Most forex trades use trade reverses. This is when a trade order is placed, and when it is filled, a corresponding trade is instantly placed in the opposite direction. This trading structure allows for many different trading options for the most liquid currency pairs. Buying and selling a curr...
Pip is the smallest price change in an exchange rate. As most Forex pairs are priced to four decimal places (0.0000), the smallest price change happenstothe last decimal point (0.0001). That means 1 pip equals 0.0001. Note that the smallest price change in Forex pairs including the Japanese...
Investors look for clues for any signs of potential changes to interest rates, be it an interest rate hike or an interest rate cut which affects the carry trade. The table below shows the current interest rates of key central banks from the major currency pairs. Country Currency Central Bank...
Negative Carry Pairs:A carry trade where you are long the lower interest currency and short the higher interest currency. This type of trade might be part of ahedgingstrategy. Net Interest Rate Differential:The difference in the interest rates associated with two currencies. ...
The use of strategies is allowed, and only FX pairs should be utilized for trading in the contest. The terms and conditions of the Live Contest Account are similar to that of a regular Live Account, plus, if desired, the clients can fund their trading account too. The contest is offered...
Are they competitive for the pairs that you will be trading, or just the ones that are far less popular? What are their leverage policies? These are the types of questions that you should be asking if you want to find not just a great broker, but a great broker for your needs as a...
instruments that are likely to appeal to most trading interests. The platform includes more than 80 forex currency pairs, including all the major pairs: EUR/USD, GBP/USD, and USD/JPY. The platform also lists minor and exotic pairs, hence providing trade opportunities in the different currency ...
The FOREX price data enables you to trade currency pairs in the global mark. Examples include the following strategies: Exploring the impact that daily worldwide news cycles has on international currencies Carry Trade: borrow from a lower interest currency pair to fund the purchase of a currency...
The Bottom Line The rollover rate in forex can be a drag on your profits or an advantage in your trading. Its important to check the rollover rates on your currency pairs before entering a position. Article Sources
In addition to forwards and futures,options contractsare traded on specific currency pairs. Forex options give holders the right, but not the obligation, to enter into a forex trade at a future date. Using the Forex Markets There are two distinct features of currencies as anasset class: ...