How do they perform investment operations on Forex?
It is important to understand: making investment transactions in the Forex market involves transactions with a variety of instruments, not only currency, but also gold, silver, stocks, oil, etc.
When choosing a currency as the main instrument, the company client makes a choice in favor of the most popular option, the most liquid and often the most profitable. The investment process is carried out by using currency pairs, each of which is characterized by its own dynamics of movement.
There is a division of pairs into options for beginners and options for pros. Pairs for beginners are less profitable, but they have the greatest predictive power. In this case, sharp currency fluctuations are an exception to the rule. Pairs for real professionals — this is an opportunity to earn a serious amount, and go into a significant minus, because in one session the rate can change by tens or even hundreds of points.
If you choose precious metals as a investments tool (the leaders are gold and silver, gold-to a greater extent) – you choose an instrument whose value is closely related to the general economic situation in the world. In times of crisis, the price of gold has the property to rise, in times of prosperity and prosperity-to fall.
However, this type of investment is characterized by a certain complexity, since this market is significantly less transparent and public in comparison with the foreign exchange market. In addition, it is necessary to have significant expertise in the economic situation for different regions of the world. Therefore, the basis for making decisions in this case is, as a rule, a set of indirect factors that have an impact on the precious metals market.
Many of the brokers choose oil investment operations as their main direction — this is a really interesting and profitable tool; the main thing to remember is that by making such a choice, you will be obliged not only to notice all the seasonal fluctuations in supply and demand, but also to become a real expert in geopolitics. The price of oil is very sensitive to developments in the Persian Gulf region, as well as in other countries that are leading exporters of raw materials. In addition, major market players have the ability to artificially regulate oil prices based on their own interests.
Investment operations with shares — this is the most familiar type of investments to the common man in the street, the idea of which many have learned from cinematic and literary works. In the most common case, investment operations with shares are the purchase and sale of securities of well-known companies. The main difficulty of this type of investment transactions is often the need to work with long-term transactions (the most successful investors in the world work with shares of companies “for a long time”), hence the whole complex of difficulties for a novice company client, starting from banal impatience and ending with a lack of knowledge about when to start selling existing shares.
Of course, the final decision on what and how to make investment transactions is always up to you. The best option is to use several tools at once and conduct transactions taking into account the emergence of specific trends in the Forex market in Belarus. It is always necessary to keep your finger on the pulse — events in the global economy, natural disasters, military conflicts, major social changes affect the formation of the overall picture, which, in turn, the Forex market reacts very quickly. Moreover, even negative economic and political shocks can be a chance to make a profit with a well-designed investment strategy.
Among the advantages of the OTC market, we can distinguish:
• Making a transaction from anywhere in the world-you only need an internet connection.
• Work around the clock-no matter what time zone you are in.
• There is no need to have huge resources to start investing. If you are a beginner, find an experienced broker and get down to business.
• Significant amount of currency pairs.
Thus, Forex is not just a platform where the most successful earn money, it is a space for the work of smart and erudite users with professional flair.