Forex trading Singapore - what is it?
What is Forex? It is a currency market that appeared in the 70s when the world powerhouses gave up the gold standard. The currency rates depend on market relations in the modern system. Today, in 2020, Forex turnover is 5-7 trillion dollars daily.
Forex is an international global market, where both large institutions (national banks) and private traders operate. Earnings are mainly from the sale and purchase of currency at the right time. The profit of trading Forex comes from the price difference of money. Prices "to sell - to buy" are formed according to the behaviour of participants, at what values they agree to make transactions.
How to trade in Forex
An individual trader or employee of a large institution enters the Forex market through a program. In essence, it is Metatrader 4 or Metatrader 5. In this program, you can watch real-time charts of exchange rates. There are also dozens of tools to analyze the market situation.
Broker Forex is the company through which a trader connects to the world market. The user, watching the market, gives the command: open a position - buy or sell any amount of currency. This command comes to the broker's server, and the broker, in turn, satisfies the request. Then the Forex trader decides to close the position - manually or automatically when the price reaches specific parameters.
Forex does not have a centralized trading platform. Several markets are divided by region:
The market operates 24 hours a day, and a trader can trade on all sessions. Trading stops at weekends and holidays. You can see the schedule on brokers' websites.
The legality of Forex trading Singapore
Forex trading Singapore is legal, that's why here you can see a large number of broker services such as Exness. Brokers provide:
To start working at Forex, you need to sign up on the website of some broker. He gives you links to download platforms, instructions, personal cabinet and other tools. Study the types of accounts offered. You may interest in the difference in spreads, leverage, and other parameters which can seriously affect the profitability of a trader.
We recommend a beginner to use a standard account with minimum complexity, no commissions or fees. Also, brokers often provide demo accounts with virtual currency. So you can train without any risk. After practising trading on a demo account, you can move to a real market.