FOREX – The name stands for foreign exchange tradeonlinemarket market, the biggest trade market in the world with surplus amount of money being exchanged. Fx and currency are nothing but other names for FOREX.
The foreign exchange trade market is all about the exchange of currencies like USD, EURO, POUND, and STERLING by the western countries. Normally, the currency trading is done in pairs, for example, a party buying USD and exchanging it with EURO.
The Foreign exchange trade started to emerge especially for the western countries, who have the need to buy and sell their currencies. There are many participants who take part in the foreign exchange trade; Government, Commercial companies, Central banks, financial institutions etc.
The trading occurs when one of the participants is buying a quantity of one currency and exchanging it by selling the other type of currency. The ultimate aim of FOREX is to improve trade and investment. An investor gets profit by a low margin depending on the fluctuations in the currency value with respect to the foreign exchange rate. The fluctuations in money value with respect to foreign exchange rate will be steady and don’t vary in a large manner as that of the stock market.
Few other things which speculate FOREX are; its liquidity, Bulk volumes of trade and round the clock working hours. Other markets provide you fixed income whereas FOREX provides you with a low margin profit.
In order to gain profit you must buy the currency with an increase in its value with respect to foreign exchange rate and by selling the other currency in exchange for it. This may provide you with a gain.
In general , FOREX online trading is performed with the help of brokers. But it can be done without human intervention too. Many may not be aware of the FOREX robots.
FOREX robots are nothing but software programs designed to help the investor acquire profit. As human beings are subjected to tiredness, these robots work round the clock to take care of the investor’s currency and provide him with a profit.
As most of the FOREX robots perform trading depending upon the past trade conditions, a special robot called FOREX megadroid robot with a special program installed, makes analysis of the trade by taking future into account, and intelligently gains the investor.
Another important feature of this FOREX megadroid robot is, it works even when the market is facing downside. Most of the robots are designed in such a way that they work only in steady market conditions. But FOREX megadroid robots work the other way. Thus an investor can really gain a profit in the foreign exchange trade market.