What Is Trade Forex?

Meaning of trade forex in simple words is buying and selling different currencies of the world. It is an international exchange market where currencies from all around the world are traded. Let me throw some light upon this very interesting subject.

So, what is trade forex?

Investing money in foreign currencies is trade forex. Traders make profit by selling money at a higher price and buying another one at a lower price.

The Foreign Exchange market is commonly referred to as the "Forex" or "FX" market. With a daily average turnover of US$3.2 Trillion, it is the largest financial market in the world. Although traded all around the world, but United States, Japan, United Kindom, and Europes have the most active Forex traders.

Forex is a very unique and special market. Trading of currencies is always done in pairs. Buying and selling money is taking place in the same time and around the clock. Investors can respond to money-value swings caused by economic, social and political events.

The trade forex , being a true 24-hour market starts from Sunday 5:00 PM ET to Friday 5:00PM ET. Beginning each day in Sydney, it advances around the globe as the business day starts in each financial center, like first to Tokyo, London, and New York.

The trade forex market is considered an Over The Counter (OTC) , due to the fact that transactions are always conducted between two traders over the telephone or via an internet. Trading is very unlike as with the stock and futures mar which are centralized on an exchange.

Trade forex is a true "step above" the equities market for the serious trader, like me. I don’t have to pay commissions. With no time restrictions, I am my own boss and dictate when to trade and how to trade. I can trade on leverage, and focus on a few currencies rather than from 5000 stocks.

If you wish to get into trade forex, then it’s important to learn the basics of this trade before you start. Plus, you don’t need a lot of money to get started So, before getting your hands wet, brush up your skills. Take full advantage of my guidance to do so.