What is otc in forex trading?

What is otc in forex trading?

Aslam u alaikum What is otc in forex trading Over di counter ( otc ) market aik market hai jis mein market ke shurka stock, ashya, krnsyon ya deegar alaat ki tijarat barah e raast do fareeqon ke darmiyan aur markazi tabadlah ya brokr ke baghair karte hain. over di counter marketon mein jismani maqamat nahi hotay hain. is ke bajaye, tijarat electronic tareeqay se ki jati hai. yeh nilami ke bazaar ke nizaam se bohat mukhtalif hai. otc market mein, dealers un qeematon ka hawala day kar market bananay walay ke tor par kaam karte hain jin par woh security, currency, ya deegar maliyati masnoaat khareedain ge aur farokht karen ge. otc market mein do shurka ke darmiyan tijarat ki ja sakti hai baghair doosron ko is qeemat ke baray mein ilm ho jis par lain deen mukammal sun-hwa tha. aam tor par, otc markitin aam tor par tabadlay ke muqablay mein kam shafaaf hoti hain aur kam zawabit ke tabay bhi hoti hain. is ki wajah se, otc market mein likoyditi aik premium par askati hai . Limited liquidity Baaz auqaat over di counter par tijarat ki jane wali sikyortiz mein kharidaron aur baichnay walon ki kami hoti hai. nateejay ke tor par, security ki qader wasee pemanay par mukhtalif ho sakti hai is par munhasir hai ke kon se market markr stock ki tijarat karte hain. mazeed bar-aan, yeh mumkina tor par khatarnaak bana deta hai agar koi khredar kisi aisay stock mein ahem maqam haasil kar laita hai jo over di counter tijarat karta hai, agar woh usay mustaqbil mein kisi waqt farokht karne ka faisla kere. likoyditi ki kami mustaqbil mein farokht karna mushkil bana sakti hai . Rick of the over counter market Agarchay otc markitin aam auqaat mein achi terhan se kaam karti hain, aik izafi khatrah hota hai, jisay counter party rissk kaha jata hai, ke lain deen mein aik fareeq tijarat ki takmeel se pehlay difalt ho jaye ga ya mojooda aur mustaqbil ki adayigyan un ke liye zaroori nahi kere ga. moahida. shfafit ka fuqdaan bhi maali tanao ke douran aik shaytani chakkar peda karne ka sabab ban sakta hai, jaisa ke 2007-08 aalmi crdt bohraan ke douran sun-hwa tha. 3 rehan ki himayat Yafta sikyortiz aur deegar jaisay cdos aur cmos, jin ki tijarat sirf otc marketon mein hoti thi, ki qabil aetmaad qeemat nahi lagai ja sakti thi kyunkay kharidaron ki ghair mojoodgi mein likoyditi mukammal tor par khatam ho jati hai. is ke nateejay mein dealers ki barhti hui tadaad –apne market saazi ke kamon se dastbardaar ho gayi, likoyditi ke maslay mein izafah sun-hwa aur duniya bhar mein crdt bohraan peda sun-hwa. is maslay ko hal karne ke liye bohraan ke baad kiye gaye regulatory iqdamaat mein otc tijarat ki post trade processing ke liye clearing haosz ka istemaal tha .

Assalamu Alaikum Dosto!

Over The Counter (OTC)

Forex Over the Counter (OTC), jo keh "Counter" ya "Interbank" market ke naam se bhi jana jata hai, ek decentralized market hai jahan currencies trade hoti hain. OTC market mein currencies directly parties ke beech mein trade hoti hain, bila kisi centralized exchange ke. Is market mein banks, financial institutions, corporations, aur individuals directly transactions ko execute karte hain. OTC market mein currencies trade karne ka matlab hai ke currency exchange rates aur transactions ka set-up aur execution bilkul flexible hai. Is market mein traders ko flexibility milti hai ke wo 24 ghante, 5 dino tak forex trading kar sakte hain, jisse wo dunya bhar ke time zones aur market hours ka fayda utha sakte hain.

OTC Market Structure aur Participants

OTC market ka structure decentralized hai, jiske wajah se ismein koi centralized exchange ya physical location nahi hoti. Transactions electronic communication networks (ECNs) aur dealer networks ke through hote hain. OTC market mein participants ke beech direct communication hoti hai, jo jaldi aur efficient trades ko facilitate karti hai. OTC market ke participants mainly 3 categories mein divide hote hain:

1. Banks: Commercial banks, investment banks, aur central banks OTC market ke prominent participants hain. Wo apne clients ke liye liquidity provide karte hain aur interbank transactions ko execute karte hain.
2. Financial Institutions: Insurance companies, hedge funds, pension funds, aur asset management firms bhi OTC market mein participate karte hain. Ye institutions currencies ke liye investment aur hedging purposes se OTC market ka istemal karte hain.
3. Retail Traders aur Speculators: Individual traders, small businesses, aur speculators bhi OTC market mein active hote hain. Ye participants brokers ke through trading karte hain aur currencies ko speculation aur profit earning ke liye istemal karte hain.

