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vengabeats January 22nd, 2006 11:20 PM

Forex trading Introduction
 
# What is Forex trading?
* Forex trading is the trading in foreign currencies.

# Features

* Market is open 24 hours 5.5 days a week.
o Pros: One can trade in ones the late evening and early morning without disturbing core business.
o Cons: One tend to rob the time for family and friends, but then week end is there. Beware of not getting addicted to get glued the terminal.
* Forex market is most liquid, they say daily volume is more than $1.5trillion, many times more than the volume of all the stock exchange across the globe put together.
* Great leverage of as low as 50:1 to 200:1.
o Pros: One needs a relative less capital for a large exposure. For the exposure of $10000 you need only $100.
o Cons: One tend to over trade. Please refrain from it and apply due diligence.
* Commission or brokerage free trading.
o Actually its a catch because these elements are catered from the spread* as nobody can afford to give free lunch and sustain.
* No restriction on shorting.
o A great feature, as you can trade in both rising and falling market with equal ease without bothering for producing instrument.
* The trade can be rolled over at a relatively very small roll over fees.
* Not a very large number of scrips to scan to find a possible entry into trade.
o Though over 60 pairs* of currencies are trade, but primarily only about 5-6 pair is actively traded*, hence you need to concentrate on these few only.
* Market maker cannot manipulate the market.
o As the volume is huge no single or syndicate can manipulate the market which can easily be done in case of stock market.
* Forex market is very much amenable to technicals.
o Forex market is trending and you would agree that one can make money only in trending market only. (converse is also equally true unless the trade is taken with necessary study or advice)


How?
* You open an account with a base currency say US Dollar

#What is the minimum amount needed to open a account?
* You may open an account with as low as $250 only, i.e. Rs11352.5 (250*45.41) plus wire transfer or money transferring fees.

With so many attractive feature, why forex trading is not so popular in India?
*Till recently the participants were big corporates hedging their export/import requirements or large capital banks or even central banks of respective countries.
*There was restriction on investing abroad. Now with the change in law one can invest upto $25000

vinu123 July 1st, 2007 08:37 PM

Re: Forex trading Introduction
 
Isn't there a option like "Bookmark this Post"?

This is good info

capriura July 24th, 2008 03:23 PM

Re: Forex trading Introduction
 
Hi all.......

I'm interested to trade in FOREX.

I stay @ hyderabad.

Kindly, let me know, where in India I can a open a FOREX trading A/c.

Help appreciated.

capriura

kartik July 25th, 2008 01:47 PM

Re: Forex trading Introduction
 
Sign up at http://ads.easy-forex.com/Gateway.aspx?gid=56385 and start trading.

The initial deposit amount is 250 $ i guess.

Forex trading has amazing profits when done in the right way

ROHAN KACHALIA August 10th, 2008 04:23 PM

Re: Forex trading Introduction
 
well for more info on forex markets, basics, concepts visit this link....

Forex Market | Forex Trading Tools-Information | Online Forex Trading

:tea:

richemarks December 27th, 2008 01:54 AM

Re: Forex trading Introduction
 
Hi,

The Forex market is a non-stop cash market where currencies of nations are traded, typically via brokers. Foreign currencies are constantly and simultaneously bought and sold across local and global markets and traders' investments increase or decrease in value based upon currency movements.

If you want to be successful in Forex trading then it is essential to choose the right Forex broker. This is one of the most vital factors if you want to reap the benefits associated with the currency market

sultan111 March 19th, 2009 04:01 PM

Re: Forex trading Introduction
 
Forex is tedious. I suggest don't even think of venturing into it. My friend got burned by the Forex Market meltdown but to my surprise he still does forex trades. But if you people are still interested i would suggest first check out some useful websites like Marketiva.com, 4xindia.com, Oanda.com etc
Take tips from them and start thereafter.
To your success,


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