So, what are they, the important advantages of the Forex market?
- Liquidity of Forex. The foreign exchange market turns huge financial resources, allowing you to open or close virtually unlimited volume positions at current market rates.
- Convenience operation of foreign exchange market is an advantage of Forex. In contrast to the commodity and stock markets, where trade is terminated at the end of the day and continues until the next morning, Forex trading is available for 24 hours a day. This allows traders around the world to make transactions every second.
- Availability. If some time ago, foreign exchange transactions were the prerogative of the largest banks, in recent years, due to the emergence and development of e-commerce, currency transactions have become available to individuals. Today, having a computer and access to the Internet, using special software (trading platform), Forex trading can be done by almost anyone.
- The important advantage of this kind of activity - its cost. Unlike other markets, Forex has no additional fees, except a natural market difference between the purchase of currency tool (ask) and the sale price (bid). This difference is called the "spread" and is removed from the account immediately on the opening.
- Using a large leverage. With the ability to use a special mechanism when trading Forex, you can operate the sums, which are several times higher, then your available funds. The missing amount is provided by a bank or other credit institution.
- Low start-up capital to start Forex trading. The minimum amount, required to start operations, is much less than the funds, required for trading in the commodity and stock markets. To date, many brokers provide the opportunity to begin bidding, having the presence of only few tens of dollars.
- Stability of Forex market. Foreign exchange market is liquid completely, because the demand for currency is constant and stable.