Trading Money

The market for foreign exchange is all about buying and selling money. The realm of foreign exchange is rife with incomprehensible slang, confusing jargon, a proliferation of different names for the same thing, and the existence of convoluted conventions that make working in this field a real challenge. This chapter describes what foreign exchange is about in very general terms and identifies the most important currencies that account for the vast majority of foreign exchange transactions. It enlists various currencies that are important such as the United States Dollar, the Euro, the Japanese Yen and many more. It also provides a relatively exhaustive listing of the names for, and standardized abbreviations of, money from around the globe. Some interesting questions are set out in the chapter that helps an individual to understand the concept of foreign exchange.