What is Forex? Guide to Foreign Exchanges 2022
What is Forex?
Knowing what forex is by doing forex observations makes a lot of sense.
Foreign exchange – which means foreign currency exchange, in Bengali – the buying and selling of foreign currency. on this forum; The currency of one country is traded with the currency of another country.
For example, buying or selling US currency USD or UK or British currency Pound (GBP) is called foreign exchange.
Where is this transaction?
There is a specific place to trade any commodity. Similarly, forex i.e. foreign exchange also has a special place. But before moving on to the main discussion, let’s talk a little more. Foreign currency exchange is done in two ways, one is offline i.e. direct or (P2P) person to person. Which is done by money exchangers in our city area.
And the other is online, which we will discuss here.
There is a specific house for forex, whose data is provided by different exchanges throughTop 10 Software Companies in Bangladesh the same process. It is better for everyone to simplify the matter without complicating it. So let’s make it easy.
There are many third party exchange markets in the internet world for forex trading. Where you can trade the forex market with one account. However, not all exchanges are trustworthy. So knowingly or unknowingly it is wise not to trade in the exchange market.
But there is no problem. I will try to find some reliable forex exchange market at certain times.
Trading in the forex market?
The Forex market is so large that it is home to the No. 1 stock exchange in the world, the New York Stock Exchange. But the forex market is about 25 times bigger than this stock exchange. So much so that it is easy to understand what is being traded in this market. Many big companies, owners of billions of dollars do business in this market. Which sometimes change the trend of the market.
However, the simple thing is that many big companies like me and you start with the general public and do business here.
Currently, many forex brokers have started trading cryptocurrencies. Bitcoin trading in particular has become quite popular. Although there are different cryptocurrency exchange sites to trade cryptocurrency.
Why trade in the forex market?
If you want to trade in a stock market, you should trade with respectable money, even if it is not big. Which is not possible for everyone. But a minimum of 1 dollar is enough to trade in the forex market. However, it is not possible to sustain up to $1 in the market. Just to make it easy, I said.
The market will only make profits in the stock market. But in forex, profit can be made in two phases, up and down (depending on the trade).
Large leverage is available for trading in the forex market. Which is not possible in stock market.
You can choose the time of your choice to trade the Forex market. During this time you can trade any time you want.
You can take up the forex market as a part time job. Which can lead to some extra income. However, if you trade the Forex market without learning it well, the potential for loss is very high. So before trading in the forex market, you should try to become a skilled trader. Then start trading. And to build your own skills, all forex exchanges have the facility to open a practice account or demo account.
The stock markets are likely to be affected by the vicious cycle. However, this is unlikely to happen in the forex market.
What are the requirements to trade in the forex market?
It takes money to trade (it is basically traded). Also computer or mobile and internet is needed. As well as beautiful skills (to make a profit).
Let me tell you a little about money. You need to convert your money into USD when you want to trade. Now USD is not really USD. It will be Fiat USD (Virtual Money). Online dollar in more simple language. Which could be Neteller, PerfectMoney, Skrill etc.
Here’s a basic idea of what forex is.
Note: This post is not encouraging anyone to trade the Forex market. You can face huge losses by trading in the forex market