| What is Forex? |
"Forex" stands for foreign exchange; it's also known as FX.
In a Forex trade, you buy one currency while simultaneously selling another - that is, you're exchanging the sold currency for the one you're buying.
Currencies trade in pairs, like the Euro-US Dollar (EUR/USD) or US Dollar / Japanese Yen (USD/JPY). Unlike stocks or futures, there's no centralized exchange for Forex. All transactions happen via phone or electronic network.
Most traders focus on the biggest, most liquid currency pairs. "The Majors" include US Dollar, Japanese Yen, Euro, British Pound, Swiss Franc, Canadian Dollar and Australian Dollar. In fact, more than 85% of daily Forex trading happens in the major currency pairs.
With average daily turnover of US$4 trillion, Forex is the most traded market in the world.
A true 24-hour market from Sunday 5 PM ET to Friday 5 PM ET, forex trading begins in Sydney, and moves around the globe as the business day begins, first to Tokyo, London, and then to New York, before the Sydney market reopens again.
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Disclaimer: Any trades placed upon reliance on fund manager's system are taken at your own risk for your own account. Past performance is no guarantee of future results. While there is great potential for reward trading foreign currencies, there is also substantial risk of loss in all trading. You must decide your own suitability to trade or not. Foreign current trading results can never be guaranteed.
Any opinions, news, research, analyses, prices or other information contained on this website or linked to from this website are provided as general market commentary and do not constitute investment advice. FXcellent does not accept liability for any loss or damage, including without limitation to, any loss of profit, which may arise directly or indirectly from use of or reliance on such information.
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