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forex

A collection of 11 issues

Intro to Foreign Exchange (FX) for Everyday Travelers

Why Foreign Exchange Matters When You Leave Home Stepping off a plane into a new country is exhilarating, but your excitement can fade quickly if you have no idea how to pay for your first coffee. Understanding foreign exchange (FX) before you travel saves money, reduces stress, and helps you

What Is Dollar Strength and How Is It Measured?

Introduction The phrase “dollar strength” is splashed across financial headlines whenever the U.S. currency rises or falls sharply against its global peers. Yet many casual investors, travelers, and even business owners are unsure what the term really means and how it is quantified. Put simply, dollar strength is a

Understanding Non-Deliverable Forwards (NDFs): A Complete Guide

What is a Non-Deliverable Forward? A Non-Deliverable Forward (NDF) is a cash-settled, short-term forward contract on a foreign currency that is restricted or illiquid in the international market. Instead of exchanging the notional amounts at maturity, the two parties settle the difference between the agreed forward rate and the prevailing

Understanding the LAMM Order: A Trader’s Guide

What Is a LAMM Order? LAMM stands for “Lot Allocation Management Module,” a mechanism that lets professional money managers execute trades on multiple client accounts while keeping precise control over lot sizes. Unlike a PAMM system, where trades are distributed by percentage, a LAMM order replicates the manager’s position

Understanding the JPY Carry Trade: How Investors Profit From Low Rates

What Is the JPY Carry Trade? The JPY carry trade is a popular foreign-exchange strategy in which investors borrow Japanese yen at ultra-low interest rates and convert the funds into higher-yielding currencies or assets elsewhere in the world. Thanks to Japan’s decades-long policy of near-zero interest rates, the yen

Hard Currency: Definition, Examples, and Why It Matters

What Is Hard Currency? Hard currency, often called strong currency, refers to money that is widely accepted around the world as a reliable store of value and medium of exchange. It is issued by a politically and economically stable country, trades freely on foreign-exchange markets, and retains purchasing power over

Understanding Forex (FX): A Beginner’s Guide to the Global Currency Market

What Is Forex? The foreign exchange market, commonly called Forex or FX, is the world’s largest and most liquid financial marketplace. Trillions of dollars’ worth of currencies are traded every day as businesses, investors, and governments exchange money across borders. Understanding how this dynamic market operates can open global

Understanding Exchange Rate: A Comprehensive Guide

What Is an Exchange Rate? Whether you are planning a vacation, importing goods, or investing abroad, understanding the exchange rate is essential. The exchange rate is the price of one country’s currency expressed in another currency, and it influences travel costs, trade balances, and economic policy. How Are Exchange

What Is a Cross Rate? Definition, Calculation & Trading Insights

Introduction to Cross Rates In the foreign exchange (Forex) market, a cross rate is the price of two currencies when neither matches the quote’s home country. Quoting the euro (EUR) against the Japanese yen (JPY) in the United States is a classic example. Businesses, travelers, and investors use cross

High-Frequency Forex Arbitrage with Microwave Networks: Infrastructure Overview

Introduction: The Race for Nanoseconds In the hyper-competitive world of high-frequency trading (HFT), foreign-exchange (Forex) desks battle for opportunities that vanish in the blink of an eye. Arbitrage — simultaneously buying and selling the same currency pair in different venues to capture a price discrepancy — has existed for centuries, but its