In the foreign exchange market, traders buy and sell currencies with the hope of making a profit. It has a huge money making potential and traders are earning a lot of money working from their homes. Actually, it is the fastest way to earn from your home. The forex market gives an opportunity to everyone, from the large banks and corporates to ordinary people like you and me, to earn big money. The greatest advantage of forex trading is that you can start this business with a very small investment (as low as $100). Apart from trading, you can also work as a forex advisor and give trading advice to other forex traders.
Forex trading is always done in pairs: Dollar vs Yen, Dollar vs Pound etc. When the value of a currency increases, the value of the other currency decreases. Profit is made by the change in the value of one currency with respect to the other.
The following are some advantages of trading forex from your home:
(i) The forex market is the largest market in the world with a daily volume of 1.5 to 2.0 Trillion Dollars every day. The market is very transparent and liquid. The funds invested can be easily converted to cash.
(ii) You do not have to invest thousands of dollars to start forex trading. This business can be started even with an investment of as low as $100.
(iii) The forex markets are open 24 hours a day and are available from any parts of the world. Trading can be done either through the phone or over the internet. So it is very easy to trade forex from your home and can be done anytime and fromanywhere in the world.
(iv) Forex trading is somewhat easier than stock trading as the fluctuations in the values of different currencies are not as large as in the case of stocks and the movements generally follow a predictable trend.
(v) There are many reputed brokers available in the forex market who charge only a small percentage of the bid as their commissions.
(vi) You can make a profit no matter which way the currency is moving. Profits can be made both in a falling as well as in a rising market.
(vii) In the forex market, all transactions are done electronically and in real time. It takes only a few seconds to complete your transactions.
(viii) It does not require any formal education, training or licensing to start forex trading. You only need to have some idea about the various trading strategies involved and the different tips and techniques about the markets.
This post was last modified on July 26, 2011 06:01