Can I teach myself to trade forex?
Can I teach myself to trade forex? Through the forex market, investors can buy and sell and speculate on currencies to reap profits. The currency market is the largest financial market in the world, with daily transactions amounting to more than 6 trillion dollars, thanks to the presence of many banks, trading companies, global central, investment and hedging companies, forex, and retail investors.
What is the term forex?
In short, the forex market is the trading of one currency for another. For example, anyone can exchange US dollars for the Japanese yen. Foreign exchange transactions can also be conducted in the exchange market which is known as the forex market.
This market operates five days a week from Monday to Friday 24 hours a day, excluding public and international holidays. This market allows individuals to trade currencies online. These trades can also be made through your computer or mobile phone.
To learn forex for beginners, it is necessary to know the information surrounding it, as there are three different types of forex markets that every person should know: the spot forex market, which is done instantly within a short period of time.
The forex forward market is the market in which the purchase or sale of a certain amount of currency is agreed upon and settled at a future date. Finally, the future forex market, in which the purchase or sale contract is determined on a specific date and at a specific price in the future. This contract is different from futures contracts because they are legally defined.
When some refer to the forex market, in this case they mean the spot market. For companies, the most used for them are the markets and futures contracts, especially companies that need to hedge foreign exchange risks, which have a fixed date in the future.
In the forex market there are some main actors, namely:
Individual investors/currency speculators.
How to trade forex?
In order to learn the stock exchange for beginners, the trader must know how to trade currencies, as the trading process is done through a broker in the form of pairs. It is priced in terms of the other currency. Among the most popular currency pairs in the forex market are:
US dollar / Japanese yen.
British pounds / US dollars.
Euro / Japanese yen.
Australian dollars / US dollars.
New Zealand dollar / US dollar.
Canadian dollars / US dollars.