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  • Casual Articles - A Guide to Global FOREX trading

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    You may find that the preliminary research is all that you need to conduct because you already know enough. The organization may be listed in the top one hundred or it is a "famous" name. Even large companies have their problems. I worked with a large company that was a spin off of another well known name. It was spun off to streamline the parent company. The spin-off has three years to prove that they were profitable and then
    stock trading, one either trades with money they have or, at best, can open a margin account and trade with double leverage. A margin account funded with, for example, $25,000 can control $50,000 dollars worth of equity
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    It's probably hard for some people to believe, but the global FOREX trading market dwarfs that of equities, even though the former gets little attention and the latter is talked about incessantly on the news.

    The daily volume of global FOREX trading now exceeds $2 trillion dollars! To be sure, it is the leader in the competitive field of market exchange. Currently, London holds the title for the world’s largest foreign exchange center, accumulating 30% of the currency business.

    Global FOREX trading is exciting for many reasons.

    First, the markets are almost always open. One can trade 24/7 as currencies fluctuate all day and night. Compare that to equities where one can only effectively trade during market hours when the stock exchanges are open.

    Second, the potential leverage in global FOREX trading is astounding.

    In stock trading, one either trades with money they have or, at best, can open a margin account and trade with double leverage. A margin account funded with, for example, $25,000 can control $50,000 dollars worth of equity

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    aily volume of global FOREX trading now exceeds $2 trillion dollars! To be sure, it is the leader in the competitive field of market exchange. Currently, London holds the title for the world’s largest foreign exchange center, accumulating 30% of the currency business.

    Global FOREX trading is exciting for many reasons.

    First, the markets are almost always open. One can trade 24/7 as currencies fluctuate all day and night. Compare that to equities where one can only effectively trade during market hours when the stock exchanges are open.

    Second, the potential leverage in global FOREX trading is astounding.

    In stock trading, one either trades with money they have or, at best, can open a margin account and trade with double leverage. A margin account funded with, for example, $25,000 can control $50,000 dollars worth of equity

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    nter, accumulating 30% of the currency business.

    Global FOREX trading is exciting for many reasons.

    First, the markets are almost always open. One can trade 24/7 as currencies fluctuate all day and night. Compare that to equities where one can only effectively trade during market hours when the stock exchanges are open.

    Second, the potential leverage in global FOREX trading is astounding.

    In stock trading, one either trades with money they have or, at best, can open a margin account and trade with double leverage. A margin account funded with, for example, $25,000 can control $50,000 dollars worth of equity

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    night. Compare that to equities where one can only effectively trade during market hours when the stock exchanges are open.

    Second, the potential leverage in global FOREX trading is astounding.

    In stock trading, one either trades with money they have or, at best, can open a margin account and trade with double leverage. A margin account funded with, for example, $25,000 can control $50,000 dollars worth of equity

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    stock trading, one either trades with money they have or, at best, can open a margin account and trade with double leverage. A margin account funded with, for example, $25,000 can control $50,000 dollars worth of equity positions.

    Now contrast that with global FOREX trading in which one can often obtain leverage of 20 times, 50 times, and even 100 times one's original capital.

    For example, it's not uncommon to be able to open an account at an online FOREX brokerage with $5,000 and be able to control position sizes of $200,000 or more. (In FOREX, trading is realized in lots. 1 Lot = 100,000).

    Think about that! If you funded an account with a mere $10,000 dollars you could control $500,000 worth of positions (10 lots). If your positions moved favorably giving you only a 5% gain you would be in profit $25,000 dollars. From an only $10,000 dollar initial capital!

    Clearly the immense leverage in global FOREX trading is what lures a lot of players into the game. However, leverage can cut both ways and it's possible to get wiped out just as fast as one can make a

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