What does a foreign exchange trader do?

In the past, foreign exchange traders were all part-time foreign exchange speculators, and their responsibilities were not full-time foreign exchange traders. But with the development of the foreign exchange industry, investors are increasingly trusting the services of foreign exchange traders. The current full-time foreign exchange trader is a very good profession, we must first understand what a foreign exchange trader does.

Foreign exchange traders refer to technical personnel or a collection of personnel who have undergone intensive trading training, professional management, and execution of foreign exchange transactions. Requires sustained and stable trading profitability. There is no official foreign exchange trader position in China, and similar foreign exchange traders only appear on many foreign exchange platforms and foreign exchange companies. Due to the lack of professional and intensive trading training, they generally do not have the ability to sustain stable trading profitability, so they are generally called foreign exchange traders.

Forex trader

What foreign exchange traders do are as follows:

Manage foreign exchange fund transactions

Collect and sort foreign exchange data, collect, update and sort foreign exchange policies and related laws and regulations

Manage the foreign exchange positions of the whole bank, conduct foreign exchange spot, forward products and basic foreign exchange derivatives transactions, and provide quotations for various foreign exchange transactions.

The essential characteristics of a foreign exchange trader, such as having enough patience, good trading psychology, and accumulating trading experience. The best foreign exchange traders have experienced a lot of transactions in the foreign exchange trading industry, and they can be said to be experienced. Only through experience can we know what to do.

What types of foreign exchange traders are there?

Foreign exchange traders refer to technical personnel or a collection of personnel who have undergone intensive trading training, professional management, and execution of foreign exchange transactions. Requires sustained and stable trading profitability. There is no official foreign exchange trader position in China, and similar foreign exchange traders only appear on many foreign exchange platforms and foreign exchange companies.

According to the business, foreign exchange traders can be divided into:

  1. Spot foreign exchange traders. Mainly engaged in several similar foreign exchange transactions, speculative transactions can also be carried out on behalf of clients. They are racing against time, and generally only open limited day positions, but they can also establish overnight positions.
  2. Forward traders. They are mainly interested in the spreads of different currencies.
  3. Money market traders. He can conduct domestic currency transactions or foreign exchange transactions. Through two-way quotation, he can achieve profit from borrowing low-interest currency and lending high-interest currency.
  4. Derivatives traders, mainly engaged in the transactions of various derivatives.
  5. A company trader, in a certain sense, is a public relations representative of a bank, who conducts foreign exchange transactions based on the customer’s 100 million yuan, contacts the supply and demand of funds between the company and the bank, and also provides information and opinions to customers.

In order to become a qualified foreign exchange trader, in addition to having a high psychological quality, the requirements for professional knowledge are higher, and you must always keep a clear mind and strive for success.