What is forex trading?
By newstar117
@newstar117 (171)
India
June 11, 2009 1:29am CST
I have been hearing about forex trading in many sites.What exactly is it?Have you ever tried it?Anyone earned money from it.I believe its like share trading.But would like to get more information from people who have used it.
6 responses
@ethereal1 (215)
• Australia
11 Jun 09
Forex, or Foreign Exchange, is just currency trading. This means trying to buy currency (like US$) when they are 'down' or undervalued and selling them when they are worth more relative to the currency that you exchanged them to. I personally haven't tried this, but I am considering it. I think you would have to do a far bit of research as to the reasons for rise and fall of currency values and be able to check your trading platform regularly to make the most money. It is, like you said, fairly similar to trading stocks, it seems a little easier to me though.
@newstar117 (171)
• India
11 Jun 09
thanks thats a useful information.Best of luck for your trading.
@yugasini (12893)
• Secunderabad, India
11 Jun 09
hi newstar,
i have hear about fore x trading, but not entered till , you have to invest for trading of foreign currencies in the international markets,just like shares trading,
@mipen2006 (5528)
• Australia
11 Jun 09
I haven't used it, but Forex is a currency trader, buying and selling currencies.
@buzzmaker (630)
• India
11 Jun 09
forex trading is currency trading (as you must know by now). If you are aware of stock/share trading you will get it quicker. It is similar to trading on stock exchange. You buy some and sell some when the price goes up or sell first and then buy if the price goes down.
You buy or sell depending on your study and judgment about the security. The prices keep going up and down and you profit from this difference of price at any point of time.
In forex trading, you buy a particular currency against another currency. For example, EUR/USD. If you are trading the EUR/USD pair and you place a Buy order it means that you buy the EUR and sell the USD. When you wish to take profits, you place the Sell order.
Hope this is not confusing.
@Cifer69 (187)
• Philippines
11 Jun 09
I heard it is trading currencies
like money changing
you change your dollar to euro or any other currency and change it back to dollar when you have profit
@ionsquare (530)
• Singapore
11 Jun 09
Hi,
Forex trading is a kind of investment that allow traders to profit from the foreign currency movements. In stock trading, there are ten of thousands of stock that you can trade but there are only hundreds of currency to trade in forex. There is forex brokers that give you $5 sign up bonus for you to trade and you don't have to deposit fund to get the bonus. You can get the website banner link on the top of my profile.