The basics of forex trading

Foreign exchange, also known as forex or FX, is one of the world’s most liquid markets – boasting a whopping $6.6 trillion in trade volume each day in the overall FX market (inclusive of forex forwards, futures and more); this, according to the Bank for International Settlements (BIS) triennial report of 2019.

While much of this volume comes from everyday monetary transactions in foreign countries, some people seek to exchange currencies with the explicit intention to make a profit.

On the other hand, forex trades made through most online brokers would be limited to the pricing and liquidity the provider offers and not from the broader market. However, you can still find trading opportunities in these markets as many of them closely track the real value of the underlying currency pairs.

Buying and selling currencies to make a profit can be complex. This course will delve into some of the key things to know about forex trading. You’ll learn how to short a forex pair, which factors affect forex spreads, the relationship between leverage and margin and much more.