Transactions on the Forex market are performed using leverage, usually set at 100:1. This means that, in order to open a position, an investor needs to have at his disposal funds equal to at least 1% of the value of the transaction he is planning to enter on his brokerage account.

Transactions on the Forex market are mostly short-term transactions that can generate a quick return, provided that things proceed as intended by the investor. For successful trading on the currency exchange market, one needs extensive knowledge of micro and macroeconomics in order to predict fluctuations of exchange rates.

Apart from purely speculative factors, fluctuations on the Forex market may be triggered by the political situation, resolutions adopted by the central banks in the US, Japan, and EU, interest rates, and various other factors such as the unemployment rate in a given country.