Fx trading Study guides, Revision notes & Summaries

Note 1 - ANSWER-The foreign exchange market — most often called the forex market, or simply the FX market — is the largest and most liquid of all international financial markets. Note 2 - ANSWER-Forex market is open around the clock from Sunday evening ET to Friday 5 p.m. ET Note 3 - ANSWER-Average daily currency trading volumes are now estimated to $5.3 trillion per day, according to the 2016 BIS survey of forex volumes. That's a mind-boggling number, isn't it? $5,300,000,000,000, t...

Lot Size - ANSWER-What traders use to determine how much money per pip one wants to make. To convert Lot Size into $$$ - Lot Size X 10 = Actual amount per Pip. Example: (Lot Size) 0.01 X 10 = $0.10 per Pip Pip - ANSWER-The smallest change in value for any given Forex source Entry point - ANSWER-The level or price at which a trader enters into a trade (buy/sell) Stop loss order - ANSWER-An order that you place with your FX broker and CFD Broker in order to sell a security when i...

CFA Level 2: Econ Exam 115 Questions with Answers This econ topic regards the relationship between exchange rates and interest rates - CORRECT ANSWER ..... When is interbank FX market for most currency pairs typically most liquid? - CORRECT ANSWER 8am-11am New York Time ^because the London and New York (two largest FX trading centers) overlap during these times making it the most liquid during these hours. Arbitrage Constraints on Spot Exchange Rate Quotes - CORRECT ANSWER 1. the b...

Forex trading - ANSWER-1. Simultaneous exchanging of one currency for another 2. No physical location or central exchange 24hr trading Customers - ANSWER-1. Corporation, hedge funds, mutual funds, pension funds, central banks 2. Trade with a dealer Dealers - ANSWER-1. Mostly large banks take customer orders 2. Make markets from owned inventory Inter dealer market - ANSWER-1. Direct dealing - dealer to dealer (Phone, electronically) 2. Indirectly (Inter dealer brokers (phone, electro...

FIL 241 exam 3 participation isu sherill questions & correct answers 2022Which has higher average returns? Stocks AAA-rated Bonds Stocks Which has higher volatility in returns? Stocks AAA-rated bonds Stocks 00:11 01:23 From a company perspective, compare the tax implications of stock dividends versus bond coupons. Coupons are tax deductible while dividends are not Which voting method allows the shareholder to use all of their votes for a single board of...

What are the most popular financial instruments for retail traders? - ANSWER-Retail forex, spot FX, currency futures, currency options, currency exchange-traded funds (or ETFs), forex CFDs, forex spread betting Define "financial instrument". - ANSWER-Financial instruments are different ways to invest or speculate in currencies. What are 'futures'? - ANSWER-contracts to buy or sell at a specific date in the future at a price specified today. details the price at which a curren...

A PORTFOLIO MANAGER PURCHASES A BOND ON A YIELD-TO-CALL BASIS. THE BOND WAS TRADING AT A PREMIUM WHAT ACTIVITY CAN AN INVESTMENT COMPANY PERFORM WITHOUT SHAREHOLDER VOTE APPOINTMENT OF OFFICERS OF THE INVESTMENT COMPANY WHICH OF THE FOLLOWING AR ISSUED WITH A SPECIFIED, FIXED RATE OF INTEREST U.S. GOVERNMENT BONDS AND NOTES WHAT JOING ACCOUNT IS DESIGNED SPECIFICALLY FOR MARRIED COUPLES? TENANCY BY ENTIRETY WHAT IS TRUE REGARDING REGISTERED PERSONS ON IN-ACTIVE ST...

BLOOMBERG MARKET CERTIFICATE REVIEW QUESTIONS BLOOMBERG MARKET CERTIFICATE REVIEW QUESTIONS What does the Big Mac index show? a) How the law of one price is true of consumer products b) How currencies may be overvalued or undervalued c) How interest rates and inflation affect trade d) How The Economist magazine estimates inflation Which of these headlines could move a currency pair a) U.S. Stocks Rally on Fed‟s Surprise Reduction of Interest Rate b) Railroad Rate Hikes Drive Dicho...

A PORTFOLIO MANAGER PURCHASES A BOND ON A YIELD-TO-CALL BASIS. THE BOND WAS TRADING AT - Answer - A PREMIUM WHAT ACTIVITY CAN AN INVESTMENT COMPANY PERFORM WITHOUT SHAREHOLDER VOTE - Answer - APPOINTMENT OF OFFICERS OF THE INVESTMENT COMPANY WHICH OF THE FOLLOWING AR ISSUED WITH A SPECIFIED, FIXED RATE OF INTEREST - Answer - U.S. GOVERNMENT BONDS AND NOTES WHAT JOING ACCOUNT IS DESIGNED SPECIFICALLY FOR MARRIED COUPLES? - Answer - TENANCY BY ENTIRETY WHAT IS TRUE REGARDING REGISTERED...

BLOOMBERG MARKET CERTIFICATE REVIEW QUESTIONS What does the Big Mac index show? a) How the law of one price is true of consumer products b) How currencies may be overvalued or undervalued c) How interest rates and inflation affect trade d) How The Economist magazine estimates inflation Which of these headlines could move a currency pair a) U.S. Stocks Rally on Fed’s Surprise Reduction of Interest Rate b) Railroad Rate Hikes Drive Dichotomy of Necessary c) Hong Kong ‘Firmly Commi...