What is Forex & FX?

What Is the Forex or FX? The foreign exchange market, commonly referred to as the Forex or FX, is the global marketplace for the trading of one nation's currency for another. The forex market is the largest, most liquid market in the world, with trillions of dollars changing hands every day.

Is forex trading a good investment?

Forex trading is ideal for investors who want the opportunity to trade a market that is open 24 hours a day, while minimizing trading costs and potentially profiting from markets that are rising or falling. However, it contains significant risks to your money and is not suitable for everyone.

What is a speculative FX trader?

Speculative FX traders seek to profit from fluctuations in the exchange rates between currencies, speculating on whether one will go up or down in value compared to another. Forex is traded in pairs, meaning that when you trade forex, you are exchanging one currency for another.

Where does forex trading take place?

Unlike shares or commodities, forex trading does not take place on exchanges but directly between two parties, in an over-the-counter (OTC) market. The forex market is run by a global network of banks, spread across four major forex trading centres in different time zones: London, New York, Sydney and Tokyo.