Forex: How Important Is Britain?

Britain is the third most important country when it comes to Forex because it decides how strong the Pound will be against other currencies.

London is the biggest financial center in the world, it passed New York as the biggest financial center in 2012 and keeps growing every day as new hedge funds and brokers go in business for more financial services

70% of Europe's hedge funds are located in London.

London has the second biggest Forex trader, the Citi bank.

Britain's economy is very important to Forex. Whatever happens in Britain affects at least on of the most important four Forex pairs, an several other major pairs as long as they are traded against the Pound.

The best way to follow Britain is to subscribe to Euro News and then to filter the results to show only news about Britain.

However, if you trade the GBP/USD, also keep up with the US.

If you trade any other pair, such as EUR/GBP, also keep up with Germany.

Britain is the most important financial center in the world and the trend indicates it will continue like that for many years to come. I do not know why is that, maybe London people have more appetite for risk taking or Britain laws are favorable to trading.