الأحد، 23 سبتمبر، 2012

Trading Conditions

Terms and FX trading
Investment in foreign exchange is like any other endeavor in life, so that the numbers and prepare for this investment is a matter of the utmost importance. Necessary on every trader to understand and recognize personally follow through the market on things occurring.

Quotations
Is an indicator of the market price. Use in Forex refers to the price of the currency in circulation in the market. Price is always the two currencies, for example: EUR / USD, AUD / JPY or USD / JPY. Referred to as the first of the two currencies currency base currency while referred to as the second currency secondary currency. And reach accurate price of two currencies to 1/10000 (ie, up to 4 digits right of the decimal point); except the Japanese yen, as they reach the degree of accuracy to 100/1 (ie the second right of the decimal point). Two-digit price always. The first number is always the offer or sale price, and the second is the application or the purchase price.

For example:

Supply / demand
Display or selling price is the currency exchange rate offered for sale. Demand or price is the exchange rate of the currency to buy them.

That the price of the currency pair here as follows: EUR / USD (euro against the U.S. dollar) 1.5034/1.5037 In other words, the price of two currencies EUR / USD 1.5034/1.5037, where 1.5034 is Asking Price (sale) and 1.5037 is the asking price (purchase). In other words, if you want to sell the currency, in which case the euro, you will receive $ 1.5034 per euro. On the other hand, if you buy the currency in circulation, the price quoted shows you buy euros against the U.S. dollar, and you'll need to pay $ 1.5037 per 1 euro.

Lot
The croaker is the standard unit size of a transaction and represents the minimum quantity that can be traded in a particular support.

In currency trading, the size of the standard unit in Markets.com is 1000 alone for the price of the currency in circulation Home.

In trading contracts, the size of the standard unit in Markets.com between one unit up to 500 alone.

Point (Pip)
Is the smallest value of the exchange rate, can vary with different currencies. For most currency pairs The point (Pip) is the fourth number after the decimal point. In pairs, however, the Japanese yen, the point (Pip) is the second number after the decimal point.

Profits can be expressed through the points (Pips), for example: Suppose you you open a long position on the EUR / USD rate is 1.5016 and closed the deal (ie, that you sell) at a price of 1.5037. 21 = 16-37 which he won 21 points (Pip).

Value point Pip Value
Can be valuable point Pip Value variable or fixed, depending on the currency pair referred to (any measurement currency) account. As well as the value of the Pip Value point is the job rolling amount.

The simplest way to calculate the value of the point Pip Value is split one point 1 pip on the exchange rate, and hit her in the lot size. This gives you a point value Pip Value of currency in circulation. If the base currency account is different from the currency in circulation, Quite simply you can hit this currency at the applicable exchange rate.

For example: What is the value of the point Pip Value traded in pounds sterling / yen at 128.92? The point value Pip Value for Lute and a standard one (5000) £ / JPY is trading at 128.92:

0.01/128.92 = 0.00007756 GBP

0.00007756 x 5,000 = 0.387 GBP

The base currency of your account is Aldolarralomraki.

Spread (Spread)
It's the difference between the bid (selling) and the ask price (purchase). For example: If the price of the currency pair EUR / USD 1.5034/1.5037 (or in other words, if the offer price 1.5034 and the ask price 1.5037), in this case the difference in points (spreads) 3 points (Pips). Simple points difference ensures the trader entry and exit of the better deals.

Margin
Deposit is required to open or maintain the deal, and is usually a percentage of the open position. It is possible that you have a requirement for $ 0.5% margin, which means that in order to maintain the deal 100,000 EUR / USD, you preserve the value of the account of 500 euros or more.

Leverage
This is the use of borrowed capital to increase the potential return. The trading on the capital raised means that you can trade in much higher amounts of your account balance, according to which a margin only. The rise of leverage may increase the potential return, but it may also lead "to increase potential losses. Determine leverage ratio, such as 100:1. This means that trader can be trading higher amounts 100 times the amount available margin account. If had rolling 10 thousand dollars in his account, instead "trading PLOTE ten thousand U.S. dollars / yen, and point pip value, for example," almost $ 0.9 ", can now trading at $ 1,000,000 USD pip point worth about $ 90" American. "

Interest
Interest is the price of money. It is the amount paid on loans and contained deposits.

Rise
The vector rolling upward trend is expected to increase price when buying a pair

Landing
Vector rolling downward trend is expected to lower prices when selling the currency pair.

Maturity Date
Date approved by the peer to settle their obligations, any exchange of payments.

The swap transaction tax
Is the process of extending the deal for the last due date, and charge fees "in accordance with" the interest rate differential of the two currencies. And daily at 21:00 GMT extension of open positions for the next day and depends gain or loss on the transaction on the interest difference between sold and bought currencies.

If you buy a currency pair that is where the interest rate of the major currencies higher than the interest rate of the secondary work, then earn interest. The reverse is also true.

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