Tuesday, January 31, 2006

Liquidity

With $1.9 trillion changing hands daily, the FX market is also extremely liquid. This means that with a click of a mouse you can instantaneously buy and sell. Whether it's 6 p.m. or 6 a.m., somewhere in the world there are always buyers and sellers actively trading foreign currencies. You are never 'stuck' in a trade. You can even set the online trading platform to automatically close your position at your desired profit level (limit order), and/or close a trade if a trade is going against you (stop order).