Trading in the $4 Trillion Dollar Forex Market

Quicker Gains, More Opportunities to Profit

There’s always a bull market in currencies. Likewise, there’s always a bear market too – it just depends on what currencies you’re watching.

But as these currencies move and shift on a minute to minute basis, Forex traders dive into the $4 trillion spot market to profit off those moves, 24 hours a day, 5 days a week.

This market is not just for professional traders either. The Forex market allows anyone with a computer (or a phone) to grab some fantastic gains on these smaller moves in currencies.

Just to be clear: When you’re trading in the spot Forex market, you’re always trading currencies in pairs – one currency vs. another.

For instance, to buy or sell the euro, you would buy or sell the euro against the dollar, yen or perhaps the Canadian dollar. (Symbols: EUR/USD, EUR/JPY, or EUR/CAD.) In doing so, you’re always betting one currency rising against another. That’s why there’s “always a bull market” in Forex.

But we like this market because you can earn huge profits FAST – anywhere from a few minutes, to a few weeks depending on how you trade.

How do you earn these big profits? One word: Leverage.

Forex leverage means you put up a smaller amount of investment capital to control a greater amount of currency (as much as 100,000 units of currency), so you can make higher gains when your currency pair moves just a few pennies.

But unlike stocks, your FX dealer will NEVER charge you daily interest and you never have to worry about weird stock stipulations. In fact, your FX dealer only charges you the spread to place trade – so less fees than commodities or stocks.

And unlike futures or option trades, Forex trades never expire. While commodity futures or option contracts are wasting assets that slowly lose their value as they get closer to their expiration, Forex trades can stay in your portfolio indefinitely.

In fact, as long as you have the spare margin, you can stay in a trade a day or a year. It makes no difference because you don’t have a contract with an expiration date like you do with both commodity futures and options.

Plus, in the Forex market, you can actually EARN interest on the levered position instead of the small amount that you have on the trade (in your own cash). And, this interest is earned seven days a week. It’s a lot like becoming your own bank.

To recap quickly, the Forex market offers…

  1. Simplicity: Easy to buy, easy to sell specific currency pairs.
  2. The opportunity for double or even triple-digit gains fast.
  3. There’s “always a bull market” – that means there are opportunities even when stocks, commodities and every other market plummets in value.
  4. The currency market trades electronically 24 hours a day, 5 ½ days a week – so plenty of opportunities to profit.
  5. The Forex market is the most liquid and largest financial market in the world, which means you’re never left with a currency pair you can’t sell.
  6. No commissions: Instead, you pay your FX dealer the spread for each trade – rather than separate fees to buy and sell.
  7. Daily Interest: You earn interest rather than pay it (as long as you’ve bought the higher yielding currency in the pair)
  8. Your levered Forex position doesn’t expire and you don’t have all of those weird stipulations you do in stock trading.

So there you have it. Simplicity, no interest, no commissions, no expiration …no way I can stay away from this market. It’s true: Once you trade Forex for a while, you get spoiled.

Our oldest research/trading currency service, Currency Cross Trader gives you the opportunity to try out Forex trading for yourself. This weekly service provides everything you need to get started in this market – timely analysis on the Forex markets and specific trading currency recommendations so you know what currencies to buy and sell. Plus, you’ll get stop-loss levels to protect your capital, Q&As, and even videos to help you get your feet wet in this lucrative market.

As a subscriber to Currency Cross Trader each week, editor Sean Hyman will introduce you to trade recommendations from a universe of the most actively traded “currency cross” pairs, in the spot forex market. To learn more, click here.

Interested in emerging markets? Then you might try Exotic FX Alert instead. Rather than trading major currencies, Exotic FX Alert is designed to help you trade currencies from the emerging markets in the spot Forex market. Just like with Currency Cross Trader, you’ll receive timely recommendations, along with elite analysis on these “hard-to-reach” markets, videos and timely answers to your questions in monthly Q&A issues. To learn more, click here.

Disclaimer: Futures, Options, and Currency trading all have large potential rewards, but they also have large potential risk. You must be aware of the risks and be willing to accept them in order to invest in these markets. Don’t trade with money you can’t afford to lose. This is neither a solicitation nor an offer to Buy/Sell futures, options, or currencies. No representation is being made that any account will or is likely to achieve profits or losses similar to those discussed on this web site. The past performance of any trading system or methodology is not necessarily indicative of future results.

CFTC Rule 4.41 – These results are based on simulated or hypothetical performance results that have certain inherent limitations. Unlike the results shown in an actual performance record, these results do not represent actual trading. Also, because these trades have not actually been executed, these results may have under-or over-compensated for the impact, if any, of certain market factors, such as lack of liquidity. Simulated or hypothetical trading programs in general are also subject to the fact that they are designed with the benefit of hindsight. No representation is being made that any account will or is likely to achieve profits or losses similar to these being shown.

It should not be assumed that the methods, techniques, or indicators presented in this product will be profitable or that they will not result in losses. Past results of any individual or trading strategy published by The Sovereign Society are not indicative of future returns by that individual or strategy, and are not indicative of future returns which could be realized by you. In addition, the indicators, strategies, columns, articles and all other features of The Sovereign Society’s products (collectively, the “Information”) are provided for informational and educational purposes only and should not be construed as investment advice. Such set-ups are not solicitations of any order to buy or sell. Accordingly, you should not rely solely on the Information in making any investment. Rather, you should use the Information only as a starting point for doing additional independent research in order to allow you to form your own opinion regarding investments. You should always check with your licensed financial advisor and tax advisor to determine the suitability of any investment.