READING
PRICES
Below are some sample prices as to what you may see while looking at your
broker’s real-time Forex prices.
USD/JPY
106.07 |
USD/CAD
1.3257 |
USD/CHF
1.2826 |
EUR/USD
1.2089 |
GBP/USD
1.8331 |
AUD/USD
0.7624 |
In
the example U.S. Dollar / Japanese Yen (USD/JPY)
The sample price shown of 106.07 means that the cost of one U.S. dollar
is 106.07 Japanese yen. As the dollar strengthens relative to the yen,
then this price will increase to, say, 106.85. If the dollar weakens relative
to the yen (in other words, the yen strengthens relative to the dollar),
then this price will decline to, say, 105.35.
In
the example U.S. Dollar / Canadian Dollar (USD/CAD)
The sample price shown of 1.3257 means that the cost of one U.S. dollar
is 1.3257 Canadian dollars. As the U.S. dollar strengthens relative to
the Canadian dollar, then this price will increase to, say, 1.3288. If
the U.S. dollar weakens relative to the Canadian dollar (in other words,
the Canadian dollar strengthens relative to the U.S. dollar), then this
price will decline to, say, 1.3197.
In
the example U.S. Dollar / Swiss Franc (USD/CHF)
The sample price shown of 1.2826 means that the cost of one U.S. dollar
is 1.2826 Swiss francs. As the dollar strengthens relative to the Swiss
franc, then this price will increase to, say, 1.2854. If the dollar weakens
relative to the Swiss franc (in other words, the Swiss franc strengthens
relative to the dollar), then this price will decline to, say, 1.2774.
In
the example Euro / U.S. Dollar (EUR/USD)
The sample price shown of 1.2089 means that one Euro costs 1.2089 U.S.
dollars. Consequently, one can quote the price as $1.2089. As the Euro
strengthens relative to the dollar, then this price will increase to,
say, 1.2124. If the Euro weakens relative to the dollar (in other words,
the dollar strengthens relative to the Euro), then this price will decline
to, say, 1.2013.
In
the example British Pound / U.S. Dollar (GBP/USD)
The sample price shown of 1.8331 means that one British Pound costs 1.8331
U.S. dollars. Consequently, one can quote the price as $1.8331. As the
pound strengthens relative to the dollar, then this price will increase
to, say, 1.8382. If the pound weakens relative to the dollar (in other
words, the dollar strengthens relative to the pound), then this price
will decline to, say, 1.8288.
In
the example of Australian Dollar / U.S. Dollar (AUD/USD)
The sample price shown of 0.7624 means that one Australian dollar costs
0.7624 U.S. dollars. Consequently, one can quote the price as $0.7624
or 76.24 cents. As the Australian dollar strengthens relative to the U.S.
dollar, then this price will increase to, say, 0.7681. If the Australian
dollar weakens relative to the U.S. dollar (in other words, the U.S. dollar
strengthens relative to the Australian dollar) then this price will decline
to, say, 0.7575.