Quote:
Originally Posted by pippy123
is EUR/USD ever listed as USD/EUR or is USD/JPY listed as JPY/USD, etc. I know you are buying one and selling the other so either way it's the same, right?
So I am I thinking right when i say, in the EUR/USD example -if you want to buy USD you actually short the Euro???
This also brings up my other question:
Let's say we are looking at a EUR/USD candlestick chart. When you're looking at this chart and the last candlestick, let's say closed lower than it opened (so it's filled in if that matters), this is referring to the base currency's price?? In other words, the EUR went down compared to the USD.
-confused a bit
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ive never seen the currency paire listed USD/EUR unless its a type. i dont quite understand why the pair is listed EUR/USD instead of USD/EUR. i but i dont think its very important. which ever position you choose (buy/sell) you are pretty much doing the same thing but coming from different directions.
you are right about the trading of currency. if you are buying Euro then you are also selling USD. how you make money in the forex is that you buy low and sell high or sell and buy it back low. you buy EURO, hold it then sell it to get back your USD. if you think the market is going down then you are actually buying USD, hold it and then selling it for EURO.
http://www.babypips.com/school/how_y...ing_forex.html
as for your last question about candlesticks.well, EUR is the base currency so its compared to 1 and the USD is the quote. for X.XXXX amount of USD you get 1 EUR. as the price of USD rises to get 1 EUR it means that EUR currency is stregthening against the USD. so when you see a green or postive candle on a EUR/USD chart then what you are seeing is the EURO currency is increasing in value compared to the USD (which is going down).