'Largest financial market in the world with over $3 trillion in average daily turnover!'
Average daily turnover of
$3 trillion (U.S. dollar)
Dear Trader, welcome to the dynamic world of forex, where the markets never sleep (except on the weekends of course). Boasting of an average daily turnover of $3 trillion (U.S. dollar) if not more, the world of currencies is one of the largest, even bigger than the equity markets.
If you are wondering what forex trading is all about, then this section will aim to open your eyes to the new world of online trading.
'Five things that make forex trading different to stocks'
Forex is traded over-the-counter, meaning that trades are not centralized. Stocks on the other hand are traded at a regulated exchange where all trades are centralized
The Forex markets operate 24 hours a day and are closed on the weekends. On the other hand, stocks are traded during the U.S. or the respective country’s business hours. In most cases, stocks trade no more than eight hours a day
You need to have a considerable capital if you want to trade stocks, which puts off most from trading due to the big capital requirements. Forex on the other hand allows you to trade for as little as $100
Using leverage in forex you can magnify your trading profits significantly. Most often, you will find that the average leverage that is used in forex is about 1:100. This means that you can trade up to 100 times your capital in forex, which is not available with stocks
You can buy or sell a currency pair with ease in forex trading. When it comes to stocks, only long or buy positions on the equities are available and you can only sell the stocks that you own