FOREX is the term commonly used to describe Foreign Exchange Trading a financial market which can provide very high returns if you know what your doing and very high losses if you don't.
FOREX Terminology
Most of the terminology used when trading FOREX is the same as that used in most of the other world financial markets heres some examples and few of the terms are unique to foreign exchange trading.
PIP - Whats a PIP? PIP stands for Price Increment Point and is the smallest unit of trading in FOREX how much a PIP is worth depends the leverage on your FOREX Account and your broker.
FOREX - Whats FOREX? FOREX stands for FOReign EXchange, and is the trading of one currency pair against another.
SPREAD - What is the spread? The point or pip difference between the ask and bid price of a currency pair, spread is how forex brokers make they're money.
