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Forex, or foreign exchange, trading involves the buying and selling of currencies in the global marketplace. The forex market is the largest and most liquid financial market in the world, with an average daily trading volume exceeding $5 trillion. Traders can profit from fluctuations in currency exchange rates by speculating on the direction in which a particular currency pair will move. The most commonly traded currency pairs include the EUR/USD, USD/JPY, and GBP/USD. Forex trading offers traders the opportunity to profit from both rising and falling markets, and the ability to trade 24 hours a day, five days a week. With the use of leverage, traders can control a large position size with a relatively small amount of capital, amplifying potential gains but also increasing the risk of significant losses.