FOREX MARKET TRADING HOURS … Off-exchange trading of FOREX, foreign currency futures and options contracts with retail customers by a counterparty that is not …

The FOREX or Foreign Exchange market is the largest financial market in the world, with an volume of more than $1.5 trillion daily, dealing in currencies . Unlike other financial markets, the FOREX market has no physical location, no central exchange. It operates through an electronic network of banks, corporations and individuals trading one currency for another. The lack of a physical exchange enables the FOREX market to operate on a 24-hour basis, spanning from one time zone to another across the major financial centers. Traditionally, investors’ only means of gaining access to the foreign exchange market was through banks that transacted large amounts of currencies for commercial and investment purposes. Trading volume has increased rapidly over time, especially after exchange rates were allowed to float freely in 1971. Due to increased broadband availability to the masses, many individuals are trading the FOREX. Now, many market makers offer “commission free” trading account for the budding FOREX trader. FOREX Governing Bodies The FOREX does not have a governing body for speculator trading like the stock market does. The agencies that govern the industry are geared toward the futures and options traders. 1. The National Futures Association (NFA) The National Futures Association (NFA) is a congressionally authorized self- regulatory organization of the United States futures industry. Its mission is to provide innovative regulatory programs and services that protect investors and ensure market integrity. For more details see: http://www.nfa.futures.org/investor/FOREX/forex. pdf 2. The United States Commodity Futures Trading Commission (CFTC) The United States Commodity Futures Trading Commission (CFTC) is the federal agency that regulates the trading of FOREX currency, commodity futures and options contracts in the United States and takes action against firms suspected of illegally or fraudulently selling FOREX currency, commodity futures and options. The CFTC has jurisdiction to investigate and prosecute FOREX currency fraud and scams and commodity fraud and scams occurring in its registered FOREX and commodity firms and their affiliates. Off-exchange trading of FOREX, foreign currency futures and options contracts with retail customers by a counterparty that is not a regulated financial entity as set forth in the CFMA is unlawful and may be a fraud or scam. Although FOREX and commodity dealers who are regulated by NFA must disclose their charges to retail customers; there are no rules about how a dealer charges a customer for the services the dealer provides or that limit commodity account, you should check with several dealers and compare their charges as well as their services. Some firms charge a per trade commission, while other firms charge a mark-up by widening the spread between the bid and ask prices they give their customers. Some FOREX and currency firms may charge both a commission and a mark-up.

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