What is Forex?

Modified on Thu, 10 Jul at 12:56 PM

Forex (short for Foreign Exchange) is the global marketplace where currencies are bought and sold. It's also known as the FX market. Here's a breakdown of what it is:


What Happens in Forex?

In Forex, people trade one currency for another, like:

  • EUR/USD = Euro vs. US Dollar

  • GBP/JPY = British Pound vs. Japanese Yen

For example, if you think the euro will go up against the dollar, you might buy EUR/USD. If you think it will fall, you might sell it.


? Market Hours

Forex operates 24 hours a day, 5 days a week—thanks to overlapping trading sessions across major financial centers:

  • Sydney

  • Tokyo

  • London

  • New York




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