What’s Forex?

If you visit FOREX.com you can read there that this is a division of GAIN Capital Group, also known as FX, a dedicated partner to professional FX traders and fund managers worldwide. The services include IB programs, white label solutions, and asset management. Individual forex traders are also available.

You can take advantage of the market expertise and financial strength of GAIN Capital Group and access an institutional FX trading platform, FOREXTrader, along with the powerful real-time forex charts, professional forex market research, and suite of advanced forex trading tools. So, “Forex” stands for foreign exchange. It means that for example you can buy one currency while simultaneously selling another, then you’re exchanging the sold currency for the one you’re buying. The foreign exchange market is an over-the-counter market. All what you need is just to sign up for one of these free online webinars, attend a forex workshop in your area and learn how to trade with an online course then you have to register for a free practice account.

Currencies trade in pairs, like the Euro-US Dollar (EUR/USD) or US Dollar Japanese Yen (USD/JPY). Unlike stocks or futures, there’s no centralized exchange for forex. All transactions happen via phone or electronic network.

Who trades currencies, and why?

Daily turnover in the world’s currencies comes from two sources:
Foreign trade (5%). Companies buy and sell products in foreign countries, plus convert profits from foreign sales into domestic currency.

Speculation for profit (95%).
Most traders focus on the biggest, most liquid currency pairs. “The Majors” include US Dollar, Japanese Yen, Euro, British Pound, Swiss Franc, Canadian Dollar and Australian Dollar. In fact, more than 85% of daily forex trading happens in the major currency pairs.

The world’s most traded market, trading 24 hours a day

With average daily turnover of US$3.2 trillion, forex is the most traded market in the world.
A true 24-hour market from Sunday 5 PM ET to Friday 5 PM ET, forex trading begins in Sydney, and moves around the globe as the business day begins, first to Tokyo, London, and New York.

Unlike other financial markets, investors can respond immediately to currency fluctuations, whenever they occur – day or night.