Forex means foreign exchange or currency trading. It is a decentralised global market where all the other currencies in the world are traded. So, whenever an individual travels overseas, he/she has to make a foreign exchange transaction. The forex rate fluctuates continuously and it depends entirely on the demand and supply.
It is quite similar to the stock market but is humongous as compared to that. A daily trade volume in a forex trading market is around $5 trillion. A lot of more information about forex trading in Kenya is available on the official website of Forex Kenya. It is the first ever website with an exclusive dedication to forex trading in Kenya.You can check this website: http://www.forexkenya.net/
The importance and benefits:
- Currencies are very crucial for every country and its citizen. Believe it or not, the exchange of currency is inevitable to conduct foreign trade and business.
- It is exactly the reason why the forex trade market is the largest and most fluid market in the world.
- The unique aspect of this market is that there is no specific central marketplace for this currency exchange. Rather the entire process is electronic and over the counter (OTC).
- Traders benefit quite a lot from the forex trading market due to its low cost nature.
- There is always a great chance of using leverage, which means they can trade more money on the market even if they don’t have that much in their account.
- Another major advantage of trading in a forex market is its 24-hour availability. Since trading is pretty much continuous, the market needs to remain open all day and every day.
The benefits of getting associated with a forex trading market are quite significant and keep an engrossing number of traders every month. But beware of too much trading and investments because like every other business, every forex trading can have loopholes and scams. A leverage that is usually a benefit for these traders can sometimes be a double-edged sword, posing some risk for the traders.
So, it is better to profit from a long term and slow strategy which remains active for a longer time than investing in a high leveraged one. It is because the latter might end up causing a lot more harm than benefit monetarily. Since in Kenya, the number of successful forex brokers is quite low, people often look for guidance to invest in forex trading. One such great site is the official website of Forex Kenya. It offers a lot of help to the beginners in forex trading.