Product Description
Currency Trading refers to the investment and trading of derivatives based on foreign currency and exchange rates. Investors, companies, and central banks use this process to exchange currencies in the foreign exchange market. The currency market is the largest and offers several opportunities for investors based on the shifting value of currencies across the world. Though equity and other derivatives tend to be more popular with investors, currency trading can be a lucrative investment, especially for the import-export industry. It can help to grow profits through hedging currency risk in the market.
Eureka Stock and Share Broking Services Ltd. pave the way for excellent investment portfolio diversification through in-depth participation in the currency trading/forex market, expert advisory services, and efficient purchase and sale of currencies.
Types of Currency Trading
Spot Market
The trading of a currency pair that happens immediately through banks and FX dealers and is in exchange for cash that is delivered after the deal is closed or within a short period of time from that moment
Futures Market
The currency pair trading occurs immediately through banks and FX dealers in exchange for cash, which is delivered after the deal is closed or within a short period from that moment
Options Market:
Financial contracts between a buyer and seller that obligates the buyer to purchase an asset at a predetermined price on a date in the future. These contracts are traded on stock exchanges
Must-know Strategies of Currency Trading
Scalping
Short-term trading with open positions for seconds or minutes. These trades target minor intraday price shifts and offer small profit gains in return. However, several trades can be made in one day that can result in a considerable amount of wealth creation
Day Trading
Short-term investments that are not held overnight but remain open longer than with scalping. Investors close their position at the end of the day with a profit or loss to avoid adverse market fluctuations overnight
Swing Trading
Medium-term trades that retain open positions for several days or weeks at a time. This type of currency trading requires less monitoring and interaction due to the extended duration
Position Trading
Long-term trades based on major shifts in prices. The trades retain an open position for weeks, months, or even years
About Currency Investment
- Trading of one currency against another
- High unpredictability in market fluctuations
- Low cost of trading
- Largely liquid market
Benefits of Eureka Currency Trading
Superior risk management tools proved to be efficient
Flawless monitoring of the market
Hedging of risk through unpredictable price shifts
Forex education from a team of experienced professionals
Optimization of market volatility for increased profits
