Abstract: The world's largest and most liquid market is the Foreign Exchange Market (FX market, Forex). Financial institutions and large organizations dominated the FX market until the late 1990s, when it was driven by hedging, speculation, and arbitrage. Today, the Forex market (FX) is the world's largest financial market, with a daily volume of almost $5 Trillion. Banks, Commercial firms, Central banks, Investment management firms, Hedge funds, Retail Forex brokers, and retail investors all participate in the currency market. While Institutional Investors continue to dominate the market, Retail Investors' influence has grown since the early 2000s. Participants in the Forex market, such as banks and individuals, can buy, sell, and exchange currencies for hedging and speculative purposes. The number of retail investors participating in foreign exchange markets has risen dramatically in recent decades (Rime & Schrimpf, 2013). In this paper, it throws a light on the retail investors trading behaviour & their trading terminologies in the Foreign exchange market.

Keywords: Foreign exchange market, FX market, Forex market, Trading, Retail Investors, Investment behaviour, Forex Transactions Maturities


PDF | DOI: 10.17148/IARJSET.2022.9491

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