FOREX MARKET, FOREX TRADING

Some of the benefits of trading the Forex market are:

Any time liquidity.

Liquidity is what really makes the Forex market different from other markets. The Forex market is by far the most liquid financial market in the world which ensures price stability and better trade execution. Allowing traders to open and close transactions very easy.

24hour Market.

This is also one of the big advantages of trading Forex. Market opens on Sunday at 3:00 pm EST when New Zealand begins operations, and closes on Friday at 5:00 pm EST when San Francisco terminates operations. There are transactions in practically every time zone, allowing active traders to trade.

Leverage

Trading the Forex Market offers a greater buying power than many other markets. Some Forex brokers offer leverage up to 400:1, allowing traders to have only 0.25% in margin of the total investment.

Transaction costs are very low

The only cost traders incur in any transaction is the spread which is the difference between the buy and sell price of each currency pair. This spread could be as low as 1 pip i.e., the minimum increment in any currency pair in some pairs. Almost all brokers offer commission free trading.

minimum investment which is very low:

The Forex market requires less capital to start trading than any other markets. The initial investment could go as low as $300 USD, depending on leverage offered by the broker.

Specialized trading.

The liquidity of the market allows us to focus on just a few instruments (or currency pairs) as our main investments (85% of all trading transactions are made on the seven major currencies). Allowing us to monitor, and at the end get to know each instrument better.