The Forex market is a place where buyers and sellers meet to exchange foreign currencies. International trade and deals are made possible by forex exchange transactions. In a forex trade, one party buys a foreign currency by paying another foreign currency.
Beginners in forex trading should be acquainted with the factors affecting the supply and demand of foreign currencies because these will determine their forex trading strategies. Some unsuccessful forex traders fail due to lack of strategy. There are two possible bases for forex trading strategy, technical analysis and fundamental analysis. Technical analysis is more suitable for short-term trading strategies.
- The relative price of forex transactions are more commonly known as foreign exchange rate.
- The forex market is a close approximation of perfect competition because of the number of participants in forex trading,
- which include banks, central banks, money transfer/remittance companies, non-bank foreign exchange companies, commercial companies, investment management firms, foreign exchange fixing, hedge funds, and retail foreign exchange traders.
Beginners in forex trading should be acquainted with the factors affecting the supply and demand of foreign currencies because these will determine their forex trading strategies. Some unsuccessful forex traders fail due to lack of strategy. There are two possible bases for forex trading strategy, technical analysis and fundamental analysis. Technical analysis is more suitable for short-term trading strategies.
