What is Rate Watch? Monitor Currency Exchange with Ratewatch

What is Rate Watch? Monitor Currency Exchange with Ratewatch

Business foreign exchange market watch facilities are available to help you buy currency at the right time and this can be arranged easily with a broker. Foreign exchange market is also known as the currency market, and it is the largest market in the world with trading volume much larger than any stock exchange. Unlike stocks and equities, currencies are traded in pairs on the foreign exchange market as opposed to the buying and selling of individual currencies.

The majority of market activity is speculative in nature, although there are still billions of dollars worth of currency traded by governments and corporations in order to increase or reduce foreign reserves.

With so many foreign exchange brokers now operating within the UK, it can be difficult to know which one is the best. Use the Compare Currency comparison table to view the UK's leading foreign exchange brokers. You will be able to compare their specialist areas and the fees they charge for making smaller international payments.

Trading in the global foreign exchange market differs from trading in the stock market (or in trading any other type of securities) because forex is always traded using a margin account where you can leverage your initial deposit by a certain percentage. Stocks are usually purchased at a ratio of 1:1 regarding your initial account deposit, but forex brokers will typically provide you with the ability to trade your account at a leverage ratio of 50:1, thereby magnifying the gains and losses that you can experience from exchange rate fluctuations.

For you to be successful at trading, you must have a trading strategy with a specific set of rules for when to enter the market and when to exit the market. A growing trend in online FX trading is automated trading where you can install an algorithmic trading program directly into your broker's software platform which will search for trading signals automatically. Whether you prefer automated or manual trading, the fact remains that you must use a trading system so that you are not simply trading based on emotion.

If you want to understand what it is that moves the global currency market and causes exchange rate fluctuations, it is important to take a look at the underlying economic factors that help to determine a currency's value such as interest rates, central bank actions, political climate, and fundamental economic reports. Most economic reports are released cyclically, and therefore many traders are watching when important information is released such as inflation and unemployment data.

Some of the largest foreign exchange market moves occur when there is a significant fundamental economic report that is released, and the actual data varies drastically from the predictions, thereby triggering a correction in the exchange rate price. By understanding what events move the foreign exchange market and how you can watch for these events to unfold, you can be well equipped to use this information as a trading signal for a high probability entry point into the market.

So many businesses within the UK lose thousands of pounds each year through poor international payment management. Don't let your company be one of them!

For a no obligation quotation simply contact one of the business foreign exchange specialists listed within the compare currency international payment table now. We offer impartial information of the UK's leading foreign currency companies.