Let’s start with the basics of what Forex quotes are. As you know, the main element of trading on Forex exchanges are currency pairs. The list of pairs is available on the online platform and is often recorded as, for example, EUR / USD (Euro / American dollar). This is the quote, so that it’s easier for you to understand – on the indicators, one of the currencies is the base and is considered the price of one currency, presented in units of another. The base currency is written first, and the quoted second. The number of the base currency means at what price the trader can sell it, and the second value indicates the amount at which you can buy the base currency for the quoted one. The difference between the selling and buying prices of the base currency for the currency of Forex quotes online is called the spread. Online Forex quotes are direct and reverse. And the main fact from the theory of currencies is that often on the Forex exchanges quotes of major currencies are considered in relation to the US dollar. Speaking about direct and reverse quotes, there is nothing incomprehensible here, you just need to swap currencies. If in the previous quote we understood how much USD can be purchased in EUR, in a reverse quote, these currencies are swapped. How to understand quotes forecasts and use them in your trading.
Forex Quotes Online
Online Forex quotes are always very accurate and calculated with an accuracy of 0.00001. When trading currencies, it is important to understand and pay attention to changes in points, because each variable share of this is your profit or loss. Forex currency quotes online are available on each broker website, provided with the current indicator, the general schedule and the current rise or fall. Having studied the chart, you will understand at what point and with which currency pair it is better to open a trade, how much it will be profitable and what forecasts to expect. Quotes are also available for stock indices, commodity markets, and currency futures. In addition to the main indicators and courses, there is also a cross rate. This is the ratio of two currencies to the third rate. It is also very often calculated in relation to the American dollar. Understanding quotes allows the trader to easily analyze the market and predict possible changes in the rate. A newcomer who can master quotes in the future will find it easier to conduct transactions of varying complexity and quickly respond to market changes in his favor.
As you can see, quotes are the basic information that a trader should master.