Forex Trading or Currency Trading is buying of one currency and selling another. It is always quoted in pairs like EUR/US dollars. This type of trading is done under the presence of market makers and Forex brokers. However, the exchange rates based on economic factors.
Forex Trading is the world's largest investment market. Although, a small number of currency pairs are responsible for the majority of volume and activity. Each pair is typically quoted in PIPs (percentage in points) out to four decimal places.