Spot Forex Market or Spot Currency Market

The spot Forex market or currency market is the most common way to trade currencies. In the spot market, currencies are traded in real time or “on the spot,” using the live market price.

The advantage of this market is simplicity, liquidity, tight spreads, higher leverage, and around-the-clock operations.

It is very easy to take part in this market as accounts can be opened with as low as $50! (*Though it’s not suggested to open with such a low amount). Apart from that, most Forex brokers typically provide charts, news, and research free of charge.

[See Also: Top 10 Advantages of Forex trading.]

The major disadvantage of this spot market is that it's not a well-regulated market. Hence the trader should be extra cautious and conservative while choosing a Forex broker.

[See Also: Top 10 Disadvantages of Forex Trading.]

In FinanceOrigin Forex Trading Lessons, we will be primarily talking about the Spot Forex market.