OTC Advantages & Disadvantages

OTC market ke kuch advantages aur disadvantages hain, jo traders aur participants ke liye important hote hain.

1. Advantages
   1. High Liquidity: OTC market mein high liquidity hoti hai kyunki market mein bade banks aur financial institutions active hote hain. Isse traders ko bid-ask spreads aur fast execution ki facility milti hai.
   2. Flexible Trading Hours: OTC market 24 ghante, 5 dinon tak open hota hai, jisse traders ko flexibility milti hai trading hours ke sath. Isse traders ke liye global markets mein trade karne ka mauka milta hai.
   3. Market Accessibility: OTC market accessible hai aur traders ko kisi bhi geographic location se trading karne ki suvidha milti hai. Is market mein kisi bhi currency pair ko trade karna asaan hota hai.
   4. Customizable Contracts: OTC market mein customized contracts jaise forwards aur options trade kiye jate hain. Isse traders ko apne specific requirements aur risk appetite ke hisab se trades karne ka mauka milta hai.
2. Disadvantages
   1. Counterparty Risk: OTC market mein counterparty risk hota hai, jahan traders ko apne counterparties par depend karna hota hai. Agar counterparty default kar de, toh ye trader ke liye risk create kar sakta hai.
   2. Regulatory Concerns: OTC market ke regulations kam strict hote hain compared to exchange-traded markets. Isse market transparency aur investor protection mein challenges ho sakte hain.
   3. Price Transparency: OTC market mein price transparency limited hoti hai kyunki transactions privately negotiate kiye jate hain. Isse traders ko accurate real-time prices ka access nahi hota hai.
   4. Market Manipulation: OTC market mein market manipulation aur fraudulent activities ke risks hote hain, especially for smaller traders. Isliye traders ko careful aur diligent rehna chahiye.

In sab advantages aur disadvantages ke sath, OTC market flexible aur dynamic nature wala ek vibrant trading environment hai jahan currencies ki trade hoti hai. Is market mein traders ko opportunities aur risks dono hai, jo market analysis, risk management, aur trading strategies ke through handle kiye ja sakte hain.

DEFINITION: Adjusting base example specialized design Hai jis ko actually use Kiya jata hai aur yeh design recognized series cost ki development ko graphology distinguish bhe krta hai U' word ki shakal mai aur yeh assist with fulling design hai aur ye design last mai imply descending pattern contrarily long haul design ke awful he distinguish hota hai jisse long haul follow karke distinguish Kiya jata hai. Adjusting base example punch creat hota hai tou hamain stand by kerna chahiay ky jesy hello last opposition break hoti hai tou waja sy hamain purchase principal exchange enter ker leni chahiay jis primary ham apny take benefit in excess of hundred pips bhi accomplish ker sakty hain aur agar consistently market ki upswing fundamental development ker bar adjusting base example creat ho raha ho tou hamain bar benefit hasil kerny ka chance mil raha hota hai. Adjusting Base Example: Dear forex exchanging market mai Adjusting Base Example ko specialized examination k Ander monetary resources k cost outline man market ka pattern find kia jata ha.Is diagram design ko cost k ander series descending development aur apna base per phonchna k awful series up development hoti ha aur graphically ye "U" shap ka hota ha. Adjusting Base Example hamasha long downtrend k awful banta ha aur market cost man long haul ki inversion ki waja banta ha. Is design man long haul exchanging k bara man market find kerta han aur is man time span week after week ya month to month use kia jata ha. Adjusting Base cup and handle design k comparative ha lakin is man temperary down pattern handle segment man nahe hota. Adjusting base ki introductory downfall slop market man sell ki power ko zayada show kerti ha, aur market costs man downtrend hota hai. Companions Adjusting base example mai Merchant ko es design mai exchange karny ky lye initial step mai enter hona simple hota hai Kiu k yeh design start market k upper yhe center sy hota hai. Es point standard dealer ka impact find karna hota hai. Agr market mama merchant zayada hon gy to he market nechy affirmative gi. So es time standard hamara stop misfortune entery point k uper hona chahe. Second point tb ata hai jb market apni support standard ponch jati hai. Es time standard hamy judge karna hota hai k vender market mama kam ho rahy hain or purchaser barh gae hai. So es time standard hamy stop misfortune market mama entery point sy nechy set karna hota hai. Pehle wali exchange k inverse exchange open karna hoti hai or take benefit pechly level pae set kiya ja sakta hai.