Written by Rowan Relton | September 29, 2021
The trading market fascinates everyone with its number of rewards, says Rowan Relton. However, most people are not aware of the dangers it has. In today’s article, we will talk about everything you want to know about Australian forex trading.
The word ‘Forex’ was derived from the term “foreign exchange”. But what exactly is foreign exchange? If you have not yet known, you’ve come to the right place.
Foreign exchange is a type of market where investors trade international currencies against one another. The shift in exchange rates decides whether you will gain profit or on the contrary, have a loss in this market.
Due to the continuing exchange of currencies, the market shifts and moves almost every minute. The exchange market is so big that it makes the stock market look small in comparison. With its nature of not being owned by any government body, one has the ability to deal with buyers and sellers independently.
Growing in popularity within Australia, the Forex trading market is attracting more and more citizens, which leads to the spike of the Australian dollar amongst other currencies.
Know about the facts about forex trading in Australia with Rowan Relton.
Anyone that wishes to enter the market has one question in mind, how do I get started? The first and most important step is to find the right broker, says Rowan Relton. There are so many brokers with their strengths and weaknesses. It takes time and effort researching for your most fitting professional. Though the market moves rapidly, keep in mind that you should not rush while choosing a broker, as it is the utmost important process. One wrong step can cost money and time, which is detrimental in this sort of market.
Forex trading involves currency pairs, meaning the practice of purchasing and selling currency at the same time. The first currency in the listing is called the base, whilst the second is called quote currency. Let us analyse it with an example: if the US dollar (USD) is the base currency and the Australian dollar (AUD) is the quoted currency, one would be buying USD and selling AUD. The buying price at which the trader buys the quote currency is named ‘bid’. The selling price is known as ‘ask’. Forex markets deal with almost every currency available and there is no limit to which currency you can trade-in, you can live in India and buy AUD you can buy any currency pair you like. How people make money in forex trading, experienced traders keep an eye on and understand the changes that are likely to occur.
No interference from the government means it is not centralized which means it is more likely to be a fraud-prone market. So how does it keep and maintain laws and regulations? Australian securities investment commission this organization keeps an eye on everything from maintaining standards to the rules and regulations. The ASIC maintains a list of names of the brokers that match the market standards and that are certified by the ASIC. These brokers are highly experienced and less likely to fraud you as they are certified and by the ASIC.
The forex market is active 24/7 but the time zone can differ from place to place, it stays open 6 days a week and it remains closed on Sundays.
The foreign exchange market or forex is gaining popularity worldwide because of the high returns that it can give. But most people don’t know that no matter how appealing it may look from the outside it has its own negative features as well. People with less knowledge about this should not enter it without learning about it as it can cause them a huge loss. So where can you educate yourself about this trading market?
The Internet is the place that can solve your problems, if you are eager to learn about how the forex market works there is no better place than the internet to get started. There are people like Rowan Relton, commodity trader. With more than 15 years of experience that can teach you about how the forex market works. There is more to that, there are also many paid courses that you can pursue to learn about the forex and then step into this market. Before getting into it make sure you have a good consultancy, and do your research well, and don’t hurry with anything. Hurrying will not only cost you a fortune but also the time that is the most important factor that can increase or decrease the profit or can cost you to bear with a loss.
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