How to trade the forex market?
How To Trade The Forex Market
When most people think of “financial markets, ” they think of the stock market or maybe the commodity market. The stock market and commodity markets are small, however, compared to the largest financial marketplace in the world—the foreign exchange market.
Each day, over $3 trillion exchanges hands in the fx market. To put that number in perspective, the daily turnover at the New York Stock Exchange is only around $60 billion!
The FX market is the place where people trade currencies. Until the late 90’s, the only people who had access to trade in the fx market were large banks, hedge funds, and corporations. The reason was simple—the minimum contract size was typically $1 million, which meant that smaller traders simply could not afford to trade.
That all changed in the late 90’s, however. The internet boom led small, retail brokers to begin offering traders an opportunity to trade in the fx market with as little as a $100 deposit. Over the last 10 years, the fx market has literally exploded. Not only is it the largest financial marketplace in the world, it is also the fastest growing. Let’s discuss a few reasons why so many investors and traders are attracted to the fx market.
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