I have just learned in detail about the Forex market and want to share the interesting things I discovered. Many Vietnamese people still wonder what trading forex is, whether it is illegal, and whether they should participate or not. Today, I will answer these questions for you.

Actually, forex is no longer something new. It is the global foreign exchange market, where banks, import-export companies, and individual investors participate in trading currency pairs. When I ask what trading forex is in simple terms, it is buying and selling different currencies to make a profit from exchange rate fluctuations.

The great thing about forex is that it has the highest liquidity in the world. According to statistics from a few years ago, the average daily trading volume reached trillions of USD. Because of this enormous scale, the market cannot be manipulated by anyone, which is completely different from other markets.

But in Vietnam, the issue is a bit more complicated. Our government still tightly controls foreign exchange reserves, so only banks are allowed to conduct official foreign exchange transactions. However, this does not mean that what is trading forex is completely banned. Individuals can still trade forex through legitimate international trading platforms licensed in countries where this activity is permitted. As long as you do not use "platforms licensed by Vietnam" (which definitely do not exist), there is no problem at all.

When it comes to the most traded currency pairs, EUR/USD always ranks first with over 24% of the trading volume. Next are USD/JPY and GBP/USD. These pairs are popular because they involve the largest economies in the world, so there are many factors influencing them.

I notice that the forex market is heavily affected by interest rate decisions from central banks like ECB, FED, BoJ. Additionally, GDP, CPI, unemployment rate, and announcements from FOMC also cause strong volatility. For example, a meeting of the FOMC can cause the EUR/USD pair to fluctuate hundreds of pips within a few minutes.

If you want to start trading forex, the first step is to choose a reputable trading platform. It’s important to check whether the platform is licensed by authorized organizations, what the trading costs are, and whether customer service is good. You can open a demo account first to get familiar, then upgrade to a real account when you feel ready.

One thing I want to emphasize is that forex trading operates 24 hours a day, 5 days a week. Trading platforms in Sydney, Tokyo, London, and New York operate sequentially, so you can participate at any time that fits your schedule. Each platform also has currency pairs with more significant volatility; for example, on the Sydney platform, AUD/USD tends to fluctuate more.

Regarding taxes, currently Vietnam does not have clear policies on taxing individual forex transactions, because this activity has not yet been legally permitted for official business here. But this does not mean you are allowed to trade on forex platforms opened by Vietnam, as that would definitely violate the law.

In conclusion, what is trading forex that can offer profit opportunities? It is a vibrant market with high liquidity and many chances. But to trade safely and legally, you need to choose a reputable international trading partner licensed in countries where this activity is permitted. The most important thing is to understand the risks, learn more knowledge, and never trade with money you cannot afford to lose.