Foreign exchange market
The Forex market is the biggest market in the world with an average daily trading volume of $5 trillion. Forex does not have any organized market for transactions. Forex trading takes place in over-the-counter (OTC) markets as transactions are executed outside of a centralized exchange. This is what allows Forex traders all over the world to trade around the clock, 24 hours, 5.5 days a week, in almost all the time zones.
The Forex market is the most liquid financial market in the world. This high liquidity means prices fluctuate abruptly in response to news and current events, which results in multiple trading opportunities.
How to trade Forex:
Forex trading always involves selling one currency in order to buy another, which is why it is quoted in pairs – the price of a forex pair is how much one unit of the base currency is worth in the quote currency. Through the eyes of a retail trader, Forex trading is estimating and comparing the worth of two different currencies.