Foreign Exchange Market

Foreign Exchange Market

Generating stable long term profits from forex market require high level of trading experiences. The estimated turnover per day in the Forex industry is valued at over US$4 trillion. Sebtan trading program offers attractive managed fund services tapping into this huge market using proven manumatic trading strategy which is the combination of superior trading systems and highly experienced fund managers . Our trading program offers a unique opportunity to investors that understand the potential of the foreign exchange markets and expecting steady and exponential returns on their investment . The nature of the Forex market allows for extraordinary high returns because of the sheer volume traded daily. Sebtan trading program provides our clients with the opportunity to take part in the forex cycle through our managed fund services.
The foreign exchange (Forex, FX) market is the arena in which a nation's currency is exchanged for that of another at a mutually agreed rate. It was created in the 1970s, when international trade transitioned from fixed to floating exchange rates, and the Forex market is now considered to be the largest financial market in the world because of its huge turnover.
All currencies are traded in pairs and each is assigned with an abbreviation (for example, GBP for a British pound, USD for a US dollar, JPY for a Japanese yen, etc).
The " base " currency is the first currency in the pair. The " quote " currency, or "term" currency, is the second currency in the pair.
Base currency Quote currency Rate USD / JPY = 120.25 This abbreviation specifies how much you have to pay in the quote currency to obtain one unit of the base currency (in this example, 120.25 Japanese yen for one US dollar). The minimum rate fluctuation is called a point or a pip . Bid : The rate at which you can sell the base currency, in our case it's the US dollar, and buy the quote currency, ie the Japanese yen.
Ask (or offer): The rate at which you can buy the base currency, in our case the US dollar, and sell the quote currency, ie the Japanese yen.
Spreads: The difference between the bid and the ask prices.

Currency rate : The value of one currency expressed in terms of another. The fluctuation rate depends on numerous factors including the supply and demand on the market and/or open market operations by a government or by a central bank.
Lot: Usually contract size is based on a lot system, and for most currency pairs 1 lot is 100,000 units of a base currency.

Forex has some advantages which make it very popular among investors:

• Liquidity:  Forex is the largest financial market in the world, with the equivalent of USD4 trillion changing hands daily on average. The higher the liquidity, the tighter the spreads.

• Flexibility:  Forex is a 24-hour market, five days a week - you can trade whenever you want, from anywhere in the world.

• Lower transaction costs:  There are no commission* or other charges on Forex, except for the spread.

•High leverage:  Leverage is a powerful tool. High leverage, combined with rapid rate fluctuations, can make this market highly profitable but at the same time also very risky.

• Trade both rising and falling markets:  Opportunities arise whether the markets go up or down.