Forex market depth refers to the level of liquidity and the volume of buy and sell orders at different price levels in the currency market. It provides traders with insight into the supply and demand dynamics, showing how many orders are placed above and below the current market price. Market depth is typically displayed in an order book, which lists pending limit orders from various participants, including banks, institutions, and retail traders. A deep market has substantial liquidity, meaning large orders can be executed without significantly impacting prices, while a shallow market may experience higher volatility due to fewer orders. Forex market depth helps traders gauge potential support and resistance levels, identify trends, and assess market sentiment. High-frequency traders and algorithmic systems often rely on market depth data to execute strategies efficiently. However, since the forex market is decentralised, depth visibility can vary across brokers and platforms. Understanding market depth allows traders to make more informed decisions, manage risk better, and anticipate price movements based on order flow dynamics. Overall, it is a crucial tool for professional traders seeking to analyse liquidity and execute large trades with minimal slippage.