Get to know Forex Trading, Investments that Need Big Guts
You must be no stranger to foreign exchange or foreign exchange (foreign exchange / forex) both those of you who often go abroad or not often abroad. If you look better at the exchange rate, it can rise & fall or fluctuate according to when you exchange the money you have with the other currencies.
The exchange rate fluctuations are then used by some people as one of the instruments to invest and reap profits. Curious how?
Investments that can be done such as the activity of storing foreign currency in a certain period of time at home or at the bank and do it again when the deposited currency experiences a strengthening of the exchange rate. But there are other ways actually to find more profits from this activity, as investors do, namely by buying and selling with currency exchange (forex trading).
All investments must be named risks that must be faced. The potential for high profits makes the potential for loss become high. To what extent are the risks and opportunities for profit?
First you have to choose an official broker from domestic or foreign which is directly supervised by the commodity futures trading authority in each country, in Indonesia the authority is under the Commodity Futures Trading Supervisory Agency (Bappebti).
After choosing an official broker, you can open an account then the broker will teach you various ways to read charts or charts of currency movements in each country.
Then you can directly trade or buy (buy) the currency you want. This currency will always be side by side with other currencies.
However, forex trading is different from other investments because it is two-way.When compared with stocks, investors buy shares at low prices and sell them when the stock price has risen to realize profits.
With this two-way trading, investors don’t need to worry too much if there is a negative sentiment towards the currency being traded right. The reason is, investors can already sell their forex contracts when they do not have the contract.