Forex Trading systems are operated by career focused individuals, with diversified experience in all accepts, like media and management, business, finance, economics etc. For example an investor wants to exchange euros for dollars. In this case, the euro is the quote currency, or how much currency you have to exchange. And dollar will be the base currency. The investor through the internet, bank or broker researches about the current exchange rate (euros converted into dollars) and then multiplies euros to be exchanged with that amount. Let's take an example that the exchange rate is 1.57959. That means that an investor will have to pay 1.57959 euros to receive one dollar. He can receive $1,579.59 he wants to exchange 1000 euros (1000 x 1.57959). If the investor converts dollars back into euro how much he is going to receive can get the idea through the exchange rates on the flip side. If he is having $1000, that amount can either be divided by the same euro to dollar exchange rate ($1000/1.57959 = 633.07 euros), or can look up on the internet conversation rate for dollars to euros etc. (i.e. .633072) and multiply the amount of dollars to be exchanged ($1000 x .633072 = 633.07 euros).
Saturday, September 5, 2009
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