fx market

Also known as FOREX, short for foreign exchange.  FX is a marketplace in which speculators, banks, and institutions trade currencies.  The transactions are considered "off-exchange" because there is not a centralized location.  Instead, the transactions take place on an electronic network that ties several pools of liquidity together.  Simply put, the FX market is the sum of hundreds of smaller "markets" in which traders are buying and selling currency contracts. 

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