As you know, any transaction is made on a very definite and specific price, while in Table Quote Spread Sheet for each currency, there are three prices, for example:
Each of the Forex market participants in each particular transaction or act as sellers of certain currencies, or the buyer. In this case the seller offers the currency more expensive, for example, GBPUSD at 2.0254, and the buyer asks the currency is cheaper, for example, GBPUSD at 2.0250. Accordingly, the price of dealer called ASK, a bid price - BID. So, if you suspect that the GBPUSD will go up (in your chart GBPUSD curve goes up), you decide to buy a pound, while it is cheaper, in order to sell more. Buy (this is called BUY) can only be the seller who will offer it at a price ASK. When you sell a pound (an operation called a sales SELL), the buyer will offer for its price on BID (this is true for all currencies). Hence it obviously follows that if you open a position (the operation is called - OPEN), ie did BUY GBPUSD, and then want to close it (the operation called CLOSE), ie to sell just bought pounds, you can only do so at a loss, just as you would in any exchange office. Therefore, ensure that you receive income, the price of the currency should go in the direction you anticipated more than the difference between the BID and ASK. The third number is called LAST - the Forex market is the average of the last BID and ASK.
Only currencies with the direct quote in the upward rise in price on the chart. Obviously, the rule that a transaction BUY, makes a profit when the upward motion for some exchange and loss to others, will cause inconvenience. Therefore, when performing currencies with a BUY to a direct quotation, not bought myself currency and U.S. dollar, the currency itself is sold. For example, BUY USDCHF at 1.1724 buys 100,000 quotation dollars for 117.240 francs. Thus, the operation is always profitable BUY when the chart up and SELL - when the chart goes down.
In summary, OPEN BUY (up) occurs at a price of ASK, a CLOSE - at a price of BID; OPEN SELL (down) - at a price of BID, and CLOSE - at a price of ASK.
Sometimes the quotes are shown as a couple, for example, 114.88/92. This form represents a pair of BID / ASK. Written first, the value of BID, and then the last two digits quotes ASK. Knowing that ASK is greater than the BID, and that the difference between them is less than 100 points, you can always unambiguously determine the value of the second quote. In this case, ASK = 114.92.
Each of the Forex market participants in each particular transaction or act as sellers of certain currencies, or the buyer. In this case the seller offers the currency more expensive, for example, GBPUSD at 2.0254, and the buyer asks the currency is cheaper, for example, GBPUSD at 2.0250. Accordingly, the price of dealer called ASK, a bid price - BID. So, if you suspect that the GBPUSD will go up (in your chart GBPUSD curve goes up), you decide to buy a pound, while it is cheaper, in order to sell more. Buy (this is called BUY) can only be the seller who will offer it at a price ASK. When you sell a pound (an operation called a sales SELL), the buyer will offer for its price on BID (this is true for all currencies). Hence it obviously follows that if you open a position (the operation is called - OPEN), ie did BUY GBPUSD, and then want to close it (the operation called CLOSE), ie to sell just bought pounds, you can only do so at a loss, just as you would in any exchange office. Therefore, ensure that you receive income, the price of the currency should go in the direction you anticipated more than the difference between the BID and ASK. The third number is called LAST - the Forex market is the average of the last BID and ASK.
Only currencies with the direct quote in the upward rise in price on the chart. Obviously, the rule that a transaction BUY, makes a profit when the upward motion for some exchange and loss to others, will cause inconvenience. Therefore, when performing currencies with a BUY to a direct quotation, not bought myself currency and U.S. dollar, the currency itself is sold. For example, BUY USDCHF at 1.1724 buys 100,000 quotation dollars for 117.240 francs. Thus, the operation is always profitable BUY when the chart up and SELL - when the chart goes down.
In summary, OPEN BUY (up) occurs at a price of ASK, a CLOSE - at a price of BID; OPEN SELL (down) - at a price of BID, and CLOSE - at a price of ASK.
Sometimes the quotes are shown as a couple, for example, 114.88/92. This form represents a pair of BID / ASK. Written first, the value of BID, and then the last two digits quotes ASK. Knowing that ASK is greater than the BID, and that the difference between them is less than 100 points, you can always unambiguously determine the value of the second quote. In this case, ASK = 114.92.
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