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What is FOREX?
Most people have no idea what the FOREX is and how
it affects their life or the fact that they probably
already have participated in it.
There is a good reason for this. It wasn’t until
about ten years ago that the general population even
had access to this dynamic market in terms of being
able to open an account and trade it.
Before that, only major banks, multinational
corporations and the mega wealthy had access to the
speculative opportunities FOREX had to offer and
funding a trading account often required one million
USD or more.
Even though the general population did not have the
opportunity to trade this market, as you will soon
discover, we all participate in it whether we
realize it or not.
 Just recently, the internet has made it possible for
the “little guys” like you and I to participate in
the world’s biggest financial game.
Twelve years ago it would cost you a million or more
dollars to participate with the big boys in this
lucrative trading game, today you can open a trading
account for just a few hundred dollars.
Few opportunities today offer so much reward for so
little risk and for this reason people are flocking
in droves to get their share.
Remember this!! - Most people lose money trading on
the FOREX because they don't educate themselves on
how the market works.
If you play this game like a lottery, expecting to
win with luck and good fortune, you will loose all
of your money. You may get lucky for awhile but just
like Las Vegas, in the end the “house” wins and you
end up broke.
After all, you are up against players like the
Federal Reserve Banks, Bank of America, mega
multinational corporations, governments of countries
around the world and super savvy investors like
George Soros, do you really think these high stakes
players trade by merely guessing? Of course not!!
The ONLY way to become a successful trader is to
educate yourself on how this game is played.
You will still be speculating because no one truly
knows which way the market will go next, but the
difference will be that your "betting" or "trading"
will be "educated" and this can tilt the odds ever
so slightly into your favor.
Lets start at the beginning…
The FOREX is the world’s biggest financial market.
The FOREX or “FOReign EXchange” is the planets
biggest most liquid financial marketplace hands
down.
Here is the Federal Reserve's easy to understand explanation of what the Foriegn
Exchange is:
“Foreign exchange” refers to money denominated in
the currency of another nation or group of nations.
Any person who exchanges money denominated in his
own nation’s currency for money denominated in
another nation’s currency acquires foreign exchange.
That holds true whether the amount of the
transaction is equal to a few dollars or to billions
of dollars; whether the person involved is a tourist
cashing a traveler’s check in a restaurant abroad or
an investor exchanging hundreds of millions of
dollars for the acquisition of a foreign company;
and whether the form of money being acquired is
foreign currency notes, foreign currency denominated
bank deposits, or other short term claims
denominated in foreign currency…
Foreign exchange can be cash, funds available on
credit cards and debit cards, traveler’s checks,
bank deposits, or other short-term claims. It is
still “foreign exchange” if it is a short-term
negotiable financial claim denominated in a currency
other than the U.S. dollar.” – Sam Cross – The
Federal Reserve Bank
So now you can see why the the exchange of foreign
currency is the planets biggest business.
In fact no other market even comes near the
gargantuan size of this market. More money changes
hands in the FOREX every day than all other markets
on earth combined.
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