Forex Indonesia 2020
Forex (short for Foreign Exchange) - currency exchange. Forex market is, first of all, considered the international currency market - the largest and most active financial market in the world. Daily turnover at it exceeds 5 trillion dollars. It is more than the turnover of all national stock markets combined.
Forex market participants are the largest banks and central banks of different countries, investment and pension funds, large companies and private investors with substantial personal capital. Transactions on this market start at $1 million or more.
But the forex market is also called the market, where they do not buy or sell real currency, but only make bets on the rise or fall of currencies. Specialized companies - forex dealers organize this market.
Forex dealers offer ordinary people to participate in the game on the Forex market. The point is that a person tries to predict what will happen to the rate of one currency against another, and concludes a deal with a forex dealer. If his prediction comes true, he earns - the dealer pays him money. If not, the dealer, on the contrary, writes a certain amount from his account.
As a rule, neither big money nor special equipment is required to start trading. It is enough to have access to the Internet and the trading terminal - a particular program on your computer.
Trading on Forex
First, you enter into a contract with a Forex dealer and install the dealer's trading software on your computer, smartphone or tablet. This program reflects the rates of all the currencies in which transactions can be made.
A forex dealer can use quotations of currencies of international currency exchanges, banks, Russian and foreign brokers, news agencies and other reliable sources. The full list of possible quotation providers is available in the Basic Standard of Forex Dealers' Operations.
To conclude transactions at Forex, you must transfer a deposit to the dealer's account. This money will be a guarantee that you will be able to fulfil your obligations on transactions in Forex.
All your trading operations - conditional "buying" and "selling" currencies - are reflected in the program online. But the real money comes to your account or is deducted from it only after you close trades. If you have correctly predicted the movement of the currency rate, the dealer accrues money to your account - your deposit is increased. If not guessed, the deposit is reduced.
You can only withdraw your deposit from the dealer's account after all the trades have been closed.
How are deals made in the Forex market?
Before making a deal, you choose two different currencies - a currency pair. One of them is a base currency pair, and the other is a quoted currency pair. Your task is to try to predict how the quoted currency will change relative to the base currency. If you are sure that the rate of the quoted currency will increase, you can open a deal to "buy" it. If you think it will fall - on "sell".
Most often, the dollar is chosen as the base currency, and you can select any other quote currency.
People think that the forex dealer takes a commission for his services. For example, for opening and maintaining an account, connecting to a trading program, making transactions, transferring money to a bank account and other services. All tariffs should be specified in the contract.