When you learn forex, reading price movements is very important. Therefore you need to know how to easily read the price of forex quotes, because quotes are price changes that usually appear alongside popular pairs, the prices that appear will change according to market conditions at that time.
You can find forex quotes in the metatrader application view, usually these quotes are located on the top left which raises a variety of currency pairs equipped with nominal that will change at any time.
How to Read Forex Quotes
The first thing you should pay attention to is the base currency, meaning the first written currency.
This base currency value will remain that is 1. Example: EURUSD 1.4736 then you can read the following.
1 EUR at that time the price was 1.4736 USD.
Then when 15 minutes later the value changes to 1.4746 then it can be read EUR strengthens and USD weakens.
The change from 1.4736 to 1.4746 is 10 points, meaning the USD is down 10 points while the EUR is up 10 points.
You also need to know, all pairs will be written BID (purchase price) and OFFER (selling price).
Well, the difference from the bid and offer is called a spread.
Example: EUR / USD for example 1.4736 / 39 then you can read the EUR selling price is 1.4736 then the buying price is 1.4739.
Seen there is a price difference there that is 3, counting it 1.4739 – 1.4736 = 3. Well that means the spread is 3.
The spread value that determines the forex broker (broker), usually the value of the spread between brokers varies.
The smaller the spread means the more profitable for us as Forex traders / investors.
That’s how a brief explanation of how to easily read the price of Forex quotes, it’s not difficult to read forex prices?
When you learn beginner forex trading there will be many terms that seem heavy and hard to learn, but it turns out to be quite easy. Hopefully this explanation can be useful for you.
To see the recommendations of the best brokers in Indonesia, please open the Best Indonesian Forex Broker.