Forex (short for Foreign Exchange) is the global marketplace where currencies are bought and sold. It's also known as the FX market. Here's a breakdown of what it is:
What Happens in Forex?
In Forex, people trade one currency for another, like:
EUR/USD = Euro vs. US Dollar
GBP/JPY = British Pound vs. Japanese Yen
For example, if you think the euro will go up against the dollar, you might buy EUR/USD. If you think it will fall, you might sell it.
? Market Hours
Forex operates 24 hours a day, 5 days a week—thanks to overlapping trading sessions across major financial centers:
Sydney
Tokyo
London
New York