I think in the beginning of his career, the trader is far from a clear understanding of the processes taking place in the trade. What is a stock exchange, stocks, bonds, the currency pair - for him is a "dark forest". Evidence that weight, what to speak of forex binary options or contracts for difference CFD. Not surprisingly, many are asking, and what a binary option or CFD? On exchanges everyone has heard, but different Derivatives popular only in narrow circles. To help understand the financial markets and make them, for this and created my site BinarOption.com, so read below for definition and types of financial exchanges.
The place where the buying and selling of different products is market. The entire bidding process is regulated and subject to certain rules. For every action, devoted their time and sequence.
With the advent of the Internet, anyone can trade on the stock exchange by registering on Online a robot for the exchange.
By and large, an exchange is a financial market. All types of raw materials, company shares, and currency are traded here. The seller sets the initial cost, and the buyer offers his price. As a result, the real value of the goods on the market is formed. In this case, the exchange takes responsibility for ensuring the security of the transactions carried out. The guarantee of transactions applies to all terms of the transaction agreed by the parties. In which case, the exchange employees are engaged in resolving the disputes that have arisen. The security service of the exchange completely excludes the participation of criminal elements in exchange operations.
Types of financial exchanges
I mentioned earlier that the exchange of pre-established rules operate. Traded various quotes:
- shares in companies,
- Party crop and others.
Mercantile Exchange determines the orientation of its name. Exist currency, commodity и stock exchanges.
Financial Exchange Limbo
In studying the history of the stock exchange operations, I read an interesting parable. In the thirteenth century, in the Belgian Club Brugge, the enterprising owner of Van der Bursa hotel acted as the arranger of the transaction. As a result of its tumultuous entrepreneurial activity, which had some success, I was born saying: "Go to Bursa." Draws attention the fact is that the "tool bar" translated from several European languages, such as "wallet". Bursa - market. "Exchange" So the name appeared.
What is the function of the global economy plays Exchange?
Exchange is part of the financial world system. A number of exchanges have access to the markets of many countries, depending on their commodity supplies. Prevailing prices for the currency, various raw materials are interested in the whole world. By prices on world markets, one way or another, it depends on each person.
For example, I cite a well-known and loved by many people as a tea product. Assume that the tea plantations been invaded by pests and harvest was very low. This is reflected in the increase in the cost of tea on the stock exchange and, as a consequence, the final consumer price.
Not all exchanges operate on large volumes. Most often, they play a leading role within their region. However, their size does not affect the rules established for them. They operate under the same rules as in Bruges, Belgium eight years ago.
Financial exchange works:
Today, high-speed Internet, anyone has the opportunity to participate in the auction. This is done through a broker, in my case Binary Options BrokerEnough to register and open an account, pass the verification. Private participation has ceased to be compulsory, because modern technology allows to make transactions remotely, using the World Wide Web.
E-commerce based on the fact that through the Internet - the channel can apply to participate in the auction from all corners of the globe. Received applications systematized special program that reflects the results of bidding, price movements in real time.
I would like to sum up a little. All the basic principles of exchange of work developed and honed a hundred years ago. Developed on the basis of their rules and traditions are all modern platforms. However, with the development opportunities, "World Wide Web" and the growth of trade, they have been supplemented. As a result of all trades carried out in the comfort mode, via the Internet.