| By :
Cedric Welsch
Forex trading competition is fierce. Trading is a career which demands courage and tenacity from those that are involved in the industry. The field involves trading currencies between countries from all over the globe. Currencies differ depending on the country. In the United States, there is the US Dollar. In Japan, there is the Japanese Yen. Brokers are responsible for making the deals of buying and selling currencies. The foreign exchange market or forex exists to aid investment and trade between the member countries. Fx trading involves buying the currency of one country and paying for it by using a different currency. For instance, buying Japanese Yen with the use of US Dollars. The objective is to buy low and sell high to make a profit or gain. A market maker or broker is responsible for buying and selling currency. The traditional image associated with this process is a busy room filled with people and surrounded by changing numbers. This process remains essentially the same over the years. Creating orders has been made easier for investors by allowing them to simply call or fill up an online form to determine and list down which currencies they are interested in. The broker receives the information and relates the orders and information to a partner or colleague working at the floor. Transactions are simple, quick and painless. Within a few short seconds, investors will be able to find out if their orders have been created. The foreign exchange market is open 24 hours a day with the exception of weekends. This is due to the varying times that the market opens and closes for different companies. Investor types vary from the private investor to large corporations, banks, government agencies and more. Foreign exchange is not for the weak of heart. With the amount of foreign exchange competition, brokers need to be constantly aware and try to predict the trend, whether the value of the currency is going down or up at any given moment. People commonly make the mistake of assuming that the foreign exchange market is the same as the stock market. On the contrary, there are two main differences. One involves the trading hours. Forex markets are open 24 hours a day, with the exception of weekends. This allows traders to continuously buy and sell. In the case of the stock market, it is only open for a few hours a day. The hours are different depending on the area. For instance, in New York, normal trading hours are between 9:30 am to 4:00 pm Eastern Time while in Paris the times are longer, between 3:00 am and 11:30 am Eastern Standard Time.
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