Friends here I am going to explain some very useful terms that are very frequently used in Forex trading. I think all new traders should understand all these terms. I hope these will be very useful for them.
1:Ask Price : Sometimes called the Offer Price, this is the
market price for traders to buy currencies.
2:Bid Price : is the price a trader can sell currencies.
3: Spread : is the difference between the bid price and
the ask price in any currency quotation.
4:Pips or Points : The smallest unit a currency can be traded in.
1:Ask Price : Sometimes called the Offer Price, this is the
market price for traders to buy currencies.
2:Bid Price : is the price a trader can sell currencies.
3: Spread : is the difference between the bid price and
the ask price in any currency quotation.
4:Pips or Points : The smallest unit a currency can be traded in.
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