The prerequisites for the emergence of a trading platform for currency exchanges on a global scale appeared quite a long time ago. International currency market Forex was created in its modern form and officially recognized only in 1971. The main commodity on it are the currencies of different states.

Why is the Forex market attractive for investors?

Due to the large number of participants, fluctuations in the Forex currency market occur constantly, because quotes change every second, which makes it possible to make many speculative transactions in a relatively short time.

With the development of the Internet and technology, the Forex (Forex) market has become especially attractive for private investors who have relatively small capital, since they can easily get a "loan" from a broker (leverage). Ratio loan funds to your own Forex finance in certain markets and some brokers can be one in a thousand.

The Forex currency market without much difficulty allows you to increase capital, monthly by 30-50%. The key to effective work in the Forex market is training and constant replenishment of knowledge, self-improvement. Experienced traders trade Forex using strategies that take into account all objective and subjective factors that affect the price of a currency.

The Forex market is created by large players. The main driving force of the Forex currency market is the movement of capital between states, as well as the economic situation of the leading countries of the world, technical analysis, psychological and political factors.

How to conquer the Forex market?

To paraphrase this question, we can say differently: how to get rich trading currencies. This is not easy to do. Although history knows many examples when hundreds of millions and billions of dollars were earned on the Forex market, all this is the lot of rich people. In this case, the popular wisdom that big money makes big money is relevant. But most traders working on the Forex currency market do not think about excess profits, being content with a fairly large profitability with minimal risks. However, everything is relative.

The Forex market makes it possible to increase capital without any problems, on average, by 30-50% per year. At the same time, the risks of losing everything will be minimal. None of the instruments has such a high investment attractiveness. Moreover, many experts of the Forex (Forex) market and real traders reasonably argue that with an adequate increase in the degree of risk, earning 100 percent or more per year is also not a problem. And there is a lot of real evidence of this.

The key to successful work in the Forex market is training and constant replenishment of knowledge, self-improvement. Experienced traders use strategies that take into account all objective and subjective factors that affect the value of currencies. There is an opinion among Forex experts that the funds invested in training pay off with interest. The main thing is to treat trading as a job, not to play, but to earn money by your own work.

Who Shapes the Forex Market?

The number of bidders is not limited by any framework. However, the Forex market is formed by large players. These are banks of various levels and investment funds. Individuals and small firms that do not have significant capital enter the Forex market through intermediaries - brokerage companies and dealing centers.

To date, the forex currency market / forex market has become a global market united by a single communication network. Work on the forex market / forex market starts on Monday morning and closes on Friday evening. The trading of forex market participants / forex market depends on time zones. Allocate several trading sessions.

The largest volume of transactions falls on the European session. The American and Asian sessions are considered the most aggressive. And the quietest are the New Zealand and Australian sessions.

The sum of the daily volume of conversion operations in the world reaches about 2 trillion US dollars. The London market accounted for about 32% of turnover, the share of the US markets - 18%, Germany - 10%. Operations involving the US dollar account for 70%. The share of electronic brokers today accounts for about 10% of the turnover of the FOREX currency market.

The main feature of the FOREX currency market that attracts small players to it is the possibility of buying and selling foreign currencies if the trader does not have the entire amount necessary to complete the transaction. Brokers providing margin trading services require a security deposit and enable the client to make transactions for the purchase and sale of currencies in amounts 40 - 50, sometimes 100 times greater than the deposit. The risk of loss rests with the client, the deposit insures the broker.

What drives the market? Reasonable question. The main driving force of the Forex currency market (Forex) is the movement of capital between states, the economic health of the leading countries of the world, political, psychological factors, as well as

Speaking of FOREX market it is important to understand that it is not divided into separate groups. Although it is not centralized, and it does not have a head, Forex is a single entity.

Speaking about the essence of Forex, it is worth mentioning as a separate point that there is no such thing as leverage in this market.

Everyone trades only with the money they have on deposit, in other words, with their own money. The minimum transaction volume in the forex market is one lot. You cannot make a deal of 0.1 or 0.01 lots. You can make a deal for 1, 2, 3, 10 lots or more. It is impossible to make a deal of 2.5 lots. Either 2 or 3.

