“The Pound declined against the U.S Dollar yesterday, falling back towards the first area of support in the region of 1.6110, while the UK currency lost further ground versus the Yen and Swiss Franc” the latest market news for traders. If you are a regular trader, you know the importance of currency exchange rates. With your experience in forex, you also know which are the factors affecting currency exchange rates and which is the best time to trade in forex.
If you are a beginner in forex trading then it is very crucial to know currency exchange rates and its fluctuation. Currency exchange rate is also known as foreign exchange rate or simply exchange rate. Currency exchange means exchanging one currency to another. Currency rate of every nation reflects its political and economical stability. Investors are attracted by the growing economy and never invest money where the currency is getting weakened. To perform successful currency trading, trader should study all economical and political factors affecting currency rate of particular nation.
Once you know how different factors control currency rates and in turn foreign exchange rate, you need to keep an eye on the constantly varying exchange rates. There are many online sites showing currency rates of all different countries whose currencies are being traded. These websites are also supported with the currency exchange rate calculator using which you can calculate the exchange rate of two currencies. Most of such sites update the data in real time thus traders can find the most accurate values in shortest possible time.
Long term success in forex is very difficult to achieve. Only 5% of total number of currency traders get long term success in forex market. In one research, such traders has said that “it is very important to bird watch every update in forex market. One should be able to forecast the movement of currency rate based on the research done on affecting factors. Sincere efforts without involvement of any kind of emotions can definitely help you win in the forex market”.