Foreign exchange  From Traderpedia  Revision as of 19:04, 3
August 2005 by Rhody Trader (Talk | contribs)  The foreign
exchange market (also referred to as forex or fx) is the market
of currencies. Trade takes place when one country's currency
(such as the Swiss Franc) is exchanged for the currency of
another country (say the Japanese Yen). The market exists to
facility the exchange of money around the globe for business and
travel purposes, though speculation has become increasingly
popular over the years.   Market Structure  Foreign Exchange
transactions take place 24 hours per day, around the world
through a combination of inter-bank and futures andoptions
markets, though the inter-bank market far surpases the others in
volume. In fact foreign exchange is the largest of the financial
markets, dwarfing all others.   The Forex market is called an
'inter-bank' market due to the fact that historically it has
been dominated by banks, including central banks, commercial
banks, and investment banks. However, the