Economics first started with trade. Trade of one item for another item has been around since the dawn of man. Instead of simply trading items, people began to use shells or metals like gold or silver to represent a value of an item. The current monetary system was started in this fashion. A piece of paper or metal coin came to replace these items and represented what something was worth. An item could be given a number of currency notes to represent its value. The currency would be traded for an item, instead of trading the items themselves. Economic activity started with this process of buying and selling things that are given a value of currency. As economic systems that were contained within countries spread outside of the borders, there was a need to determine how much a currency was worth in relation to other currencies. This was the basis for the foreign exchange market.
Economics is the study of the production, consumption, and movement of
goods and services. This can be measured by currency value and can compare
different countries. People producing, consuming, or purchasing goods and services cause economic activity. This movement of money throughout the world de...
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...ffer and investors will be very hesitant to do anything with that given market. Also, if the predictions are too high and then the report is lower than expected, there is speculation from the investors about whether the economy is actually getting better or if the predicted values were just incorrect.
I now believe that I want to change my major to Economics, complete an M.B.A. in International Business and pursue a career as a Currency Trader. I have accomplished many of my goals. I have effectively immerged from a novice standing about the foreign exchange market to knowing the workings, actions, and terms. I started by learning the terms required for understanding Forex. I then used these terms to learn about fundamental analysis that covers macroeconomic issues. I covered how technical analysis works and used technical indicators to help me learn how to trade.
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