Forex (foreign exchange market)

The Forex (foreign exchange) market is a global marketplace for buying and selling national currencies. It operates 24 hours a day, five days a week, where traders, banks, institutions, and individuals exchange currencies based on their estimated value relative to each other. These fluctuations are driven by economic indicators, geopolitical events, and market sentiment. Forex trading allows participants to hedge against currency risk, facilitate international trade, or speculate on currency movements to profit. It is the largest and most liquid financial market in the world, with trillions of dollars exchanged daily.