What is Forex?

What is Forex?
Date: Mar, 2015 Share This

Forex alias alias FX foreign exchange, the Indonesian called a foreign currency or foreign currency. While trading Forex is a currency trading activities of one country and another, summarily forex trading. If the analogy, this Forex trading is almost similar to a money changer or the stock. As trading activity in general, the advantages of trading Forex obtained from the difference between the purchase price and selling price.

A case like this:
A few months ago Sule buy US Dollars as much as $ 100 with the purchase or conversion of rupiah exchange rate of Rp. 9,000. And this week, it turns out the rupiah weakened against the US dollar so that the exchange rate to Rp. 10,000 per one US dollar. So, if Sule sell the dollar this week, he will earn a profit worth (10000-9000) x $ 100 = Rp. 100,000.


Understanding forex is very similar to a money changer huh? Yes. But still no difference. Go to the articles below to listen further.

Differences Forex With Money Changer
Talk about forex, the first thought might be a money changer. If you want the streets abroad, buying foreign currency at a money changer normally. Similarly, if migrant workers return home, first stop by the money changer. What is the difference forex with money changer? Both are looking to profit from the difference in currencies, but there are fundamental differences of Forex and Money Changer. Read More

Forex Differences With Stocks
There are some people associate with the forex stocks. Forex and stocks are both business-related financial markets, but of course there are differences. The difference is not merely a name, but also include: Read More

Forex Differences With Futures
Forex almost always identified with futures, or futures, so some investors are equating these two investments. But when we introspect, there is a difference between Forex and futures. Read More

Advantages of Trading Forex
As is known, there are several types of financial markets, from stocks to futures. But there are many people who choose Forex as a farm business. What makes this market more interesting than any other market? Read More

Not just men and women who created pairs, forex also only be done in pairs (pair). In forex trading, we will do the selling or buying of currency, and it must take place between two different currencies. Therefore, the mention is always in pairs, where a stronger currency would be in the front. For example the US dollar to the British pound sterling, which is abbreviated GBP / USD. US Dollar or the Japanese Yen to USD / JPY.


Basically there are eight of the most common currencies traded in the forex market. Eighth currencies, called the major currencies consisting of:
US Dollar (USD) is also called "The Greenback" or "buck"
Euro (EUR) is also called "Single Currency" or "Currency Single 18 Countries"
Japanese Yen (JPY)
British Pound (GBP) is also called "Sterling" or "Cable"
The Australian dollar (AUD) is also called the "Aussie"
New Zealand Dollar (NZD) also known as "Kiwi"
Canadian Dollar (CAD), also called the "Loonie"
Swiss Franc (CHF), also called the "Swissy"
Currencies are usually paired and traded with each other (cross), and including a range of currency pairs most traded in the world.