In the School of Pipsology, I’ve gotten all the way to undergraduate school with a pretty good understanding. However, at this point, I’m reading the country profiles and my brain feels like a bowl of spaghetti. So…bear with me, 'cause this is a REALLY baby question. I’ve become confused. Here it is…if I’m selling AUD/USD, am I long AUD and short USD? Is the quote currency used to determine my direction? I have forgotten how it works. Whew! Thnx…don’t judge me.
Hello, Hazel. Welcome to this forum.
No, it’s just the reverse. When you are “selling” AUD/USD, you are SHORT the AUD/USD pair, which means SHORT the AUD [I]with respect to the USD.[/I]
To keep it straight in your mind, [B]just think of the base currency as “driving” the pair.[/B]
So, LONG AUD/USD means LONG AUD.
LONG AUD/JPY means LONG AUD.
And LONG AUD/XXX means LONG AUD (regardless of what XXX is).
And there’s no judging here. Just friends trying to help friends.
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Thank you so very much, Clint! I appreciate your response and I “got it!” “Ding!” :5: