Foreign Currency Trading
Forex or foreign currency exchange is not a get rich quick system. Keep in mind that there is a certain degree of risk involved in any investment. And Forex is no exception. Fortunately, more knowledge and experience means you’ll have less risk.
Obviously, getting up to speed with anything takes time and practice. And because most online Forex brokers are well aware of this fact, the majority of them will give you a practice account. With such an account, you can get up to speed at your own pace. without having to mortgage the farm. So, you won’t need to risk your money until you’ve had a good chance to learn the ropes. Then, you’ll be certain to start off on the right foot.
Yes, it’s true you can make a great deal of money with Forex Currency trading. And while it may not be easy to accept, the truth is that long term investments produce the huge profits that we see in the headlines.
Although it will seem more than a little incongruous, to say the least, it was the Vietnam war that ultimately created the Forex Currency trading System. It all started in Canada in 1971, at a place called Bretton Woods, in the Province of Novia Scotia. At the Bretton WWods conference, The United States proposed to the other Major Nations of the World that they tie the value of their currencies to the (then) mighty U.S. dollar. The result of being indexed to the price of gold. In other words, the U.S. treasury did not(then) print more money than it’s equivalent in Fort Knox.
While Bretton Woods concluded on a positive note, the Vietnam war would soon provide some very sour music. Paralyzed by the mounting debt for financing the Vietnam war, then President Nixon violated the very agreement he had proposed, by printing more money than there was Gold to guarantee it. Inevitably causing massive inflation. Which caused the other signatory nations to the Bretton Woods Agreement, to wave it, and the “mighty” U.S. dollar a big, and definite “bye bye.”
As a result, it was now National, not International Currency standards that became the focus of interest and attention. Each country basing their money’s value on the particular economic realities within it’s borders. What we now refer to as FOREX, is a contraction of two words, Foreign and exchange. Before that, Forex began it’s linguistic Life as plain old – exchange rate.