Is it possible to set up email forwarding with an Exchange account?
Yes it is possible, but what would be the end goal? To get the email from an Exchange account to a mailbox out from thexyz email hosting environment or inside your current domain?
I would like it to go to another domain.
Oh I see! So the way to do this would be to:
Would this be the same if I wanted the email to go to a user within the domain name also?
No, it would be a bit different, if the user is also an exchange user under the same domain, you can skip the step #1
Can you clarify step 2? Where do I find that setting in OWA?
It is actually in the email admin side: https://admin.thexyz.com
Once logged in, navigate to the Hosted Exchange mailbox and you'll click on the tab "Mail Forwarding" and select the email address you want to forward to.
Does it have to be an Exchange email address that the mail is forwarded to?
Yes, that is why if you want to send to an external source or a mailbox that is not an exchange mailbox in your current domain, you need to "trick" the system by making a fake exchange email address (a contact) that will point to your external mailbox.
Where do I add the contact?