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Currency Trading
Trade the Global Economy
Why has the euro become so expensive relative to the dollar? How do traders profit in the currency market?
Learn how currencies work and how you too can profit
from movements in the markets.
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FX vs. Equities and Futures

The currency market is the largest market in the world, with billions of dollars changing hands every day in all of the major financial centers of the world. As the internet trading makes currency trading accessible to everyone, many traders are migrating from traditional markets to trade FX. Why are more traders discovering the FX markets every day?
Advantage Equities Futures Forex
No Commissions or Fees No No Yes
24 Hour Trading No No Yes
Short Sell without an Uptick No Yes Yes
Fast, Quality Execution No No Yes
100:1 Leverage No No Yes

No Commissions or Fees
In the currency market, you pay NO commissions and NO exchange fees. Because you deal directly with the market maker on a purely electronic online exchange, you eliminate ticket costs and brokerage fees. Currency traders pay only the spread when they trade, which means that they can trade as actively as they like without worrying about their profits being eaten away by extra costs and fees!

24 Hour Trading
Because there is always a major financial center active somewhere in the world, the currency markets trade 24 hours a day. This continuous trading action means that traders can enter and exit their trades at any time-without having to wait until the market opens to act on new information Whether you trade before work, after work or late at night, there are always opportunities to trade in the currency market.

Technical Trading Works
Forex is the perfect market for technical analysis. Currencies rarely trade in tight ranges-instead, they usually develop strong trends. Because over 80% of volume is speculative in nature, the market frequently overshoots and then corrects itself. A technically trained trader can easily identify new trends and breakouts, which reveal multiple opportunities to enter and exit positions

Because so many currency traders are basing their trading decisions on technical analysis, technical levels become even more significant, to the point that they are often a self-fulfilling prophecy in the forex market.

Profit in Bull and Bear Markets
In the forex market, there is profit potential in both bull and bear markets. Because currency trading always involves buying one currency and selling another, there is no structural bias to the market. If you are long a currency, you are always short another currency. Because of this, there is potential for profit when currencies trend upwards and when they trend downwards. This is different from the equities market, where most traders go long instead of short stocks, and so much of the equity investment community tends to suffer in a bear market.

Think You are Clueless about the Currency Market?
Test Your Knowledge with our quick quiz.
1. If the US stock market rallies the US dollar SHOULD
Strengthen
Weaken
Stock market has no affect on the US dollar
2. If the US trade deficit widens due to Japanese sell off of US treasures, the US dollar SHOULD
Strengthen
Weaken
Current account deficits do not affect a country's currency
3. In a surprise decision, the FED raises interest rates by 50 bp. The US dollar SHOULD
Rally
Weaken
Interest rate decisions have no affect on a country's currency
4. If oil prices surge to record highs, what affect will this have on the US dollar?
Positive
Negative
Oil prices have no affect on the value of the US dollar
5. An increase in unemployment numbers in the US will have what affect on the US dollar?
Positive
Negative
Unemployment data has no affect on a country's currency