Foreign Exchange Tutorial

Introduction

The Foreign Exchange market, although the largest traded market in the world in terms of daily volume, does not have the retail client breadth of the Equity or Debt traded markets.  Part of the reason is a general lack of understanding and education on the fundamentals of buying and selling foreign exchange.  Part of the reason stems from the lack of trust in those that provided the liquidity to the retail investor.

With the recent self regulatory developments, equity market aversions and the launching of legitimate and well capitalized firms like FXDirectDealer, the use of Foreign Exchange by money managers, hedge fund managers, small corporate treasurers and active traders is expected to grow exponentially going forward.

This FX Tutorial should act as a springboard for the development of a keener understanding to the workings of the foreign exchange market, as well as the risks and benefits of trading or investing in this new and exciting market.

This tutorial includes hover hyperlinks that provide additional information and helpful links when accessed.  To activate the information, simply hover over the hyperlinked items.  When done, the added information will be displayed in the yellow box to the right.