Currency trading markets around the world serve as trading anchors and worldwide decentralized markets between buyers and sellers of different currencies. The values of the traded currencies are speculated by the participants. When you participate in a foreign exchange currency deal, you buy one currency and pay in another currency.
As background info, the currency trading market originated in 1944 after World War ll with the institution of the International Monetary Fund. It tied up the major currencies to the US Dollar which was the least affected at that time. Subsequently, the market was converted to a global free floating currency system in 1978.
In view of the technological advancements provided by the computer and the internet age, the speed of international monetary transactions greatly increased. In the foreign exchange market, the most traded currency pairs are the EUR/USD, USD/CHF, GBP/USD and USD/JPY. So far, the UK has the biggest volume of trading in currency followed by the United States and Japan.
According to reliable estimates, the trading center in London, UK has accounted for an increase in foreign currency transactions from 34.6% in 2007 to 36.7% in 2010. This is why the London market price is the usual quoted currency price in FX trading. The New York, HongKong, Singapore and Tokyo are also very important currency trading centers which transact with banks all over the world. Currency trading goes on systematically. As the Asian trading session finishes, the European session starts. Then, the North American trading session follows and it completes the cycle. Then it goes back to the Asian session.
When it comes to the market participants, they are composed of central banks, commercial banks, investment companies, hedge funds speculators, money remittance companies, non bank forex companies, forex fixing groups and the individual retail speculative traders where you can belong. The retail investors segment has grown rapidly due to entry of retail forex platforms. This group usually trades through brokers/dealers or banks When you deal with a broker, he tries to negotiate the best price in the market for a transaction and charges a mark up fee. You can deal with various dealers particularly those who have connections with the large forex trading banks. These dealers usually get better pricing due to their large transaction volumes. The biggest currency trading banks as of May, 2011 are the Deutsche Bank, Barclays Bank, UBS AG, Cityi, JP Morgan, HSBC, Royal Bank of Scotland, Credit Swisse, Goldman Sachs and Morgan Stanley.
If you are serious in getting into forex trading, knowing some historical facts will be of some good use to you. Trading volume had jumped from a billion dollars a day in the eighties up to almost $2 trillion a day. According to the latest figures, from daily trading volume of $2 trillion, it has grown to over $3 trillion broken down to $1.4 in spot transactions, $475 billion in outright forwards, $1.765 trillion in foreign exchange swaps, $43 billion in currency swaps and $207 billion in options and other products. In 2010, can you imagine that retail trading has grown up to $150 billion volume a day?
The phenomenal rise of electronic execution technology and the various transaction centers have reduced execution costs, developed bigger liquidity and attracted more participants. With the use of online electronic trading, transactions and executions became a lot more convenient for retail investors to trade in the foreign exchange market. Foreign exchange rates are governed by market psychology perceptions, economic factors as well as political conditions. Well experienced forex traders always keep themselves updated with latest developments. Marked by the market’s extreme liquidity, it has become a global and popular trend among the retailers group composed of individual traders to invest in currency trading markets.
activityvillage
rakennusteollisuus
nexteraenergy
gbcfsb
eastman
huaylike
nhfic
ulapland
setmysite
garanziagiovani
bandthemes
drdjscs
daec
loopmasters
macombdaily
widzialni
chile
rehab4addiction
premiersoftware
raider
aten
sfplanning
playrix
travelclick-websolutions
gomotionapp
tearsheet
presidio
ufcw
sectur
nowlifestyle
groundhog
hotel-spider
carsi
loire
173
tjmec
fla
spxflow
heliohost
iabcanada
kinderprojekt-arche
springfieldnewssun
topics
glassbox
bccresearch
ario
boxofficepro
sefaz
landolakesinc
sgul
samovensdemo
rohitab
loftocean
webbolo
apk4phone
24mags
nicole-retouches
femininbio
leupold
strataconf
cometsystemes
ymars
spade-event
uscgaux
hislider
crlaurence
kaporcenter
marchforbabies
ab
packet
chemicalwatch
pbr
streamon
imagej
herefordshire
wpbrigade
vnn
commission
givit
kauai
news247
charlestoncvb
collegeinfogeek
danzarrella
livejoy
yccn86
chara-ani
rsgb
mer
gputechconf
vikingcruises
varta-guide
citivelocity
worldsoft-cms
jreastmall
bibliotek
ucolick
healthwatch
planning
iadvize
agconnect
transparent-merchant
superdry
aafs
sora-cart-soratemplates
vnda
dream-stage
marines
city
casinonsvenska
canyonranch
vevo
federchimica
oerlikon
falalicaituan
lance
vulcan
salondesmaires
irica
carbondesignsystem
elkjop
pcfinal
claimscon
superwebaruhaz
xxxxxxxx
m
novostinedeli24
tj-dawa
makeup
realitysandwich
moef
fltrp
nirfindia
newmont
austinpetsalive
newfoundlandlabrador
koelnmesse
kedumz
agenciasebrae
minhacienda
finbold
hetzner
1j0zy29x
codahale
globonet
stgeorgeutah
ymag
agentprovocateur
angusreid
britishecologicalsociety
rslawards
966seo
aabacosmallbusiness
apsa
4lpi
cmef
alp-forum
elotouch
allmei
profitbroker
style-fs
oklahomawebdesign
buildkite
segob
bibsonomy
7ks
lojablindada
tradingthug
vxotu
sgcarmart
myfavouritemagazines
c4wwm5
bizzthemes
ligo
big-bit
qprinstitute
yirun
planetpdf
reverseyourdiabetestoday
capethemes
opc
canal9
vacheron-constantin
mums
shanghaitech
sotozen-net
spicebrick
cicc
with
vapejuicedepot
wjct
papertrailapp
streetlib
ioactive
kccllc
henan100
un-redd
aktuality
nex1music
qualmark
ceaie
vaptcha
utb
puy-de-dome
gamek
inclusivetherapists
joniandfriends
cainuanguolu
docplayer
greekcitytimes
newconnect
fsresidential
weblaspalmas
tempatupload
tusay
dare
wercker
golden-studio
booktix
nuunlife
amarillo
numerator
demannenblog
regiobank
co10
nas-sites
atikon
fmkorea
alp
suncountry
placesjournal
bennettfeely
noetic
mcmc
lordandtaylor
194
specialchem
honda
kjell
asmag
sdzsafaripark
mxqt
rtbwizards
9you
beachfront
adspyglass
game
qdaily
b6ermogr
mainone
parkiet
inside-games
yellow
wetv
ontopo
boxed
marketingpilgrim
evatheme
dpurl
telefloristonline
xcdsystem
arena-international
ss-iptv
pritzkerprize
imcgrupo
thetruth
yourwebshop
vfll
amazingribs
everlywell
8258
gulfood
ccs
moc
kmaa62
stlucia
wqosjfk
7f8dtv
renewmyid
avocats
lfa
webador
kenai
locpg
evva
ladipage
f66-kefu
asia1688
kmaa11
junta-andalucia
bioline
gd
secsports
peopleinneed
luzern
mfgday
steaktastic
usemax
makewebbetter
desmogblog
sbs6
arctick
riverford
587766
rodanandfields
sonomanma
dpti
petoskeynews
mattermark
koajs
keep2share
remitly
zoner
wilhelm-research
haust
tieraerztekammer-nordrhein
rechtsdienstleistungsregister
thrifty
pc-koubou
dw9uep30
bmw
fishing-v
