Business-News-with-Forex-Examples

Example of Forex Quotes :

Confused about the quotes? Don't worry too much about it, you'll get used to them as soon as you move on and start your trades.

For the beginners, here are some quick examples. Try not look at the answer and determine the value of bid price, ask price, spread value, and the pip value.

EUR/USD 1.2385/1.2390

* Base currency= Eur
* Bid price= 1.2385; Ask price= 1.2390
* When selling Euros, 1 Euro = USD$1.2385; when buying Euros, USD$1.2390 = 1 Euro.
* Spread = | 1.2385 - 1.2390 | = 0.0005
* Pip value= 0.0001

EUR/JPY 127.95/128.00

* Base currency= Eur
* Bid price= 127.95; Ask price= 128.00
* When selling Euros, 1 Euro = JPY127.95; when buying Euros, JPY128.00 = 1 Euro.
* Spread = | 127.95 - 128.00 | = 0.05
* Pip value= 0.01

GBP/USD 1.7400/10

* Base currency= GBP
* Bid price= 1.7400; Ask price= 1.7410
* When selling Pound, 1 Pound = USD$1.7400; when buying Pound, USD$1.7410 = 1 Pound.
* Spread = | 1.7400 - 1.7410 | = 0.001
* Pip value= 0.0001

USD/JPY 119.8

* Base currency= USD
* No bid-ask price is displayed, spread value not available.
* Pip value= 0.1

Getting used to the quotes now? Well, don't feel down if you're still slow... you'll be picking up on reading them as you move along.