Its the largest and most liquid market out there. You trade one currency against another. The more expensive currency is usually listed first in the pair, like GBPUSD or USDCAD. If a pair goes up that means that the first currency in the pair becomes more expensive than the second. So if EURUSD goes up from 1.4 to 1.5 that means you now need 1.5 dollars to buy a euro vs 1.4 before. Currencies trade in increments called pips which are 1/100 of a cent. Usually to make money trading them you need high leverage to make anything worthwhile. This high leverage has been the undoing of many novice traders since most firms will give you more than you can handle and if you dont know any risk management you can easily blow out your account.
I have been trading it for about a year, I think its more challenging than trading stocks but its not impossible to learn if you are careful and practice with fake money first.
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