Forex Trading Marketplace Explained



Forex Trading Marketplace Explained – Step By Step



In this series of posts I Will let described what's its function and Trading Forex Market.

The Money Market is just one part of the enormous world of exchange where everything is a commodity, to diamonds from wheat.

It's the world of disappointments and hopes. It's the universe of individuals that are powerful and critical.

For learn about Forex Trading Marketplace, or the Money, first we need to understand about the history of trading, especially the stock trading.

Forex Trading Marketplace Explained
Forex Trading Marketplace Explained


The Stock Exchange


What's the exchange that is modern and what's traded here?

The Stock Exchange that is modern es the bighest form in the long development of global trade. Dealers and retailers were really developed from working in noisy bazaars and caravans to organizations like stock exchanges.

In middle ages retailers just met at a particular area once a year: Marketplaces or The Fairs. New trade routes and the countries states were being developed. New continents were being found and new goods appeared on the marketplaces.

People and cities prospered from this boomed trading. In big sea ports like Antwerp, trading started to take place on day-to-day basis. Initially in the open air and after in a building specificalle designed for this function.

One the first European Stock Exchange was opened in Antwerp in 1531. Over the years a set of rules, regulating Exchange trading, have grew up and in the most developed economic countries these rules are enshrined in law.

Modern Stock Exchange are the important components of international market.


The Essential Properties Of Tradable Commodities



1. Liquidity
Is the most significant property on an Exchange Commodity. Means the commodities can be purchased and sold.

2. Evaluation Of Quality
The second property is the exact evaluation of quality. For example: gold bars must be at least 99.5% pure gold.

3. Amount
The third property es an established minimum amount which can be traded on the exchange program. This sum is called a LOT. At the London stock exchange that is future one lot is equivalent to 1 million american dollars.

4. Fluctuating Cost
The forth built-in property is the fluctuating cost which answer to provide anmd demand. These amounts of demand and supply change as the exchange program is reached by news from the external world.

Kinds Of Exchange


I hace given examples of stuff that can be dealer: commodities like petrol or gold, Monies and of course things like bonds and shares.

Now I'm going to break up these matters into 3 groups, depending on wich exchange trades on them:

1. Commodite Exchanges
Silver, gold, petroleum, wheat, etc.

2. Stock Market
Modern stck marketplaces are economical thermometer measuring the temperature of the international market.

3. Currency Exchanges
The group we're most curious in. Money es traded in this group, one states cash is exchange for another´s.