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    Thursday, 11 February 2021

    WHAT IS TRADED ON FOREX AND WHAT IS TRADED IN THE FOREX MARKET

    Someone would ask, What is Traded on the Forex market.


    This is not the form of market where buy your clothes or shoes.

    This is not Idumota or Oshodi Market, Accra Mall or your normal Local markets in any part of the world you find yourself.
     

    🔰 Forex is a short form of Foreign Exchange

    The world of forex is an amazing opportunity of earning potential for those willing to take time to learn how it operates and use your profit to pay up your bills.

    What is FOREX  it is just a Short form for  📊 FOREIGN EXCHANGE


    Forex is one of the Largest market in the world

    With a Total Daily Liquidity of  $5.3 Trillion dollars.

    While the Cryptomarket, for those of us who know about Bitcoins has a Total Market cap of just $236 Billion as of today,  this is not even the Daily Volume.


    All these Statistics are online, So you can do well to confirm them for yourselves.

     That is to show the massive Liquidity.... Which is on the Forex Market.

    That is how large the  Forex market is


    So we have seen a Brief Introduction of the Forex market, We would still see more, but for now let's fire on.....

     Forex market is an online platform where the big banks exchange currencies.


    They are fighting for power concerning which currency is strong than the other.
    The simple answer is *money*

    Forex trading is the simultaneous buying of one currency and the selling of another.
     Currency are traded on Forex through a mediator called a broker, and are traded in pairs.

    We are still coming to discuss about the broker..
     

    Example of currency pairs:

    The Euro and the US dollar *(EURUSD)*
    The British pounds and the Japanese Yen *(GBPJPY)*
     So what we actually do is that we are constantly Transacting in the above items I listed up there.

    I would take u all through how to Trade on them, so just follow the Lectures closely.

     Let's assume *USA* currency.


    You're in effect buying a share in the *USA* economy as the price of the currency is a direct reflection of what the market thinks about the current and the future health of the *USA* economy.
     Forex market has neither a physical location nor a central Exchange.

    The Forex market is considered as *interbank market 💹*.
     Due to the fact that the entire market is run Electronically, within a network *banks* .

    Continuously over 24 hours period.
     Forex  market is closed on the weekends because institutional forex traders and large banks ( *the buyers and sellers of foreign exchange)* operate during working hours in the week and take time off on weekends.

    Likewise our local banks here in Nigeria.
     However, just because the forex market is offline, it doesn’t mean you have to be offline as well.

    The weekend presents a great opportunity for traders to learn, reflect and plan for the upcoming trading week.

     So what we actually do is that we are constantly Transacting in the above items I listed up there.

    I would take u all through how to Trade on them, so just follow the Lectures closely
     People who trade currencies in the Forex market are called *Forex traders.*


    Their aims is to generate profit by speculating on the value of one currency composed to another

    This is why currencies are traded in pairs.
     The value of one unit doesn't change unless its compared to another currency 💱

    You ain't buying anything physical.

    Think of buying a currency as buying a share in a particular country

    Lets discuss how Forex market is been traded years ago.
    Until the late 1990's, only the *"big boy's"* could play this game.
     

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