Foreign Exchange Market, forex dictionary, FX News, forex definition

Foreign Exchange Market , Forex, Trade, Trading, Glossary, Currency, Dictionary, Definition of forex, forex definition, FX dictionary, forex news

Forex vocabulary from A to Z. Find trading definition you are looking for in this forex dictionary.

Forex Dictionary and Glossary of Terms

Forex Definitions, Terms, Abbreviations, and Acronyms

Here you'll find the most important definitions, terms, and abbreviations you'll come across in the Forex business.
If you're just setting your first steps into the world of Forex trading I suggest you check out the Forex ebooks first and bookmark or print this page for future reference.

Foreign exchange market The foreign exchange (currency or FX) market is where currency trading takes place. FX transactions typically involve one party purchasing a quantity of one currency in exchange for paying a quantity of another. The Foreign Exchange Market that we see today started evolving during the 1970s when worldover countries gradually switched to floating exchange rate from their erstwhile exchange rate regime, which remained fixed as per the Bretton Woods system till 1971.

Today FX market is one of the largest and most liquid financial markets in the world, and includes trading between large banks, central banks, currency speculators, corporations, governments, and other institutions. The average daily volume in the global forex and related markets is continuously growing. Traditional daily turnover was reported to be over US$ 3.2 trillion in April 2007 by the Bank for International Settlements. [1] Since then, the market has continued to grow. According to Euromoney's annual FX Poll, volumes grew a further 41% between 2007 and 2008. [2]

The purpose of FX market is to facilitate trade and investment. The need for a foreign exchange market arises because of the presence of multifarious international currencies such as US Dollar, Pound Sterling, etc, and the need for trading in such currencies.

Contents
1 Market size and liquidity
2 Market participants
2.1 Banks
2.2 Commercial companies
2.3 Central banks
2.4 Hedge funds as speculators
2.5 Investment management firms
2.6 Retail forex brokers
2.7 Other
3 Trading characteristics
4 Determinants of FX Rates
4.1 Economic factors
4.2 Political conditions
4.3 Market psychology
5 Algorithmic trading in forex
6 Financial instruments
6.1 Spot
6.2 Forward
6.3 Future
6.4 Swap
6.5 Option
6.6 Exchange Traded Fund
7 Speculation
8 References
9 See also
10 External links

Forex, Trade, Trading, Glossary, Currency, Dictionary, Definition of forex, forex definition

forex market, forex forum, free forum, forex news, forex market center, forex news center, 24 hour FX trading, Bourse Online, Learn Forex. Forex articles, dictionary and resources, forex training videos. Forex Business Opportunity.Forex World Forum | Make Money With Currency Trading, forex strategyForex trading discussions that cater more to the beginner traders

Forex, Trade, Trading, Glossary, Currency, Dictionary, Definition of forex, forex definition, FX Words Trading Glossary