Trading in Forex—the foreign currency exchange—is sometimes viewed as pure speculation. The
potential for profit and, conversely, loss, are on average higher than in other commodities markets.
However, as will be explained below, with Forex trading in general, and iForex in particular, there
are means of mitigating potential losses, while maintaining the same opportunity for extremely high
profit. The Foreign Exchange is the world’s largest financial market, with over $3 trillion traded daily.
By way of comparison, the Forex market is 100 times larger than the New York Stock Exchange,
and triple the size of the US Equity and Treasury markets combined. Forex is an over-the-counter
market (no central trading arena), meaning that transactions are conducted via telephone or
internet by a global, decentralized network of banks, multinational corporations, importers and
exporters, brokers and currency traders. This is in contrast to, for example, the NYSE, which is a
centralized equities trading location.
Pip Booker
Chairman & Founder
Booker and Cropper Capital Group
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