Forex market is the storehouse of opportunities, but only for those who are aware of its terminology. This is only possible with those involved in the market for a long period. For a newbie, this market still remains a maze where he has to be very careful and understand the frequently used terms. In this post, we will discuss some most commonly used UK forex trading terms.
The first term used in the context of open source forex trading is "Currency pair". It is used in the forex market to describe the most general situation, i.e. whenever we deal in this market, we deal in pairs. For instance, a pair of euro/dollar means dealing in the currencies euro and dollar.
Another very important and frequently used term is "spread". The term "spread" is used during currency exchange when there is a difference between the buying and the selling price. This happens on a frequent basis and the difference between the both is called "spread". The most popular pairs have the least spread, whereas the less popular have maximum pairs.
In terms of PAMM service, there is a term "PIP" which is a unit to describe the difference between the buying and selling price of a currency pair. According to the experts of UK forex trading terms, this is the smallest unit price of a currency.
Another very popular term used in the context of open source forex trading is "going long" and "going short". Going long means a trader would purchase a currency pair with a foresight that its value will increase in the future. Similarly, going short means a trader would sell the currency because of the fear that its cost will decrease in the future.
The first term used in the context of open source forex trading is "Currency pair". It is used in the forex market to describe the most general situation, i.e. whenever we deal in this market, we deal in pairs. For instance, a pair of euro/dollar means dealing in the currencies euro and dollar.
Another very important and frequently used term is "spread". The term "spread" is used during currency exchange when there is a difference between the buying and the selling price. This happens on a frequent basis and the difference between the both is called "spread". The most popular pairs have the least spread, whereas the less popular have maximum pairs.
In terms of PAMM service, there is a term "PIP" which is a unit to describe the difference between the buying and selling price of a currency pair. According to the experts of UK forex trading terms, this is the smallest unit price of a currency.
Another very popular term used in the context of open source forex trading is "going long" and "going short". Going long means a trader would purchase a currency pair with a foresight that its value will increase in the future. Similarly, going short means a trader would sell the currency because of the fear that its cost will decrease in the future.