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In general, countries that have good economic condition, meaning strong growth rates and increasing inflation will likely increase interest rates to be able to control inflation and growth. On the other hand, countries in an economic crisis ranging from a broad slowdown in demand to a full recession will likely to reduce interest rates. In simple words, you borrow at a low rate and lend at a higher rate. A Forex trader could make a highly profitable trade when leverage is used because even with a small difference between two rates it could yield a higher profit. A good example is the “Yen Carry Trade” during the 1990’s. Japan decreased its interest rate to almost zero. Forex traders borrow at a very low rate large sum of Japanese yen, then converted into U. S. dollars which are used to buy U. S. Treasury bonds which yields and coupons at around 4.

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Actually it is really simple and you can quickly learn how to open a trading position and how to close it.

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Every payment that crosses currencies contributes to its fluctuations and its momentum.

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