Forex
Forex Trading
Trade 70+ FX currency against CFDs products and benefit from ultra low spreads and rapid order execution.
Foreign exchange trading is a way to convert one kind of foreign currencies into another, that is, to buy one kind of currency in a currency combination and sell another kind of currency at the same time. Currencies in the international market fluctuate frequently with each other and trade in currency pairs, such as the Euro against the DOLLAR (EUR/USD) or the DOLLAR against the Yen (USD/JPY). Unlike stocks or futures, there is no trading center and all foreign exchange transactions are conducted through a data network.
The Foreign Exchange Market
The foreign exchange market is the world's largest so far, with an average daily trading volume of $6 trillion. The foreign exchange market is opening 24 hours a day from Sunday 5 p.m to Friday 5 p.m. Trading starts each day in Sydney and as the earth turns, every financial center around the world will open once more, from Tokyo to London to New York. Unlike other financial markets, foreign exchange traders are able to react to market fluctuations at any time during the normal opening hours of the foreign exchange market, day or night.
The Advantages of Foreign Exchange Trading
A. Flexible Leverage
The leverage ratio offered in foreign exchange trading is usually 100 times of stock trading, and you can enjoy trading leverage of up to 500:1 in NYBOT Global Ltd. For example, in the stock market, investors can use margin trading to buy stocks worth 2,000 yuan for 1,000 yuan. In NYBOT Global Ltd, forex traders can use $1, 000 equal $500,000 of purchasing power. As a result, foreign exchange trading is far more effective than stocks. Investors need to be aware that leveraged trades may magnify losses as well as gains, and you can only trade if you are able to take on these risks.
B. Bilateral Trading
In the stock market, investors who want to take advantage of a bear market face restrictions if they want to short. Such as higher capital requirements. Improve quotation rules and complex operational procedures. Foreign exchange short selling mechanism branch is flexible and without any restrictions, foreign exchange traders can freely take advantage of the rise and fall of the market to invest for profit. Take Euro against US dollar (EUR/USD) as an example,when EUR/USD appreciates, you can choose to buy. When EUR/USD depreciates, you can choose to sell.
C. 24-hour trading
The foreign exchange market is a global market that never stops for 24 hours. Traders can schedule their trading hours according to their living habits. This is also one of the reasons why many office workers choose foreign exchange investment. At the same time, more and more people are using the stock market recess to trade in foreign exchange, an effective way to diversify their investment risk.
D.High Liquidity
The foreign exchange market has high liquidity, T+0 system and easy conversion. Investors can react instantly to any news, whenever and wherever it occurs, and there can be flexible rules on the timing of entry or exit. The size and volume of other financial markets, such as illiquidity, pales in comparison to the foreign-exchange market. For example, in the futures market, it is difficult to trade on many times , the price is easy to jump short and not easy to grasp. The foreign exchange market is always liquid and can be traded at any time. The foreign exchange real-time quotation system can guarantee all market orders. A limit order or stop order is a complete deal.
E. Low Cost with Non-commission
The cost of forex trading is usually limited to the spread between buy and sell currency pairs. NYBOT Global Ltd does not charge any commission and its profits are derived only from the quote spread. Spreads on NYBOT Global Ltd can be as low as 1.6 points.