How to start with Forex?
@curiousplay54 (341)
Malaysia
March 18, 2010 12:07am CST
Hi fellow mylotters...I am wondering about forex since I see many are using forex to get extra income. I haven't start yet because I don't know how, so can anyone explain to me how forex really works? Do I need to invest first and is yes what is the minimum amount that I can use to invest. I would really appreciate your help ... happy mylotting :-)
1 response
@de_toya (2429)
• Indonesia
18 Mar 10
Forex stands for Foreign Exchange. This is term of currency trading. Trading forex is exchanging one currency to another currency to get benefit from changing price rates of currency, compared to the other one. For example, yesterday you purchased 10,000 pounds and the GBP/USD rate was 1.9800. So, you spent your US dollar amount $19,800. Today, GBP/USD rates is 2.0000 and you decided to sell your Pounds to get back your US dollars. For your 10,000 pounds you get USD20,000. In this case, you get profit USD20,000-USD19,800=USD800.
This is simple example. Actualy, you may wait for long time to get enough profit in forex. You have to predict rates of currency and trend each currency. There are many factors influence currencies rate. You have to do market analysis to make decisions. In other word, Forex is not as simple as selling goods. If you want to invest small amount of your money and don't want to be expert in forex, just visit http://www.panamoney.net. I invest my money in panamoney amount 100$ and get profit daily about $0.5 - $1 daily. You can even choose your currency pair, GBP/USD, EUR/USD, USD/JPN, etc.
1 person likes this
@josechukkiri (3014)
• India
18 Mar 10
Thanks for your kind and simple explanation. The profit is $200. Isn't it?