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thinkpad954

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  1. The Forex (FX) market utilizes a strategy of trading currency pairs. Investors look for imbalances between two currencies to gain an advantage which will lead to trading profits. Several strategies can be employed to trade in the FX market. The key is matching the situation to the proper strategy. For years, foreign exchange trading was limited to hedge funds and large corporations.

     

    These groups kept the market to themselves because the returns on FX investments outpaced either bonds or equities. In this period, minimum investments were frequently at least $1 million.

     

    Over the last 10 years, smaller retail traders have entered the FX market with accounts in the thousands not millions. Taking advantage of the Internet to gain access to data, smaller traders can now invest smaller amounts and use Internet tools to identify currency trades.

  2. Investing is a lot like playing poker. You’re constantly making calculated decisions on whether or not you should invest more money into something or simply call it a day. Knowing when to fold and when to take the risk can be the difference between having a good ROI and ending up broke. Now expanding on that analogy, Forex trading would be a warm-up game for investors in comparison to cryptocurrency trading. It’s like having two poker tables next to each other, one with small $1/$2 blinds, and the other with much larger $100/$250 blinds. For those of you who don’t play poker, blinds are the minimum fees players need to invest to stay in the game prior to seeing the hand that they’re being dealt, hence the name ‘blind’. However, this isn’t necessarily a bad thing but it does make investing notably different in both cases.
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