Foreign exchange — Forex or FX — is the market where currencies are bought and sold against one another. This guide explains how the market works, how pairs are quoted, when sessions are most liquid, and what to know before you trade CFDs on currency prices.
This is an introductory page for clients and partners. It is separate from our product specification pages under Trading → Markets.
Forex trading means exchanging one currency for another at an agreed rate. When you trade a CFD on EUR/USD, you are speculating on whether that rate rises or falls — you do not receive euros in a bank account. Brokers stream prices from liquidity providers; your profit or loss is the difference between your entry and exit, adjusted for spread, commission, and any overnight swap.
Forex is always quoted in pairs. The first currency is the base; the second is the quote. If EUR/USD is 1.0850, one euro buys 1.0850 US dollars. Going long means you expect the base to strengthen against the quote; going short means you expect it to weaken.
Unlike listed stocks, FX trades over-the-counter across a global network of banks, brokers, and electronic venues. There is no single closing bell — the market rolls from Sydney through Tokyo, London, and New York, then starts again.
The bid is where you can sell; the ask is where you can buy. The difference is the spread — your primary transaction cost on top of any commission. During liquid overlaps, spreads compress; ahead of major data releases, they can widen.
CFD forex lets you control a larger notional with a fraction deposited as margin. Gains and losses apply to the full notional movement, so leverage amplifies outcomes in both directions. Margin calls occur if equity cannot support open risk.
Times are approximate in GMT and shift with daylight saving. Liquidity overlaps — especially London and New York — are when many traders focus on majors.
Roughly 22:00 – 07:00 GMT
AUD and NZD pairs often see early-week momentum as Asia opens.
Roughly 00:00 – 09:00 GMT
JPY crosses and Asia-Pacific flows dominate; overlaps with Sydney.
Roughly 08:00 – 17:00 GMT
Highest FX liquidity; EUR, GBP, and CHF activity peaks.
Roughly 13:00 – 22:00 GMT
USD pairs most active; London/NY overlap is the tightest spread window.
Pairs that include the US dollar on one side — the most liquid segment of the market.
EUR/USD · GBP/USD · USD/JPY · USD/CHF · AUD/USD · USD/CAD
Typically the tightest spreads and deepest liquidity during London and NY.
Cross-currency pairs without USD — still liquid but spreads can be slightly wider.
EUR/GBP · EUR/JPY · GBP/JPY · AUD/JPY · EUR/AUD
Useful for expressing regional views without routing through USD.
Emerging or less liquid currencies — higher volatility and wider spreads.
USD/TRY · USD/ZAR · EUR/TRY · USD/MXN (availability varies)
Size positions carefully; gaps and slippage risk rise outside peak hours.
For the full list of pairs, spreads, and contract sizes available on your account, see What You Can Trade or open a demo and filter symbols in the platform.
Not exactly. Spot FX at a bank is often for travel or settlement. CFD forex with a broker is a derivative: you speculate on price movement without taking physical delivery of the currencies.
Historically, the London–New York overlap sees the highest EUR/USD liquidity and often the tightest spreads. Your strategy may also target specific data releases or session opens.
A pip is a standardised minimum price increment. On most major pairs it is the fourth decimal place (0.0001). On JPY pairs it is often the second decimal (0.01). Platforms also show fractional pips (pipettes).
Education can start on a demo with virtual funds. Minimum live deposits depend on account type and region — check funding pages before you apply.
Forex is one asset class within a multi-product CFD account. You can diversify into indices, metals, or shares from the same login once you understand how margin aggregates.
Contract specifications and swap tables are published in the client portal and on platform symbol windows — review them before holding positions overnight.
Load virtual funds, watch how spreads change through the session, and test your risk rules — then compare account types when you are ready to go live.