1. More Consistent Trends and Price Stability due to Enormous Size & Liquidity
While the New York Stock Exchange averages about $16 billion in trading volume per day, and the London Stock Exchange averages around $11 billion, their combined daily dollar volume represents only a little over three percent of what the FOREX averages.
With a daily trading volume ofover $3 trillion, the FOREX is the world’s largest and most influential market in terms of both size and liquidity. It is an immense global market with no central exchange. As a result, the FOREX can neither be controlled nor regulated by any one country.
In addition, around 90% of its transactions involve the seven major currency pairs. This translates into smoother, more consistent trends, which means more opportunities for you to profit. Furthermore, the major currency pairs are stable, and the volume at which they are traded promotes price stability.
2. Easy Access
The FOREX deals with the buying and selling of currency, and was once the sole domain of governments, banks, large financial institutions, and import/export brokers. There was no room for investors with comparatively limited capital.
Today however, due in large measure to the Internet and electronic trading, the FOREX is now accessible to everyone. In fact, the turnaround has been so great that 90% of FOREX traders are speculators.
Take as an example the Chrysler Corporation, which last year earned more money trading the FOREX than it did selling cars. More importantly, even a tentative trader with as little as $300 of disposable funds can participate in this world-wide market.
3. Flexible Schedule
The FOREX is open 24 hours a day, from Sunday at 5pm Eastern time to Friday at 4:30 pm Eastern time.
Beginning with the New Zealand and Australian markets, FOREX trading flows around the globe as the business day begins in each of the world’s financial centers, moving from Sydney to Tokyo, then to London, and finally to New York.
In this 24/7 environment, you can choose your own trading hours as well as respond to events immediately-day or night.
4. High Leverage
One of the great advantages of trading the FOREX is the leverage it offers. Unlike stocks or futures, in FOREX trading, the amount of leverage available can vary from 100 to 200 times the value of your account.
5. No Debit Balances
What follows is an astounding bit of information: with most FOREX dealers your risk is limited to the funds you have on deposit with them. Because there are no margin calls in FOREX trading, for your protection most dealers will automatically close out all of your open positions if your account equity falls below the required margin level. Think of this as a final, automatic stop, always working on your behalf to prevent a debit balance.
The great thing about all of this is that you don’t need a college degree or even a high school education to do well trading the FOREX. However, you do need some training, you need an objective system, and you need a plan. Our site, course, trading system, webinars and 1-on-1 training provide everything you need to get started, to become successful, and to build real wealth.
