
The FOREX, FX or foreign exchange market is the place where currencies from one country are traded for the currency of another country. Forex futures trading accounts for a very small percentage of the trillions of dollars that are traded in the forex market on a daily basis.
Forex trading strategy involves buying currency whose exchange rate will increase, while simultaneously trading out or selling a less valuable currency. Forex futures trading strategy is basically the same. The difference is that an investor may choose to contract to buy or sell a specific currency at a specific price on a future date.
If you are interested in forex trading, you are probably not actually interested in forex futures trading. Not many people do it and there is no fundamental difference between forex futures and the traditional futures market, but forex trading has quite a few advantages over the traditional futures market.
First and most important for many people is that forex trading platforms are available through websites 24 hours a day; there is no central exchange as there is in the futures market. Forex trading is commission free trading. There are no National Futures Association Fees.
Forex trading offers higher liquidity and price certainty since getting in and out of positions tends to happen with lightning speed. The price quoted for a futures contract, on the other hand, is not necessarily the price for which the contract will be filled.
By using forex trading online platforms,
the investor can see real time prices and exchange rates. There also tends to be a controllable amount of risk with forex trading; the required margin amount can never exceed the dollar value of an account. Forex trading strategy is also quite different from futures market investing and desired results -- other than making money of course -- are different.
Before beginning to trade, education is important, devising a forex strategy and what you need from that strategy is important, and choosing a broker or website trading platform and deciding what you need from them is also important. As previously alluded to, there are no commissions charged by forex brokers. Forex brokers make their money on the “spread”. To the investor, this means that a lower spread saves money.
As a final note, education on forex trading and the futures market, as well as assistance in developing a strategy are available from many websites with a trading platform. We cover some of the best with our top recommendations. Our recommended newsletter is written by forex pros and includes mentoring and analysis of current factors influencing currencies.
Get advice, facts, and opinions about forex trading strategy at http://www.forex-trading-reference.com

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WORLD FOREX: Dollar Gains Ground After Strong US Retail Sales Wall Street Journal "The data was dollar positive," said Jacob Oubina, a currency strategist at Forex.com in Bedminster, NJ "It's going to raise [US's] first quarter GDP up ... |
FOREX-Dollar little changed vs majors in volatile trade Reuters ... market analyst at Easy Forex in Chicago. "If anything, traders appear to have a preference to sell the euro on rallies." The dollar JPY= was little ... |
![]() Reuters | WORLD FOREX: Dollar Surrenders Some Gains To Euro, UK Pound Wall Street Journal TORONTO (Dow Jones)--The dollar is higher against the euro and the UK pound Tuesday but has ceded some of its gains as ... FOREX-Euro, sterling pressured by fiscal concerns FOREX-Yen firm, euro and pound hurt by fiscal worries Forex: Several Indicators That Will Move Currencies |
![]() RTE.ie | WORLD FOREX: Yen Down Vs Dollar On Hatoyama Remarks MarketWatch TOKYO (MarketWatch) -- The yen fell against the dollar and euro in Asia Friday as Japanese Prime Minister Yukio Hatoyama's comments ... Daily Forex Overview |
![]() FXstreet.com The Forex Market | Forex - Dollar mixed vs. rivals after jobs, trade gap data Forex Pros Forex Pros – The US dollar was mixed against most other major currencies on Thursday, following a disappointing report on initial US jobless claims and ... Forex: US Dollar mostly lower today as EUR/USD hovers near 1.3600 Forex - Dollar mixed vs. rivals as US jobs data eyed Forex - Dollar climbs against yen, nearing 2-week high |
![]() Forex Flash | WORLD FOREX: Dollar Up Vs Yen, Euro Little-Changed Post Jobs Wall Street Journal NEW YORK (Dow Jones)--The dollar rose against the yen, but the euro recovered much of its initial loss against the ... WORLD FOREX:Dollar Hits 2 1/2-Month Low Vs Yen; US Yields Down FOREX-Yen dips, dollar supported ahead of payrolls Forex trends: dollar gains some ground across the board, sliding vs yen |
FOREX-Dollar rises vs yen as US jobs data boosts optimism Reuters NEW YORK, March 5 (Reuters) - The dollar soared against the yen on Friday after a government report showed US employers cut fewer jobs ... WORLD FOREX: Dollar Ends Broadly Lower; Canada, Australia Lead WORLD FOREX: Euro Falls Vs Dollar After RBA Says Europe A Risk FOREX-Euro steady vs dollar; US jobs data awaited |
![]() Earthtimes (press release) | WORLD FOREX: Dollar At 2-Week High Vs Yen On Asia Stock Rises MarketWatch TOKYO (MarketWatch) -- The dollar rose to a two-week-high against the yen Monday in Asia, as higher regional shares bolstered ... FOREX-Yen slips on BOJ story, sterling stays heavy FOREX-Yen down on concern ahead of BOJ, pound slips GBP and JPY Under Selling Pressure |
![]() FXstreet.com The Forex Market | Forex: Dollar dips on weaker than expected jobless claims NASDAQ FXstreet.com (Barcelona) - The Dollar has been damaged by a weaker than expected decline on weekly claims, and the Greenback has ticked down against its ... FOREX: Euro May Not Have the Juice; EUR/USD, FXE Forex: USD/JPY eases below 91.00 after consumer sentiment data Forex: USD/JPY retreat contained by 90.15 support |