If the exchange rate moves in the expected direction, foreign exchange traders will make a profit. However, if the exchange rate moves in the opposite and unexpected direction, the losers will accumulate. By limiting the possible losses in foreign exchange market transactions, banks impose financial constraints on the trading ability of their dealers. Dealers are allowed to buy and sell in a considerable number of currencies in proportion to the position limit. Although banks maintain formal restrictions, they sometimes absorb fixed losses in the form of unauthorized trading activities outside the location restrictions. Since the foreign exchange department is managed by the bank and regarded as the profit center, traders feel the pressure to create an acceptable rate of return, and the funds in the bank are invested in this operation.

5? Blinking currency prices, ringing phones, screaming traders, Fred? Scala provides people who use economic analysis to predict currency exchange rates. "They may be fine," he said, "but they won't shoot." And he knows it. At the age of 27, he was a manufacturer of Hanover Trust Company, paying senior distributors in pounds. Alone yesterday morning? He changed about 500 million pounds and went in and out of the market 100 times. As the dollar fluctuated, he bought it. I think it was returned, so he sold it. "We are mercenaries, soldiers of fate," he said. "We have no alliance. We work for the bank. "

Foreign exchange traders are in high spirits. Just as politicians argue about how to treat the dollar, young traders are one of the 30 to 50 largest banks in the world that control the money market.

The manufacturer's trade counter in Hanover shows the concept of this trade in company orders.

6. Cheers for the franc traders

As traders arrived at 7 A yesterday. M, a Swiss franc trader, was collected by Scott and welcomed by heroes. He bought 55 million Swiss francs overnight and converted them into Austrian shillings for overnight trading in Asia. "I'm fine," he said to his colleagues as he sat down. A trader in Hong Kong woke him up at home at 4 am. Expropriation relieved his position and the profit exceeded $ 165000. Other traders extended their "top five" hands to him, just like a football player scoring a touchdown.

7. The next 90 minutes are consumed by the snow of trade with European banks. The computerized trading system allows traders to trade with London, Frankfurt or Zurich through buttons without telephones. Usually, the manufacturer Hanover will buy a "5 million dollars and resell it within a few seconds after the razor's meager profit."