Why Investing In Forex?

Introduction


Welcome to my blog, you are entering foreign exchange (forex) knowledge that will guide your investment become profitable. If you’re an expert trader you can find some information that might be useful, but if you're not, this blog will be a good start that will guide you in the middle of the forex market.
Market can be assumed as war arena. You face many traders with their own weapon, so if you wanna win, you should protect yourself. The weapon which must be used is knowledge. For beginner trader, you should invest your time before entering real forex market. This blog provides especially for beginner trader so you will not face losses in forex market. Many traders assume that it's easy to gain money in forex. They think that they can gain much money in a short time. They think that they can gain dollar into millions of dollars. How about you? That kinds of stories often pulling trader entering forex market. It is true that having investment in forex is very beneficial which is proportional with the risk. So, that story isn't wrong for trader who have enough knowledge. If you don’t have enough knowledge, it will be your worst nightmare. So you'd better collect a lot of information to become successful trader, not a looser trader. Let's begin our class for successful trader. Have faith in that!

Foreign Exchange Market

Foreign Exchange Market or Forex is a place of currency transfer of a state with the other state currency. In this market you trade money, for example if you buy Japanese Yen, it’s similar with buying share in stock market, you are buying share of country. Here are the popular currencies that commercialized :

Why Investing in Foreign Exchange Market

These following attractive reasons will explain to you why many people are entering this market :


Small Investment High Profit

You can trade even in 1$ depends on the broker you choose! However, Forex Investment no longer belong to rich trader. Now you can join with small trading or big trading account. Doesn't it sound great?

High Liquidity

Forex Market is extremely liquid. All over the world is connected to Forex Market. Commercial transaction, like importing or exporting the goods, raw materials and services are inseparable from Forex Market. Various investment activities in all over the world which is performed within international scale, like foreign direct investment in capital market and money market that conducted by Hedge Funds, Individual Investor, Commercial Bank, Central Bank always involve the transaction of Forex Market. It means that you will never trapped in transaction where no one want to transact with you. The broker you choose will take care of your transaction.
Low transaction cost

You will found no brokerage fees, no clearing fees, no exchange fees, no taxes. The fees only something called the bid-ask spread. The level of spread depend on the pair you choose. Greater the spread, greater the volatility or the risk.
A 24-hour market

Forex Market never sleep. This is awesome. You can choose the time you want to trade, even in the morning, noon or night. Forex Market open from Sunday 05:00 till Saturday 05:00 GMT+7 time. Find out more in Special Topic about this hour market!

Leverage

It's still beneficial condition for trader who has not much money. For example, you want to buy $1000 worth of currencies. You don't have to spend $1000 if the broker you choose offer 1:100 leverage. It means that you only spend $10. Bigger leverage, you can gain bigger profit with small investment. But, if you're newbie in forex, bigger leverage is too dangerous for you. You have to realize that as well as bigger profit brings bigger opportunity to loss as well.


Free Facility

You can practice your forex technic with free software, charts, news, indicators even free signals or recomendations and also demo account before you ready entering real account.

So, what do you think about this opportunity? After this we will learn much further about forex in the next discussion.