Main advantages of Forex trading for beginners With Capital1Forex

 

Accessibility

You can start trading Forex with a relatively small amount of capital and this is truly one of the main benefits of Forex. While you may be required to deposit around $10,000 to start trading stocks, you can easily start trading currencies with a deposit of $100. For small size traders this is one of the most important benefits of Forex.

Liquidity

Forex is the most liquid market in the World. Why is that? Because there is a constant supply and demand for money. One of the benefits of Forex trading is that the market is open 24/5. This means that you do not have to adjust your schedule for the market opening hours, as you can trade all day long. In normal market conditions you can trade out of your positions with ease, as there is a near constant supply and demand in the Forex market.

Technological development

Software advancement is definitely one of the most important benefits of Forex trading. While most futures, stock and option brokers supply you with platforms that were developed years ago, Forex brokers provide the newest trading platforms. On top of this, there is also a great amount of third party software suppliers that provide useful trading extensions.

Admiral Markets supplies you with the market leading Forex trading platforms - MetaTrader 4 and MetaTrader 5. These platforms come as desktop programs for your PC and are also available for Android and iOS devices. As a special advantage, Admiral Markets lets you natively install MetaTrader 4 for your Mac OS.

Short trades

While the above mentioned Forex advantages are quite important, selling currencies without acquiring them first is one of the main benefits of Forex trading. The main trading philosophy is to buy low and sell high, but with Forex you can also sell high and buy low. This way you can potentially make profits on both downward and upward trends.

Leverage

When it comes to trading, the rule of thumb is - the bigger your capital, the larger your trade size. Leverage is an important weapon in the armory of Forex benefits. When employing that leverage, a trader can buy or sell up to 500 times more funds than he actually has. This way one can easily generate more substantial gains (or losses) even without having a large capital at your disposal.

Free Demo Account

Unlike many other providers of financial services, Forex brokers let you preview their services and test your trading knowledge on a practice account. This way you can trade paper money while experiencing real market conditions. What is best is that there are no restrictions applicable for this account, you can trade for as long as you need.

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