The Forex market is one of the fastest-growing niches in the financial sector today. Bidding is conducted internationally 24 hours a day, which makes it possible for every market participant to conduct the business around the clock. At the end of 2019, the working capital of the Forex market reached 3 trillion US dollars. And this is not the limit. Keep reading about the distinctive features of Forex trading as well as copy trading in South Africa.
What Makes the Forex Market So Popular?
There are several reasons explaining such high popularity.
1. Geographic Accessibility
To take part in foreign exchange trading, you do not need to visit some specially designated places. It is enough to have access to the Internet and engage in currency trading from virtually anywhere in the world. For example, if foreign exchange trading is the main type of your employment, then you do not have to live in a big city to do his job or search for a trader near you. Nowadays, it is quite possible to be in an ecologically clean and sparsely populated zone and use all the technological achievements of the modern world. Since the Forex market operates 24 hours a day, you can start trading at any time of the day from any country in the world.
2. Financial Affordability
Unlike many business areas, the Forex market does not require serious start-up capital. Many trading services enable a novice trader to generally start with $0 deposit to master the online trading system. Thus, when a trader advances the trading solution, he can start real trading with a starting capital of $0.1 and up to the maximum amount if he is ready to take the risks.
3. Convenience and Comfort
In fact, each trader creates his own working conditions. Someone can rent an office space in a respectable building in the city centre and stick to the work schedule. Others can work in the morning in their favourite cafe or park or at night working “from the bed.” Each person has his own comfort zone, and Forex makes it possible to conduct the business in your perfect conditions.
Since the Forex market operates 24 hours a day, everyone can find an acceptable approach to trading, and work in such a way as to make money at a convenient time in a convenient place, and, most importantly, in a convenient way. Flexibility and variability make Forex currency market so popular. What else will make you a fan of Forex Trading?
4. Copy Trading
To make deals in Forex, you do not have to know all the technical specs of the business or find a broker. It is possible to do copy trading of commodities with your minimal involvement. Thus, instead of keeping an eye on the market and developing your own approach, you can use the already tested tactics and make safe trading operations based on Forex signals.
Forex Trading with African Assets
Currencies in emerging markets have one interesting feature, and not all traders take this into account. The global financial market is cyclical, and from time to time, even leading countries experience the effects of a recession. However, over time, the economy is again recovering, and the relative value of leading currencies is growing. At the same time, the opposite is true for exotic pairs, and the rupee is already pulling the dollar down, experiencing the effects of a global economic recovery.
Given that the currency pair is quite distinctive and even has a significant resistance to the dollar, the USDINR reserves are well suited to diversify risks. By adding USDINR to your trading system portfolio, along with other exotic pairs, you can achieve smoother profit growth and reduce equity drawdowns.
The pair has a fairly strong inverse correlation with the African stock exchange rates — NIFTY 50. That is, the stocks market is falling, the currency pair is growing; the market is growing — USDINR is falling. That’s a good trend to use for your trading tactics.
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