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Tag: "What is Forex"

What is Forex?

The world runs on money. The global economy – and our very way of living – depends on the act of money changing hands. Not just in our country, but all over the world. The value of money in one country is largely based on the value of money in other countries. Forex is a term that refers to foreign exchange, which is the market of trading one country’s currency for another. When you’re in another country, trading your country’s currency for the currency of the country you are visiting is what the forex market is all about. In order to trade your U.S. dollars for another, for example – the Japanese yen, the foreign exchange rate between the two countries must be established. Forex history begins long after the establishment of coins as a method of purchasing items. Often, trade outside of a country still relied on bartering, because the value of one currency was not always agreed upon by another country. Paper money in the form of IOUs was printed against the value of metals, such as gold, in the middle […]