Forex trading is the simultaneous exchange, buying and selling, of one currency for another primarily for speculation purposes. Forex (also known as ‘foreign exchange’, ‘Forex’ or ‘FX’) is the largest market in the world in terms of volume, trading over US$5.3 trillion per day.
Why trade Forex
The New York Stock Exchange has a daily turnover of around US$50 billion, instead the foreign exchange market trades over $5.3 trillion daily, thus it is one of the biggest financial markets in the world. The size of the market brings many benefits in terms of costs and liquidity. Forex trading is essentially the act […]
The foreign exchange market is unique because it is one of the largest markets in the world and it operates 24 hours a day five days a week. Trading starts on Monday morning in Wellington New Zealand which is Sunday evening in London (22:00 GMT), and trades 24 hours until the close of business at […]
In the past, forex trading was a market accessible only by large financial institutions, corporations, central banks, hedge funds and extremely wealthy individuals. These markets were initially only accessible via phone, but with the widespread availability of the internet, forex trading became accessible to the average investor. Smaller broker firms and software companies created their […]
Most currencies move less than 1% a day, making it one of the least volatile markets. By offering leverage, brokers have made a 1% movement very attractive. We offer up to 500 times leverage for clients of Tickmill Ltd which means that your initial deposit could allow you to trade 500 the value of your […]
Top currencies traded and top traders worldwide
The top currencies traded worldwide are the USD, EUR, JPN and GBP (source: https://en.wikipedia.org/wiki/Foreign_exchange_market). According to the Euromoney survey of 2015, top 5 traders worldwide in terms of liquidity are Citi, Deutsche Bank, Barclays, JP Morgan and UBS. In the chart below, you will find top 15 traders.
What affects prices in the forex market
Forex prices are influenced by a broad number of factors from international to national economic or geo-political situations. These can be monitored following the news or our forex calendar. They create a lot of trading opportunities to the average investor. Some of the key factors that influence forex prices are: Political and economic stability Monetary […]
As with most financial instruments, the difference between the buy (bid price or buy price) and sell price (offer price or ask price) is called the spread. An example of the spread: If we take EUR/USD from our previous example you will see on our platform the price is quoting at 1.06021/ 1.06025 (in this […]