The foreign exchange market works through financial institutions Forex Trading united kingdom England , and it
operates on several levels. Behind the scenes banks turn to a smaller
number of financial firms known as “dealers,” who are actively involved
in large quantities of foreign exchange trading. Most foreign exchange
dealers are banks, so this behind-the-scenes market is sometimes called
the “interbank market”, although a few insurance companies and other
kinds of financial firms are involved. Trades between foreign exchange
dealers can be very large, involving hundreds of millions of dollars.Because of the sovereignty issue when involving two currencies, Forex
has little (if any) supervisory entity regulating its actions.