Forex trading simply means buying and selling currencies with the motive of attaining profits. Currencies are traded in pairs- the first currency listed in the pair is called the “base” currency while the second listed currency is called the “quote” currency.
The most traded currency pair- EUR/USD (Euro/US Dollar) represents the amount of US dollars that could be exchanged for one Euro.
The Forex market is open 24×5 and traded online with the price quotes fluctuating constantly due to a variety of factors like interest rates, geopolitical risks, and market factors that affect both supply and demand for such currencies.
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