Welcome to Forex

Question 1

Spot quote

Answer 1

The value equivalent of the base currency to the quote currency

Question 2

When we sell a currency pair…

Answer 2

We’re selling it relative to another currency

Question 3

If I were to sell the EUR/ USD currency pair, I would be _____________ Euro’s and __________________ dollars.

Answer 3

Selling; buying

Question 4

The third and fourth digits of a quote are known as…

Answer 4

Pips

Question 5

A pip is short for…

Answer 5

Percentage in point (100th of a cent)

Question 6

The fifth digit of a spot quote is known as a ….

Answer 6

fractional pip

Question 7

A fractional pip represents…

Answer 7

…a tenth of a pip

Question 8

For most traders in the United States, up to …. leverage is available.

Answer 8

50X

Question 9

Most professional traders keep their leverage inside of …:1

Answer 9

10

Question 10

Each standard lot is worth … of the base currency

Answer 10

$10,000

Question 11

The …. currency is the first currency appearing in a quote. It’s also called the transaction currency.

Answer 11

Base