Live forex quotes are said to be forex charts that display the price of a currency or security at a particular point in time. These live forex quotes can also be called forex trading real time quotes. Live forex quotes are currency quotes that are displayed instantaneously and on time.
Live quotes give a trader the ability to use short term and long term technical analysis on thousands of forex currency pairs. Quotes on a security portray the bid price and the ask price of currency pairs. The ask price of a live quote is what the forex buyer pays for the currency while the bid price is what the forex seller receives for the currency.
FOREX LIVE QUOTES
The bid and the ask price of a live forex quote are two directional price quotation that signifies the best price at which a currency can either be bought or sold at a given point in time. The bid price is the maximum price at which a forex buyer will have to pay for a given currency while the ask price is the minimum price at which a seller will receive for the currency.
The key difference between the bid and the asked price or the spread is the liquidity of the asset. The smaller the spread, the higher the liquidity. For example, if the current price quotation for a particular currency is 11.60 dollars/11.65 dollars, this means that any investor who wants to buy the currency will pay 11.60 dollars as the current market price while any investor who wants to sell the security will pay 11.65 dollars at the current market price.
TYPES OF LIVE FOREX QUOTES
DIRECT FOREX QUOTES
A direct forex quote as a type of live forex quote is said to be a foreign exchange rate which is quoted in terms of a domestic currency per unit of the foreign currency. A direct live forex quote comprises of a quote in their fixed units of foreign currency in contrary to variable quantities of the domestic currency. For example, a direct forex quote of the United States Dollar compared to a Canadian dollar in the U.S would be denoted as 0.7658 U.S dollar equals 1 Canadian while in the country Canada, a direct market quote would be 1.3456 Canadian dollar equals 1 United States dollar.
INDIRECT FOREX QUOTE
An indirect quote is seen to be the opposite of a direct live forex quote. An indirect live forex quote can also be called a quantity quotation because it has the ability to express the quantity of foreign currency essential for the buy and sell units of a domestic currency. This only means that in the indirect quote, the domestic currency is seen as the base currency while the foreign currency is known to be the counter currency.
An indirect live forex quote is viewed as the reverse of a direct quote and this is because the direct quote which can also be called the price quotation denotes the price of one unit of a foreign currency in a domestic currency.
INDICATIVE FOREX QUOTE
In the forex market, an indicative live forex quote is a currency quote which is given out to a forex trading party by a market maker. This shows that when an indicative live forex quote is generated by a market maker for a forex trader, the market maker will not be forced to trade the specific currency pair at the exact price and amount specified in the quote. Here, the market maker automatically agrees on a particular bid and ask price with the forex trader which states a maximum quality outlined in the quote.
REVIEWS ON LIVE FOREX QUOTES
A major benefit of live forex quotes is that it provides live streaming forex rates on each and every currency pairs around the world for forex traders. It designates various daily updates and changes displayed by these currency pairs.
Live forex quotes actually aid forex traders to trade forex without much stress due to the fact that it studies the market including currency movements and gives the trader information and economic news on when and when not to trade. This information helps manage risk and provides improved trading decisions. Live forex quotes are unique in that they indicate where currencies last traded in the forex interbank market. It helps trader’s trade currencies at real times thereby maximizing profits.
In conclusion, live forex quotes help forex traders take advantage of liquidity in the forex market. Traders can use the live quotes as an advantage by comparing it with that of their brokers.