Terminology related to electronic business and the world of forex trading forex

Terminology related to electronic business and the world of forex trading forex

A
Accrual = outstanding
Adjustment = control / adjustment
Appreciation = assessment / rise / increase in the value of currency
Ask Price = Price request

B
Balance of trade = trade balance
Bear Market = market heading downward
Bid price = offer price
Bid price = offer price

Buy = Purchase

Broker = broker / broker
Bull Market = market heading upward, the market in favor of buyers

C
Cash market = money market
Central Bank = Central Bank


Closed Position = deal closed
Collateral = collateral / mortgage strengthened to ensure additional
Commission = commission
Confirmation = confirm
Contract = contract
Cross Rate = rates of hybrid
Currency Symbol = currency symbols
Currency = Currency / Cash
Currency Pair = currency pairs
Currency Risk = risk of currency

D
Dealer = dealer store owner
Deficit = deficit
Delivery = Delivery
Depreciation = consumption Mali
Derivative = derivative
Devaluation = Lose

E
Economic Indicator = economic indicator
European Monetary Union = European Monetary Union
Euro = Euro
European Central Bank = European Central Bank

F
Federal Reserve = Federal Reserve
First In-First Out = way of the goods contained first act first
Foreign Exchange = ran out of foreign
Forward = the futures
Fundamental Analysis = fundamental analysis
FX = FX

G
Gross Domestic Product = GDP
Gross National Product = GDP

H
Hedging = cover the transaction in the stock market futures

I
Inflation = Inflation
Intervention = intervention

L
Leading Indicators = indicators addressed
Leverage = the principle of benefit
Liquidation = filter business
Liquidity = cash

M
Margin = margin / Min
Maturity = maturity

O
Open Order = request open
Open Position = open position
Overnight Position = deal premeditated
Order = request

P
Pips = points
Political Risk = risk of political

Q

Quote: Price



R
Range = range / area / perimeter
Rate = rate / ratio
Resistance = resistance
Revaluation = re-evaluation
Risk = risk
Risk Managment = Risk Management

S
Sell = Sell

Settlement = payment / settlement
Spot Price = the price of goods present
Spread = difference of supply and demand
Sterling = sterling
Stop Loss Order = Stop Loss
Support Levels = points of support
Swap = swap / exchange / credit mutual

T
Technical Analysis = technical analysis
Transaction cost = cost of operation
Turnover = Turnover

U
Unrealized = unattainable

V
Volatility = volatile / vulnerable

This and other terms are not over

ASK RATE
Demand, the desire to sell at a certain price.

BAR CHART
Type of chart which consists of four main points: (1) highest price (2) lower prices, which form the vertical bar; (3) the opening price, which is marked with a little horizontal line to the left of the bar; (4)and the closing price, which appears on a little horizontal line to the right column

BEAR
Who believes that market prices will decline.

BEAR MARKET
Market characterized by declining prices.

BID RATE
Presentation, the desire to buy at a certain price.

BROKER
An agent who handles investors orders to buy and sell financial instruments for a commission.

BULL
Who thinks that market prices will rise.

BULL MARKET
Market characterized by rising prices.

CABLE
A slang used among traders to indicate the exchange rates of British Pound / dollar.

CALL RATE
The interest rate on procurement contracts: a daily price of interest between banks.

CANDLESTICK CHART
Type of chart which consists of four major prices: the highest price, lowest price, opening price, and closing price. Columns wax consists of the opening price and closing price. To clarify that the opening price is higher than the closing price, the bar is left blank, but if the closing price is higher than the opening price, the body is full.

CFD (Contract for Difference)
Contract for differences: An agreement between the parties to Tbadlalfruqat, at the conclusion of the contract, between the opening price and the final price of the contract, multiplied by the number (of units) specified in the contract.

CLOSING PRICE
The last price of a contract at the end of the trading session.

COMMODITY
Any items are designed and approved by the trading market and trading under the rules of market trading.

CONTRACT MONTH
Shows the month and year that ends with the authority futures contract. And also called (

Delivery Month).
CONVERTIBLE CURRENCY
Convertible currency: the currency can be converted, without any hindrance, to another currency, or for gold without special authorization from the competent authority.

COMMISSION
A transaction fee charged by the financial intermediary.

CONFIRMATION
A document exchanged between the various parties shown by the specific process conditions for the conduct of that process.

CONTRACT
The standard unit of trading.

CORRECTIONS
The opposite direction to price movements, which usually Matantj of profit-taking. These are technical moves that must occur, and can be measured by the amount Qublhdotha scale (Fibonacci correction ratios).

