The foundations of the international trading currencies
The international currency market is the largest market in the world, dwarfed in front of all other financial markets.
And you will realize the magnitude of this market when you know that the volume of trading in the New York Stock Exchange's largest stock exchange in the world up to 25 billion dollars a day while on the stock exchange are traded 2000 billion dollars a day!! .
This is more than enough to realize the enormity of this market.
Historical backgroundYou may wonder why the lack of reputation for trading in currencies when compared to trading stocks and commodities, which began in its present form almost more than a century.
The reason is that the modern era.
After World War II and in 1947 was signed between the victorious nations of the Convention on "Bretton Woods" to arrange the conditions Allaguetsad global Among the terms of this agreement was the process of assessing currency against the U.S. dollar a substitute for gold as a way to help build what was destroyed by the war in Europe weakened, and was of the most important results of this decision is the stability of exchange rates and minimal volatility against the dollar and against each other.
There was no room for trading in currencies, which are mainly based on the exploitation of currency fluctuations against the dollar.
But in 1970, and as a result of difficult economic conditions experienced by the United States decided to U.S. President Richard Nixon's decision to the famous disengagement between the U.S. dollar and the currencies of Europe and Japan, which led to the affected currencies of Europe and Japan this decision severely affected, becoming fast swing up and down under the influence of policy and economy of each state of these countries and under the influence of strength or weakness of the U.S. dollar and the U.S. economy, and this history of this market grew at the same time in the United States, Europe, Japan and other countries.
However, due to the novelty of this market on the one hand and the weakness of the means of communication on the other hand it is impossible for the banks and major financial institutions trading in this market a tremendous magnitude.
But with the continuing evolution and rapid means of communication and rapid spread of computer use, and with the Internet revolution has become enormous since individuals can and no more than the simple exchange trading and take advantage of the opportunities to end to make a profit fictional and very quickly.
As you can see the currency market is the market more than the rest of the modern financial markets, making it a mysterious and unknown to most people who are accustomed to trading stocks and commodities for decades as well as distant from the people who originally Aataamilon any of the financial markets.
Why do people buy currencies of other countries?When a merchant of Egypt, for example to purchase goods from Japan must pay him the value of the currency accepted by the seller of goods the Japanese, the Japanese often the seller will not accept to get the price of his goods in Egyptian pound, but he wants his product to receive the eighth town either currency (yen) or currency acceptable in most countries of the world such as the U.S. dollar or the euro or the pound sterling.
Here is not only in front of the Egyptian merchant to replace what he has of pounds for the purchase of U.S. dollars to Japanese sent to the seller for goods bought by him.
If the Egyptian merchant to buy the dollar and pay interview pounds.
Oarad as well as for an Arab to travel to one of the European countries for tourism, for example they must buy local Bammelth unified European currency (Euro) to be able to pay buy goods and services in the European countries that he will visit.
Similarly, if there was an Arab wants to invest in Britain to buy property or shares for example, pay the astronomical value of these investments must be paid in pound sterling value of the currency accepted by the seller or the English as dollar, for example, if effective to replace the local currency and buy the £.
The most important reasons why someone to buy a currency other country ..
Trade, investment and travel.
This applies to nations as it applies to individuals, states, including exchange of goods and services and selling Hraoua can order a state to pay what the value of imports must be paid value of the currency of that country or currency accepted by that State, so States have always buy because the currencies of other countries.
As well as for investments of states and financial institutions that invest in the State pay the value of these investments in currencies other than the countries it invests in currencies or accept such as the dollar and the euro and the pound.
Did you know now why is the currency market is the largest in the world?This is because there are millions of operations of trade, investment and travel cases occur every day and everywhere all over the world, there is if a continuing need to buy and sell currencies in every day and in all parts of the world, from here it is traded daily at least $ 2 trillion .. !!
This figure represents the enormous value of the currencies that are bought and sold every day in various parts of the world.
As mentioned, the main reason why people and nations who buy and sell currencies is the operations of trade, investment and travel taking place between individuals and nations.
The purpose of access to other country's currency in all previous cases is to use this currency in the exchange of goods and services between individuals and nations.
People are buying another currency is not love it ..!!
But because it enables them to get the commodity from another country, any people that buy and sell currencies as Adahlltpadl.
But how do we buy currency?So that we pay the equivalent of another currency ..
You should you ever go to a money exchange bureaus and you replace what you have local currency in exchange for another currency eg U.S. Dollars.
You do you sell and buy your currency U.S. dollar.
Of course, in order to buy something they must know the price .. As well as when you want to buy a currency must know the price in another currency.