Let's take the EUR/USD pair as the most popular one. The cost is 100,000 euros. In order to make a trade of the minimum volume, you will need to have 100,000 euros in your own pocket, and this is only 1 trade!

Investors with a small amount of capital interact with another - a dealing center. There are a lot of them, more than a hundred around the world. In turn, in most cases, these centers do not contact directly with forex. But they are fighting for the clientele and for the coverage of territories. Each of these centers is interested in as many clients as possible, respectively, in as much money as possible, which we bring to them by replenishing our accounts.

A very small part of these centers, in fact - a few, bring an application to the Forex market. Often this happens with the help of another link - an intermediary.

• It is a much more powerful, more significant, larger organization. This bidder is called counterparty. They are also called liquidity providers. They are already withdrawing funds directly to forex.

Thus, dealing center, having collected a certain amount of money from us, ordinary investors, transfers this money counterparty in trust management at commission interest. The counterparty pays the dealing center for using these transferred funds. Each counterparty cooperates not with one dealing center, but with several, the number of which is about a dozen.

The counterparty accumulates a very significant amount from several dealing centers. The account can go into millions and billions of dollars. These funds just circulate in the forex market.

Most often, the counterparties are organizations that have highly professional employees who know their business and understand what they are doing. The result of their actions, almost always, is a profit. Your counterparty's incomeIn most cases, he keeps it for himself, paying a rather large commission to the dealing center, which, as needed, if someone orders a withdrawal of money, satisfies this request, and the client eventually receives money on his card.

Another important point regarding the essence of Forex. For example, you funded your real account with $5,000 and started trading.

In fact, you only trade in your terminal. These deals don't go anywhere else.

That is, for example, you traded, and the amount from 5,000 became 6,000. This does not guarantee that the client account received payment transaction in the amount of 1000 dollars. The number that you see in the "balance" column just increased. Money starts to come to life only when you order a withdrawal.

And already the dealing center, having found funds in its reserve fund, which is just designed to satisfy all these requests for withdrawal of funds, transfers these 6,000 dollars to you payment card or electronic system (webmoney, yandex-money and so on). And only after that you get a live 6,000 dollars that you can spend on real things. This is the way things are.

It is important to note that serious and conscientious dealing centers that have come to this market for a long time have a peculiar reserve fund, which is designed to satisfy requests for withdrawal. The dealing center collected the amount of our replenishment and transferred it to the counterparty, and at this time we began to order the withdrawal of funds. And so, in order not to delay this business and not cause distrust, money is paid out of the reserve fund, even if the counterparty has the main capital.

You don't have to be afraid of that that our transactions are not directly brought to the Forex market, in principle they cannot be brought there, because we do not meet the requirements of the real Forex market.

Do not be afraid to trade in the market, those large main dealing centers that exist, they are very conscientious and perform their duties properly.

The best brokers for trading and investment

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Broker	Type	Min. deposit	Regulators	More
	Options (from 70% profit)	$100	CROFR
	Forex, CFDs on Stocks, Indices, ETFs, Commodities, Cryptocurrencies	$200	Cysec, MiFID
	Forex, CFDs on Stocks, Indices, Commodities, Cryptocurrencies	$100	FSA, CROFR
	Stocks, Forex, Investments, cryptocurrencies	$500	ASIC, FCA, CySEC
	Forex, Investments	$100	IFSA, FSA

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	PAMM accounts	$100	IFSA, FSA
	Stock	$200	CySec

Hello, dear readers, fellow traders!

Today's article is for people who have no idea about Forex and, moreover, have no idea what a terminal is and how you can trade with it. First, let's talk about terminology, and then about what you need for independent trading with screenshots of the trading terminal. In conclusion - a generalization as conclusions.

Forex concept. Terminology

Forex(from English - FOReign EXchange- "foreign exchange") - this is the market for international currency exchange at freely formed (without restrictions) quotations (suggested prices) based on the demand for currency and, accordingly, supply.

Market participants various kinds of banks (central banks, commercial banks), brokers and dealers, insurance and pension organizations and others (including private investors/traders) act.

This currency market was formed in the 1970-80s and until now it has been daily turnover rose from 5 billion to 7 trillion. dollars and according to forecasts for the coming years, growth will only continue.

