All About Forex Trading

Foreign Exchange or Forex trading is done using the currencies, trading is done across countries (almost all countries) and that is how millions and millions are traded on a daily basis. The international trading market is similar in nature to the stock market, here also people buy and sell but obviously the international trading market is much bigger and larger than a country's stock exchange market. The prominent players in the Foreign Exchange trading include banks/ firms like Citigroup, Deutsche Bank, UBS, Barclays, HSBC, JP Morgan Chase, Morgan Stanley, Goldman Sachs, Merrill Lynch and ABN Amro, just to name a few.

In case you are interested in trading in the international market then you can go to any of the banks/ firms mentioned above and they are well equipped to handle your account and give you enough returns on your money. It is only with time that you start learning about the secrets of the trade and therefore it is advisable that first you do some research on your own and then enter the international trading market. Slowly and gradually you would start understanding where to invest and where not to invest.

The biggest players in the Foreign Exchange market are the big banks as they have plenty of money to invest on a daily basis and needless to say this is one way how these banks earn such hefty amounts. The money you park with the bank in your savings accounts are also at times utilized in making money by the bank. In case you are dealing with a small bank/ trading firm then it is advisable that before you embark on your vacation (planning to go abroad) you can enquire from your bank whether they have Foreign Exchange facilities or not. You can also get this information from the financial information sheet of a particular bank, as they have to bring it out for the general public, on a quarterly basis.

In case you are a novice to the Foreign Exchange market then you should first try and understand that in this trade one person or a group of people, one bank or a group of banks, one country or a group of countries are not involved, the trading takes place on a global basis and similarly many banks/ authorized brokers (of each country) are involved at the same time and needless to say millions and millions of people are involved as far international trading is concerned. The most traded/ preferred currencies that are traded in the international market include Dollars, Euros, Pounds, Swiss Franc, Australian Dollars and Japanese yen. Apart from the above there are many other currencies, of various other countries that are traded as well. The main international trading markets are based in New York, London and Tokyo. Again, apart from these centers there are many other smaller centers that are located in various other countries and even they are involved in Foreign Exchange market.

John Baker is an editor at http://www.ForexTopTen.com. By visiting the website http://www.forextopten.com you can read forex traders reviews about forex trading systems, trading courses, ebooks, softwares and brokers.