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A Brief Introduction of Some Important Terms Used in Currency Trading

Like any field, currency trading has its own unique terminology. Some of the important terms used in currency trading are leverage, margins, quotes, Forex trading, etc. These terms have been discussed briefly for the benefit of those who are new to currency trading.

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A Brief Introduction of Some Important Terms Used in Currency Trading

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  1. A brief introduction of some important terms used in Currency Trading

  2. Introduction Currency trading is a key component of Forex Trade. It involves buying and selling of currency. It can be a profitable venture, if pursued judiciously. Next is an overview of some of the important terms used in currency trading.

  3. Forex Trading Currency trading is also known as Forex trading. Currencies are bought and sold with the intention of making profit.

  4. Leverage Trading with borrowed money is known as leveraging. This strategy allows traders to trade with an amount greater than what is actually in their account. This method is generally used by experienced traders.

  5. Margins A specific amount is kept in an account as a margin, to safeguard both the parties from losses. So the margin is basically a security deposit made before commencing Forex trading.

  6. Quotes Buying undervalued currency and selling overvalued currency is the crux of Forex trading. As the currencies continuously fluctuate due to unpredictable financial scenarios, currency quotes helps the Forex traders in comparing various currencies.

  7. Contact Us Address: Suite 501 132 Arthur Street North Sydney 2060 NSW Phone No: (02) 8412 6000 Email:info@learntotrade.com.au Webpage: www.learntotrade.com.au

  8. Thank You

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