Any single center (an exchange in the usual sense) with many offices and large monitors, a single server that generates quotes or there is no official forex website. This market is over-the-counter and represents set of relationships for the purchase / sale of currency between its participants, and liquidity (availability of a sufficient amount of currency) at current quotes is provided by the so-called liquidity providers (mainly large banks).

In the English-speaking segment, forex is understood as a broader concept - the currency market in general, in Russia - more specifically, namely, speculative trading.

Ordinary private traders trade through dealing centers (DCs). In the common people they are called brokers, although there are some differences in these concepts.

The difference between a broker and a dealing center (dealer). If you do not go into details, then the broker always withdraws your funds to the real market and acts only as an intermediary, and the dealer - at his own discretion: he may or may not withdraw, paying from "his" funds (for example, up to some a certain amount, after reaching which it brings to the market the total position of clients) according to quotations that it receives from suppliers. You can read more about the various broker schemes.

For trading in large amounts I recommend choosing only leading companies that have been operating for a long time (10 years or more). The undisputed leader in terms of the turnover of funds and the number of clients in Russia and the CIS countries is this broker ( main advantages: the company has existed for more than 20 years, among the majority of Russian-speaking traders it has the best reputation compared to other brokers and is considered the most reliable, has good trading conditions. One of the priorities is the transparency of work with the client (as far as possible, of course). In addition, this company is significantly ahead of competitors in the trust management segment - the PAMM account service, which undoubtedly brings the company an additional turnover of client funds at the expense of service investors, in addition to traders.

Forex market from the perspective of a trader

For a trader, a trading scheme Forex looks like this:

That is, a trader through a special program (terminal, usually MetaTrader) sees the charts of any traded pairs (for example, EURUSD). Having decided to buy or sell (depending on where the price is expected to move) the currency, opens a deal. The command goes to the broker's server. The broker, interacting with liquidity providers, instantly issues the current result of the transaction (current profit / loss) to the trader's terminal. As necessary (after a certain rise or fall in the price of the selected pair), the trader closes the deal (manually or automatically by pre-set profit targets or loss limits). Let's take a closer look below...

What you need to start trading forex

To gain access to trading, you must:

After installing and launching the terminal, you will see something like this:

Above in the screenshot, the chart window has already been customized by me. You can customize for yourself (colors, for example). In addition, press the "F1" key to view help information on working with the program:

For help In price forecasting, you can use various indicators and auxiliary objects:

But, indicators, and even more so, trading strategies, are, of course, the topics of separate articles...

How to open a trading account

For training, you can open a demo account with any virtual balance (this can be done from the terminal):

On a demo account, you can practice trading techniques, test strategies for virtual funds without risking real ones.

To earn in the long run, you need an effective trading strategy(pay attention to the section with trading strategies), in accordance with the rules of which the trade takes place, or sufficient experience, on the basis of which trading decisions will be made.

To understand the basics, you can view tutorials. The basic ones are free, but are quite sufficient to understand the basics. On paid ones, they already teach how to draw up their strategy and other deeper acquaintance with the market, but, as for me, it will be much more efficient to search for and test various kinds of strategies on your own, which will accumulate experience until you understand what you want to stop on ( although, of course, to whom it is more convenient). At the same time, trading on 2-3 strategies at the same time will be more efficient, since it allows you to diversify risks.

If the trading process is initially incomprehensible, then you can start by investing in other traders through the PAMM account service (the advantage is that the company acts as a guarantor of the relationship between the trader and the investor, the calculation processes are automated, there is a rating and it is possible to select successful traders from it, in detail about it ).

Thank you for attention! Sincerely,
Nikolai Markelov, author

Hello, dear Readers of the site "site"! This review reveals the topic of what are the principles of its work and how it works. Additionally, information is disclosed about who are traders, brokers and regulators in the financial markets.

In this article, we will reveal detailed information about the participants in financial markets and describe the device, the principle of Forex operation. Also, the essence of interaction with each other of all participants of the international Forex currency market is revealed.

1. What is Forex

Forex currency exchange is international market, where all currencies of the world are exchanged between its participants - traders and investors. They are the basis for the existence of the currency and stock exchanges, creating supply and demand in the financial markets.

