If you are new to trading, then before you start trading, you need to study the concept of Forex - what it means, how currencies are priced and how to open your first trades.
In English, the name "Forex" is derived from two words - "Foreign", which means "Foreign" in Russian, and "Exchange", which means "Exchange". In English, the name "Forex" is usually abbreviated to FX.
The daily financial turnover of the Forex market exceeds the volume of 4 trillion dollars. This is the largest market, which includes both large corporations and companies, as well as private investors and traders. The purpose of trading in the foreign exchange market is very simple. This is a speculative form of trading in which a trader tries to capitalize on the difference in the value of currencies. By buying an asset at a low price and selling it at a high price, the trader makes a profit.
On Forex, currencies from different countries are grouped in pairs. For example, EUR / USD (Euro / US Dollar) or GBP / USD (British Pound / US Dollar). Such a pair always shows the ratio of the price of one currency to the price of the second. For example, if the value of one pound were two US dollars, then the value of the GBP / USD pair would be 2.0000.