Foreign exchange trading dictionary

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value-added a currency subject to when the Eastforexcashback of goods forexcashbackcalculator response to increased market dem East f cashbackforexbtcex cashback and prices appear to r cashback forexe, that is, is called value-added  arbitrage to the foreign exchange market, by buying or selling a currency, and at the same time in the corresponding market to do the same amount but in the opposite direction of the part, in order to profit from the small price difference but the prerequisite is that the profit must be greater than the commission expenses for value-added  Sell price the price at which a financial instrument is sold (sell price in the foreign exchange market)  asset allocation investment strategy of a kind through the investment of funds in different markets (stocks, bonds, foreign exchange… etc.) to achieve the purpose of reducing risk  back office department to deal with financial transactions and settlement-related departments and procedures  trade balance refers to a country in a certain period of time the total value of net exports (exports minus imports) in a certain period base currency in the foreign exchange market, the U.S. dollar is usually considered to be used as the base currency for quotes, quotes are based on the expression 1 unit of 1 U.S. dollar is equal to how much relative currency but the British pound, euro, Australian dollar and other cross currencies are not applicable to this specification bear market any financial market with a long-term downtrend buy / sell spread the difference between the bid and ask price the bid price the price at which a financial instrument is bought (the bid price in the foreign exchange market) the book In a professional trading environment, the book is a summary of all of the traders positions the broker-dealer intermediary in a transaction, which may be an individual or a company, with the goal of brokering transactions between buyers and sellers and collecting fees or commissions 1944 The Bretton Woods Agreement This agreement was established in 1944 to stabilize international money and finance and to limit currency speculation in the participating countries by agreeing to link their currencies to the U.S. dollar at a certain exchange rate and to fix the price of gold at $35 per ounce This agreement was used until 1971 Bull market Any financial market with a long-term upward trend German central bank The Central Bank of Germany Cable (Cable) the special term used by traders for the exchange rate of the British pound to the U.S. dollar candlestick chart for a financial commodity trading range containing a specific time, the graph usually opens, high, low, close and other price levels expressed in a candle-shaped graph see candlestick chart central bank to manage a countrys monetary policy and fiscal policy institutions such as the Federal Reserve Board of Governors (FED) for the United States The central bank of the United States, the central bank of the United Kingdom is the Bank of England (BOE), and the central bank of the European Union is the European Central Bank (ECB)  chartists refer to people who specialize in charts and graphs to understand historical data and use it to determine future movements. The fee charged by a broker in a transaction confirmation is a document that records a complete transaction, which usually contains the date, price, commission or fee and other relevant notes unit or contract standard unit of foreign exchange trading position cost when an investor borrows funds to maintain the position, and the interest rate cost derived from the borrowed funds. This cost is also used to calculate the forward price counterparty is a market participant who is a company or an individual, usually a party involved in a financial transaction, and can be the supplier or demander who sets up the transaction Usually when the supplier or demander is unable to comply with the terms entered into by both parties, there is what is called counterpartyrisk country risk Swiss franc, etc. currency issued by a countrys central bank or government legal unit of trade, its value is the basis of the transaction currency risk due to drastic changes in the exchange rate and thus the risk that people holding the currency may suffer losses day trading in the same trading day to establish and close the same part trader to buy and sell contracts and expects to earn a spread when taking over the part of the people  trade deficit a countrys total trade exports are less than total imports delivery describes the act of exchanging currencies and amounts between buyers and sellers devaluation a currency subject to a decline in price in response to a decrease in market demand is known as devaluation derivative financial instruments whose prices fluctuate with a currency or a variety of market markers, such as commodities affected by interest rates or The price of derivative financial instruments is often used by investors as a hedge in their portfolios  currency devaluation When the price of a currency is not due to changes in supply and demand in the foreign exchange market and the currency of the country is lower than the currency of other countries, it is called currency devaluation Currency devaluation is usually a policy set by a government to strengthen exports to reduce the trade deficit  economic indicators are mainly used by the government to strengthen exports and reduce the trade deficit. nbsp; economic indicators mainly by the government or non-government agencies to release data, showing a country or regions current economic data related to the more important: gross domestic product (GDP), unemployment, trade balance, industrial production, and consumer price index… etc.  end of day orders refers to a specified price to buy or