The Foreign Exchange Market is in my opinion, the most fascinating financial market. It is the biggest in the world has close to 4 trillion dollars traded daily, operates 24 hours a day (other than weekends) and operates world wide. The Forex or currency trading market is where currencies are traded. Governments, individuals, and financial corporations all buy and sell with the hopes that their intuitions and research is correct and make money off the rise of one currency and the fall of another. The trades can happen almost anywhere, essentially they can happen with one person trading cash to someone else but usually it refers to actually placing and making the trade through a broker.
There are many benefits of trading currencies. The Forex is also the worlds most liquid market. Due to the vast volume and dollar value of the trades one can quickly and easily trade currencies without realistically making a dent in the ask and sell prices. If however you where trading something less liquid such as municipality bonds the lack and willing investors makes it difficult to trade. Any Forex trades happen almost instantly making it a very attractive place to trade. The Forex also allows for relatively low transactions fees when compared to buying or selling stocks and has some extremely high leverage options. A leverage trading example would be if you are trading 100:1 you can profit 100 times the amount you would have normally, however you can equally lose 100 times the trade. You can be as risky as you want to be but can also be conservative.
If you are wanting to know more about trading on the Foreign Exchange Market a good website. You will find expert advise as well as many tools and educational pages to help you in every aspect of the Forex. They have brokers world wide that can help you get started and provide excellent research. They also allow you to practice with a demo account so none of your actual money is being traded, but you help to get the feel for how things work.