What is FOREX?

Foreign Exchange (FOREX) is an arena where a nation's currency is exchanged for that of another. The Foreign Exchange market concurrently is the largest financial market in the world, with $2 trillion dollars traded daily. This market alone is more than three times the total amount of the US Equity and Treasury markets combined. Unlike other financial markets, the FOREX market has no physical location and no central exchange. It operates through an electronic network of banks, corporations, institutional investors and individuals trading one currency for another. The lack of a physical exchange enables the FOREX market to operate on a 24-hour basis, spanning from one time zone to another across the major financial center of the globe.