The international currency market is the largest market in the world, dwarfed in front of all other financial markets.
And you will realize the magnitude of this market when you know that the volume of trading in the New York Stock Exchange's largest stock exchange in the world up to 25 billion dollars a day while on the stock exchange are traded 2000 billion dollars a day!! .
This is more than enough to realize the enormity of this market.
Historical backgroundYou may wonder why the lack of reputation for trading in currencies when compared to trading stocks and commodities, which began in its present form almost more than a century.
The reason is that the modern era.
After World War II and in 1947 was signed between the victorious nations of the Convention on "Bretton Woods" to arrange the conditions Allaguetsad global Among the terms of this agreement was the process of assessing currency against the U.S. dollar a substitute for gold as a way to help build what was destroyed by the war in Europe weakened, and was of the most important results of this decision is the stability of exchange rates and minimal volatility against the dollar and against each other.
There was no room for trading in currencies, which are mainly based on the exploitation of currency fluctuations against the dollar.
But in 1970, and as a result of difficult economic conditions experienced by the United States decided to U.S. President Richard Nixon's decision to the famous disengagement between the U.S. dollar and the currencies of Europe and Japan, which led to the affected currencies of Europe and Japan this decision severely affected, becoming fast swing up and down under the influence of policy and economy of each state of these countries and under the influence of strength or weakness of the U.S. dollar and the U.S. economy, and this history of this market grew at the same time in the United States, Europe, Japan and other countries.
However, due to the novelty of this market on the one hand and the weakness of the means of communication on the other hand it is impossible for the banks and major financial institutions trading in this market a tremendous magnitude.
But with the continuing evolution and rapid means of communication and rapid spread of computer use, and with the Internet revolution has become enormous since individuals can and no more than the simple exchange trading and take advantage of the opportunities to end to make a profit fictional and very quickly.
As you can see the currency market is the market more than the rest of the modern financial markets, making it a mysterious and unknown to most people who are accustomed to trading stocks and commodities for decades as well as distant from the people who originally Aataamilon any of the financial markets.
Why do people buy currencies of other countries?When a merchant of Egypt, for example to purchase goods from Japan must pay him the value of the currency accepted by the seller of goods the Japanese, the Japanese often the seller will not accept to get the price of his goods in Egyptian pound, but he wants his product to receive the eighth town either currency (yen) or currency acceptable in most countries of the world such as the U.S. dollar or the euro or the pound sterling.
Here is not only in front of the Egyptian merchant to replace what he has of pounds for the purchase of U.S. dollars to Japanese sent to the seller for goods bought by him.
If the Egyptian merchant to buy the dollar and pay interview pounds.
Oarad as well as for an Arab to travel to one of the European countries for tourism, for example they must buy local Bammelth unified European currency (Euro) to be able to pay buy goods and services in the European countries that he will visit.
Similarly, if there was an Arab wants to invest in Britain to buy property or shares for example, pay the astronomical value of these investments must be paid in pound sterling value of the currency accepted by the seller or the English as dollar, for example, if effective to replace the local currency and buy the £.
The most important reasons why someone to buy a currency other country ..
Trade, investment and travel.
This applies to nations as it applies to individuals, states, including exchange of goods and services and selling Hraoua can order a state to pay what the value of imports must be paid value of the currency of that country or currency accepted by that State, so States have always buy because the currencies of other countries.
As well as for investments of states and financial institutions that invest in the State pay the value of these investments in currencies other than the countries it invests in currencies or accept such as the dollar and the euro and the pound.
Did you know now why is the currency market is the largest in the world?This is because there are millions of operations of trade, investment and travel cases occur every day and everywhere all over the world, there is if a continuing need to buy and sell currencies in every day and in all parts of the world, from here it is traded daily at least $ 2 trillion .. !!
This figure represents the enormous value of the currencies that are bought and sold every day in various parts of the world.
As mentioned, the main reason why people and nations who buy and sell currencies is the operations of trade, investment and travel taking place between individuals and nations.
The purpose of access to other country's currency in all previous cases is to use this currency in the exchange of goods and services between individuals and nations.
People are buying another currency is not love it ..!!
But because it enables them to get the commodity from another country, any people that buy and sell currencies as Adahlltpadl.
But how do we buy currency?So that we pay the equivalent of another currency ..
You should you ever go to a money exchange bureaus and you replace what you have local currency in exchange for another currency eg U.S. Dollars.
You do you sell and buy your currency U.S. dollar.
Of course, in order to buy something they must know the price .. As well as when you want to buy a currency must know the price in another currency.
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