Currency trades are happening all day every day around the world as the largest market on the planet with an estimated two trillion dollars being traded on a daily basis. The sheer magnitude of this market far exceeds all the other equity markets combined. Very often referred to as Forex or foreign exchange, this type of trading involves buying and selling large amounts of currencies to take advantage of the fluctuations in values as a means of making a profit.
Those involved in currency trades have stories or know of stories where people have become instant millionaires just from making the right decisions when trading with various currencies. Foreign currencies fluctuate constantly and values are related to the decisions made by wealthy investors. As investment money comes into a country, so the value of its money strengthens, on the other hand if investors start pulling their funds out of a country the value will weaken. The fluctuations are also affected by speculation and the way in which these investors react to certain things.
For example take South Africa. There are many investment opportunities available to those looking to invest in this country but if there happens to be unrest and division amongst leaders then wealthy investors will be hesitant to pump funds into the country causing the SA Rand to weaken against the US dollar. On the other hand if the future looks bright for SA then investors put their wealth into various projects around the country and the Rand begins to get stronger against major world currencies. It is on the decisions made by investors and various other speculations that many currency trades are made.