International trading is the biggest and fastest growing market of the world. International traders play a trade game which is totally dependent on the currency rates difference of different countries. Currency rates are volatile; the better you are able to predict the changes the more money you can earn in this forex market. Thus, traders need to be very careful while making a big investment.
While sending money abroad or buying or selling foreign currency, currency rates matters a lot. Currency rates keeps fluctuating at every second and this fluctuations can cause a big money loss. Let’s see one example to realize how change in currency rates can put you in money loss. Assume that you are sending 5000 USD to your brother staying in UK. The foreign currency rates are 1 USD=0.61 GBP, which means your brother will receive 3082.50 GBP. Suppose you postpone your plan to send money by 2 hr perhaps, the currency exchange rate now is 1USD=0.57 GBP, this means your brother will receive 2850 GBP, which is almost 500 GBP less in a matter of 2 hr only while the amount remains same. The whole situation can be reversed and your brother may receive more money if the foreign exchange rates would have increased. Looking at this example, I hope you realized how a small fraction of change in foreign exchange rates can lead you to make profit or loss. Read more..
While sending money abroad or buying or selling foreign currency, currency rates matters a lot. Currency rates keeps fluctuating at every second and this fluctuations can cause a big money loss. Let’s see one example to realize how change in currency rates can put you in money loss. Assume that you are sending 5000 USD to your brother staying in UK. The foreign currency rates are 1 USD=0.61 GBP, which means your brother will receive 3082.50 GBP. Suppose you postpone your plan to send money by 2 hr perhaps, the currency exchange rate now is 1USD=0.57 GBP, this means your brother will receive 2850 GBP, which is almost 500 GBP less in a matter of 2 hr only while the amount remains same. The whole situation can be reversed and your brother may receive more money if the foreign exchange rates would have increased. Looking at this example, I hope you realized how a small fraction of change in foreign exchange rates can lead you to make profit or loss. Read more..
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