As complex and dynamic as the Forex market is, currency futures trading are on of the most advanced and financially powerful applications of this system. As the term indicates this is the process of attempting to profit on the future price of something. Simply stated, it is agreeing to buy something, in this case trading currency futures, at some point in the future.
The power of that is that you set aside the capital, and then execute the trade. If you agree to buy the asset at a given price and when the time comes to execute the actual market price is double the amount you agreed to, you can sell the asset “on the spot” and realize a significant gain. The term “on the spot” is the source of the Spot market.
The Spot Market
Currency is a commodity like Soybeans. The spot market for any commodity 
is the actual purchase or sale of a commodity in real time. It is the same as going to the farmers market and buying tomatoes to resell in a small grocery store. In the same way, going to the bank and exchanging Dollars for Euros is trading currency “on the spot market.” Futures are little more than agreeing to do the same thing, but doing so tomorrow in the hope that the price will rise (if you are buying) or fall (if you are selling). This may seem confusing to some, however it is not and currency future trading is just the beginning.
Trending the Market
The chart is an iconic symbol of money, sales and stock values. The key to the futures market in any commodity is knowing whether the chart indicator line will go up or down. Either way, knowing that fact before it happens is what allows you to profit from currency futures trading.
In futures currency trading the measure of this change is called the PIP. This stands for “Percentage in Points.” Of all the commodities futures, currency trading is one of the most profitable due to the speed of the market. It takes Soybeans months to grow but money moves at the speed of light. While money may not grow on trees, it comes into existence in an instant, or vanishes just as fast. Making $10 may not be exciting, but making it in less than one second and dozens of times a day is. When you add the process of futures speculation to the mix, the potential gain is startling.