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Foreign Exchange (Forex)
The foreign exchange market (forex) is a worldwide financial market for the trading of currencies. It is open 24 hours a day except on weekends and is the largest and most liquid market in the world. A typical transaction would be the purchase of one currency with payment by another currency.
1,131 Questions
What factors create a foreign exchange gain on a foreign currency transaction?
An appreciation in a foreign currency creates a foreign exchange gain when the foreign currency is to be received.
A decrease in the value of foreign currency creates a foreign exchange gain when the foreign currency is to be paid.
(Hoyle, Schaefer, Doupnik, 2009, pp. 328)
Forex (or FX) is short for Foreign Exchange. It represents a transaction where a currency is exchanged for another at a mutually agreed rate.
To buy big chunk of share is not haram(Empty share not included). See who got the most portion, the father,the wife, the son. They have the power and influence. To do fx is no different when taking up blue chips.
How are prices established in the foreign exchange market?
The rates are quoted in two ways: A direct exchange rate (or direct quote) is the price of the foreign currency in terms of the home currency; and Indirect exchange rate (or indirect quote) is the price of the home currency in terms of the foreign currency.
How do you become a Authorized Forex Dealer?
This would depend on the country you are in. Usually a license with the central bank, or monetary authority is required.
How much money is traded in forex?
Average daily turnover is about US$4 trillion as estimated by the Bank for International Settlements.
What is the meaning of HEDGE in forex trading?
In foreign exchange, the term hedging is most commonly used by companies that conduct business in multiple currencies. Using exchange rate options or simple currency future contracts, these companies will protect a portion of their income (or the cost to spend local currency) once it is converted to the currency used at headquarters.
Please keep in mind that there are costs associated with hedging and that it is very difficult to hedge for all risks.
What is foreign exchange operation?
The Eurosystem conducts foreign exchange operations according to Article 105 and consistent with the provisions of Article 111 of the Treaty establishing the European Community. Foreign exchange operations include
- foreign exchange interventions;
- operations such as the sale of foreign currency interest income and so-called commercial transactions.
What is the meanig of HEDGE in forex trading?
In Forex trading you take a position on a currency pair, either long (meaning that it will increase) or short(meaning that it will decrease). Hedging refers to safeguarding your position with an opposite trade on the same pair.
The idea is that one of the positions will make money while the other looses money, once it is clear which one was the correct position you close the wrong one for a small loss. But the goal is that the one that makes money will more than offset the small loss.
The US Futures & Commodoties Exchange Commission recently banned Forex hedging on the same pair for all US based traders. It is still allowed internationally, and US traders can use international trading platforms online to place single pair hedged trades. There are also different currency pairs that have inverse relationships to each other, so US traders can hedge their risk using separate pairs.
What is the best trading platform for beginners?
The best forex trading platform for beginners is Plus500. The best is because you can Trade Stocks, Indices, Commodities and Forex with free time-unlimited demo trading accounts which means that you can learn with no risk. The second reason why is best platform is because they have a lot of videos how to trade which is fantastic for beginners.
How can one avoid forex swap when trading currency?
You can opt for a broker who doesn't provide Swap. Some time they call themselves Muslim friendly brokers. It comes from the fact that it is not allowed religiously for Muslims to earn or pay interest on the money placed in the bank or in this case a Broker. I may be wrong on this one, perhaps someone else can elaborate.
How much is 1 pip in a standard forex trading account?
1 Pip would be roughly $10. Though the price varies from pair to pair.
Do you get charged a cash advance when you deposit to a forex broker?
Traditionally a Forex Broker will be reselling an OTC (Over the Counter) financial product in the form of a currency pair ex. EUR/USD, to gain profit from the spread between the "ask" and the "bid" price. This is the case for both ECN (Electronic Communications Network) and Market Makers. Cash Rebates or Cash Backs in any form are indicative that the specific Broker takes charge for customers P&L and thus compromising objectivity.
Why do people host a foreign exchange student?
The main reason my family hosts exchange students is to provide a positive experience. Hosting students expands their understanding of diversity and the world, as well as the family hosting the student. We act as ambassadors to our country and provide a positive experience for the student as they learn about our culture.
Also, hosting exchange students count as a form of community service. This is because hosting exchange students broadens the community's diversity and culture.
What is foreign exchange gain loss?
It's a foreign exchange gain or loss, so when you exchange currencies, you can either make a gain or a loss from it (profit or loss).
join the word and go to the lin
FOREX is short for Foreign Exchange. It is the conversion of one country's currency for another.
A good Forex System in my opinion would result in consistent profits with minimum drawdowns. A good system should also include good Money Management rules.
Also look at live trading results and backtesting of Forex system. Well-performed auto Forex systems will have up to 95% of win trades.
What is a foreign exchange current event?
For example, we are trading with china for goods, products and resources and in return China is giving the same back. That is foreign trade... Or atleast I believe it is.
List of world's currencies with values?
If you're talking about coins, you are surely aware that question would take several megabytes of space to answer. Go to your library and look for a book called The Official Black Book Guide to World Coins. It's about the size of a very large dictionary and will give you enough information to answer most typical questions about world coins.
If you're referring to exchange rates, your best bet is to use a site such as www.xe.com or CNNMoney, because exchange rates change daily. Any numbers posted here, even for the major currencies such as the euro, pound, Australian and U.S. dollars, would be out of date within a day or so.