COUNTER - PARTY
The other party: the Party or the bank that is contracted with him.

CREDIT CHECKING
Examine the financial solvency: The solvency Anasrahacma when trading, due to the transfer of funds from one party to another, it is important to make sure Mannan to the other party the estimated completion of the transaction, are examined financial solvency when Eetmalag on the price, if were not solvency good will Taatmalsafqp.

CROSS RATE
Price Abvalamaaks / counter: the exchange rate between two currencies and are usually configured Altbadalalferdip rates for both currencies against the U.S. $.

CURRENCY
Any kind of money issued by the Central Government Oualbnk and used as cash to trade exchanges.

CYCLES
Variation where a return to a certain point Mntqpbdaitha. It is believed that certain movements of prices back and appear again, and depending on the index (Fibonacci Sequential numbers), which can be predicted. I usually use in estimating the timing of market movements, or Altgieratalamaaksp.

DAY TRADING
It is a term that refers to opening and closing status of certain specific positions) during the trading day one.

DEALER
A person who is a key party or a party opposed to the Amliptjarip.And represents a party primary part of the process as it seeks to profit from the difference Binsar demand and supply by closing the position in a subsequent trade with another party. But Baekspalencbp the Financial Broker is an individual or company that collects the seller and the buyer with Bedhmabad for a fee or commission.

DERIVATIVES
"Derivatives" is a trade derived Menbed other existing products such as stocks, bonds, currencies and other commodities can be Ojraalamaamlat derived either through market trading or outside (OTC) note that the derivative transactions subject to credit risk a broader view of the deal Bhambacrp with the other party instead of the financial market, Examples include transactions derived Alyalkhiarat (Option) and interest rate swap and others.

DIVERGANCE
When it fails two types of indicators Vihdid a particular direction of the price, it is an indication of the corrective move a big market or Thrkbalatjah opposite. And clicks of all the incredible expectations for all configurations (double-tops/bottoms) and (triple-tops/bottoms).

EURO
The currency of the European Union (EMU-European Monetary Union) and the replacement for the (ECU-European Currency Unit).

EURODOLLARS
Dollar assets in European banks: Dolaratomrikip deposited with the bank / banks outside the United States, even if these banks Taavalpennek U.S. and, accordingly, this deposit is outside the jurisdiction of the Olayataltdp.

EUROPEAN CENTRAL BANK (ECB)
Central Bank of the new European Union.

EXPIRATION DATE
Last day of trading Balacodalagelp.

FEDERAL RESERVE (Fed)
Central Bank of the States Altdpalomrikip.

FILL OR KILL
Do Ooaghei: command puts the client sets the price of the execution or cancellation.

FLAT / SQUARE
Level / neutral: To be flat Ohumicadl means that there are no contracts longitudinal direction (Long) direction, contracts short (Short), or that there is no any Mrakzmuftouhp, or that all the centers to cancel each other.

FLOATING INTEREST RATE
Floating interest rate: the rate Vaidpmottaglb according to the movements of market interest rates.

FOREIGN EXCHANGE MARKET (Fx / Forex)
Market foreign currency trading: buying and Bielamlat where he was the majority of foreign exchange rates against the U.S. dollar, and if Tmaltaaml in other currencies (such as the British Pound / Swiss Franc), they know Andizbonha exchange rates derived (Cross Rate).

Forex (See FOREIGN EXCHANGE MARKET)
Mokhtsrplldalalp word on the trade market foreign currency (see above).

FORWARD
(Futures contract) deal that will commence at an agreed date Alihpalmstqubl, that "the convening of three months" GBP / USD starts after 3 months Mentarej deal.

FRONT AND BACK OFFICE
Trading room front and rear: "front-end trading room" means Aadpalgervp in which they are traded, while the means "dealing room background" Alvetaatm place where the settlement of transactions.

FUNDEMENTAL ANALYSIS
Study of the movements of the market based on the principle of "cause and effect", based on several factors responsible for news and world events of political and commercial

FUTURES
Forward trafficking: trafficking in dealing with the securities or currencies or commodities according to their value as future or delivered on the date in the future.

FUTURES CONTRACT
Futures contracts: a legal contract standard contract for the sale or purchase Slapoo financial instrument sometime at a later date in the future.

Fx (see FOREIGN EXCHANGE MARKET)
A brief word to denote the Souktjarp foreign exchange (see above).

GTC (Good Till Cancelled)
Valid until cancel: the order is filed Dyaloset to complete the purchase or sale at a specified price, the order remains in place until the repeal Boistpabril.

