Forex Basics - What is Forex?

[glucoseguy]

Its rather funny when people tend to see forex as a business in which one gets rich easily. Yes, we can make good profits from it but we can't just get rich so easily by trading. Even in gambling, its not easy for one to get rich quickly. Some precautions have to be taken in order to avoid losses which is more dependent on luck, same applies to forex but with less dependence on luck.

 

[barood4money]

It is the word of destiny. To get something, you have to give something. To be rich at forex trading, you have to give your hard work, dedication, time and patience of years.

 

[Decub]

Its rather funny when people tend to see forex as a business in which one gets rich easily. Yes, we can make good profits from it but we can't just get rich so easily by trading. Even in gambling, its not easy for one to get rich quickly. Some precautions have to be taken in order to avoid losses which is more dependent on luck, same applies to forex but with less dependence on luck.

That is lack of commitment on their own part. I am yet to see the reason why I should see Forex as a get rich quick business because I have never seen that rich syndrome in it. Some people are just not getting it from the angle of being a business like other businesses.

 

[seeker]

Forex tradind is merely the buying and selling of currencies from different countries. To illustrate, its when one buys dollars and expect to sell it when it appreciates more in terms values. That is just kind of example that can be done and ot is very lucrative.

 

[Bonyi]

Wow! Great post. Very informative. This is a must read for every trader who wants to be successful in forex trading. Knowledge is the key to being profitable. So it is important that all traders especially newbies get to know this.

 

[glucoseguy]

That is lack of commitment on their own part. I am yet to see the reason why I should see Forex as a get rich quick business because I have never seen that rich syndrome in it. Some people are just not getting it from the angle of being a business like other businesses.

That's true; the fact that people can't view forex from an angle of being a normal business is the main reason why they fail when they venture into forex. They go into it with the mindset that it's a 'get rich quick business'. If you ask me, i'ld say that its because forex tutors who teach forex just for money always specify that its a 'get rich quick business'. I've seen many people come up on the media to claim to teach forex. They advertise their seminars through the media and the way they brief on forex shows that they want people to believe that they can easily get rich through forex trading.

 

[riddick09]

It's a business and should take it seriously. Investments is no joke because, we accumulate it and we work for it and we don't want to lose it easily. And that's why our reason in Forex trading is to make profit from our investments. And the first they will focus is the basics particularly the terms used.

 

[barood4money]

Because of the frequent fluctuated market, forex trading is very unique business. For forex trading, you need good forex knowledge and skills. As everyone is involved here to earn some profits by investing their hard earn money.

 

[Decub]

Its uncertain nature and frequent movement in rates is even the much reason why it shouldn't be taken lightly. But it baffles me that people after seeing and understanding the market is and how it works still think it is a cash cow. The unique nature of Forex as seen by so many is not in the money giving potentials but the delicate nature. That is the major factor that differentiates it from other online businesses.

 

[Cutiekc]

Its uncertain nature and frequent movement in rates is even the much reason why it shouldn't be taken lightly. But it baffles me that people after seeing and understanding the market is and how it works still think it is a cash cow. The unique nature of Forex as seen by so many is not in the money giving potentials but the delicate nature. That is the major factor that differentiates it from other online businesses.

Well, that is because you have dilved deeped into forex trading because if you haven't you'd still woild have had the same point of view with other traders. Furthermore forex trading rate movement has so many factors that makes it change. Though said to be economical factor.

 

[Decub]

Well, that is because you have dilved deeped into forex trading because if you haven't you'd still woild have had the same point of view with other traders. Furthermore forex trading rate movement has so many factors that makes it change. Though said to be economical factor.

Yes, economic factor seems to be the head among them but there are still other factors like social and security though they come together to influence the economy of a country which takes its toll on the currency of that country. Well, I think Forex is what we are able to make out of it.

 

[Cutiekc]

Yes, economic factor seems to be the head among them but there are still other factors like social and security though they come together to influence the economy of a country which takes its toll on the currency of that country. Well, I think Forex is what we are able to make out of it.

Well, I think that social and seurity factors does not intensively move the market just as economical factors will normally do. Well, forex trading has more added to it than saying that it is the buying and selling of currencies because we will have to do analysis to know when to by and sell.

 

[barood4money]

Well, there are many reasons and prospects which moves the market. Example such as demands, supply, economic condition, social health etc. Reports based on this is conditions are most of the time useful.

 

[gkintl]

I also wish to say that forex market was never intended for investment. It was primarily started to facilitate cross border business transactions. However, the liquidity, time flexibility and volatility made financial institutions to have a trading desk separately for the forex market. This was later on opened up for retail investors. Because of high liquidity, the price discovery mechanism works close to perfection only in the forex market, albeit remaining unregulated.

 

[Bonyi]

This is very informative. I think every trader need to go through this write up for more knowledge about forex

 

[Decub]

I also wish to say that forex market was never intended for investment. It was primarily started to facilitate cross border business transactions. However, the liquidity, time flexibility and volatility made financial institutions to have a trading desk separately for the forex market. This was later on opened up for retail investors. Because of high liquidity, the price discovery mechanism works close to perfection only in the forex market, albeit remaining unregulated.

Yes, and to add to that, from the infantile stages of Forex through the middle ages, the Fx market was relatively stable and the speculations is not as much as it is seen these days. The speculation increased due to the origin of the Bretton Woods accord.

 

[tray]

Forex is just the buying and selling of currency online and get the profit through the little exchange services this is what forex trading is all about and its the best way to deal in this precious market

 

[Cutiekc]

Forex is just the buying and selling of currency online and get the profit through the little exchange services this is what forex trading is all about and its the best way to deal in this precious market

Well, it sounds so easy and it is easily said than done. When we say that forex trading is the buying and selling of currencies it also means that we will buy and sell at the right time because when it isnt made at the right time then we will loss that's why it is important that we have some analysis before trading.

 

[barood4money]

It sis obvious. Every second the price of currencies fluctuates. So, to earn money from forex , the simple logic is to buy currency at low rate and sell at high rate. But the main factor is to learn how to analyse all this things.

 

[madni434]

yes i like this post nice sahring keep it and i think forex is a most popular and trusted business in the world and many peoples koin this job in daily base
i like foerx