sell orders the order will be until the day The end of the transaction continues to be valid The main objective of the monetary union within the European Union is to create a single European currency called the euro The euro the legal tender of the European Monetary Union The European Central Bank the central bank of the European Monetary Union, responsible for the monetary policy of all member states The Federal Reserve the U.S. Central Bank Flat /The term used by traders to indicate that there are currently neither long nor short positions, or that there are two offsetting positions foreign exchange buy or sell currencies forward contract a prior agreement to start trading goods at a specific agreed date in the future the price of this price will be higher (uplift) or lower (discount) than the current price, usually used to avoid the risk of sharp fluctuations in foreign exchange  nbsp;forward points for the calculation of forward prices and the current exchange rate to add or subtract points fundamental analysis from the economic indicators, government policies and social conditions to determine the future trend of the financial market analysis futures for buyers and sellers agree to a date in the future to a pre-agreed price to carry out currency, commodity or financial instruments and other transactions valid before cancellation order means an order given by an investor to a trader to buy or sell at a price that is valid until executed or cancelled by the investor hedging is a hedging strategy for reducing risk in a portfolio due to dramatic market movements especially when the market outlook is uncertain, the hedging strategy is more important high/low indicates the daily high and low points of a currency or stock inflation Inflation is an economic situation in which an increase in the price level of a country leads to a decrease in the purchasing power of consumers original margin is the original deposit required to establish the initial position, which is used to guarantee the safety of future floats interbank foreign currency exchange rate the exchange rate traded by major international banks in the foreign exchange market cross market analysis is basically the analysis is based on the four major financial markets The four major markets are: foreign currencies, futures, stocks and bonds. Cross-market analysis centers on analyzing whether there is a correlation between these markets Leading indicators leading indicators for an official or unofficial statistical organization for a countrys unemployment rate, consumer price index, production data price index, retail prices, personal income and key interest rates and other indicators of the statistics of the index, used to measure the countrys economic direction in the next six months London Interbank Offered Rate (LIBOR) Interest rate (LIBOR) for the London Interbank Offered Rate abbreviation and the interest rate for the international interbank borrowing rate, and for short-term interest rate indicators Limit orders customers buy orders are executed when the market price is equal to or lower than the limit price; or customers sell orders are executed when the market price is equal to or higher than the limit price For example: customers hang limit orders at 108.00/05 to buy USDJPY, the limit order will be executed when the buy order is equal to or lower than the market price of 108.00; and if the customer hangs a limit order to sell USDJPY at 110.00, the bank or broker will execute a sell order when the market price is equal to or higher than 110.00 Liquidity market can easily buy or sell without affecting the ability of price stability Clearing in the foreign exchange market, clearing is the transaction to close the current account of the long and short-term parts of the long-term holding parts of the number of instruments purchased than the number of positions sold in accordance with this, if the market price increases, then the position value-added investors because they expect their holdings of stocks, futures or foreign currencies, such as long-term will be in an upward state and are reluctant to get out of the field in the short margin margin for customers in the transaction must be deposited A certain percentage of collateralized funds to cover any possible losses that may be incurred if the price does not move as expected by the customer margin calls are usually issued by brokers or traders for trading account margin requirements If the customers holdings fall to a certain level, the requirement will be issued market orders investors are not limited to price levels and require immediate execution of buy and sell orders  nbsp;market risk due to unpredictable movements in the market or due to the psychology of the investing public, such risks cannot be hedged or held in a variety of securities and other ways to diversify expiration date contract set by the date to be redeemed or repaid sell price seller at the time of sale willing to deal with the exchange rate or price offset the trader to place an identical but contrary to the original order order, to balance the account for example, buy offset easier is to sell two choose a commission order commission order set two prices or two different ways of trading, if a deal, the other is automatically canceled valid order a prior agreement will be in the future a specific agreed date to start trading the price of goods this price will not yet reach the specified price of a valid buy or sell order open position means an order that has been executed but has not been closed out open position will expose the investor or trader to a risky environment due to unpredictable market movements store market describes a trading market that is not governed by any exchange overnight trading refers to the part of the market that remains open until the second trading day tightly-held exchange