The forex trading daily turnover reflects the immense scale of the global currency market. With over $7.5 trillion traded daily according to the Bank for International Settlements (BIS), forex is the largest and most liquid financial market in the world. This figure dwarfs daily volumes of the stock or bond markets and highlights the pivotal role forex plays in global finance.

This article explores what the daily turnover means, what drives it, and why it matters to traders, investors, and policymakers alike.

Key Takeaways

• The global forex market has a daily turnover exceeding $7.5 trillion.
• This includes spot trading, forwards, swaps, and options on currencies.
• Most activity occurs in London, New York, and Singapore, with London accounting for over 35% of global volume.
• Retail trading accounts for a small but growing share of the turnover.
• A professional Forex Course helps beginners navigate this vast market effectively.

Understanding Forex Turnover

What Is Forex Turnover?

Daily turnover refers to the total notional value of all transactions executed in a single day in the forex market. This includes:

• Spot transactions (buy/sell at current rates)
• Forwards and swaps (contracts for future exchange at set rates)
• Currency options and derivatives

Breakdown by Instrument

Instrument Type	Share of Daily Turnover
FX Swaps	49%
Spot Trades	28%
Outright Forwards	15%
Options & Others	8%

By Geography

Region	Share of Global Turnover
UK (London)	38%
US (New York)	19%
Singapore	9%
Hong Kong	7%
Japan	4%

Why Forex Turnover Is So High

• 24-Hour Market: Operates Monday to Friday across all time zones.
• Leverage: Enables traders to control large positions with small deposits.
• Institutional Volume: Central banks, hedge funds, and corporates drive massive orders.
• Speculation & Hedging: Traders speculate on economic data, while businesses hedge currency risk.
• Liquidity: High volume ensures tight spreads and fast execution.

Impact on Retail Traders

While most turnover is institutional, retail traders participate through brokers and platforms. They benefit from:

• High liquidity
• Tight spreads
• Fast execution
• Multiple instruments to trade

Retail trading accounts for roughly 5–10% of daily forex turnover but plays a vital role in market dynamics and price discovery.

Case Study: Learning in a $7.5 Trillion Market

Nia, a part-time trader from Kenya, underestimated the impact of news events on her trades. After enrolling in a structured Forex Course, she learned how economic releases and central bank decisions shape daily turnover. She now focuses on high-liquidity times like the London-New York overlap to improve trade entries and exits—leveraging global turnover to her advantage.

Frequently Asked Questions

How much is traded in forex daily?

Over $7.5 trillion in notional value is traded each day in the global forex market.

Which country has the highest forex trading volume?

The United Kingdom (mainly London) accounts for the highest daily turnover globally.

What is the role of retail traders in forex turnover?

Retail traders contribute around 5–10% of total turnover and access the market via online brokers.

Why is forex trading so popular?

Its liquidity, leverage, 24-hour access, and volatility attract traders worldwide.

Does high turnover mean higher profits?

Not automatically. While liquidity improves execution, profits depend on strategy, risk management, and skill.