The main participants in this market are:

1. Buyers and sellers - traders, investors.
2. Participants providing the opportunity to trade on Forex are brokers.
3. Participants who regulate the relationship between a trader and a broker and - regulators.

2. Who are Forex investors and traders

These are the main participants in the international currency market, thanks to which Forex was created. They fall into two categories: sellers and buyers.

Sellers, based on their name and actual needs, sell trading assets, and buyers buy it accordingly.
A trader can be any individual of legal age or a legal company. To start trading, they need to register with a broker and open a trading account for their trading activity.

Trading traders in the foreign exchange market generates supply and demand in the financial markets. Thanks to, volatility and liquidity are formed for trading instruments on the exchange.

The trader's profit is formed from the correct determination and forecast of the further course currency pair. At the same time, a trader does not need to have a huge starting capital to start trading. Using the leverage offered by brokers, a trader can start trading even with $100 on his deposit.

Using leverage, it is enough for a trader to have minimum deposit(according to the conditions of the broker) to start your trading.

For example, to conclude a trade deal with a volume of 100,000 US dollars, a trader's trading account should have about 1,000 US dollars - while the leverage can reach 1:100.

In many brokers, leverage reaches up to 1:1000, which requires only $100 to open a $100,000 position. To be clear, it should be understood that to open a $100,000 position without leverage (leverage 1:1), a minimum of $101,000 is required.

It is important to understand that with a high leverage, the trading risk and the likelihood of losing your deposit from such trading increase significantly.

2. Who are stock brokers

These are members of the international Forex exchange, which provide an opportunity for a trader to conduct trading activities in the currency and other financial markets. are intermediaries between traders and the Forex exchange itself. Brokers do not enter into trading transactions themselves, but conduct them on behalf of the trader, through their liquidity providers and large banks.

Earnings in a brokerage company are formed at the expense of a commission from each concluded trade transaction by traders. At the same time, it does not matter whether the trade deal was unprofitable or profitable for the trader himself.

The broker always receives his commission!

3. Who are the regulators in the financial markets

Activities and relations between traders and brokers are regulated in the currency markets by the relevant authorized bodies. Their activities are related to the verification of the implementation of the rules for the provision of services by brokerage companies in the financial markets. have the right to deprive brokers of licenses, and to remove them from Forex activities in general, if they have violations.

Summarizing

All participants in the international monetary and stock markets interact closely with each other. In the event that one of the "schemes" of the exchange's work exits, the rest of the participants will not be able to exist and work without them.

In Russia, everyone has heard such a word as forex, thanks to the aggressive advertising of this financial market. Many people begin to open accounts and make speculative transactions with currencies in this particular market. Therefore, in this article, I will try to reveal the basic concepts of the exchange and forex, as well as tell.

And so, what is the stock exchange and the forex market:

1. The exchange is a legal entity, which through its infrastructure organizes trading in financial instruments, and is a centralized platform for various markets that are under state regulation.
Depending on the trading of various instruments, there are so-called: stock, currency, commodity, futures, options, as well as universal exchanges where different financial assets are traded simultaneously.
Mainly in Russia the exchange is called stock exchange (market).

Forex is global outside stock market interbank currency exchange at free prices, where there is limited or no government regulation. Forex is not a centralized platform. Operations are carried out through a system of institutions: central banks, commercial banks, investment banks, brokers and dealers, pension funds, Insurance companies, transnational corporations.
Therefore, the expression trade on forex exchange, fundamentally not true.

In Russia there is 7 exchanges(licensed auction organizers):

OJSC Moscow Exchange MICEX-RTS;
-JSC "St. Petersburg Exchange";
-JSC "Moscow Energy Exchange";
- CJSC "St. Petersburg International Commodity and Raw Materials Exchange";
-CJSC "Saint Petersburg Currency Exchange";
-CJSC "St. Petersburg Stock Exchange";
- CJSC "National Commodity Exchange"

The largest of them, Moscow Exchange is Russia's largest exchange holding, formed in December 2011 as a result of the merger of exchange groups: MICEX (Moscow Interbank currency exchange) and RTS (Russian Trading System).

