FOREIGN EXCHANGE RATES

Foreign exchange market is affected by international trade flows and investment flows. forex market also dipengarugi only to a certain extent, by the same factors that affect equity and bond markets: economic and political conditions especially interest rates, inflation and political instability.These factors
usually have only short-term impact, which makes Forex attractive because it offers some diversification is necessary to protect against movements in equity and bond markets.
Currencies in the forex generally have four decimal digits, eg trade GBP / USD 1.5500/1.5503, USD / JPY at 84.50/84.52 from these samples was the last of four decimal digits referred to as point or "pip". A pip for most currencies is 0.0001 of the exchange rate, unless one is USD / JPY quote in which each pip is equal to 0.01.
The currency quoted in the pair, like GBP / USD or EUR / USD, the first listed currency is known as the base currency, while the second is called the counter or quote currency.this example, if you BUY GBP / USD you have bought British pounds to U.S. dollars means you are selling. and vice versa SELL GBP / USD means you are buying the USD and the expected currency British pound fell.

EUR / USD
On this day of currency movements of EUR/USD experienced a sharp decline when compared with prices last month and the year 2009. euro currency rate today while the data in November 1.3376 EUR/USD could penetrate the highest rate in 2009 is 1.4282 and EUR/USD break the 1.5135 high.If we analyze the data based on monthly and annual euro area is experiencing a decline. This is influenced by factors which have increased America's economy.If you do a transaction BUY EUR/USD at 1.3320 price so you have to buy European currencies with the hope the currency rises, and the U.S. economy weakens. And vice versa if you believe that the American economy will be strengthened and the European economy will weaken against the U.S. dollar, you will be trading a SELL EUR /USD.

USD/JPY
this day currency movements USD / JPY U.S. dollar has strengthened against the Japanese currency when compared with prices on 01-11-2010. value of U.S. dollar today on the 83.65 range while the data in November date 1-11-2010 USD / JPY had experienced a sharp decline through the lowest number at 80.24. If we analyze the data based on 1-11-2010 dollar U.S. is experiencing an increase. This is influenced by factors which have increased America's economy.If you do a transaction BUY USD / JPY at price 83.60 so you have bought U.S. dollars in the hope the currency rises, and the American economy strong. And vice versa if you believe that the U.S. economy will weaken and the Japanese economy will strengthen against the U.S. dollar, you will do the transaction SELL USD / JPY.

GBP/USD
On this day the movement of currency GBP / USD at around 1.5735 British pound currency declined against the U.S. dollar when compared to prices in november. english pound currency today at 1.5735 while the data ranges in November GBP / USD had increased and exceeded the highest in the 1.6299. If our analysis based on data in November english pounds currency is experiencing a decline. This is influenced by factors which have increased America's economy.If you do a transaction BUY GBP / USD at 1.5730 price so that you have bought the English pound currency in the hope the currency rises, and the U.S. economy weakens. And vice versa if you believe that the American economy will be strengthened and the British economy will weaken against the U.S. dollar, you will do the transaction SELL GBP/USD.

USD/CHF
at 0.9600 to U.S. dollar declined against the Swiss franc currency (CHF) when compared with data on 1-june-2010 U.S. dollar had penetrated the highest rate in the range of 1.1728. This is influenced by factors that have increased the Swiss economy.If you do a transaction BUY USD / CHF at 0.9600 price so you have bought U.S. dollars in the hope the currency rises, and the Swiss economy weakened. And vice versa if you believe that the U.S. economy will weaken and the Swiss economy will strengthen against the U.S. dollar, you will do the transaction SELL USD / CHF.

BUY/SELL
Before conducting the transaction whether buying or selling transaction, you should first understand the basic currency.eg USD / JPY (basically the currency is USD and JPY is the quote currency). If you wish to purchase (meaning you buy the base currency and sell the quote currency), if you want the base currency rise in value and then you will sell it back at a higher price. In this case the term "going long" or taking a position "long". Please note: Long = Buy = Ask. If you want to sell (which means sell the base currency and buying the quote currency), meaning you want the base currency is down and then you will buy back at lower prices. It's called "going short" or taking a "short position". Short = Sell = Bid.

BID / ASK SPREAD
In forex Bid is the price at which dealers are willing to buy the base currency in the currency exchange quotations. This means the bid is the price at which you are traders will sell. Asking is the price at which dealers will sell the base currency in the currency exchange quotations. This means asking is the price at which you are traders will buy. The difference between bid and ask price is popularly known as the Spread.