Trade on the World’s Biggest and most Volatile Market
What is FX?
FX or Forex is short for foreign exchange and is used to describe the world’s decentralized global currency market, where all the currencies trade. The global forex market is massive, reaching volumes of more than 5.3 trillion dollars every single day. The forex market is also highly volatile with currencies giving and gaining ground in seconds. National currencies are extremely responsive to financial events and political and economic decisions, as well as other news events. The value of a currency can rise or fall dramatically – and sometimes without warning – creating significant opportunities for forex traders.
Just like stocks, you can trade on currencies based on what you think their value is or to what direction you think they are headed. If you think that a currency will increase in value, you can buy it, and if you think it will decrease, you can sell it. With a market of that size and volume, finding a buyer when you are selling and a seller when you are buying is much easier than with any other market.
The forex markets operate 24/5 and cover dozens of different currencies. BECFD forex traders can open leveraged positions on the relative performance of over 100 currency pairs. At no time you actually buy or own any physical currencies.
The SELL rate of the British pound against the US dollar (GBP/USD) is 1.24197 and the BUY rate is 1.24242.
Your technical and fundamental analysis suggests that the GBP will strengthen against the USD, so you open a $5,000 BUY position.
5,000 x 1.24242 = 6,2121
The contract is leveraged x50.
$ 6,2121 : 50 = $124.24
This means you need at least $124.24 (initial margin) in order to open this position.
GBP/USD then increases to 1.29541. You believe that this represents the limit of the GBP’s uptrend and close the position.
1.29541 – 1.24242 = 0.05299
0.05299 x 5,000 = $264.95
Your profit is $264.95
Because you opened a Forex trade on the position you didn’t buy any pounds or dollars.
You were investing on the difference between the opening price and closing price of the position.
Trade the world’s most popular currency pairs
Why trade FX?
When you trade Forex, you get an all-inclusive experience, accessing the world’s most volatile market, with trillions of dollars traded every day. Enjoy cutting-edge market technology, unlimited access to our extensive collection of video courses, trading eBooks and economic calendar, daily financial news and personal account management conducted by one of our experts and 24/7 support.
The benefits of BeCFD:
- Award-winning platform
- Access to the world’s leading currencies
- No commissions, no hidden fees
- Tight spreads
- All-inclusive education center
- 1-on-1 sessions with experts
- Secure and regulated broker
- 24/7 professional support
Advantages of FX trading
BECFD forex trading is fast, secure and convenient. It is also commission free and there are no hidden charges or fees. Our competitive fixed spreads help to reduce the cost of investing and allow you to fully understand the investment process.
BECFD traders have immediate access to up to x200 leverage on particular trades. Leverage gives you a high level of market exposure for an initial outlay of only a fraction of your investment. We recommend that you visit our Education Center to learn more about how to use leverage.
You can potentially profit from any upward or downward trend by opening either BUY positions or SELL positions on different currencies. Forex traders are not restricted to investing in currencies that are rising in value.
When trading FX, you can generate profits from both the rise and fall of foreign currency prices. In addition, this market’s exceptional liquidity ensures reliable pricing even at high volumes and enables you to enjoy the tightest possible spreads.
The foundation of successful forex trading is effective risk management. The BECFD platform lets you apply Stop Loss, Take Profit and Order Entry to every trade. These ‘set and forget’ tools give you the freedom to leave open positions running without the need to monitor them. If market conditions suddenly change they will lock in your profits and minimize any losses.
- Continually volatile markets
- Tight spreads
- X200 leverage
- Risk management tools
- Available 24/5
- Transparent and secure
Who can trade Forex?
People who trade Forex are looking to make profits from the global financial markets without the need to rely on an investment company or physically buying actual shares/bonds. All of our traders are ranging anywhere from seasoned investors to individuals without any financial experience, who learned how to become professional CFD traders with the help of our premium training package.