Forex trading involves buying and selling currencies at a particular rate and trading them at a later date for profit. Over 5 trillion USD dollars is traded daily, making it the largest marketplace in the world.
Forex traders will look to buy a currency and hope that it rises. Alternatively, you can sell a currency and aim to buy it back at a lower price, realising profit.
The value of a currency at any particular time will fluctuate, sometimes in a volatile manner in reaction to world news. Major world currencies tend to fluctuate less, as the volume of transactions are generally a smaller percentage of the total volume of currency available.
Trading can be done on fluctuations as small as a thousandth of one cent of one dollar.
You may be asking yourself, what does this have to do with hosting on a VPS, or even a Windows VPS?
Well, because of the potential to profit from relatively little work, trading forex is extremely competitive. It’s so competitive that the mechanised nature of people trying to capitalise from it involves gaining any small advantage you can over other people.
One major advantage you can gain is by having a VPS that is hosted near a forex exchange server, as the latency can result in you being transactions being met microseconds faster than someone farther away.
A Windows VPS will enable you to take advantage of the many pieces of pre-written software designed to enable and help you trade. While other operating systems are just as able to serve your needs, due to the market share of Windows operating systems, you tend to get a richer selection to choose from.
So why choose a VPS over running software on your own PC?
1. The network
A reputable VPS provider like Winity has excellent network infrastructure, that offers low latency and excellent peering. Residential broadband tends to be less direct with regards to routing, and latency can much depend on the time of day when other residential customers sharing the fibre optics can slow things down.
2. 24 days, 7 days a week
Your VPS is far more likely to stay online and responsive, as well as being dedicated to its purpose. A home machine tends to be used for more general purpose, like watching videos and surfing the web.
Keeping your computer online costs money, data centres hosting VPS providers more often than not have a more efficient costing for electricity as well as redundant power supplies.
A virtual private server is ideal for forex trading and any application that requires low latency and good uptime.