FOREX trading can also happen over longer time periods
. This type of trading is known as Forex options.The currency rate is decided on the basis of the price in the future on an agreed day and not based on the value on the actual day when trading happens. In a highly volatile market, the value of the traded currency may fluctuate heavily and this makes it risky. If FOREX trading is done without foreseeing these fluctuations in the global market, the chances for ending up with heavy losses are very high.