Can You be Successful Forex Trading?

Can You be Successful Forex Trading?

by Rick Williamson

Let's talk about foreign exchange trading. It is the largest market in the world. It is larger than the stock market. Let's take a closer look. Trillions of dollars are traded every day. In the early days, banks, world wide companies and wealthy speculators traded foreign exchange.Today with the growth of the internet and online brokerages, the currency exchange market has exploded so that anyone with a computer who can sit down to trade.

Currencies traded are the US dollar, the Eurodollar, the Japanese yen, the Swiss franc and the British pound. These are expressed in pairs. One of the pair is bought and one of the pair is sold. A person with a computer and internet connection and some knowledge of this market can buy or sell these pairs through a brokerage. These brokerages have real time currency prices, charting features, instant execution and real time news and features.

There are many reasons to trade currency. Banks and large world wide companies trade as a function of doing international business. Speculators trade to make money. In 1992, a well known speculator made a billion dollars in one day trading the pound against the dollar. Maybe we all can not do that but there is money to be made trading currency. A person needs some time, some knowledge and the internet.

A person becomes interested as they spend time with this market. It can be an exciting venture. Most brokerages supply a "fake money" account so you can practice trading without losing money. When you become comfortable, move into the into real money and real profits. Happy trading.