Forex (also known as FX) - the Foreign exchange market exists anywhere, one currency is traded for another. The Foreign exchange market is the world's largest market, with over $1.9 trillion volume per day, including trading between central banks, large banks, multinational corporations, currency speculators, governments and almost every big financial market. An electronic network of banks is operating the Forex market, corporations and individuals trading currencies. The Forex market on a 24-hour basis is enabled by the lack of a physical exchange, spanning from one major financial center zone of the world to another.
In 1971 The Forex market was established, when floating exchange rates began to appear. By 1973, the currencies of the major industrialized nations became more freely floating, controlled almost completely by the market forces of supply and demand. This led to the development of new financial tools, free market and open trade, also led to the rise of speculators' power.
The movement of money in the 1980's across borders became easier with the advent of computers and the internet. Market became a continuum, trading through the Asian, European and American financial markets. Hundreds of millions of dollars, pounds, euros and yen were exchanged in dealing rooms created by large banks in a matter on minutes. Today electronic brokers trade on daily basis in the Forex market; single trades for tens of millions of dollars, in London for example, are priced in a matter of seconds. The electronic market changed the Forex market dramatically, with most international financial transactions being carried out to speculate on the market and not to buy and sell goods, but with most dealers' aim of making money out of money.