COVID 19 and Forex Trading

[Vichu]

Why forex is exploding globally

Forex Trading as an activity, income or investment opportunity undergo its “boom” and showing increasing demand daily, while more and more world traders searching for trading possibilities, engaging to activity in a way or another. So let us see whether the Forex really trustable and why it is so popular now.

What are the reasons for Forex exploding?

There are many facts and reasons why Forex trading is exploding, despite the recent uncertain situation the world in, which triggers even more traders to search gaining options ’from home’. Yet, we will define and cover a particular situation caused by Coronavirus further as well, since its important impact caused rapid growth in Forex trading demand and interest very high.
So, some of the main reasons Why Forex Burst Up now highlighting both historical facts, human behavior and psychology, and of course numerous career and gaining opportunities available now due to global Internet connectivity and digital technology development.

[Vichu]

First of all Internet connectivity made it possible to trade Markets in any location or destination you are, so there is no more need to be a professional broker, obtain a trading license, gain access to a particular Trading exchange and speculate on prices by trading derivatives.
That model worked before, however since millennia brought rapid development of technology, Trading Markets and World Exchanges went to the Digital Operation model, historically giving access to not only Listed Stock Exchange brokers but to a retail traders as well

[Vichu]

Another reason is that there are numerous Trading Broker companies operating around the world, which are basically Trading Venues giving access to retail traders through its particular trading platform connected to world exchanges, liquidity providers and trading quotes.
Yes, it is a fact you have to use trading broker which is an authorized platform, or a one-stop place with numerous trading instruments available in its portfolio, so you may choose a desired trading instrument and in a simplified manner start trading.
Means you don’t have to obtain particular license, or be a professional trader for specified instrument or asset, besides there are many brokers supporting with education materials and allowing to start with relatively small amounts invested.
Eventually, Forex trading became so popular that world leading and famous trading companies serving branches almost around the world, so whenever you are from, there are good Forex Brokers that accepting trading account from your country and providing support.

[Vichu]

The third super progressive and the main reason for Trading Exposure is that everyone, yes we are not afraid to say it, everyone can become a trader as Forex is welcoming beginners or those individuals who are interested in this activity.
You can learn trading despite a stage of life you’re standing in, with no matter of your location, education, age or status. All you need is a good intention, patience to learn and a relatively small amount of money as you invest.

[Vichu]

Trading is very and very flexible. You can choose and select from almost infinite options including trading strategy, how much time you want to spend for trading, make it as a main job or additional income source. You can trade manually by yourself or automate it by the use of Algorithms or Robots, or maybe to follow professional traders through Social trading opportunities, which is great to learn as well and much more.
Also, Forex Market being the most liquid market, offering to speculate on Currency Pairs allowing to choose the one or few suitable pairs personally to you. Further on, the broker you trade with typically offers thousands trading assets as well, including Commodities, Gold, Oil, Metals, Stocks, Futures, Indices so you can find out which strategy is most understandable and comfortable for your trading and grow with it as well.
Lastly, recently economies worldwide were heavily impacted by Coronavirus pandemic that caused whole country lockdowns and affecting regular living, businesses, production and overall development path. Instead, fighting with COVID let population to suffer and placing at risk not only lives but the whole economic structure at survival mode, it is under the question now which industries and businesses will recover after fall and of course how long it will take to, at least get back to post COVID operation figures.
Consequently, with a global impact there are already thousands that stay out of work, or even lose jobs since the world economy is built on growth. This means, either business volumes constantly growing or it will lead to collapse immediately, which has happened now triggered by the COVID outbreak.
Accordingly, integral instability and high volatility in markets caused by pandemic attract more and more traders or those who are interested in Forex trading, as trading opportunities with high volatility increases as well.
Apart from a great chance Forex offers including the gain of financial freedom, enable to make your living from trading and option to become profitable notwithstanding your previous studies, career or situation, also dis-attachment from your country or world economic state and many many more of its alluring potentials.

[DannyPhilips]

Now the market has become very unpredictable, the trader must be able to take advantage of it.

[Bernadar]

for those who work from home, this is a great option to work harder

[Smeagol]

In social distancing policy, forex trading is not influenced by the policy because trader can work from home
but risk in forex become the most obstacle for many people joined in forex, due 90% trader get fail here.

[Katrina]

1. COVID-19 is having a profound impact on financial markets and forex trading, and will continue to do so for a long period of time. A Refinitiv webinar analyzed the factors that will affect demand for the U.S. dollar.
2. In the U.S., the unemployment rate has climbed to levels higher than those seen at the peak of the great financial crisis. This has caused demand for the dollar to soar as investors seek a safe-haven currency.
3. The current movements in dollar demand are driven by short-term emotional gauges, which do not appraise the impact of long-term factors such as mass unemployment and vast government borrowing.

[maby81]

In my opinion Covid 19 affected practically everything and anything, including trading. With more people spending more time at home they have more time to investigate alternative forms of income. This is even more pronounced as many people unfortunately lost their jobs. So no wonder forex markets got stronger lately.