Forex actually means Foreign Exchange but this term is actually a little out-dated. Forex nowadays is more than that. Forex is a new way of trading. Forex is trading so quick and fast, so easy and addicting, Forex is 'trading with stocks' like you are playing a game.
So this all sounds like a lot of fun, but be careful. Forex is not a game. It's trading.You always have to keep in mind that you can win a lot, but you also can loose a lot. Because in Forex it is allowed to use leverage, you can win a lot of money in a very short period with a very low investment.
Leverage can be used to buy stocks. Let's say the leverage is 1:100. Now you are able to buy stocks (or indices, commodities, etc) with a leverage of 100 times your investment. Let's say you have $100 in your account. Now you are able to buy $100 x 100 = $10.000 in shares.
What does this mean? Well, it means there is much more risk involved than to normal trading. When your shares were worth $10.00 - and you bought through this leverage ($10.000 to spend) 1000 stocks. You will get immediately profit of $1000 dollar if the prize of the share increased with $1. Now that's a fantastic result with only $100 of your own money 'at stake'. But why would be this so big if there would be not so much risk? We are honest - there is a lot of risk. Because when the prize of the $10.00 share will decrease by 10 cents - you will loose your full investment of $100. This is because of the leverage. So you can win enormous amounts of money, but the stock-development has to be in the right 'movement'. Of course you can also predict to go 'short' (if you think value of the stocks will drop).
There is one big relief. You can never loose more than you have available in your account. After all we think it's fair to say; Forex is pretty risky - but you can earn big amounts of money in short time.
We don't want you to invest a lot of money. We actually made this site to show you that you can start with Forex without depositing any money. This site has become a specialist in no deposit bonusses where you can start trading without ever depositing a single dollar.
At this moment we do have a no deposit bonus at RoboForex and another nodeposit bonus at Plus500. In the near future other companies will follow.
