This chart shows the GBP/USD (British Pound to US Dollar) Forex pair. This one trade resulted in a gain of $10,490 - almost SIX TIMES the required margin. This is a HOT market!

Forex stands for foreign exchange market. Unlike futures currency contracts (such as December Yen), the Forex is based on the cash market – the instantaneous exchange value of each currency.

Commercial and Investment Banks trade currencies as a service for their commercial banking, deposit and lending customers. These institutions also generally participate in the currency market for hedging and proprietary trading purposes. But speculators also trade the Forex – and it is catching on like wildfire.

The Forex market is traded using the spread or difference in value between two currencies, commonly known as “currency pairs”. The most popular pairs are:

USD/JPY – Dollar vs. Yen
EUR/USD – Euro vs. Dollar
GPB/USD – Pound vs. Dollar
USD/CHF – Dollar vs. Swiss Franc

The Forex is a liquid electronic market, so the value of any Forex pair is known at all times. For this reason, brokers let people trade on minimal margin. If you are trading stocks, $1,000 can control as much as $4,000 during the day. But in the Forex market, $1,000 can control as much as $100,000!

Forex is supported in OmniTrader. The futures database has all the correct margin numbers to track gains, so all you do is add your Forex pair symbols and run OmniTrader’s analysis on them. Forex data is available from eSignal and IQ Feed, and additional sources will be added.

Introduction to Trading Forex Seminar on CD

Our new seminar Introduction to Trading Forex by Jeff Drake will empower you with the information you need to trade the Forex with OmniTrader. Discover why the Forex is so hot and how people are making money trading it. You will also learn about the mechanics of Forex trading, including the nuances of commissions and other factors. In addition to showing you how to set up OmniTrader to trade the Forex, it offers a great introduction to the art of trading foreign exchange.