just wondering..

[Fmujer]

I was going through the broker section (i am new and trying to find a trustfull broker but one that will let me have tiny accounts ) and i was reading about companies with 10 years of experience... so a question poped into my mind..
When did Forex trading started and which was the first companie- the pioneers?
i'd really like to know some interesting "did you know?" facts about forex

 

[ilearn2t]

Hello Fmujer

Not long after World war 2 an international treaty known as the "Bretton Woods Agreement" were most world currencies adopted a fixed exchange rate measured in terms of the US. dollar, but it took the next 25 years to find out that the rigid system was doing more to impede international trade than to promote it.

So in 1971 the "BWA" was abandoned and currency exchange rates were allowed to "float" and find their own level.

In the late 1990s a new creation called the "Internet" made it possible to trade currency almost anywhere (24 hours a day).

Global Forex LLC would be my pick for one of the oldest brokers around, Founded in 1998, but hopefully my "pick" might be wrong and others can join in the fun of trying to help in your quest for better knowledge of this business.

Most brokers nowadays cater for the small investor and offer accounts from as little as $1.

Good luck
Liz

 

[LoRio]

found this :
"
In 2007 it had been speculated that volume from retail foreign exchange trading represents 5 percent of the whole foreign exchange market which amounts to $50–100 billion in daily trading turnover.
"

 

[Pharaoh]

Yep. Brokers brag about how many trillion is exchanged daily - but fail to mention that retail forex is a small percentage of this and that quite a few brokers only hedge themselves from time to time - if at all.

 

[Fmujer]

I found this funny facts online... but to tell you the truth, it is hard to find any information on forex not related to charts and brokers waaaaaay too serious

* GBPUSD is known as cable. This is because before global satellites and fibre optics – the London and New York stock exchanges were connected using a giant steel cable under the Atlantic.

*Optimistic traders are known as bulls, whereas downbeat ones are called bears. This (supposedly) derives from how each animal attacks, in that a bull strikes upward while a bear swipes downward.

 

[ilearn2t]

Hello Fmujer

Yes "Cable" is one of the best known nicknames (jargon) used by traders, it dates back to the 1800's when a large "cable" was placed on the ocean bed between USA & Britain so the exchange rate could be relayed between both countries. It can be used to refer to the exchange rate between the U.S. dollar and the British pound sterling, or simply a term used to refer to the British pound sterling.

You're also correct about the "bulls" & "bears"

Good luck
Liz

 

[Lizetteb1]

Well, that's interesting! Thanks for that informative explanation.