Who moves the charts in the Forex market? Foreign currency executors?


"Are you curious who moves the forex chart that determines your Profit and Loss?." Do you want to know whether you or I moved it? Is there a conspiracy behind the ups and downs of the graph? Let's review who I am who has an influence on moving the Forex market in this article.

Well, in general forex market players come from various groups such as banks and financial institutions, multinational companies, speculators, brokers, and the government and also forex traders

from among the common people like us, for example haha. For more details, let's look at the review below:

1. Banks and Financial Institutions

Banks and financial institutions are the most active participants in the forex market. In it there are central banks that are representatives of the government, superlarge private banks, and ordinary commercial banks. However, the most influential forex market players are usually multinational banks.

There are 10 main players in the forex industry including: Citi, JP Morgan Chase, UBS, Deutsche Bank, Goldman Sachs Inc., Barclays, Morgan Stanley, and HSBC. They deal with financial institutions or other banks to transact buying and selling currencies to meet their own needs and for the interests of customers.

Because of this, currency exchange rates move up and down in the forex market. Banks are forex market players that are very dominant in currency trading, to create an Interbank Market. There, major banks transact.

The price or deal that occurs is what determines the currency exchange rate. The end result, as seen by traders like us in trading software. Because the forex market is not centralized, it is only natural that one bank with another bank has a slight difference in exchange rates.

2. Commercial Multinational Companies

They participate in the forex market because they need foreign currency for their trade in other countries. For example, a company based in the UK needs to use the foreign exchange market to buy the currency they need to pay for their partner companies in other countries that sell heavy equipment.

However, keep in mind that commercial companies also still need the help of banks to be able to participate as forex market players.

3. Speculators

What is meant here are speculators in the form of entities or private companies engaged in financial development of funds and they usually also have unlimited financial capabilities. So, these speculators try to get as much money and as quickly as possible from the trading market.

One of the most famous speculators is probably 'George Soros.' This very well-known billionaire speculates on the decline of the British Pound that made 1.2 billion dollars less than a month. Some critics say that people like this are responsible for the Asian financial crisis in the late 90s.

4. Government

The government is the most influential forex market player. In many countries, this government representative can be seen in the central bank, which is an extension of the government in carrying out its policies. And as we know, the budget for a country's expenditure is very large, covering between countries and continents.

So, the contribution of a state government is very influential in the forex market. Especially governments from superpowers, such as the United States. Know for yourself if for example there is a news release for example the American President "Donald Trump" raises interest rates so immediately after the graph immediately changes and the trend appears.

5. Brokers

Forex brokers are parties that are usually in the form of companies, institutions, agents, or individuals that are established to bring together sellers and buyers. Forex brokers are forex market players with strategic positions, because they continue and regulate requests for small volumes of trading to larger financial institutions.

So that later, every trader request can be accommodated in a more massive forex market. Thanks to brokers, traders do not have to capitalize heavily. The capital needed to become a forex market player also shrinks, while the potential profit remains the same.

Due to technological developments, forex brokers are now online. Traders like us can even trade from home using forex brokerage services, with capital as low as tens to hundreds of dollars.

6. Retail Forex Trader

Who is a retail forex trader? It could be You, your brother, your neighbor, or anyone who doesn't have millions of dollars in capital, but wants to take advantage of the forex market. These retail forex traders are numerous in the world, and all transact through brokers.

There are some market participants in the forex market and determine the rise and fall of the graph, so now you know who can move the market so if you want to lose in trading, look for information on agents that affect the market or we call it fundamental analysis. For now, we end the discussion first, then connect to the next post.

Thanks.