Definition and explanation of the term Forex
Term
FOREX a.k.a. Foreign Exchange Market, FX
Usage
Financial Institution, Financial Term, Money Markets, Currency Exchange, Trading Term
Context
Answers questions: What does FOREXT mean? Define FOREX. Explain what FOREX stand for. What is FOREX?
Definition of FOREX
FOREX is a commonly used term to describe the foreign exchange market. The foreign exhange market does not exist in the sense that there’s one exchange per country or region. It exists globally without central regulations. Institutional brokerage firms trade amongst themselves and can act as intermediary between themselves and retail traders.
FOREX is losley used as a description of “trading with currencies” e.g. “I have moved into FOREX now” would thus mean that the person has started traded with currencies.
Generally percieved as very high risk market for individual (retail) traders.
The foreign exchange market is made up of 98% of institutional trades, and only 2% retail according to Wikipedia.