Foreign Exchange (Forex) is the global market where currencies are traded against each other in pairs, such as EUR/USD or AUD/JPY. It plays a key role in determining exchange rates, allowing investors to buy and sell international currencies. In the Forex market, traders focus on exchange rate pairs, where one currency is sold to buy another.
For example, when a trader opens a buy position on EUR/USD, they are betting that the Euro (EUR) will strengthen against the US Dollar (USD), much like exchanging money when traveling abroad.
Unlike a traditional marketplace, the Forex market operates 24 hours a day, five days a week, with short breaks over the weekend. To learn more about Forex trading, explore our platform for additional resources.
What is Forex?
Updated over 3 months ago