Where is the FOREX market located?

Forex is a decentralized market. It does not have a central physical location. Trading occurs 24 hours a day through Electronic Communication Networks (ECNs) in markets around the globe.

• ECN is a computer system that facilitates the trading of financial products. The Securities and Exchange Commission (SEC) authorized the creation of ECNs in 1998.

The Forex market does not require a physical location because trading is conducted virtually through this system.

You may have heard that London is the global center of the foreign exchange market. This is because London accounts for nearly 35% of the total trading volume, which is double that of New York, which trades only about 17%. So, even though Forex has no physical location, London is considered its global hub.

The geographical elements of Forex are just as important as its chronological elements. Although Forex operates 24 hours a day, 5 days a week, the most profitable trading operations should be executed during time periods known among traders as Kill Zones.