Forex

Foreign Exchange Market :-

AN OTC MARKET :-
The Foreign Exchange Market, or "Forex" market, is the largest financial market in the world with an average daily turnover exceeding 2 trillion US dollars (2,000,000,000,000).
The Forex market is the arena where currencies are exchanged and traded. Investors around the world purchase or sell one currency for another in the hope of making a profit when the value of the currencies changes in response to market news and events or as a result of market speculation.
It is an 'over the counter market' (OTC), which means that there is no physical location and no central exchange and clearing hours where orders are matched. Instead it operates 24 hours a day through an electronic network of banks, corporations and individuals trading one currency for another.
FX traders constantly negotiate prices between one another and the resulting market bid/ask prices are then fed into computers and displayed on official quote screens. Forex exchange rates quoted between banks are referred to as Inter-bank Rates.

Forex :-
The foreign exchange (currency or forex or FX) market exists wherever one currency is traded for another. It is by far the largest market in the world, in terms of cash value traded, and includes trading between large banks, central banks, currency speculators, multinational corporations, governments, and other financial markets and institutions. The trade happening in the forex markets across the globe currently exceeds $1.9 trillion/day (on average). Retail traders (individuals) are currently a very small part of this market and may only participate indirectly through brokers or banks and may be targets of forex scams.According to David Krutz from the Financial Times website (Published: October 9 2006 20:48) " The foreign exchange market will have doubled in size in just three years next year, thanks to increased participation by fund managers and pension funds, says research out on Monday. TowerGroup, a financial services research consultancy, said it expected total global average daily volumes on the FX market to exceed $3,000bn in 2007. FX volumes, which rose from $1,770bn in 2004 to $2,000bn in 2005, were set to rise to $2,600bn in 2006 and $3,600bn for 2007, as foreign exchange became accepted as an asset class in its own right according to TowerGroup.

TRADE FOREX
Want to trade Forex but not sure where to start?Open and fund a Live trading account with a minimum of $1,000 USD by January 31, 2007 and receive a Foreign Exchange Trading Course* ($495 value) compliments of FX Solutions!! This course will fast-track your Foreign Currency Trading Education by providing you with a solid foundation in the currency market. It will offer you a handful of simple but powerful trading techniques that you can use to trade the currency market immediately. Whether you are an experienced trader or a first timer, this course together with the follow-up daily AM Review videos will have you trading in no time. This industry recognized course featuring Forex Expert - Peter Bain includes:

THE DIFFERENT PARTICIPANTS OF THE FOREX MARKET
In the following we have organized the different participants of the Forex market in a hierarchy:
The Inter-bank market accounts for the most significant portion of Forex volumes. In this market, the largest banks deal with each other directly via Inter-bank brokers or through electronic broking systems like Reuters. These banks both trade as a service to their customers and for their own benefits. The Central Banks control their countries’ money supply and they act to affect or maintain financial stability. International corporations are important players in the Forex market, as they exchange big amounts of currencies. The many travelers who need to exchange their currencies to pay for goods and services when abroad. Investors and speculators are becoming increasingly aware of the opportunities within the Forex market.