History of the Forex Markets- #### The Gold Standard
Until 1914, bank notes represented gold held by governments. The pound sterl...
COURSE
The Foreign Exchange Market
This series explains the various aspects of foreign exchange market, such as quotation conventions, types of brokers, and cross rates.
it briefly discusses the economic theories of exchange rates along with central banks’ policies. It also introduces forward rates along with currency swaps. The series also covers the concept of interest rate parity.
- Due to the huge expansion in international trade from the early 1970’s, there was a huge growth in d...
- **Spot Transaction: Definition** A spot FX transaction is a purchase or sale of one currency for an...
- Interbank spot rates are the current selling and buying prices for spot transactions. In forex trad...
- The last two digits of an exchange rate are the points or pips. The rest of the rate is called big f...
- Exchange rates are commonly expressed as two rates, the bid price and the offer price, for example: ...
- The spread (also called dealers spread or the bid-offer spread) is the difference between the bid pr...
- Cross rates are rates between two currencies where neither is the US dollar. A cross rate can be ca...
- If we look at two sets of currency pairs with different base currencies you can still adopt the same...
- In this post, we will discuss some of the common market practices in foreign exchange markets. **Ch...
- Market participants are categorized on the basis of their role and the nature of their dealings in t...
LESSONS
The Development of the Eurodollar Market
Understanding Spot FX Transactions
Forex Trading: Reading FX Quotes
Forex Quotes: Pips and the Big Figure
Forex: Bid and Offer Rates
Bid-Offer Spreads and the Market Position
Forex Rates: Understanding Cross Rates
Cross Rates and Different Base Currencies
Common Practices in Foreign Exchange Markets
Foreign Exchange Market Participants
