USD: HSBC recommends purchase of dollars, expects euro to drop to 1. The foreign exchange market, also known as the forex market, allows traders to profit from currency movements online forex competition real time. 5 trillion dollars are traded every day between various traders and financial institutions.
Online forex trading has been available to individual traders since the 1990s. The number of online brokers has risen sharply in recent years and choosing a broker has therefore become increasingly complicated. However, strong competition between brokers and dealers has significantly improved trading conditions as well as the services that are available to traders. Currently, it is possible to invest, with just one click, in all of the financial markets with a single trading platform. Thanks to the leverage which forex margin accounts provide, the initial capital required to open an account is not very high. On this site, you will find: articles to learn about forex trading, real time news, as well as free and personalised advice so that you can more effectively train yourself to become a forex trader. Forex trading and CFD trading can be extremely lucrative – but risky – since transactions can very quickly generate profits or losses.
Only invest what you can afford to lose! Read our beginner’s guide to forex trading to learn the basics of forex trading. If you have any questions related to forex trading or this website, feel free to let us know by email or on our forex forum. Welcome to Forex Kenya, the first website dedicated to forex trading in Kenya.
For those of you who are not familiar with the forex market, it is enough to say that forex stands for ‘Foreign Exchange’ and it represents the trading of currencies one against another. By trading on the forex market, Kenyans can make money by correctly guessing which currency is going to raise and which one is going to fall. To easily explain how forex trading works we will give you a simple example. Let’s consider that you bought 10,000 US Dollars in January 2015 at the rate of 90. 75 Kenyan Shillings for one dollar.
This is how you make money by trading currencies. In the above example you probably saw that you needed 10,000 dollars to make a profit of about 1,000 in six month. That’s a lot of money and a lot of time, but don’t worry, there are ways to overcome this issues very easy. The broker is a specialized company that creates the perfect environment for traders to take advantage of the currency fluctuations in no time. Opening an account with a forex broker will allow you to trade on the international forex markets with huge amounts of money and make profits much faster. Forex brokers offer leverage in order to allow their clients to trade high amounts of money.
A broker that gives you a leverage of 1:200 allows you to trade 200 dollars for every dollar you have on your account. If you make a deposit of 100 USD you are able to trade worth of 20,000 USD because of the leverage effect. Why is the broker allowing this? Here is another example to explain why the broker gives you leverage. USD, the most traded currency pair in the world.
1031 which means that one Euro costs 1. In order to buy 10,000 Euros you need to pay 11,031 US Dollars. Let’s say a trader buys 10,000 Euros through his forex broker at the above mentioned rate, and two days later sells them at 1. To make a long story short, leverage is given by the brokers in order to help traders make bigger winnings at the risk of higher losses in shorter times. The more you trade, the better it is for the broker, because of the so called ‘spread’, which is the difference between the buy and sell price of each currency pair.