The Moscow Exchange provides trading services for shares, bonds, derivatives, currencies, instruments money market and commodities.

Moscow Exchange includes the following trading platforms:

Stock market - stocks and bonds are traded.
— Derivatives market — financial instruments such as futures and options on stocks, indices, currency pairs are traded.
-Foreign exchange market - transactions are carried out with foreign exchange pairs dollar / ruble, euro / dollar, euro / ruble, Chinese yuan / ruble, as well as Belarusian ruble, Ukrainian hryvnia and Kazakh tenge. On the base trading platform foreign exchange market, there are also trades in gold and silver.
—Money market — REPO transactions are concluded with government securities, money market instruments.

In Russia the currency market of the Moscow Exchange and the forex market (forex) are different concepts, since forex is not an exchange and is not an exchange platform.

In an English-speaking environment, the word Forex commonly called currency market as well as currency trading.
In Russian, the term forex usually used in a narrower sense and is meant solely as speculative currency trading through commercial banks or dealing centers.

Forex in Russia:

In Russia at the moment there are no laws regulating the forex market. Dealing centers providing currency trading services are mainly registered in offshore zones and semi-legally extort money from the population, calling themselves exchange brokers and hiding behind the word forex. There are also brokers who cooperate with such dealing centers, and the latter act on behalf of these brokers and push their services to the gullible population.

In Russia, dealing centers do not bring your transactions to the real interbank forex market, that is, to foreign currency trading. They themselves set favorable prices for the exchange rate, that is, they trade against you and prevent you from trading for profit. Access to the real forex market can only be provided by a broker with a license. He will work with you for a commission if you have an account of at least several thousand dollars. Therefore, real forex in Russia is available to a limited number of people. By the link you can read an article about the real experience of trading on Forex of one of the traders through a dealing center: .

New law on the regulation of dealer activity in the Forex market.

On October 1, 2015, the law on the regulation of dealer activities in the Forex market came into force. From October 1, forex dealers will need to obtain a license and enter into self-regulatory organization(SRO), the law also limits the amount of leverage provided to the investor (up to 50). Market participants say that this law will not only legalize the market, but also lead to a change in its structure. Wait and see.

Differences between the exchange and forex:

1. Activities stock exchange, is regulated by law, unlike the forex market.
2. Trading on the stock exchange is carried out through an intermediary - a broker. In the forex market, trading takes place mainly through dealing centers. If you make transactions with amounts ranging from hundreds to tens of thousands of dollars, then you will have to deal with a dealing center. Working with a forex broker will be the exception rather than the rule, since the broker provides access to trading on the “real”, “big” forex only for amounts starting from several thousand USD.
Dealing centers in the forex market, they make transactions with clients on their own behalf and at their own expense. The work of a dealing center is reminiscent of the work of a currency exchange office, which, at its discretion, puts up quotes for buying and selling currencies.
The broker makes transactions on behalf of clients and at the expense of clients, on the basis of a brokerage agreement. If you are dealing with a broker, he brings your order to the exchange market, where it finds a counter order and is executed. The broker is just an intermediary, he does not give you quotes and does not trade with you.
3. On the stock exchange, trading takes place between market participants (physical, legal entities). For making deals, they pay exchange and broker commission. In the forex market, trading takes place between the client and the dealing center. In this case, any loss of the client goes to the dealing center, and any customer win is a loss for the dealing center
4. The most famous Russian brokers are licensed to carry out brokerage activities. Most dealing centers in Russia do not have such a license.
5. In the forex market, there is no order book, no data on trading volume and open interest. Unlike the stock exchange, which provides this data.
6. The broker does not care whether you earn or lose, it is important for him to have a large number of completed transactions. The more transactions are made, the more commission he will receive. The dealing center, on the contrary, is interested in your losses, since the client's money remains with him.

Conclusions:

If you decide to seriously engage in trading financial instruments (stocks, futures, currencies) and make speculative transactions, you need to open trading accounts with a broker who, as an intermediary, provides access to trading on legal exchanges ( moscow exchange or foreign exchanges NYSE, NASDAQ, etc.). Currently, trading in forex in Russia is a waste of time and money. Perhaps in the future, something will change.