Foreign Currency Trading & Market Overview
- September 27th, 2011
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The foreign exchange (currency or forex or FX) market exists wherever one currency is traded for another. It is by far the largest market in the world, in terms of cash value traded, and includes trading between massive banks, central banks, currency speculators, multinational corporations, governments, and other financial markets and institutions. Retail traders (small speculators) are a small part of this market. They might only participate indirectly through brokers or banks and might be targets of forex scams.
Market size and liquidity
The foreign exchange market is one-of-a-kind because of:
* its trading volume,
* the extreme liquidity of the market,
* the massive number of, and variety of, traders in the market,
* its geographical dispersion,
* its long trading hours – 24 hours a day (except on weekends).
* the variety of factors that affect exchange rates, Read more