Currency trading can make you rich: My Journal(2)
Why do you want to trade currency?
Isn't that obvious? yes, you trade currency to make profit. It has been thousand years (and longer than that), mankind have discover that, in order to make profit, or get what she need for a living, she make something(ex. clothes) in order to exchange with other thing she needed(ex. foods). Yes, during ancient time, people don't use currency but they exchange stuff and that what they call barter system. The barter system meet its hard time when two people have different needs and cannot exchange stuff with each other.
After the first currency introduced, people trade stuff(buy or sell stuff using money). In that way, they can have anything they need, and pay using money. She can even sell the stuff with higher price to gain more money. At this time, people discover that, in order to have what ever they want, they need to make more money so in future, they can buy what ever they need. Thats when human buy something and resell it to gain more money.
So, why trade money? you ask. if you really learn, you will notice that, each country in this world have their own currency. Because of not every country use the same currency, each of the currency have different value compared to currency. One currency may be higher value than another currency, and it change with time.
Base on this, people starts to exchange(buy) their money into other country's currency when that country's currency have lower value. Then, when that particular currency's value rised,those money trader quickly exchange(sell) back their money into their own country's currency, or other country's currency that have lower value(or price) and gain profits...
Thats all for now, be with me again soon because i will tell you more about currency trading in my next post titled
"How to start trading currency?" i will post it in no time. just check back soon ok.
Regards,
Rich sense
posted by Richsense @ Sunday, November 20, 2005
Comments: 0
