The foreign exchange market (Commonly known as forex, or FX), is the worldwide market where currency trading takes place. Large financial institutions such as banks corporation and governments facilitate the buying and selling of foreign currencies throughout the whole world.
Increasingly, individual currency speculators are making a large impact on this market. Many are also making a lot of money using currency trading (FOREX) web sites. In fact the FX market is now THE biggest and most fluent financial market in the whole world, with an estimate of over trillion being traded daily.
Forex Trading Online 2012
Now the 'Man in the street' can get a part of the action from the comfort of his own home. With an ever increasing number of Forex trading sites springing up it is difficult to know where to begin. The great news is that most of these sites offer you the chance to open 'Demo' accounts where you can learn the ins and outs of trading on real markets yet using only Demo money. In this way you can learn how the different currency pairs behave and react to other economic triggers, without losing a fortune in the process.
Most importantly you will learn how to close a trade so you can hopefully take you profits swiftly before the market changes, or stop your losses fast if the market goes against you. A very useful trick to learn on these Demo accounts is how to place guaranteed 'Stops'. Stops are basically simple instructions you input which will mean your trade automatically closes when the market has moved in your direction: (This would be a Take Profit Stop), or alternatively when the market has moved against you (This would be a Stop Loss). In learning to input 'Stops', you can safeguard how much money you are actually willing to risk.
A safe way to fund your Forex account when starting to use real cash is to first sign up to an online money 'wallet', with e-wallets, payments are tied to your unique e mail address and therefore you do not need to give out credit card data when making withdrawals or deposits. It is important to find a wallet that allows instant transactions and has good levels of security.
Many Forex sites will match your initial deposit with a Free trading Cash bonus, often up to 0. Usually you have to deposit a minimum into your account (for example 0) and place a small number of trades before the bonus is released to you. Some 'Bonus Baggers' actually cash in on these Free bonuses by merely doing the minimum number of trades, opening and closing them immediately (for a loss of a few £s or $s) and then withdrawing the rest of the money for a nice profit. Sometimes the bonus conditions mean it is not withdrawable for a few weeks.
So First Deposit Cash bonuses are a great way for those starting out in Forex and a very useful cash boost for more experienced Forex Traders.
Forex Trading - Learn With Demo Accounts and Free Sign Up Bonuses
