What is Forex?
The foreign exchange market(forex or FX for short) is the "place" where currencies are traded. Currencies need to be exchanged in order to conduct foreign trade and business. If you are living in the Australia and want to buy cheese from France, either you or the company that you buy the cheese from has to pay the French for the cheese in euros (EUR). This means that the Australian importer would have to exchange the equivalent value of Australian Dollar (AUD) into euros. The same goes for traveling. A U.S tourist in Australia can't pay in USD to see the Great Barrier Reef because it's not the locally accepted currency. As such, the tourist has to exchange the USD for the local currency, in this case the Australian Dollar, at the current exchange rate.
Forex is the largest financial market in the world. The Forex market accounts for over 4 trillion dollars in average daily turnover each day. Forex can be great way to trade. The FX market is one of the most exciting, fast-paced markets around. Until recently, forex trading in the currency market had been the domain of large financial institutions, corporations, central banks, hedge funds and extremely wealthy individuals. The emergence of the internet has changed all of this, and now it is possible for average traders/ investors to buy and sell currencies easily at home with the click of a mouse through online brokerage accounts.
One unique aspect of this international market is that there is no central marketplace for foreign exchange. Rather, currency trading is conducted electronically over-the-counter (OTC), which means that all transactions occur via computer networks between traders around the world, rather than on one centralized exchange. The market is open 24 hours a day, Start from Monday 9am AEST to 9am Saturday AEST and currencies are traded worldwide in the major financial centers of London, New York, Tokyo, Zurich, Frankfurt, Hong Kong, Singapore, Paris and Sydney - across almost every time zone. This means that when the trading day in the Asian ends, the forex market begins a new in Europe and US as such, the forex market can be extremely active during London open and closed.
The foreign exchange market(forex or FX for short) is the "place" where currencies are traded. Currencies need to be exchanged in order to conduct foreign trade and business. If you are living in the Australia and want to buy cheese from France, either you or the company that you buy the cheese from has to pay the French for the cheese in euros (EUR). This means that the Australian importer would have to exchange the equivalent value of Australian Dollar (AUD) into euros. The same goes for traveling. A U.S tourist in Australia can't pay in USD to see the Great Barrier Reef because it's not the locally accepted currency. As such, the tourist has to exchange the USD for the local currency, in this case the Australian Dollar, at the current exchange rate.
Forex is the largest financial market in the world. The Forex market accounts for over 4 trillion dollars in average daily turnover each day. Forex can be great way to trade. The FX market is one of the most exciting, fast-paced markets around. Until recently, forex trading in the currency market had been the domain of large financial institutions, corporations, central banks, hedge funds and extremely wealthy individuals. The emergence of the internet has changed all of this, and now it is possible for average traders/ investors to buy and sell currencies easily at home with the click of a mouse through online brokerage accounts.
One unique aspect of this international market is that there is no central marketplace for foreign exchange. Rather, currency trading is conducted electronically over-the-counter (OTC), which means that all transactions occur via computer networks between traders around the world, rather than on one centralized exchange. The market is open 24 hours a day, Start from Monday 9am AEST to 9am Saturday AEST and currencies are traded worldwide in the major financial centers of London, New York, Tokyo, Zurich, Frankfurt, Hong Kong, Singapore, Paris and Sydney - across almost every time zone. This means that when the trading day in the Asian ends, the forex market begins a new in Europe and US as such, the forex market can be extremely active during London open and closed.
