I have been searching Google for this EXACT explanation thank you for sharing @Clint I am new to Trading and I could not move forward in my education until I understood this and Iām so surprised this information isnāt more accessible. It wasnāt until a lesson in my Baby Pips Preschool modules that I was exposed to this!
So when we hear that as Forex Traders we are trading in a $6 Trillon market, is that statement still correct if we are not actually in the market?..mind still melting lol
No, itās completely untrue, and horribly misleading.
The remarkable thing is that the companies against which weāre betting on the prices of their own products, artificially created solely for people to bet on them, are legally allowed to call themselves ābrokers,ā when theyāre so obviously not brokers at all, in any meaningful or reasonable sense of that word.
They are counterparties for betting (and on the websites of the few properly regulated ones, it actually says so - even if itās buried in the fine print).
It depends what you mean by ācasinoā and āgamblingā, but undeniably ātradingā spot/CFD forex is just betting.
I donāt like the ācasinoā analogy, myself, because it seems to me to imply that itās quite impossible to do this profitably. And that isnāt true.
It is, however, true that anyone who can do it profitably, long term, would hardly choose to stay with spot/CFD forex for the long term, when they could so trivially easily switch to forex futures and have better and safer regulation, a genuine broker who wants them to win not lose, better protection of funds, high leverage, no spreads to pay, and they can deal in a transparent, honest market in which all brokers have the same prices at the same time.
Spot/CFD remains an attractive way for people to get started with trading (pretend ātradingā, anyway!). You can start off with very little money.
This is probably partly why it attracts a lot of people with a gambling mentality, and overall success rates are so very, very low.
We are betting (but not on the roulette wheel). We are making educated bets (but not guesses). Forex is not a casino: the danger is if you think of it as a casino, you will think of yourself as a punter, and you will act that way.
thank you for sharing @Clint 
I am new to Trading and I could not move forward in my education until I understood this and Iām so surprised this information isnāt more accessible. It wasnāt until a lesson in my Baby Pips Preschool modules that I was exposed to this!