Investopedia: The British Pound - What Every FX Trader Should Know

Foreign exchange, or forex, trading is an increasingly popular option for speculators. Ads boast of "commission-free" trading, 24-hour market access, and huge potential gains, and it is easy to set up simulated trading accounts to allow people to practice their trading techniques.


With that easy access comes risk. It is true that forex trading is a huge market, but it also true that every single wannabe forex trader is going up against thousands of professions working for major banks and funds. The foreign exchange market is a 24-hour market and there is no exchange – trades take place between individual banks, brokers, fund managers and other market participants – but 10 firms dominate nearly 75% of the volume.


To read the full piece, follow the link below:
http://www.investopedia.com/articles/forex/11/british-pound-what-every-fx-trader-should-know.asp