Forex
The foreign exchange market (Forex or FX) is a worldwide decentralized financial market for the trading of currencies. Although Forex is primarily the domain of major players, this investment option is gradually also attracting more and more individual investors.
Daily 4,000,000,000,000 USD, that is to say 4 trillion US dollars, is traded globally. This is about ten times the turnover of all the stock exchanges in the world together. The currency rates are constantly changing as a result of supply and demand. Traders can benefit from these movements.
There is no such thing as a Forex stock market. Trading is done exclusively online and goes on around the clock, with the exception of weekends. Trading starts on Sunday night (CET) when the Australian stock exchange in Sydney opens for business and stops at 23.00 hours (CET) on Friday night when the New York Stock Exchange on Wall Street closes.
Foreign exchange markets are notably different from, for example, stock markets, as we will explain on the Forex trading page. As you know, there are many different currencies in the world. In Forex trading, various currency pairs are used. To trade successfully in the foreign exchange market, there are quite a few strategies you can adopt. We will discuss some of them on the Forex strategies page. We have also compiled a list of Forex definitions, so should you come across a term you are not familiar with, please let us know and we will add the term to our list.
