What is forex The question has been coming up more and more lately. Because investors who do not want their investments to lose value are looking for new ways to increase their current savings. Forex market is just one of these ways.
What is Forex and how to play Investors who started their research with the question of how much kazanThey wonder what they can do and how much risk they will face.
Forex is the world's largest money market. The daily trading volume is close to 7 trillion dollars. Of course, what such a large market provides is much more than other markets.
Well forex kazandoes he rattle? How to trade in Forex?
What is Forex How to Play?
Forex , is the world's largest and most liquid market, which is formed by the abbreviation of the words foreign exchange. In this market, CDF, stocks, commodities, indices, currency pairs and even cryptocurrencies can be traded.
Each investment product has its own trading conditions. What makes Forex advantageous is the special trading conditions it offers compared to other markets.
Forex Trading Conditions
trading in forex Investors who want to can benefit from important advantages such as double-sided investment, leveraged transactions, forex bonus campaigns, low spread rates and high liquidity.
Two-way investment; in forex, when prices go up or down kazanmeans being able. If you correctly predict that prices will fall, you will make a profit. If you predict that prices will rise and it is correct, you will still make a profit. The important thing here is to predict the direction of prices.
If leverage; It is a system that allows you to enter larger transactions with the collateral amount. Each forex company allows the use of leverage as determined by it and allowed by its licenses. Some forex companies offer average leverage ratios of 1:100, while others offer leverage ratios as high as 1:1000.
The leverage ratio indicates how many times your collateral amount will be traded. Therefore, a cautious decision should be made.
In addition, forex transactions can be made with low spread rates. Spread is the difference between the buying and selling prices of an asset. The lower the spread, the faster the profit will be. For this reason, being able to trade with low spread rates reduces the cost of investors. Like Olive Markets, Fxpro reliable forex companies It offers very low spread rates.
While choosing a forex company, it is necessary to pay attention to whether it is reliable as well as offering advantageous trading conditions. Customer comments about the licenses and money transfer processes owned by the companies are some of the criteria that enable us to measure reliability. Forex companies that successfully meet these criteria are generally reliable brokerage houses.
Another advantage of Forex is that it is the most liquid market. Liquidity; It refers to the ability of an asset to be converted into cash. Forex also has high liquidity with high trading volume. In this way, the orders of investors who trade in forex are realized instantly. There will be no problem in terms of supply and demand.
In addition to all these, it also supports new investors with forex bonus campaigns. Even with the account type called demo account, it is possible to gain experience by performing transactions with virtual balance in real market conditions.
For investors who want to experience forex by opening a real account directly. XM ForexImportant forex companies such as FXTM and Hotforex can be preferred. It is possible to gain forex experience with a small amount, as the minimum limit for opening an account in each of them is only 5 dollars.