The general form of foreign exchange trading quotes

2023/2/26 6:54:22  read(3)

modern cashback forexternational foreign forextradingsignal transactions have formed a global 24-hour continuous network, in th best forex copy trading invisible foreign exchange market, its participants are through Reuters trading terminal, telephone, telex howtocopyforextrading other modern communication tools for trading Reuters foreign exchange information services and trading system is now the worlds most widely used foreign exchange trading system, so Reuters Foreign exchange trading system is also the most common way to quote foreign exchange transactions Reuters information terminal on the foreign exchange rate using the unit dollar markup method, that is, 1 U.S. dollar is equal to a number of other currencies, or 1 pound, 1 Australian dollar, 1 New Zealand dollar, 1 Irish pound, 1 euro to how much U.S. dollar markup method The exchange rate markup is usually 5 valid digits, from the bank or quoters point of view, the left side of the slash is buy price (bid), the right is the selling price (offer), for example, the above dollar-yen exchange rate, 126.10/20 that the bank is willing to buy the dollar at the exchange rate of 126.10, sell the yen; while willing to sell the dollar at the exchange rate of 120.20, buy the yen inquiry to familiarize themselves with the banks offer method, buy price selling price is different, the difference is the banks earnings slash right The two digits are the last two digits of the selling price, the first few digits are omitted in the offer usually quotes between banks only report the last two digits This is due to the fact that both sides of the transaction are very familiar with the exchange rate at the time, the two sides generally have Reuters information terminals, the big numbers in front will not be wrong for customers who have not installed Reuters information terminals, banks can also report the full price in Reuters terminal, the bid-ask spread is usually 10 points, but there are currencies for 20-50 points due to changes in supply and demand or the quotation banks own situation, the foreign exchange banks bid-ask spread may be different, more than 10 points is often the case, and here we are talking about the interbank offer, the transaction amount is usually more than 1 million U.S. dollars 1 million U.S. dollars in the bank is called small The larger the difference, the greater the difference, the more the quoted bank earnings general business trading and foreign exchange transactions, the amount is often not too large, and the transaction amount is often not a whole number, so the difference between the banks bid and offer is usually larger For the bank offer, it is important to clarify the difference between the bid and offer price, not to make a mistake in the direction of buying and selling a simple principle must be remembered, the higher price in the offer Sometimes, in order to clarify the quotation, you can define the so-called reference currency (referencecurrency), which is the currency used to measure the price of other currencies. The quoted currency is the currency that plays the role of a commodity. Due to the different quotation methods, sometimes it is inevitable that there is a chicken and egg situation, the reader only needs to grasp the role of the quoted currency, you can clearly understand the intention of the counterparty, easy to communicate between the two sides