Forex Basics
The following is an introduction to some of the basic terms and concepts used in forex trading.
Foreign Exchange : The simultaneous buying of one currency and selling of another.
Foreign Exchange Market : An informal network of trading relationships between the world's major banks and other market participants, sometimes referred to as the 'interbank' market. The foreign exchange market has no central clearinghouse or exchange, and is considered an over-the-counter (OTC) market.
Spot Market : Market for buying and selling currencies for settlement within two business days (the value date). USD/CAD = 1 day. Most dealers will automatically roll over your open positions, allowing you to hold a position for an indefinite period of time.
Rollover : The process whereby the settlement of a transaction is rolled forward to the next value date. The cost of this process is based on the interest rate differential between two currencies
Foreign Exchange : The simultaneous buying of one currency and selling of another.
Foreign Exchange Market : An informal network of trading relationships between the world's major banks and other market participants, sometimes referred to as the 'interbank' market. The foreign exchange market has no central clearinghouse or exchange, and is considered an over-the-counter (OTC) market.
Spot Market : Market for buying and selling currencies for settlement within two business days (the value date). USD/CAD = 1 day. Most dealers will automatically roll over your open positions, allowing you to hold a position for an indefinite period of time.
Rollover : The process whereby the settlement of a transaction is rolled forward to the next value date. The cost of this process is based on the interest rate differential between two currencies
trading System That Operate Automatically
The automation of forex trading has resulted in gaining in its popularity. Small and mid level investors are now getting into the foray of what was once only dominated by banks and other large financial institutions. This is the market where one currency is traded against currency of another country. With trillions of dollars being traded twenty four hours a day, it makes this one of the largest
Exchange Currency
Currency Exchange Rates Exchange Currency - Trading Foreign Currencies In the market of foreign exchange trading is always done in currency pairs, and Forex brokers around the world access money indices via currency converters and online platforms with rates given in real time. The value of major currencies changes continually, with investors hoping to make a profit from the purchase of stronger currencies. Trading between two non-dollar currencies occurs first by trading one against the US Dollar and then trading the US Dollar against the second non-dollar currency. Exchange rates are usually given as one u
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