How To Trade Forex Without Actually Trading Forex

Forex is currently the biggest financial market in the world. Lots of stocks and options traders and even beginners are entering the Forex market to use the huge leverage available in this market and profit from the currency trends.Forex is an attractive market, but it’s also a risky market. Lots of traders lose their entire account in less than a month. Even for the 1st month survivors, most of these guys are out of the market in less than 6 months.The problem with Forex is that it’s an incredible difficult market. First of all, it’s open 24 hours a day, and that’s a big challenge for any retail trader. You can’t be watching your screen 24 hours a day like a big bank or an investment house. So, in numerous occasions, you find that your favorite currency pair had the biggest movement of the day when you were not watching it. Another problem with Forex is the difficulty to get a decent broker. There are lots of brokers which aren’t even regulated. Some traders discover this when they try to withdraw money from their accounts.Forex has also lots of advantages, like the leverage and the liquidity. Besides this, trends on Forex tend to last much longer than in other financial markets. How can you trade Forex without actually trade Forex? In other words, how can you take advantage of the Forex market without even open an account with a Forex broker.Basically you have 2 different options. You can trade with a futures broker and trade for example the USD future instead of trading the EUR/USD.The second way you can trade Forex is to trade ETF’s. ETF’s are Exchanged Traded Funds, and there are a few ETF’s which allow you to buy or sell a currency. Here are the most important ETF’s which allow you to take advantage of Forex without trading directly on the Forex market:•FXB – British pound ETF•FXE – Euro ETF. Buying FXE is like buying EUR/USD•FXC – Canadian dollar ETF•FXF – Swiss franc ETF•FXY – Japanese YenTrading these ETF’s is a simple as trading a stock. These ETF’s allow you to trade Forex like if you were simply buying for example a Microsoft share.