Forex Currency Market

The value comes from the Latin word “Valeo”, “I am.”

Valuable coins today are:

* The currencies of the countries for which type (paper, gold, silver);
* The currencies of several foreign countries, including documents and credit card payments in these currencies expressed and available for international accounts (checks, bills, etc.)

Basically the forex market, the sum of all transactions by the participants (banks, stocks, mutual funds, brokerage and trading firms and individuals, ie traders) is made to certain types of currency exchange. Every second, the foreign exchange market handled thousands of transactions, so that the benefits to the participants.

The forex market has the following classification of currency:

Freely convertible currencies * There is no limit to the financial transactions of any kind, can be used by residents and foreigners in a country, and can be converted into any other currency;
* Currencies are usually partially convertible with a number of restrictions on the use of non-residents and a certain range of authorized operations. Therefore, the currencies of Western Europe is partially convertible, are the restrictions on the use of foreigners attracted in 1958 and now amount to an account each of these currencies can be converted to an equivalent freely convertible;
* Non-convertible currencies, residents and nonresidents are limited, but a series of financial transactions. You are not exchangeable and are used only within their countries. For example, are non-convertible currencies in developing countries and dependent and used in connection with the currency of a large urban fixed exchange rates for themselves an advantage. Nonconvertible currencies in the Forex market is not used.

Is the Forex market, there are two kinds of operations: buying and selling, every coin has supply and demand, which allows transactions, with no real restrictions on the volume or time. Compensate for the Forex market also to regulate the exchange rates of different countries to supply and demand.

The Forex market has held a series of major currencies – most daily transactions are conducted in the following:

USD – The U.S. dollar. Without doubt, the backbone of the Forex market. Traders often call the dollar USD, the U.S. currency.

EUR – The euro common currency for Europe, second in the currency in terms of popularity. Before the euro was the currency of the DEM Germany its place.

GBP (British Pound) – The pound sterling, the currency of Great Britain. Financial jargon and the names of the pound sterling and cables.

CHF – Swiss Franc. The Swiss franc colloquial name in connection with the official name used.

JPY – Japanese Yen.
The forex market is also used:

AUD – Australian Dollar, often referred to as the aussie of financiers.

СAD – the Canadian dollar.

NZD – New Zealand dollar, also known as Kiwi Forex market between operators.

Another important concept in the Forex market is the exchange rate, which is an important link in the chain of currency exchange services market.

In essence, the exchange is a place where business is done. In this case, the currency in free trade, the process of designing is the constant fluctuation of currency exchange. The main feature of the exchange office, is that exchange rates are formed and was identified as part of his work, by the action of supply and demand in the buying and selling currencies. The same procedure is the main objective of the Forex Exchange House: The configuration of exchange rates on the objective effects of economic factors in certain countries. The exchange rate basically regulates the exchange rates.

With the development of technology, more and more people today the online exchange, trading in real-time via an Internet connection. The online stock market performs a number of functions influence alongside the exchange rates: the technical basis for the free trade offers, create and provide enhanced trading rules for the participants (which also means for example, created the company’s reputation), and the terms and rules for the production of the same transactions. To monitor the obligation to comply with these conditions, the currency exchange as well.

The largest foreign trade in London, New York and Tokyo. Therefore, forex online-cover almost the entire world and offer almost identical conditions for all participants in the foreign exchange markets. This has the currency has the world’s largest stock, with a turnover of more than several billion dollars per day.


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