If you’re a new affiliate, or an experienced affiliate looking for a new program, you’ll want to check out forex affiliate programs. Forex, short for “foreign exchange,” is a form of online trading that’s taking the Internet by storm.

Forex is a relatively new online system that helps online currency traders exchange foreign currencies. These traders make money off the daily fluctuations in global currency exchange rates.

If you haven’t heard of it, you’ll be surprised at the size of the forex trading market. As of April 2010, according to the Bank for International Settlements, the average daily exchange in foreign currency markets is estimated at $3.98 trillion. This is a very active marketplace and there are many ways affiliates can make money from this trading.

And forex works by a very simple comparison-trading model. When a trader is buying a currency, he or she will look at currencies quoted in pairs. One currency is the base and the other is the counter currency. For example, CAD/USD is a pair of currencies with the Canadian dollar traded against the U.S. dollar.

While the Forex market is not dissimilar to stock trading, poker or online casino gambling – based on risk — it’s fairly straightforward compared to these other forms of speculation. It’s easy for traders to see what they’re trading. And at the end of the day, traders know exactly how much money they’ve made.

The basics of forex affiliate programs

Once you join a forex affiliate program, you’ll find yourself doing many of the same tasks you do while working on your other affiliate programs: building a website, managing an email list, tracking your links, adding banner ads to your site, creating relevant content, and making sure you’re getting as much traffic as possible to your site.

And you make money on a commission basis: you get paid a trader clicks on your link and then makes a transaction through the forex broker.

The top forex affiliate programs

While you’ll find dozens of forex affiliate programs on the web, I’m recommending four programs known for treating affiliates well. That means each of these programs is known for honest accounting and on-time payments.

Currency UK – This is a great two-tier forex affiliate program. It pays residual commission of 15-25 percent on each transaction made by the referral plus 5 percent on second tier referrals.

eToro Partners – eToro is the biggest and best-known of all forex affiliate programs. If you’re just learning forex, they have great training tools to help you grow your business quickly. They offer up to $200 in CPA and a generous 25 percent revenue share for affiliates.

eForex GoldThis exchange specializes in metal-based currencies. You should note before joining that it is not open to direct deposits from all countries and requires traders in those countries to use wire transfers. It offers a commission of .5 percent on all first-tier transactions, and .1 percent on second-tier transactions.

Forex Yard – This exchange pays affiliates $100-300 commission per sale, with 10 percent of second-tier earnings. It’s a popular exchange and can be a good complement to other forex programs on your site.

In addition, one final thing you’ll want to keep in mind with Forex affiliate programs is that they are known for providing great affiliate support. All of the programs above, especially eToro, offer a range of great marketing tools to help you market their program.

Disclosure: AffiliatePrograms.com will earn a commission when you sign up for a Forex Affiliate program through this site.