Forex in simple words

Everyone who tried to learn about forex trading knows that most of the information is difficult to understand. It’s really rare if you find it in simple words. Very often the first acquaintance with Forex can forever discourage the desire to become a trader because all the information is in scientific terms that usual reader simply can’t understand. People just spend a lot of time searching for the meanings of new words. This goes away further and further from the initial goal. And this happens almost always. As a result, the desire disappears. And instead of knowledge people receive only fear, nothing more. We’ll try to explain to you all this briefly and in simple words.

What is Forex?

Forex is an international market which started its history back in 1971. This is an exchange of currencies after the incident when almost all the major countries of the world refused to support their money reserves by gold. From that moment, the exchange rate is established not by governments but directly by the market. It is the market that affects the stability of each currency. Forex is speculative since people can buy currencies and they can sell it too. The profit of traders depends on the difference between buying and selling prices.

[rsnippet id=”3″ name=”100 bonus”]

Trading on the forex market

Forex trading is based on currency pairs. Their symbols are indicated by some codes that correspond to the certain currency. For example, GBP is the British Pound or CAD is the Canadian Dollar, and so on. At Forex, you can trade simultaneously about 40 currency pairs not counting the cryptocurrency.

The basic rules of the Forex market

First of all, you need to understand trading on the forex market is risky. Afterwards, you have to open an account with some forex broker and fund your deposit. There are many companies that offer free training and assistance of specialists, so it would be great to learn some basic information there. And most importantly, if you are just a beginner trader, then you just need to ask a specialist for a help. He will assist you with the first steps.