What are the advantages of the Forex market?
The Forex market is the most liquid market in the world and with greater projection in the modern financial world with a growth of over 150% in share over the past 5 years.
Today and according to the BIS (Bank for International Settlements) volumes are close to 4 trillion dollars a day.
The particular customer has been gradually incorporating increasingly accessible market with clear competitive advantages:
-Spreads Comparatively cheaper than in other markets. As there is more liquidity, the fork tends to narrow to a greater flow of supply and demand.
Absence of monopoly price within a OTC market. There is no clearing house and organized markets put in common all orders of sale and set monopoly on the fork and commissions.
-The Market liquidity. Unlike other markets allows me to settle the orders more easily and avoid price manipulation by very large the fund or institution.
-Operativa 24 hours. Unlike futures markets or organized, I avoid having to provide additional guarantees at the end of the session also avoiding gaps in the draft opening if news occur during the hours when the market is closed.
Absence of systemic risk or independence of the economic situation at the time of generating returns in my portfolio. It is understood easily identify the tendency of a currency relative to another is independent of the indices or economic status. Since the Lehman crisis or mortgage derivatives and causes currencies such as the yen, Australian dollar or neoceolandés were appreciated considerably against other cyclical currencies like the euro or the pound. There are always opportunities in foreign currencies.
Always there are opportunities in foreign currencies, and in this sense is a perfect Forex market to identify trends based on moving averages or other parameters of technical analysis. In this regard, Professor Aswath Damodaran of NYU says in his book Investment Philosophies and given the increased inefficiency of Forex over other markets and the sustainability of the monetary policies of central banks make technical analysis fits particularly well with trends in foreign exchange. The academic community aims as patterns as Shoulder-Head-Shoulder own moving averages or had generated excess return on rates in different currencies.
Within all this amalgam of advantages, it is important that the CFD Forex platform allows me to operate with direct access to interbank liquidity, ie on real and direct prices fixed forks avoiding banks with virtual or synthetic liquidation. We need to know that to create us fork price, our order is not anonymous and often if the broker does not "cover" of that order operate against the table the broker itself, so that our loss will be beneficial to your account results and vice versa. In this sense, the Forex industry is changing the rules of the game to a production model forks in a market context OTC allow to operate the particular client and a real market that is:
-Operativa Anonymous as in a real market.
-Spreads taking advantage of the liquidity variables.
Limited-orders of customers incorporated into the book which results in a high execution quality.
Absence of rejections or "last look" in executions.
Interdin through its institutional Forex aggregator combines the liquidity of 9 major global banks permanently auctioning including the best purchase price and sale, with the average interbank result in fractions of a pip that are published every day.
The rollover is also completely transparent detailing TOM settlements - NEXT in real time and in euros. Thus, the particular customer knows before "roll over" the daily position cost or payment for your account, choosing to close or maintain the position before the end of day. In the chart below you can see how the ticket eurusd trading is trading actual spread of 0.1 reflecting direct quotes in the interbank market and the cost or remuneration of currency swap contract for each nominal 10k, which also trades in real time and in euros.