Trade Major, Minor & Exotic Currency Pairs
Forex, also known as foreign exchange, FX or currency trading, is the largest, most liquid market in the world with an average daily trading volume exceeding $5 trillion. Forex trading allows you to buy and sell currencies, similar to stock trading except you can do it 24 hours a day, five days a week, you have access to margin trading, and you gain exposure to international markets.
As a result, foreign exchange trading has long been recognized as a superior investment opportunity by major banks, multinational corporations and other institutions. Today, this market is more widely available to the individual trader than ever before.
|Instrument Symbol||Instrument Name|
|EURUSD||Euro vs US Dollar|
|USDJPY||US Dollar vs Japanese Yen|
|GBPUSD||British Pound vs US Dollar|
|AUDUSD||Australian Dollar vs US Dollar|
|USDCAD||US Dollar vs Canadian Dollar|
|USDCHF||US Dollar vs Swiss Franc|
|NZDUSD||New Zealand Dollar vs US Dollar|
|EURGBP||Euro vs British Pound|
|GBPJPY||British Pound vs Japanese Yen|
|EURJPY||Euro vs Japanese Yen|
And many more…
MT 5 platform calculates your transaction by formula mentioned below and this formula will be applicable for all three accounts:
( Spread ) x ( Pip Cost ) x ( Number of Lots Traded ) =Total Cost
How it works
- Forex trading is the simultaneous buying of one currency and selling of another.
- These two currencies make up what is known as a “currency pair”.
- Currencies are always traded in pairs – each currency is represented by three letters.
- The first two letters represent the country and the third letter identifies the currency.
- Forex pairs are read in the opposite direction of mathematical proportions or ratios For example:EUR/USD = 1.23700.
- The currency to the left of the slash (“/”) is called the base currency (in this example, the Euro) and the currency on the right is called the quote currency (in this example, the U.S Dollar).
- This notation means that 1 unit of the base currency (that is, 1 Euro) is equal to 1.23700 U.S Dollars.
- You have to pay 1.23700 U.S Dollars to buy 1 Euro.
- If selling, the foreign currency exchange rate specifies how much units of the quote currency you get for selling one unit of the base currency.
- In the above example, you will receive 1.23700 U.S Dollars when you sell 1 Euro.