Why Trade the Forex Market?
Because the Forex market is the best trading vehicle available today. What makes the FOREX Market superior Because the Forex market is the best trading…
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Because the Forex market is the best trading vehicle available today.
What makes the FOREX Market superior?
Let’s go over its unique qualities one by one:
Unmatchable liquidity
The FOREX market is a $1.5 trillion a day market. This is more than the Dow and NASDAQ combined. Due to this liquidity, there are some fantastic advantages not available in other markets.
Guaranteed Stops and Limits – Quality FOREX brokers will guarantee no slippage on your stop or limit orders. There is no other market that offers that.
Scalability
Due to the size of the FOREX market, you have the opportunity to compound your profits to extents unheard of before. This means that, with the help of your FOREX Trading Education, you can achieve excellent returns on your investment.
24 Hour Trading
The FOREX market is open 24 hours a day, 5 days a week. It closes Friday afternoon and reopens Sunday afternoon. Other than the obvious advantage of flexibility, there is another characteristic unique to FOREX.
Gapless Trading
While the FOREX market is open, you will not have to deal with any price gaps. For those of you familiar with gaps in trading, you realize how valuable this quality is. Fortunately, for those of you who are not, you will never have to learn how to trade gaps.
Number of Charts to Watch
Since there are only four major currencies on the FOREX market, and maybe four others even worth mentioning as a trading option, you are limited to a minimal number of charts that you must follow. This allows you to learn all the fine points of the currencies you are trading. As you know, every bit of knowledge helps.
Technically Based
The FOREX market is known for being very technically sound. Much of this is due to the liquidity and the 24-hour a day trading. Whatever the reason, FOREX tends to be more technically predictable than any other market.
Tougher Market to Manipulate
When dealing with a single stock, any comment on any business channel or newspaper can significantly affect its price. The comment doesn’t have to come from a qualified individual. However, in relation to the FOREX market, only a handful of people in the world could single-handedly affect the markets.
Additionally, when they are going to speak, it is scheduled. Therefore, you will rarely be caught by a surprise move in the FOREX market.
100:1 Leverage
The stock market only offers a 4:1 leverage to the biggest of traders. Enough said.
No Commissions
Other than the spread on whatever currency you are trading, there are no commissions on the FOREX market.
No Short Selling Restrictions
If you are not familiar with short selling restrictions, move on to the next paragraph. If you are, then you can forget them. There is no such thing as waiting for an uptick. There is no such thing as the “hard to borrow” list. Every good shorting opportunity can be captured without restrictions.
Knowing what is available in the FOREX market, we cannot conceive of one good reason to trade any other market.
