FOREX — the FX, foreign exchange or sometimes also known as the currency market is a market where currenciesis are traded against each other. It comprises one of the biggest markets on the globe..
A lot of the players in this market are only attempting to exchange a foreign currency for the one they already posses, similar to international companiess who need to pay wages and disbursements in different countries than they are based at.
All the same, a big component of the market is assembled from currency traders, who trade on on apparent movement in rates, very much alike to how others would trade on drifts of gold or stock fluctuations.
Currencies are dealt against another in pairs. All currency pairs are therefore making up a tradeable pair. For example, EUR/USD is the price of the euro conveyed in US dollars, as in 1 euro = 1.3000 dollar.
In this blog we will look at Forex trading and how different techniques are used to trade from.