The Foreign Exchange Market, in Short
The Forex market, in which Forex or FX stands for foreign exchange, is the largest, most liquid financial market in the world with a $6.6 trillion trade volume per day. It is a global, decentralized market in which different currencies get exchanged.
Due to the constant fluctuation in exchange rates, the market fluctuates as well. The majority of currency transactions in the forex market happens for speculative reasons as currency traders buy currencies they expect to sell at an increased price at some point in the future.
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Indices are measurements that track and reflect the price performance of a group of shares. They are often used as benchmarks for a specific sector or region's economic performance. By trading any of these instruments, you can gain exposure to an entire sector or economy through only one position.
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