.S. dollar could no longer hold steady relative to gold. At this time, the 'fixed exchange rate' model was abandoned in favor of the 'floating exchange rate' we still use today. Note: If any of these terms are unclear or confusing, don't worry. We'll look at them more closely when we get into the nuts and bolts of Forex.
