Forex or Foreign Exchange market is the largest financial market in the world. This market has a daily average turnover of US$1.9 trillion dollars a day which is greater than the combined volume of all U.S. equity markets.
Foreign Exchange is a cash market in foreign currencies made by large banks. In this market, currencies are bought and sold and exchange rates are determined. Unlike the Stock Market, Forex works on a 24 hour clock allowing for after hours trading. The Forex Market allows you the freedom and flexibility to build your portfolio on your timetable not the Stock Exchanges.
Forex market trading does not occur on the Stock Exchange and is considered an Over The Counter market as is the NASDAQ. These transactions can occur electronically or over the phone.