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You can learn Forex trading on the internet. Today, there are many materials and training courses available online. Some websites offer free training in Forex and you can start with it. It is an absolutely, easy system to make money online.

Forex is the short form of foreign exchange and Forex trading refers to the trading of foreign currencies over the international market. For the commoner and those who have no idea about this trade and for any one new to this terminology, the whole idea may seem quite intimidating. It is true that it is a little confusing and intricate at the start but once you understand it, it will be like just a cup of tea. The ultimate way to learn Forex starts with you getting a complete hold of what it is and this can be done only when you understand it through and through. The major objective of this form of trading is to exchange currencies of other countries on the basis of the deliberation that the currency, which you bought, will eventually rise in its market value.

To begin with the basics, one needs to understand the fluctuation of this. First you begin with currencies of two different countries, the one which you have and which you wish to sell and the other the one you want to purchase in exchange for the one you are selling. Now it is a good time to get to know about the two most important terms in Forex trading, long position and short position. Long position means the practise of buying a currency that you believe its value is sure to rise eventually giving you a chance to sell it off at a later stage at a profit. Short position means selling a currency that you currently hold and feel that it is going to decrease further and guessing that you can purchase it again when its value drops even more.

Two more concepts to learn in Forex trading is open position and closed position. Open position in the long position means purchasing a currency with an idea that its price is definitely going to go up and when it does, you sell it back closing the position. In the short position, you open the position by putting up your currency for sale believing that it will decrease and when you buy it again at a lower price, you close the position.

Another most common term that one encounters in Foreign exchange trading is day trading. Day trading means short-term dealings done by traders who believe in opening and closing trading in all one day, rather than extending it over a longer duration.

Now you can see that it is not a cup of tea, why should one learn Forex anyway? There are many reasons to it. Like the convenience store round the corner, this form of money making never closes. Because of the dynamic nature of the Foreign exchange market, it has to be operative 24/7 for the traders to play their Forex based on global economic trends. Also, trading costs is lower than trading in other markets. Here trading allows trading on high leverage and the market enjoys limited slippage. Finally, in Forex you can make profits both from the rise and fall of the market.