What is Forex Trading?

Forex trading, or foreign exchange trading, is the process of buying and selling currencies on the foreign exchange market to profit from currency price fluctuations.

What Are Currency Pairs?

Currency pairs represent the relative value of one currency against another. For example, in the EUR/USD pair, the EUR is the base currency, and the USD is the quote currency.

What Are the Major Currency Pairs?

Major currency pairs include EUR/USD, GBP/USD, USD/JPY, and USD/CHF. They are the most widely traded and have higher liquidity.

What Is Leverage, and How Does It Work?

Leverage allows traders to control larger positions with a smaller amount of capital. It amplifies both profits and losses. Common leverage ratios are 50:1, 100:1, or even 500:1.