What is foreign exchange?
The foreign exchange market is a market for global currencies, to understand forex trading, we need to understand what currency trading is?
Currency trading is one of the most popular, most liquid and best-established trading markets in the world. This is because it includes the economies of the most prominent countries around the globe and the currencies that represent each of those regions, and the foreign exchange market regulates the exchange rates for these currencies. currencies of countries.
Factors that affect a country’s currency include supply and demand, national debt balance, political factors, natural disasters, events, and more. Because so many different things can affect the prices of forex currencies, causing them to fluctuate every day, the forex currency market trades 24 hours a day, excluding weekends.
How does forex trading work?
Forex currency trading works by taking a long or short position depending on which direction the trader expects the market to move. Using PrimeXBT’s advanced trading tools and built-in charting software, traders can plan the perfect entry or exit point through detailed technical analysis, then put the strategy into practice. economic. Both long and short orders can also be opened simultaneously to fulfill hedge positions and further reduce risk or maximize profit opportunities.
What currencies trade in Forex?
Forex stands for the foreign exchange market, which is the largest trading volume market in the world and is important enough to set the international exchange rates of all the currencies around the globe. Each forex currency is traded in a trading pair with another forex currency. For example, the US dollar can be traded in pairs with the Japanese yen and can also be traded against the EUR.
PrimeXBT allows you to trade buy, sell and store various global currencies like USD, GBP, EUR etc.
At Primexbt investors will easily explore the world’s forex markets and trade some of the strongest, most recognizable currencies from countries like the US, UK, Japan and Canada with corresponding currencies such as Dollar, Pound, Yen, Euro and others….
The forex trading platform on Primexbt is an award-winning platform for liquidity, high security, and lightning fast execution.
Why Should You Consider Forex Trading?
The foreign exchange market is the most liquid and traded market in existence and is characterized by trading the national currencies of the world’s superpowers. Most of these powers have a significant impact on the global economic environment and the currency value is correlated with the global economic environment. Even political factors, prominent events, natural disasters, epidemics, etc. also make foreign exchange volatile. It is that volatility that makes the forex market the main market for traditional traders and a new playground for new traders.
Wide selection of World currencies
PrimeXBT offers the most traded forex currencies in the World, including USD, GBP, JPY, EUR, as well as less popular currencies, such as TRY, RUB, HKD and more.
Advanced technical analysis
To make trading easier, investors should pay attention to chart patterns and technical indicators, with practical experience can easily analyze forex market trends and improve trading results. to the maximum extent.
Easy for both experts and beginners
To start participating in the financial market, the foreign exchange market is not a bad choice. It is very popular among professional traders who know how to seize its opportunities and also investors who are just starting their trading journey.
Why trade Forex with PrimeXBT?
After 30 seconds of registration and access to an account, investors can discover for themselves unlimited opportunities with the global forex market at Primexbt trading. Here, all currency pairs are available and just waiting for traders to trade.
Best trading platform.
Charting software that integrates effective professional technical analysis indicators will help investors analyze quickly, accurately and trade more safely.
Low transaction fees
Competitive trading fees help you save as much profit from your trading as possible with PrimeXBT.
Overnight fees, entry fees, and spacing are all at relatively favorable levels for traders.
How does forex margin trading work?
Margin trading is a process by which a trader can borrow money from PrimeXBT to open a position larger than the actual amount deposited. Such a trade will only require a fraction of the total position value, known as margin.
If your forex margin trading is successful, you will be able to make more profit without using leverage. However, if it is in the opposite direction, it means that you will suffer a larger loss.
We recommend that you always consider the downside potential and take measures to manage your risk.
Benefits of Forex Trading with Leverage
With the use of leverage you will get profit x many times provided you determine the right direction of the trade. However, the risk is also quite high if the trade does not go your way and the loss will increase significantly.
Diversify your investment portfolio
Leverage will help you to distribute your existing capital to many other trades, not lock in a certain position. This really creates great conditions for investors with small and medium capital.
Gained from the bear market
In the traditional market with no leverage you absolutely only get profit when the market goes up but now even when the market goes down you can still profit by opening a short position, yes That is, they intend to sell high and buy back low.
Forex leverage trading example
For example, if a trader opens a position in USD/JPY and it drops 20%, using 10x leverage the same reduction would become a 200% profit. A similar spot trade without leverage would only yield 20% profit. But if it goes up by 20% your loss will also be at 200% so we have a little advice for you to never use 100% leverage and never invest more than you can afford to be lost.
What are the best major currency pairs to trade?
Primexbt offers 18 major forex currency pairs available for trading out of which the 4 traditional currency pairs are EUR/USD, GBP/USD, USD/JPY and USD/CHF. The major currency pairs are based on the US dollar, which is the currency of the world’s largest economy and a major global reserve currency.
In addition, PrimeXBT trading also offers more exotic forex currency pairs, including AUD/CAD, EUR/CHF, GBP/JPY, and more. In total, the Primexbt trading platform provides traders with access to 14 other trading pairs in addition to the four major forex currency trading pairs. These strange and confusing currency pairs create a unique trading experience as each currency in the currency pair reacts to different sets of factors that cause price movements.