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The foreign exchange market or better known as FOREX is when one currency is traded for another country’s currency. It is an alternative form of business where the goods to be bought and sold are money itself using money. The foreign exchange market or better known as FOREX is when one currency is traded for another country’s currency.
In the past, people would normally engage in stocks and pool their savings in the money market to build up their investment portfolio.
Nowadays, with more than 1.5 trillion USD of FOREX being exchanged on a daily basis, even the “small-time” investor can participate in the FOREX market. There is leverage in the FOREX market where a minimum amount of currency can have access to a large deal of money.
A lot more advantages to study and dive into FOREX trading include the following:

24-hour trading

Compared to stocks, FOREX trading is twenty-fours. A FOREX trader can trade right away once they spot an opportunity to buy low and sell high. Remember, money has time value. And a lot of factors in the economics and politics of a government affect how low a currency will drop or how high a currency will gain. It is fairly easy to say buy low and sell high. But the trick is to know when to do it. With twenty-four trading, the FOREX trader has the ultimate advantage already. Since, after all, time is money.

High liquidity

A market or business is considered very liquid if the assets involved can enable the person to directly meet his payment obligations. In other words, if cash is at hand—immediately. What is a more liquid market than the FOREX market?
FOREX has high liquidity, because it can be traded swiftly, without considerable loss of value, and anytime within the trading hours or in FOREX trading’s case—24/7.

Steady market availability

In all businesses, businessmen strive for a steady market, if not an increasing one. Why spend time in a trading scene when it is short-term?
The market will always be there. The trader only has to be aware of the rising and falling of the currencies. When is the currency starting to be weak? When is it going strong? Is there a trend? The market will always be there.


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