Sociological studies and simple observations can be defined today as more demanding, suspicious, non-conformist and impatient consumer society. At the same time, the reduction of the life cycle of products is spreading to different sectors. All this is definitely affecting the investment products- Forex Trading.
investment, Forex Trading, investor, investments, CFDs,
These features in the financial world can be seen in search of high returns despite the fact that this may involve more risk. Some time ago the most common investors were shareholders of corporations. Even though they were the same thing currently, i.e. profitability, they are betting on a firm, they committed themselves and were part of a project. Some of these companies selected were considered safe investments, which could never break were or which were directed by known and high charges, in policy-related occasions. Some of them are now in bankruptcy or dissolution processes.
Distrust, in part generated by the financial crisis and these unthinkable events a few years ago that it is no longer enough a tiny but constant annual dividend, but that today is better than tomorrow, independently again risk. Next to the conventional, we can now draw a new type of investor. It can deposit funds in the morning, reversing from a mobile application into an asset with strong volatility but behavior clear and closing positions at end of the day, or in short term.
These factors explain the growth of products leveraged as CFDs (introduced in Spain in 2007) where the simplicity of the investment, intuitive platforms, low commissions and a possible high profitability in the short term are the fundamental factors:
Forex Trading. What are the fundamentals?
It is a term, used in the foreign exchange market, refers to the macroeconomic factors that affect to the exchange rate of a currency pair.
These fundamental factors are those studied by fundamental analysis to predict the movements of the price in the future in the market. They can be political, economic, medium environmental and even cultural and geographic factors.
On the stock market, fundamental analysis is dedicated also to the study of the health of the companies listed.
If the time always has been an important player in the central pairing of investments, today even be overestimates or prepends this to the other two factors, to assess an investment opportunity to the Trinomial: Tiempo-Riesgo – profitability.