HEDGING
Protection centers: the process of undertaking an Maliplthmy against risk of loss in another deal. An example of this trend is the sale of a short (Short Selling) to reflect a previous purchase, or buying long Akdbalatjah (Buying Long) to reflect the transaction of sale Balatjahalgosair (Short Sale).

HIGH / LOW
High / Low: is the highest or lowest price for Slapmalip traded during the trading day one.

INDICATED AND FIRM PRICES
Alambinpoualemwkdp Price: The price "set forth" the price is not a "firm". The price shown is the price for information purposes only, and to ensure the installation must be confirmed.

INITIAL MARGIN
Initial Margin: The amount of the deposit which must be submitted on the client Qublijra any deal.

INSTRUMENT
Contract Eetmalmtajrp tags.

INTEREST RATE SWAPS (IRS)
Currency interest swaps: a business deal ends have Alvaidpalthabtp exchange and floating with each other, and this transaction can be considered as two parallel loans and other floating Ahdahmathabt can determine the price for the floating interest rate between banks in Ndenbinma are the differences between the two rates of payment of the appropriate direction on each renewal. In the event Mqaydpvaidp single currency, it is not the exchange of principal amounts, but Vaidpalamlp.

INTRODUCING BROKER (IB)
The Broker: A person or organization that solicits or accepts orders to buy Depend on the futures contracts or requests for exchange of foreign currencies, but does not accept money Owalosol other customers to support such requests.

LEVERAGE
Leverage: is the ability to Altgmbkmyat large currency / commodity capital is relatively small.

LIBOR
Interest rates offered between banks in London: This is a reference point used in the currency rate swap transactions to determine Ganbaim of derivative transactions is also used as a reference point for most trades Holalm.

LIMIT ORDER
Is a matter of Iattymsbaka, for sale in the future, at a price previously agreed.

LIQUID / ILLIQUID MARKET
The market is liquid or liquid: liquid market is a situation when a stretch between the price of supply and demand little. They live in. They can mean that the number of financial institutions trading in the market is high. Non-liquid market is the market that are the opposite.

LIQUIDATION
Close the open position through the implementation of Amlipmkablp.


LOT
The term given to a number of contracts, for example: buy 5 contracts / Lotus.
MANAGED ACCOUNT / DISCRETIONARY ACCOUNT
Managed account: an arrangement, which the holder of the account on the issuing power of attorney to a person, often his broker, to make trading decisions on his behalf.

MARGIN
Margin: is the amount withdrawn from the customer's account, when the opening of a financial transaction, as collateral to cover losses that have occurred which Qdtndjem of trading operations carried out by the client and be returned to the client account Andiglaq deal.

MARGIN CALL
Talbidhavp funds: A request from the client to deposit additional funds to restore the level of deposits required Ilyalhd minimum reserve of potential adverse price fluctuations Vyalsouk.

MARK TO MARKET
Determine Kimpalemrakz under the market: is the way by which to evaluate open positions Amelhsp the market price at a specific time of each working day.

MARKET MAKER
Market Maker: is to create a market where the bid of the sale and purchase of your valid and therefore manages the trading book which Dibnevsh.

MARKET RISK
Oktartqlebatt exposure to the market.

MINIMUM PRICE FLUCTUATION
Smallest increment of price movement possible in trading a given contract, often called the "Tech" (tick). And is the minimum unit price of a commodity that are traded

OFFSET
Instead of: take a futures position Amaaxlntrz initial or opening position.

ONE CANCELS OTHER ORDER
OCO is another matter: the case where the implementation is the automatic Ilyalalghae is earlier.

OPEN POSITION
Center is open: the deal that has not been resolved contrast Besvqpamaaksp.

ORDER
Command: a command or Talimatlijra trading.

OVER-THE-COUNTER MARKET (OTC)
Trading outside the market exchange: the case is through the purchase and financial Biesala such as foreign exchange, bonds and other items outside of the financial market, by telephone and other means of communication.

PIP or POINTS
Score: based on the context of the text, it means one Nqtpasas ie 0.0001

POSITION
Center: It is a market center to express Anpbachara or sale.

QUOTE
Market price is used to Almarafpvqt

RATE
Price of one currency compared to other Maamlp, and uses this kind of prices to trading.

RESISTANCE (RESISTANCE LEVEL)
Resistance to resistance level: the level of price Alveitouka the completion of the sale process.

RISK
Exposure to uncertain change, and that usually bears a negative concept. (Risks)

ROLLOVER
Recycling: a situation where the transfer transaction to a value of another historic (Value Date) based on the interest rate differential between two currencies involved.

