I’ve seen references to Forex investing. Could someone provide details on it.
Foreign exchange is changing one currency for another as they fluctuate in value against each other.
Here’s the simplest example I can give you. All the numbers in this example are completely made up, and do not indicate real exchange rates. Here we go:
Imagine that you’re in San Diego, ready to cross the border into Mexico for a day trip. You have $10 US in your pocket, and must change your money for Mexican pesos at the border. The current exchange rate is 5 pesos per dollar. So you end up with 50 pesos in your pocket.
You stroll around for an hour, don’t buy anything, and decide to cross the border back into the United States. Once you get back however, the exchange rate for dollars/pesos has changed. It is no longer 5 pesos to the dollar. Instead, it is now 2.5 pesos to the dollar. Bad news, right? Maybe not.
Remember that you have 50 pesos in your pocket to change back into US dollars. Now, every 2.5 pesos are worth $1. Therefore, 50 pesos divided by 2.5 = $20. You get $20 back for the 50 pesos.
You started out with $10, and ended up with $20. That’s how foreign exchange works.
Let me quickly add that the example I just gave you is an extreme one. You won’t ever double your money in one transaction like this.
However, although the numbers are exaggerated, this is exactly how foreign exchange works. And, via the internet, you don’t actually have to cross any international borders. You just do it online from home.
And as for the "Forex For Dummies" book, don’t bother. I read several books when I first started out, and of all those books, the For Dummies book is the one that I found to be least informative, by far. It had kind of a just-thrown-together feel to me.
And DON’T pay someone thousands of dollars to learn their system. If their system worked as well as they will tell you that it does, they wouldn’t need so much money from you, would they. They’re just scam artists.
If you email me, I can give you some general pointers. Ultimately though, you will develop your own trading techniques that will be unique to you.
Realize that this is not an easy market to learn. If you do learn it though, you’ll make a lot of money from it.
Good luck to you.
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