Video explains how to read Forex trading quotation, tell the variation between base foreign currencies and counter currencies, in addition to bid and ask prices.
Saturday, September 1, 2012
How Currencies Are Traded Across in Pairs
Forex trading is a simultaneous buying with one currency as well as selling yet another. Currencies will be traded in through a broker as well as dealer, and are traded within pairs; for example the euro and the U. S. dollar (EUR/USD) or even the British pound and the Japanese yen (GBP/JPY).
Whenever you deal in the forex market, anyone buy or maybe sell in foreign currency pairs. It is basically a tug of war between two currencies.
Imagine just about every pair frequently in a "tug of war" by using every single foreign currency on its own side of the rope. Exchange rates vary based on which currency is more robust at the moment.
Exotic PairsWhenever you deal in the forex market, anyone buy or maybe sell in foreign currency pairs. It is basically a tug of war between two currencies.
Imagine just about every pair frequently in a "tug of war" by using every single foreign currency on its own side of the rope. Exchange rates vary based on which currency is more robust at the moment.
Exotic pairs are generally made up of one particular major currency paired with all the currency of an emerging economic climate, such as Brazil, Mexico, or perhaps Hungary.
Wednesday, August 29, 2012
What actually is Traded in Real-time
The simple answer is definitely CASH.
Due to the fact you aren't acquiring anything physical, this sort of trading can be puzzling.
Think about buying a foreign currency as investing in a share in the particular country, somewhat for instance acquiring stocks of a organization. The price of the foreign currency is a primary reflection of what exactly the marketplace considers about the present along with foreseeable future health of the Japanese economy.
Whenever you purchase, say, the Japanese yen, you are essentially investing in a "share" in the Japanese economy. You're betting the fact that Japanese economy is doing well, and will even improve since time goes. Once you sell all those "shares" back to the market, hopefully, you will end up having a revenue.
On the whole, the exchange rate of a currency vs other currencies is a reflection of the condition of that place's economy, in comparison with other countries' economies.
Currency symbols always have three letters, where the first two letters identify the name of the country along with the third letter identifies the name of that country's currency.
Take NZD for example. NZ stands for New Zealand, while D stands for dollar.
The currencies within the chart above are called the "majors" because they are the the majority of widely bought and sold ones.
Due to the fact you aren't acquiring anything physical, this sort of trading can be puzzling.
Think about buying a foreign currency as investing in a share in the particular country, somewhat for instance acquiring stocks of a organization. The price of the foreign currency is a primary reflection of what exactly the marketplace considers about the present along with foreseeable future health of the Japanese economy.
Whenever you purchase, say, the Japanese yen, you are essentially investing in a "share" in the Japanese economy. You're betting the fact that Japanese economy is doing well, and will even improve since time goes. Once you sell all those "shares" back to the market, hopefully, you will end up having a revenue.
On the whole, the exchange rate of a currency vs other currencies is a reflection of the condition of that place's economy, in comparison with other countries' economies.
| Symbol | Country | Currency | Nickname |
| USD | United States | Dollar | Buck |
| EUR | Euro zone members | Euro | Fiber |
| JPY | Japan | Yen | Yen |
| GBP | Great Britain | Pound | Cable |
| CHF | Switzerland | Franc | Swissy |
| CAD | Canada | Dollar | Loonie |
| AUD | Australia | Dollar | Aussie |
| NZD | New Zealand | Dollar | Kiwi |
Currency symbols always have three letters, where the first two letters identify the name of the country along with the third letter identifies the name of that country's currency.
Take NZD for example. NZ stands for New Zealand, while D stands for dollar.
The currencies within the chart above are called the "majors" because they are the the majority of widely bought and sold ones.
Tuesday, August 28, 2012
Video - Overview on Forex
Find out an overview of Forex and foreign currency trading in this video. Learn how Foreign currency trading works, who the major players are and its role of foreign players between different countries daily.We will also learn about the fluctuation between currencies.
Video on Biggest Trading Mistakes in Extreme Market Conditions
Slipstream Trader's Murray Dawes explains how to trade around extreme market conditions in the below video, using the example of an trade he produced on the US S&P/500 through the Global Financial Crisis. A trade that did not quite go as planned -- chiefly due to the fact Murray allowed his emotions to receive better of him.
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