rate policy A countrys exchange rate policy is to fix the exchange rate with other countries currencies at a certain price (or only allow the exchange rate to fluctuate within a certain range) to ensure the competitiveness of the countrys exports or to maintain price stability Most countries that use a tightly-held exchange rate policy keep an eye on the currency of the U.S. dollar or the euro The U.S. prime rate is the interest rate offered by major U.S. banks for loans to their major corporate clients Pips are the term used in the foreign exchange market For example, say: GBP/USD, EUR/USD, USD/CHF and other currencies have a minimum pips of 0.0001, while USD/JPY has a minimum pips of 0.01 political risk a risk that may arise due to sudden changes in a countrys government policies such unpredictable changes may sometimes have a negative effect on an investors portfolio effect part of the site for the total holdings of individual currencies (net value) uplift uplift for forward or futures prices above the current price of points price transparency means that each market participant has equal knowledge of the purchase and sale price quoted at a particular time a financial commodity market buy/sell price; the price is for investor reference only and is not necessarily equal to the The actual transaction price exchange rate refers to a currency and other currency exchange rate for example, say: euro / dollar exchange rate of 1.2000 said that 1 euro can be converted to 1.2 U.S. dollars trading volume refers to a period of time (usually a day or a year) the volume or scale of transactions the higher the volume of transactions, the higher the commission earned by the broker resistance technical analysis term, said A specific price level that a currency exchange rate is unable to exceed If the price is unable to break through the resistance level and there is a pullback, there will be more sellers than buyers in the market; if that resistance level is broken, there will be more buyers than sellers and the upward trend will continue to be maintained under the premise that the upward force continues Currency AppreciationWhen the price of a currency is not generated by changes in supply and demand in the foreign exchange market for that country When a currency is higher than the currency of another country (possibly due to central bank intervention), it is called a currency appreciation risk exposure to uncertain market movements, usually referring to things that do not want to happen However, from an investment point of view, higher risk is usually accompanied by higher returns repo This type of transaction involves selling an instrument and then repurchasing the instrument at a specified date and time in the future Repos usually occur in the short-term money market settlement means that the stock, currency, or commodity specified in the trading contract has been delivered or paid for and recorded in the books; however, there may be no actual flow of funds in the settlement of a currency transaction short position a contract to sell a stock, commodity, or currency at an agreed-upon price in the future will be profitable if the current price is lower than the contract at expiration, and vice versa nbsp;spot foreign exchange market spot rate spread for the difference between the purchase and sale price British pound (Sterling) pound, the legal tender of the United Kingdom stop-loss orders for a customer automatically close out the open position parts of the contract type investors or traders usually use such orders to prevent the parts held by the market dramatic movements and significant losses  nbsp;support in technical analysis of the graph used in the skills, said the currency exchange rate can not fall below the point if the price can not fall below this level and a rebound situation, the market will be more buyers than sellers; if the support level is broken, there will be more sellers than buyers, and in the premise of the downward force continues, the downtrend may continue to maintain  exchange when traders exchange currency A for currency B, and at a specific time in the future, and then exchange currency B back to currency A buyers and sellers can avoid the risk of exchange rate changes to achieve flexible scheduling of funds and interest rate speculation technical analysis a through charts, historical price trends or mathematical formulas to anticipate future changes in stocks, commodities or exchange rates and the direction instantaneous changes in stock prices, exchange rates or The smallest change in commodity prices transaction costs when buying or selling currencies, stocks or futures, the trader needs to bear the relevant derivative costs spread or commission can be considered part of the transaction costs trading day trading occurs on the date two-way quotes a simultaneous offer to buy and sell quotes at the price level securities withdrawals trading above the same currency than the previous quotes the latest quotation securities lift trading rules U.S. law requires that securities cannot be sold short unless the price of the transaction before the short sale is executed at a price lower than the price at which the short sale was executed settlement date the date on which buyers and sellers exchange money variation margin when there is a dramatic market movement, the broker will propose to the client to increase margin requirements to cope with market fluctuations volatility refers to the trend of price movements over time, generally higher volatility means that the risk will also be higher in a given period of time the statistical measurement of market price movements sawtooth illustrates a market situation where there is a rapid and sharp change in price that is followed by a sharp movement in the opposite direction

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