SETTLEMENT
Registration process for a particular transaction records propria, with an indication of all the parties concerned. For the settlement of currency trades may or may not involve physical exchange of currencies.

SHORT
"Go short": a market position where a client sells a commodity does not possess at the time, that is, sell before buy. If a trader is "short the dollar" is sold at a certain price level, expecting it to buy later when the price level declines.

SPECULATOR
Rackets: A market participant who tries to profit from buying and selling futures contracts by anticipating future price movements.

SPOT
Immediate: It usually refers to a cash market price (price in two days) for the financial instrument / commodity.

SPREAD
Difference: the difference in price points (PIPS), between the bid and the ask price.

STERLING
Slang for British Pound.

STOCK INDEX
Stock Index: An index used to measure and statement of changes in the value of a selected group of stocks.

STOCK MARKET
Stock market: the market, which is the buying and selling shares.

STOPORDER / STOP LOSS ORDER
A stop / stop-loss order: An order to buy or sell a pre-determined and implemented when it reaches the market to a certain price set by the client.

SUPPORT or SUPPORT LEVEL
Pads / cushions level: the level of price which is expected by the conclusion of the procurement process.

SWAPS
Swaps: Swaps are used to exchange one currency for another and then back again during the specified period of time. Swap rate calculation indicates the interest rate differential between two underlying currencies.

TECHNICAL ANALYSIS
Technical analysis: an analysis based on movements in the market by studying charts and the movement of average prices, volume and other technical indicators.

TICK
Less increase permissible to change the price of a commodity during a trading session.

TREND
The general trend of the mobile market, as it appears the peak times of the movements of the market rising and falling, and ends of the price movements.

TICKER
Agenda and / or a graph or both, showing the chronology of the trading process for each particular commodity. A ticker shows direction of market movement. There are indicators for day trading showing daily movements while there are historic tickers showing long term movements. Traders like to use graphs as they show direction of market movements in a simple and easy.

VOLUME
The number of contracts traded during a specific time period.

YARD
Slang on the bullion markets

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How Trading Works cms forex

How Trading Works cms forex

2.1 How Trading Works

So how does the actual trading work? A complete transaction is the buying of one currency and selling of another at the same time. We will be focusing on spot transactions in these lessons and other forms of Forex transaction (i.e. futures, options) will not be covered. The technical definition for a spot contract is a transaction at the current market rate with a settlement that takes place within two business days. However, in a practical sense, when trading Forex, a position is opened at the current rate and can then be closed any time afterwards, at that next moment's rate. Positions that are not closed within the two business days are automatically "rolled over", meaning the Forex dealer with which the position is open will keep automatically renewing your spot contract for you until it is closed.

Going Long or Short

A long position is a situation in which one purchases a currency pair at a certain price and hopes to sell it later at a higher price. This is also referred to as the notion of "buy low, sell high" in other trading markets. In Forex, when one currency in a pair is rising in value, the other currency is declining, and vice versa. If a trader thinks a currency pair will fall he will sell it and hope to buy it back later at a lower price. This is considered a short position, which is the opposite of a long position.

On every exchange, a trader has a long position on one currency of the pair and a short position on the other currency. A trader defines his or her position as an expression of the first currency of the traded pair. The first currency in a pair is known as the base currency. The second currency in the pair is called the counter currency. When a trader buys the base currency he or she takes a long position on a pair, if a trader sells the base currency he or she shorts the pair. Let’s look at a Forex chart and visualize this idea.

How to Read a Forex Chart

The current exchange rate is shown as a brown line with the pair’s price in a brown box. In the above chart, the current rate (120.93) for the USD/JPY pair is the amount of Yen it takes to exchange for 1 Dollar. Forex notation is a little awkward as the rate is equivalent to how much of the counter currency (second in the pair) is required to exchange for 1 unit of the base currency (first in the pair). Therefore, the notation is upside down from the normal logic of using a fraction. When the value of the base currency, here the Dollar, is rising, the rate will be moving upwards (seen as blue candles). If the rate changes from 120.93 to 121.50, it will take more Yen to buy the same amount of Dollars. When the situation is reversed, the Japanese currency is doing better and the pair's price will fall (seen as red candles). It will take less Yen to buy the same amount of Dollars.

Let’s say the trader buys the Dollar while selling Yen at the current rate of 120.93. The trader is therefore buying or longing the USD/JPY pair. If the trader was to sell the Dollar and buy Yen then he or she would be selling (shorting) the pair. This system of terminology is used in order to avoid confusion about which pair is being bought or sold. By taking a long position on the pair, the trader will wish to sell the Dollar back versus the Yen at a higher price, say 121.50, a change of 57 "points".

