Five ways private investors can trade in Forex directly or indirectly:
The spot market
Forwards and futures
Options
Contracts for difference
Spread betting
A spot transaction

A spot transaction is a straightforward exchange of one currency for another. The spot rate is the current market price, also called the benchmark price. Spot transactions do not require immediate settlement, or payment "on the spot." The settlement date, or "value date," is the second business day after the "deal date" (or "trade date") on which the transaction is agreed to by the two traders. The two-day period provides time to confirm the agreement and arrange the clearing and necessary debiting and crediting of bank accounts in various international locations.

Risks

Forex trading is risky. There are ways to reduce risk such as setting a Stop Loss on deals. Read more about the risks involved and how to lower exposure to risk.

Further reading
To learn more about the topics mentioned in the above article, also look at Day Trading, Leveraged Trading and Currency Pairs. To find out more about Forex instruments offered by Easy-Forex™ read Online Forex Account.