Technology shapes the new World. This sentence has been more true today than ever before. The level of technology’s influence over us is progressively growing with each day. Forex Markets are also one of the beneficiaries of this change.
As technology evolves, so does the scope of the financial institutions. There are numerous ways in which the technology is complementing the Forex Markets. From better data and analysis tools to newer platforms with customization options to suit your needs, the technology has made the life of a broker a lot easier.
The dawn of Technology
One of the first breakthroughs was with the invention of computers and its widespread use. The computers brought a faster processing speed, and different ways to manipulate the data. This fact was huge for all the brokers. No longer did they need to wait for the analysts to do their work so that brokers can take specific steps.
With new tools at their disposal, those working as a broker became a lot more accessible than it was before the computers. But even with all that computing power, there were still a lot of hurdles needed to start trading. All of the tools in the World are irrelevant if you do not know how to use them. The issue was information.
The unequal information and the solution
The issue that a common man faced at that time was tough to solve. A person would need to buy a lot of books on trading and spend a lot of money even to start learning about trading. And even then, it was not safe to assume that the person can master the art of trading.
People spent a lot of money on books, different seminars and courses to get to an equal grounds with traders, and even then, they would still be missing a lot of factual information on how to begin trading and how to start.
This issue slowly became obsolete with the arrival of the Internet. Since the dawn of the World Wide Web, the speed at which we deal with information has increased immensely. Not only that a lot of different types of guides and information on trading appeared, but also the speed at which the info travelled went through the roof.
With the rate of the Internet, financial institutions were able to follow the changes in prices in real-time, opening the door for different platforms to offer online trading. Information about the forex brokers was also available online, making it easier for people to know who to trust and at the same time making the brokers more honest and afraid to pull any types of frauds.
With that said, there was still a final piece of the puzzle in this whole story. Even though our computing power became so much more robust and the speed at which we transferred the information became so much faster, there was still something else that we needed. We needed more utility. With the invention, and later expansion of smartphones, Forex Markets excelled.
It was no longer necessary for the trader to sit in his room to make trades, or even miss a specific event because he wasn’t close to his computer. With smartphones, everything was just a click away. Phones now have as much computing power as the computers have and have a connection to the Internet, making them a perfect tool for all the traders.
This expansion caused the expansion of Forex Markets as well. A lot of different platforms started showing up. With it, various incentives, better brokers, better training for newcomers, better conditions overall.
There is still room for improvement. If you analyze how quickly we moved from the invention of Computers to the Internet and then from the Internet to Smartphones, you can deduce that the speed at which the new technology is invented. Which means that we can expect more technological inventions to happen, and when it does, it will affect the Forex Markets as well, making it better, more transparent and more accessible to the new traders.