forex trading 101.

The forex market is what we call a directional market, this is also known as a speculative or delta based market as well. It is similar to that of the stock market where you either long or short the stock and make or lose money based on the entry price to the exit price. It is the largest, most liquid market in the world and one where every participates in it, even if they do not know.
For example, when Jmaes Bond travels from London to New York he will have to exchange his currency, the GBP, for the USD to buy goods and services in the United States. This is the same thing we all do when we travel from any country to a foreign country. The forex market is the exact same thing, we simply take one currency and exchange it for another currency. Profit or loses are made from the entry price to the exit price depending if the currency goes up or down. It is also important to note that you can buy or sell any currency.

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