Dekut - What is Arbitrage Trading in Forex? https://www.dekut.com/Finance/what-is-arbitrage-trading-in-forex/ Arbitrage trading in Forex is a risk-free trading approach that allows individual forex traders to earn without exposing themselves to open currency markets. The technique entails seizing opportunities given by price inefficiencies while they are still available. Arbitrage trading in Forex entails buying and selling different currency pairings to take advantage of pricing inefficiencies. According to economists Sharpe and Alexander in the 1990s, Arbitrage trading in Forex is defined as “the coetaneous purchase and selling of the same, or fundamentally comparable, securities in two distinct Read Moremarketplaces for favourably different prices.” Arbitrage tactics are used by hundreds of people worldwide due to the popularity of forex trading. As a result, someone who engages in arbitrage is referred to as an “arbitrageur.” Simply put, an arbitrageur buys lower-cost assets and concurrently sells higher-cost assets to make a profit with no net cash flow. Arbitrage trading in Forex should not require any capital and should not be risky. In practice, most attempts at arbitrage include both. Mon, 14 Mar 2022 06:14:21 UTC en