The beginning of the Forex market as we know it today goes back in the 1970's and it's called with different names as "foreign exchange market", "currency exchange market", and "FX." This exciting market presents many interesting opportunities for the online trader.
This is also the most liquid market on the planet because it's trading currencies, the most virtual good you can think of. When a trader buys a currency another trader is selling it, so two trades are made at the same time. All this happens online with the support of banks and other institutions which are also the main players on the forex trading stage.
The internet era has opened the currency exchange market to virtually every person on the earth and this has claimed in a rate increase of trades. Nowadays several trillions are changed everyday. Trading on margin allows to enter the forex market with small capitals, so many people are trying the exciting adventure of fx trading.
If you have experience in forex trading, you already know that sometimes the big dogs are making your game because, with their huge capitals and investments, they are continuously moving the market up and down, opening new opportunities for the savy small traders.
Many are the facts that can affect the forex market, most of all have to do with the economy as for the development of some areas or countries, other with political and social events. Change of governments, revolutions, wars are of course crucible for the forex market as for any other trading market.
Allow me paint you a picture: this is an identical market, one that's measured with trillions of dollars, one that's really global and finally one that can be really traded in real time. Consider the power of this …
OK, there's great concern involved in the forex trading market, but this regards only the very very big dogs. So, unless you are one of them, you have not to worry about over the possible negative impacts on national economies and treaties. However this is also the case in other markets as the stock and crude oil market.
What are the most traded currencies in the forex market? The top five are the US Dollar, Euro, Japanese yen, the Pound Sterling and the Swiss franc. But they are just a part of the huge forex market, the most liquid financial market in the world. And now, in the information technology era, easily accessible to any personal computer owner … including you!