Saturday, April 25, 2009

OPEN MARKET FOREX RATES

OPEN MARKET FOREX RATES
Remittance
Buying
Selling
US Dollar TT
80.60
81.00
US Dollar DD
80.60
81.00
Currency Notes
Australian Dollar
57.60
59.00
Bahrain Dinar
212.40
215.00
Canadian Dollar
65.90
67.50
China Yuan
11.25
12.00
Danish Krone
14.05
14.30
Euro
106.00
108.00
Hong Kong Dollar
10.30
10.50
Indian Rupee
1.60
1.70
Japanese Yen
0.8210
0.8310
Kuwaiti Dinar
274.60
277.00
Malaysian Ringgit
22.20
22.80
NewZealand $
44.80
45.80
Norwegians Krone
11.95
12.20
Omani Riyal
208.10
210.00
Qatari Riyal
22.00
22.25
Saudi Riyal
21.38
21.58
Singapore Dollar
53.50
54.80
Swedish Korona
9.60
9.80
Swiss Franc
69.55
70.55
Thai Bhat
2.20
2.40
U.A.E Dirham
21.88
22.08
UK Pound Sterling
117.30
119.30
US Dollar
80.55
80.85

International Market Rates
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Calculating Profit and Loss

Calculating Profit and Loss


For ease of use, most online trading platforms automatically calculate the P&L of a traders' open positions. However, it is useful to understand how this calculation is formulated:


To illustrate an FX trade, consider the following two examples.

Let's say that the current bid/ask for EUR/USD is 1.46160/190, meaning you can buy 1 euro for 1.46190 or sell 1 euro for 1.46160.

Suppose you decide that the Euro is undervalued against the US dollar. To execute this strategy, you would buy Euros (simultaneously selling dollars), and then wait for the exchange rate to rise.

So you make the trade: to buy 100,000 Euros you pay 146,190 dollars (100,000 x 1.46190). Remember, at 1% margin, your initial margin deposit would be approximately $1,461 for this trade.

As you expected, Euro strengthens to 1.46230/260. Now, to realize your profits, you sell 100,000 Euros at the current rate of 1.46230, and receive $146,230

You bought 100k Euros at 1.46190, paying $146,190. Then you sold 100k Euros at 1.46230, receiving $146,230. That's a difference of 4 pips, or in dollar terms ($146,190 - 146,230 = $40).

Total profit = US $40.

Now in the example, let's say that we once again buy EUR/USD when trading at 1.46160/190. You buy 100,000 Euros you pay 146,190 dollars (100,000 x 1.46190).

However, Euro weakens to 1.46110/140. Now, to minimize your loses to sell 100,000 Euros at 1.46110 and receive $146,110.

You bought 100k Euros at 1.46190, paying $146,190. You sold 100k Euros at 1.46110, receiving $146,110. That's a difference of 8 pips, or in dollar terms ($146,190 - $146,110 = $80).

Total loss = US $80.

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Leverage & Margin

Leverage & Margin
Leverage trading, or trading on margin, means you aren't required to put up the full value of the position.

Forex trading offers more leverage than stocks or futures - up to 200 times the value of your account. Of course keep in mind that increased leverage also increases your risk.

FOREX.com: No debit balances, no margin calls

At FOREX.com, your risk is only limited to funds on deposit. There are no margin calls in forex trading, so if your account falls below required levels, for your protection we will close out all positions automatically. You'll never lose more money than you have in your account.

More leverage means more opportunity - and more risk

It's crucial to remember: increasing leverage increases risk. To limit downside risk, monitor your account regularly and use stop-loss orders on every open position.
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