What is Forex?
Foreign exchange, also known as currency, or Forex trading ( FX trading), is the world’s largest decentralized global market where all the world’s currencies are traded. The Forex exchange market is the largest, and the need to exchange currencies of different jurisdictions is the sole reason why the forex market is the largest. Foreign Exchange prices are influenced by a range of different factors, including inflation, interest rates, government policy, employment figures and demand for imports and exports. Because of the sheer volume of Forex market traders and the amount of cash exchanged, price movements can happen very quickly, making currency trading not only the largest financial market in the world, but also one of the most volatile.
The forex market is the place for traders all around the world to buy, sell or exchange currencies at the current market price. It is known for being by far the largest market in the world which means that it is also the most liquid. Worth over $5.3 trillion dollars per day, our traders from all around the world enjoy trading the world’s most popular tradable instrument. Here is our obtainable pricing packages
WHAT IS FOREX TRADING?
Forex trading is the simultaneous buying and selling of the world’s currencies on a decentralised global market. It’s also referred to as the foreign exchange or FX market. As one of the largest and most liquid financial markets in the world, its total average turnover per day is reported to exceed $5 trillion. The forex market is not based in a central location or exchange so is open to trade 24 hours a day, from Sunday night through to Friday night.
HOW DO YOU TRADE FOREX?
Our forex pairs are available to trade as contracts for difference (CFDs). When trading forex, you speculate on whether the price of one currency will rise or fall against another.
For example, if you choose to trade GBP/USD (British pound/US dollar) and you think the value of the GBP will rise against USD, you go long (buy). If you think GBP will fall against USD, you go short (sell). If your prediction is correct, you make a profit. If your prediction is incorrect, you would make a loss. Remember, losses can exceed deposits.
Forex is always traded in currency pairs, for example EUR/USD. The first currency (EUR) is called the ‘base currency’. The second currency (USD) is known as the ‘counter currency’. The way currencies are displayed shows us how many units of the counter currency you can buy with one unit of the base currency. This is the exchange rate, or in other words, how many US dollars you can buy for one euro.
We can trade Forex on over 300 currency pairs via our platform. Currency pairs can generally be divided into three groups: major, minor and emerging.