Want to know what is Forex Trading?

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Want to know what is Forex Trading? Forex is the
contraction of the term Foreign Exchange. Like
the share or stock market, the foreign exchange
also takes place in a certain way through a
marketplace. People can trade in this market
with foreign currencies as assets. The Forex
market or FX market or simply the Forex is the
worlds biggest market in terms of daily trading.
As per the data available, daily Forex trading
has crossed 6.1 trillion in 2020 which is an
almost 40 increase in the daily Forex trading
volume over the last decade. In 2010, the daily
turnover in the global Forex market touched 4
trillion that was more than a 25 increase over
the daily turnover figure of 2010. Seeing the
market expansion and how the traders are making
profits here, an increasing number of people are
joining the market in the quest of earning
handsome amounts through trading. If you are one
of them, you need to know what is forex trading?
Know the basics of Forex trading Knowingly and
unknowingly, we are dealing with foreign
currencies in different ways. Foreign exchange
is important for different reasons In simple
terms, forex is the marketplace where buyers
buy foreign currencies and sellers sell the
same in their possession. These buyers and
sellers transfer currency through this
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common marketplace at an agreed price through the
mediators like brokers. In this way, individuals
or institutions like banks, credit card
companies, and ecommerce sites doing business in
different countries exchange or convert one
currency to another. While lots of these kinds
of transactions for the conversion of one
currency to another take place in the
marketplace but this is a simple exchange not
trading. Actual transactions called Forex
trading take place to make profits. This happens
through the foreign exchange market.
What is the Forex market? This is the market
where foreign currencies are traded. This is an
international market. It is unique from other
similar types of the market as it has no central
marketplace. The currencies are traded
internationally through digital media
over-the-counter. The market is open 24 hours
from Monday to Friday. New York, London, Zurich,
Tokyo, Paris, Sydney, Singapore, and Hong Kong
are the major hubs through which the currencies
are traded. So, if trading day closes in one
country another opens simultaneously. This is the
reason why currency values remain highly
volatile round-the-clock. This information might
have cleared your concept of what is forex
trading? If you are new to this market, you have
to get accustomed to some other terms and their
purposes like currency pair, leverage, bid-ask
price, PIP, margin, and bullish. You have to
follow the market and register with a broker to
start trading.