FOREX

FOREX or Foreign Exchange Currency Market is International Money Market being organized in 1971 when International Trade has turned from fixed rate of exchanges to the floating rates. And at the same time the rate of one currency relative to another is determined by the most obvious way — the exchange with such their ratio for which both sides are agreed. It’s the largest Market in the world with its daily turnover of 1.5 trillion dollars that many times exceeds the amount of daily auction at New-York Stock Exchange (Big Board). This market exceeds all the other ones by the amount. So, for instance, daily amount of the World Equity Market is about $ 300 milliard. But FOREX market is valued at 1-3 trillion a day. FOREX has no any Currency Exchange, thousands of banks, tens of thousands different funds and International Corporations, brokerage and dealer houses from the entire world operating around the clock, with different purposes, they purchase and sell one currencies for other. This market originally was meant only for its large participants, minimal sum to operate at this market some years ago was still not less than $ 500.000. And only when arising of Internet and opportunity to carry out all the transactions on currency purchase and sale from own home computer during the last 6 years, this market was flooded by small funds, Companies and traders from all the world selling at them remaining at home or in the office when suitable time for them, and at present, an ordinary trader may get money at the same level at which the large market participant do. Now FOREX market is opened for small-scale investors. As distinct from the large sums being required by banks and brokerage houses before, comparatively strongly lowered Marginal requirements have become available for many at once; now permitting practically any person to speculate with “large sharks”. Besides, petty investors may make use of Internet advantages which make this market such an available the one it was only for large stags before.