Forex trading is the real-time buying of one currency and the selling of another. Currencies are traded through a negotiator or dealer, and are traded in pairs; for example the Euro dollar and the US dollar (EUR/USD) or the British pound and the Japanese Yen (GBP/JPY). The FOREX market is the biggest financial market in the world, with a volume of over $2 trillion a day. If we compare this to the $25 billion generated by the New York Stock Exchange trades every day, we can simply understand how gigantic the Foreign Exchange really is. It actually equivalent to more than three times the total amount of the Stocks and Futures markets combined. There are several benefits and advantages to trade in Forex. These are some reasons why lot of people are choosing this process of trading. There are no commissions, no clearing fees, no exchange fees, no government fees, no brokerage fees. Brokers are remunerated for their services through something called the bid-ask spread.There is no fixed lot size. In the Futures ma rkets, lot or agreement sizes are determined by the exchanges. A benchmark-size contract for silver futures is 5000 ounces. In spot Forex, it is you who determines the lot size. This makes sure that the traders can even participate with accounts as small as $250. There are no middlemen. Spot currency trading eliminate the middlemen, and lets you you to trade directly with the market accountable for the pricing on a meticulous currency pair.