What is forex trading?

Trading forex involves the buying of one currency and simultaneous selling of another. The terms used by currency traders to describe buying (to go long) and selling (to short) are exactly the opposite of those commonly used in other financial markets.  For instance, if you buy a stock you gain ownership of the underlying company whereas when you sell or go short on stock it means that you do not own the underlying company. This could be a trade that involves just one currency pair, such as, E...
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