What is a support level?

What is a support level? What is a support level? A support level is a general level where prices have not been falling below for a certain period. This occurs when there are buyers at the price level, preventing the price of the asset dropping below that level. With...

How to determine the base currency

How to determine the base currency How to determine the base currency When looking at a currency pair, the base currency is the first currency quoted. For example, in GBP/AUD, GBP would be the base currency. The currency after the base currency is the quote currency....

What is the bid / ask price?

What is the bid / ask price? What is the bid / ask price? The bid and ask price (from the client’s perspective) is the highest price that a group of buyers / group of sellers are willing to pay / sell and asset for. The difference between the bid and ask price is...

What causes currency prices to change?

What causes currency prices to change? What causes currency prices to change? Currency prices are fundamentally affected by supply and demand. Economic and Political factors may affect supply and demand as traders buy or sell currency pairs in reaction to news that...

What is the Spread?

What is the Spread? What is the Spread? The spread is the differences between two prices. In this case, it’s the difference between the buy (bid) and the sell (ask) price. In forex exchange, the spread is likely to be the commission charged by the broker/ or the...

What is a Commodity?

What is a Commodity? What is a Commodity? Commodities (Specifically, “Hard” Commodities) are generally regarded as a input in the production or use for other goods or services. Generally, a commodity has the similar/same characteristics, regardless of the location it...