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The forex market is the international currency market. Forex is short for Foreign Exchange market. It is the world's largest, with a volume of over 4 trillion dollars daily business financial market. To understand what this means turnover, it is what can move the New York Stock Exchange (the largest in the world) in a stock all month.

What is traded in Forex?

With money. How? Yes, Forex trading involves buying and selling of currency, coins, ie money. Currencies are traded through a broker or dealer and are traded in pairs, for example Euro and US dollar (EUR / USD).

Really do not buy or sell anything physically so you can confuse a little. Think of buying currency as buying a share in the economy of a country, as the price of the currency is a direct reflection of what the market thinks about the present and future state of the economy. Forex, as mentioned, is traded in currency pairs, as stated in this paragraph, the list price of a given currency pair reflects the economic conditions of a country versus country other currency that makes up the pair .

Unlike other financial markets, the Forex market is decentralized and does not have a physical location. The Forex market is considered an interbank market or OTC (over-the-counter, over the counter) due to the fact that this market operates electronically in a network between banks 24 hours a day.

In the late 90s of the twentieth century, only investors with high financial power could access the Forex trading, with an initial capital of 10 million dollars. Forex was originally intended to be used by banks and large institutions. However, due to the expansion of the Internet, today there are companies that offer online Forex trading Forex "retail" for retail investors.

What currencies are traded in Forex?

You almost as many countries or economic communities (such as Europe) there. These currencies are traded more:

(Forex symbols are always three letters, the first identifying the country and the third to the currency)

Symbol Country Currency Nickname

USD US Dollar Buck

EUR Euro Europe Fiber

Japanese yen JPY Japan Yen

Great Britain Pound Sterling GBP Cable

CHF Swiss Franc Swiss Swissy

Canadian Dollar CAD Canadian Loonie

AUD Australian Dollar Australia Aussie

New Zealand Dollar NZD New Zealand Kiwi

Of all the most traded currency is the US dollar, followed by the euro, the Japanese yen and the pound Britain.

When trading at Forex?

The Forex market is unique, is open 24 hours a day. From Tokyo to New York, via London, the market moves can operate at any time, day and night.

Opening and closing the three major centers (when expressed in GMT):

Tokyo: Opens at 0 hours and closes in September.

London: Opens at 8 and closes the 17.    New York: It opens at 13 and closes at 22.

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