Graph Currency Notice For Free

Knowing when to buy and sell forex depends on many factors, such as market opening times and your FX trading strategy. Many traders agree that the best time to buy and sell currency is generally when the market is most active ? when liquidity and volatility are high.

In Forex trading, numbers are used to represent the value of a particular currency in relation to another currency. These numbers are typically expressed as a ratio, with the base currency on the left and the quote currency on the right.

Understanding Exchange Rates For example, the acronym USD represents the U.S. dollar, while EUR represents the euro. To quote the currency pair for the dollar and the euro, it would be EUR/USD. In the case of the Japanese yen, it's USD/JPY or dollar to yen. An exchange rate of 100 means that 1 dollar equals 100 yen.

A variety of factors can influence these exchange rates, including the amounts of imports and exports, GDP, market expectations, and inflation. For example, if the GDP falls in one nation, that nation is likely to import less. If GDP grows, it will import more.

Sell rate ?This is the rate at which we sell foreign currency in exchange for local currency. For example, if you were heading to Europe, you would exchange Australian dollars for euros at the sell rate. Buy rate ? This is the rate at which we buy foreign currency back from you into your local currency.

1 The quotation EUR/USD = 1.2500 means that one euro is exchanged for 1.2500 U.S. dollars. In this case, EUR is the base currency and USD is the quote currency (counter currency). This means that 1 euro can be exchanged for 1.25 U.S. dollars.

The economics of supply and demand dictate that when demand is high, prices rise and the currency appreciates in value. In contrast, if a country imports more than it exports (known as a trade deficit), there is relatively less demand for its currency, so prices should decline.

HLOC chart (also called a bar chart) The open price is represented by the notch to the left of the vertical line. The close price is represented by the notch to the right of the vertical line. The high price is the uppermost point of the vertical line. The low price is the lowest point of the vertical line.