What is Forex?
Foreign Exchange trading, also known as Forex or FX trading, has gained enormous popularity in recent years among layman individuals and professionals due to the growth of online brokers and the technological development of online trading platforms. With high liquidity, non-stop opening hours 5 days a week, and great opportunities, it is no wonder that the forex market is the world's most traded market with a daily trading volume of $5 trillion USD.
Traders are not alone in the world wide Forex environment. At AXNFX we support our clients with news and analysis, plus expert dedicated account managers who could help traders make better decisions in a timely manner. AXNFX team is outstanding among the traders because of their outstanding offers and services.
Advantages of Forex Trading
- 90+ currency pairs - majors, crosses and exotics
- 24 hours a day, 5 days a week
- Leverage 1:400
- Trade the most liquid market in the world
- Trade with NO hidden charges
The Basic Concept
When trading Forex, you are buying of one currency by using another. Therefore, the FX trader is trading currency pairs and not each currency on its own. Take for example the EURUSD, when buying the pair - it means you are buying EUR using (selling) USD. When selling the pair - it means you are buying USD using (selling) EUR.
The pairing of the currencies is presented as a rate, which reflects the ratio between the values of the two currencies. For instance, the rate for buying the pair GBPUSD is 1.50514, i.e. 1 GBP = 1.50514 USD.
Forex Pairs Groups
The Forex pairs are divided into three main groups - majors, minors and exotic pairs. The main difference between the pairs is their liquidity which is a result of the trading volume of these pair. E.g., the major currency pairs are the most traded pairs and each include the USD and another currency, while the most traded minor pairs include one of the three major non-USD currencies