Although you are right about the decentralized nature of the fx market, there is some bodies to oversee the actions of the participants and brokers, like NFA and CFTC in US. fx market is highly volatile and can easily move hundreds of points in either way in any day. there is seldom any gap openings and the market is very liquid. the main advantage of the fx market is the leverage available. needless to say its harm for beginners and a gift for the experts.
by the way, are you from kerala? the name strikes familiar......... kannamthanam? are you the film producer or something?
by the way, are you from kerala? the name strikes familiar......... kannamthanam? are you the film producer or something?
http://www.cftc.gov/customerprotection/fraudawarenessandprevention/forex/index.htm
As for leverage, a point to note is that institutions avail no more than 10 to 1 while retailers go in for anything like 50 to 1 or 200 to 1 etc. If trading in nifty with a nearly 10 to 1 leverage is a tight rope walk, trading with 200 to 1 would be performing that atop a skyscraper !!
Thank you once again and best regards
k kannamthanam
( yes I am from Kerala....there are many kannamthanams and I am not one of the famous ones...perhaps we can trace the roots to the same village ! )