Forex or known as Foreign Exchange is a kind of way when you are going to do trading with another country. It is not limited to money or currency exchange, but it also includes oil trading, gold, and other kind of metal. Many people join it in order to gain great profit for themselves by joining this trading. But if we are talking about the trading activity or even money exchange, we couldn't expect too high on this matter. It is because there is a dynamic of the trading flow which can affect the stability of the trading goods such as gold, or even oil. The dynamic itself comes from many factors.

Factors That Can Affect the Flow of Trading Activity

The dynamic of the trading flow in Forex and another exchange happens and caused by many factors. One of the factors that can bring huge effects for the trading activity comes from the country. As we know that many countries in this world had built bilateral or even multilateral relations with other countries to get advantages for their country.

Not only build political or cultural interest between countries, but economy interest will be also the most important thing to do. Why? Because of the good economic condition of every country is an indicator to prove whether this country is a developed or developing country. Having a relationship in the economic matter can support each other's country to guarantee their citizen.

One economic business that mostly done by every country is a trade matter. By trading certain goods, they can fulfill each other's needs. For example, Iran as one of the countries which produced oil can fulfil the needs of South Korea or India in oil supply. Another example, New Zealand will always export their cheese for all countries.

How's The Condition of Oil Trading Nowadays?

As we know that there is high intention between the US and Iran which caused the dynamic of oil trading around the world. The US has given sanction towards Iran as a country that produced oil in huge number for many countries as the response of Iran's nuclear activity. This action definitely affects oil trading for every importer in the world.

Iran has its own main consumers of its oil, which are South Korea, India, China, Japan, Italy, Chinese Taiwan, Turkey, and Greece. These eight countries' oil supply really depends on Iran. So, the US' sanction about oil trading to Iran doesn't only bring disadvantage for Iran, but also other countries which had a tight relationship in oil trading with Iran.

They are not only unable to access the oil supply freely from Iran as the main supplier, but this action also affects the world oil prices. It increases up to more than 2 per cent in the trade closing on Monday. The price of raw oil increased as much as USD 1,70 or 2,66 per cent to be USD65,70 per barrel. 

Then, What Happens Next to Iran and Those Eight Countries?

The increasing of oil price in the world will be more increase as high as it predicted if the US keeps activating its sanction towards Iran. It may be a good idea to give Iran deterrent effect for no more doing nuclear and basilisk project. But it is a really bad idea for any other countries who need an oil supply. 

The price becomes higher, meanwhile, they also have a limit in accessing oil supply from Iran. Unfortunately, the US is going to erase the opportunity for the countries which still needs oil supply from Iran in May. It is because the US will definitely try to make the oil export from Iran become zero export as its punishment.