What is a pip?

A change in price of one "point" in Forex trading is referred to as a pip, and it is equivalent to the final number in a currency pair’s price. For pairs that involve the Yen (like in our USD/JPY example), a pip is counted from the second decimal place, 120.94. For all pairs that don’t involve the Japanese Yen a pip is the fourth decimal place, 1.3279. For the EUR/USD pair that rate would mean that it takes 1.3279 Dollars to get 1 Euro. The value of a pip will be explained on the next page when we discuss margin and leverage.

More Trading Terminology and the Spread

A bid price is the rate at which the market is prepared to buy a specific currency pair in the Forex trading market. This is the price that a trader will receive when selling (shorting) a currency pair. An ask price is the rate at which the market is ready to sell a particular currency pair. This is the price that a trader will have to pay in order to buy (long) the currency pair. The bid/ask combination comprises a quotation, which is based on a floating exchange rate. The quotation lists the bid price first, then the ask price. For the USD/JPY pair the quote will be 120.93/96.

The disparity between the bid and ask is known as the spread, which reflects the difference between the rate offered by a market maker such as CMS to sell a currency pair and the rate at which the market maker will buy the pair. The value of the spread is greater for currencies that are traded less frequently on the market than for the cluster of the major trading currencies. Contrary to stock market firms, Forex market makers generally do not charge a commission for every transaction, and instead obtain their compensation from the spread.

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EZCurrency Trading Platform

The EZCurrency Real-time Trading System is an informational, transactional dealing and client account management system that allows you to make online transactions on various tradable instruments (currency, stocks, indices, commodities, etc.) in real-time efficiently and securely.

EZCurrency is a trading software designed for 24 hour fast and accurate trade execution via Internet or by phone. The system transmits live quotes for hundreds of tradable instruments, technical analysis tools, and provides extremely fast response time. EZCurrency is a user friendly tool, reliable trading system with no interruptions (three back up servers) and Java push technology. The platform consists of the 4 vital parts: Client, Dealer, Server and Back-office components.

EZCurrency Trading Platform is availbale for Banks, Clearing/ Brokerage houses, IBs and other financial institutions

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Forex Market Hours Monitor: Tracking the latest trading sessions

Forex Market Hours Monitor: Tracking the latest trading sessions

Forex Market Hours Monitor is a free software to track active sessions in the foreign currency market all around the world (London, New York, Sydney, Tokyo). This can be used free of charge by all forex traders trading in any time zone.

Forex market is open 24 hours a day. It provides a great opportunity for traders to trade at any time of day or at night.However, although it seems that it is not very important in the beginning, in time for the trade is one of the most crucial points for success in trading in the forex market.
Therefore, one should consider when trading, and why?

The best time to trade is when the market is the most active, and thus the largest volume of transactions. Currency movements and more active to create a good opportunity to catch the trade and make some profit. ...

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NewsTrader Pro: economic releases to move the currency markets

NewsTrader Pro: economic releases to move the currency markets

NewsTrader Pro, Wincorp commercial software for forex traders.And graphs and analysis of current programs and historical price action of currency more than 60 United States and indicators of international economic and 9 major currency pairs (AUD / USD and EUR / JPY, EUR / USD and GBP / JPY and GBP / USD, NZD / USD, USD / CAD, USD / CHF and USD / JPY).

For each version and economic NewsTrader Pro shows the actual number, the number of consensus and differences between the actual views and - along with a summary of a low point, high point, and point range overall, and the rate of release points in each pair of currencies.

As this program was provided with graphs, charts, candlestick point analysis of the high and graphs showing the deviation point of the price of a pre-release and accurate by analyzing OHLC minutes from the price movement in the early hours after the initial 3 version for each pair of currencies. Also included are the closing prices for 1 minute, 5 minutes, 10 minutes and 15 minute timeframes.

And release of links to a page for each indicator allows you to get to release the actual numbers as they happen. And economic links to the calendars on the Internet to help you plan for upcoming releases. A unique built-in Google search for each economic indicator and more give you the tools you need to get more from every point of the economic release.

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Novativa Streamster: Download Programs Forex Marketiva

Novativa Streamster: Download Programs Forex Marketiva

Novativa Streamster is a free software which is designed specifically for Forex traders on Marketiva. This program allows you to learn how to trade forex trade virtual office, and then allows you to switch is not painful to the circulation desk area when you are experienced enough.

With Streamster Novativa, you can also follow the latest foreign exchange rates have occurred in real time, news, discussion boards, and more.

Can be runned the program with 458 kb file size under Windows 98 / Me / 2000 / XP / Vista.

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