Forex encyclopedia

The foreign exchange market itself experienced a rapid growth in the early decades of the 70s. As for the cause of the foreign exchange market is growing rapidly, among others are: 1. Movements in foreign exchange rates that experienced significant movement so that it appeals to certain circles to engage in the foreign exchange market. 2. Businesses are getting more global. As business competition gets bigger, companies need to find new resources that are cheaper, and spread all over the world, causing demand for the currency of a particular country. 3. The rapid development of telecommunications in the presence of telephone, telex, fax, internet, has made it easier for market participants to communicate, making transactions easier. 4. Gains earned in the foreign exchange market tend to increase the desire of various parties trying to gain a gain (profit) from the movement of foreign exchange rates.

Over decades, swing-trading term was only applied to the situation on the futures market, when trader had held open position for more than three days until received highest profit from cyclical price fluctuations both in sales and buying. This method is applicable today as well for any order that does not require an active intraday trading. But real opportunities of such an efficient trading art and such a generalized approach puts certain limitations. Under the conditions of an absolute liquidity of financial markets, trader can find excellent chances on daily, hours' or minute's charts.