Towards the end of the trading year 2012, the renowned portal Forex Magnates has released its annual report. There, the developments on the forex-markets at the stock exchanges are considered worldwide and predictions for the future development are given. Besides a wide range of other products, there are also many current developments contained, for example the great increase on the binary option market or other trends such as the so called copytrading which already exists with binary options, too.
Trading volume on the currency markets slightly decreases
In general, for many traders trading with binary options of course, the developments on the currency markets worldwide are interesting, too. This applies in either case to those traders who like to choose different currency pairs as underlying assets in order to place their bids on the development of both currencies related to each other.
This is why the announcement of Forex Magnates that the trading volume on the currency markets has slightly decreased is kind of interesting. The main reason for that seems to be the global financial crisis that keeps on influencing the markets. As a result of this crisis, many forex-traders seem to have completely or partially backed out of the market. The result is a smaller liquidity on the markets which is why significant events in the future could lead to bull movements bigger than before. But especially as far as great currencies are concerned there is still more than enough liquidity on the market.
Another interesting development are restraints multiple countries have introduced over the past few months when it comes to forex-trading. The additional regulation of the markets is supposed to effect a more secure trading environment and avoid unreasonably high bull movements. At the same time, the traders’ opportunities are restrained and the offers forex-brokers are allowed to offer are influenced. These additional regulations are also responsible for the decrease of the global trading volume on the forex-markets in the year 2012.
New trends: binary, social and mobile
Binary options are predominantly among the new trends that have been identified by Forex Magnets. This market is still very new and was therefore able to achieve a relatively high increase in the year 2012. Amongst others, in the course of the year, there appeared a few new brokers on the market. The offer of trading platforms being marketed as white-label-solutions has increased as well.
Another trend is the so called social trading that became more and more popular in 2012. Thereby, investors have the opportunity to review other traders’ trades and to copy them. So, you do not have to think about an own strategy for trading but you are able to profit from other trading participants and their expertise. This type of trading is especially suited for trading with foreign currencies as well as for other simple investment types; binary options are a classic example and within the next months, the offers in this area should get more extensive.
In the end, according to Forex Magnates, 2012 was the year of mobile trading, too.
Thanks to the more and more growing diffusion of smartphones and tablet PCs, trading on the way is no longer a problem; Thus, traders can be responsive to short term developments when they are not sitting in front of their own computer. This notably applies to binary options since this very simple trading method is almost perfect for being handled via smartphone.