Opplæringskontoret for Indre Hordaland

Forex

Forex, short for foreign exchange, refers to the global marketplace for trading national currencies against one another. It is the largest and most liquid financial market in the world, where participants, including banks, financial institutions, corporations, governments, and individual traders, buy and sell currencies. The Forex market operates 24 hours a day, five days a week, facilitating currency conversion for international trade and investment. Prices in the Forex market are determined by supply and demand dynamics, influenced by factors such as economic indicators, interest rates, political stability, and market sentiment. Forex trading usually involves pairs of currencies, such as the euro/USD or USD/JPY, reflecting their relative value to each other. Traders use various strategies and tools for analysis to speculate on currency movements, aiming to profit from fluctuations in exchange rates.