Tag: GBP
Pips and calculation of pips
In Forex trading pips are the smallest unit of measurement and are used to measure the change in price between two currencies. The “pip” stands for “price interest point.” It is a standardized unit of measurement that represents the smallest price movement in the exchange rate of a currency pair. Pips are used to calculate…
Read MoreWhat is Spreads
Understanding spreads is essential for traders as it directly impacts their profitability. Lower spreads can enhance trading performance. Spreads in currency pairs refer to the difference between the bid price and the ask price of a currency pair in the Forex market. The spread is typically quoted in pips (You will learn about pips right…
Read MoreCurrency pairs
A currency pair is a quotation of the relative value of one currency unit against another currency unit in the foreign exchange market (Forex). It represents the exchange rate between two currencies and is used to facilitate currency trading. Currencies are always traded in pairs when we trade in Forex. The first currency of the…
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