What is Forex?
If you are new to Forex, the word can sound unfamiliar. But Forex is the most fast growing trading trend in the world. It is by far the biggest and most popular financial market in the world, traded globally by a large number of individuals and organizations.
Forex is abbreviation for foreign exchange and it is also known as FX and currency pair trading. Basically, trading forex means buying one currency and simultaneous selling another.
Everyone who travelled overseas probably have been involved in this foreign exchange market without knowing by exchanging currency.
If you travel from Switzerland to the United States, you would exchange Swiss dollars to US dollars. In this process, you have already involved yourself in Forex trading.
Forex is not difficult, but rather simple. It is a concept of exchanging different currencies. The value of money will either increase or decrease due to changes in political issues, economic policies and other governmental decisions. Forex is an investment that predicts whether the value will go up or down, and you can also earn money by making successful prediction even if it is a prediction of decrease of currency value.
These kind of simple currency pair are the most liquidated and most traded transactions in the world right now. Can you believe it? About 5 trillion dollars traded in a day. The forex market is open 24 hours, 5 days a week – Monday to Friday.