"ForEx" stands for "Foreign Exchange". Strictly speaking it refers to the process of exchanging one currency for another - US Dollars to British Pound, for example.

But ForEx has actually become synonymous with the financial industry that conducts trades by buying and selling currencies. Such trades are intended to make money from tiny differences between your buying costs and selling price of any given currency.

If you get it right, your profit comes from the fact that your original buying costs of a currency are marginally less than the costs of selling that same currency. Now if you trade or exchange a large amount of the currency then the tiny buy-sell profit can be very lucrative.

The whole process works buy using some method or system to predict or work out the tiny movements (exchnage rate fluctuations) between the different currencies. Once you see which way they are moving you can then make the appropriate trades.

You can see a great example of a successful "ForEx system" here, click: "forex"