http://www.forexconspiracyreport.com/can-you-make-money-in-forex-without-actually-trading/ Can You Make Money in Forex without Actually Trading? As the relative values of international currencies go up and down, Forex traders buy and sell with the goal of making a profit. Successful Forex trading requires paying attention to the fundamentals that drive prices and short term changes in market sentiment that cause daily profitable fluctuations. And usually, it requires buying and selling currencies. But, can you make money in Forex without actually trading? The answer is that you can. Forex options trading allows a trader to buy and sell contracts without ever holding the currency in question. There are three good reasons for Forex options trading. In international business transactions Forex options trading helps hedge currency risk. In volatile markets Forex options trading both helps limit risk while providing profit potential. And traders can use Forex options trading to provide extra leverage for their trading capital. Here are snapshots of each reason for Forex options trading. How do options work in the world of Forex? Options come in two general types, calls and puts. Call Options A call option gives the buyer the right to purchase one currency with another at a set price, called the strike price. This price is good throughout the duration of the option contract. A seller of a call option gets paid a premium for taking on a risk. The seller is obligated to sell one currency for another at the set price. The price of the contract, the premium, will depend on how what the market thinks about the relative pricing of the two currencies and what it thinks will happen during the duration of the option contract. A trader can make money without actually trading by accurately predicting that a currency such as the dollar will rise in value against the yen, pound, or euro. He or she buys a call option and when the expected price increase occurs, he or she sells the contract for a profit, meanwhile never trading either currency.