What Does Foreign Exchange,Forex Trading mean? and what is investor's goal?

What Does Foreign Exchange mean?
Foreign Exchange" refers to money denominated in the currency of another nation or group of nations. Any person who exchanges money denominated in one nation's currency for money denominated in another nation's currency is conducting foreign exchange. That holds true whether the amount of the transaction is equal to a few dollars or to billions of dollars; whether the person involved is a tourist cashing a traveler's check in a restaurant abroad or an investor exchanging hundreds of millions of dollars to acquire a foreign company. In other words, a foreign exchange transaction is a shift of funds from one country and currency to another.

What is Forex Trading?
The Forex (short for Foreign Exchange) market is the 24 hour cash market where currencies are traded, typically via brokers. Foreign currencies are constantly and simultaneously bought and sold across local and global markets and traders' investments increase or decrease in value based on currency movements. Foreign exchange market conditions can change at any time in response to real-time events.

What is an investor's goal in Forex trading?
The investor's goal in Forex trading is to profit from foreign currency movements. Forex trading or currency trading is done in currency pairs. For example, the exchange rate of EUR/USD on August 26, 2003 was 1.0857. This number is also referred to as a "Forex rate" or just "rate" for short. If the investor had bought 1,000 euros on that date, he would have paid 1,085.70 U.S. dollars. One year later, the Forex rate was 1.2083, which means that the value of the euro increased in relation to the U.S. dollar. Therefore, the investor could now sell the 1,000 euros in order to receive 1,208.30 dollars and make a profit of $122.06. Someone buying and then later selling U.S. dollars would have seen a $122.06 loss