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Indirect quotation and direct quotation – Forex

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What is an indirect quote?

Is the price of a currency pair expressed as amount of foreign currency per unit of domestic currency.

In other words, when an indirect quote is given, the exchange rate is expressed relative to a fixed  amount of the national currency (1 unit),  while the amount of foreign currency is variable.

For example, if we are in the United States, the indirect quote for the Canadian dollar would be 1.17 CAD = 1 USD, so the exchange rate of the indirect quotation is expressed as USD/CAD 1.17 because it is the expression that reports the amount of CAD per unit of USD which is the national currency (for 1 USD we can obtain 1.17 CAD). If we were in Canada the indirect quotation of the US dollar would be 0.85 USD = 1 CAD (CAD/USD 0.85 indicates that for 1 CAD, which is the national currency, we get 0.85 USD). As we can see, in an indirect quote the base currency of the currency pair is the national currency.

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How to start trading Forex if you are a beginner?

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Start trading in Forex
Start trading in Forex
To trade Forex, you need to have a strategy to take advantage of the rapid changes and market conditions. There is no short way to develop a strategy because it is necessary to test it in different situations. This means that every trader must invest considerable time analyzing charts, reading news, and keeping updated with the economic announcements. If you are a novice trader, you can follow the following tips to start trading Forex.

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Base Currency and Quote Currency

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In this article we will define two basic concepts for trading in Forex: the base currency and the quote currency.

What is the base currency?

The base currency is the first currency listed in a currency pair traded in the Forex market. Sometimes you can also see this term as primary currency (although this term is not very suitable for its meaning in economics). In accounting base currency is the one used to represent all company accounts.

For example, if we have the pair EUR/USD, the euro (EUR) is the base currency and the US dollar (USD) is the quote currency or counter currency. The price given for the pair represents how much is needed of the quote currency to buy one unit of the base currency or, which is the same, how much of the quote currency can be obtained when one unit of base currency is sold.

Long-Term Prediction Models of Exchange Rates in the Forex market

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In this article we will examine the different models used in fundamental analysis to predict changes in currency prices which are used by analysts of the most important investment banks. These models may be of interest to all traders who want to increase their knowledge regarding fundamental analysis applied to the Forex market. Currently there are seven main models for forecasting exchange rates:

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The Exchange Rate

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What is the exchange rate?

The exchange rate, also referred to as conversion rate or foreign exchange rate is the price at which a currency of a country can be converted (“changed”) in the currency of another country.

The system of exchange rates among currencies stems from the need of foreign currency by companies and nationals. In other words, the exchange rate comes from the movement of capital, goods, services and people across borders, that is, the existence of international trade. For example, when a company sells products to a foreign country, it is natural that this company wants to get paid in their national currency; therefore, the foreign company must buy the domestic currency of the manufacturer to pay  the products purchased. There are also many situations in which anyone may need a foreign currency, for example, when traveling need currency of the destination country. The result is a foreign exchange market in which people, companies and other participants buy and sell foreign currencies.

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US Initial Jobless Claims Indicator

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The Initial Jobless Claims indicator is a report that records how many people have applied for unemployment benefits in the United States, providing information on the state of the labor market of that country. This is a weekly published data, and provides information on how many people applied for unemployment benefits last week. Therefore, this report is also known as weekly jobless claims.

The report of the Initial Jobless Claims is prepared by the Employment and Training Administration of the U.S. Department of Labor, and is published on Thursday of each week at 13:30 GMT, with data from the previous week.

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Forex OTC Options with AvaOptions of Avatrade

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The Forex and CFD broker AvaTrade offers its customers the first online (web based) platform designed exclusively to trade with OTC (Over The Counter) Vanilla options based on currency pairs (Forex).

This platform, known as AvaOptions, offers new ways of trading that are simply not possible through normal spot Forex market. Whether the investor is interested in covering (hedging) the open Spot Forex positions or benefit with the unlimited profit potential with limited risk offered by options, AvaOptions has all the tools and features that the trader may need.

AvaOptions has a powerful and intuitive interface, which offers the possibility to trade with a wide range of Vanilla currency options, which allows the traders to diversify their operations in the Forex market. With this application, the trader can trade with options based on more than 30 currency pairs in a wide range of maturities, for which it has several user-friendly tools to implement any trading strategy with options.

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Avatrade Complete Review 2026 – Forex And CFD Broker

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  Avatrade   – Market maker broker from Europe specializing in Forex and CFD -Regulated by organizations such as ASIC -Access to many markets through CFD Visit Broker Website Avatrade-Broker Review AvaTrade is a recommended Forex and CFD broker that offers many trading instruments for its clients including Forex (dozens of currency pairs), commodities, CFD, Forex options, and others. It … Read more

Three White Soldiers Candlestick Pattern

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The candlestick pattern Three White Soldiers is a highly reliable formation which occurs in both downward and upward trends and indicates that there is a high probability that the market continues to trend upward (continuation pattern) or reverse the downward trend that was dominating the market so far (reversal pattern). This pattern can be identified as follows:

  • The current trend may be bullish as bearish. If the trend is upward, there is usually a decline (previous price movement in bearish) or a period of price consolidation before the market resumes its upward move through this formation.
  • The price profuce three consecutive white candles.
  • Each candle produces a new high.
  • The opening of each candle is inside the body of the previous candle.
  • Each candle closes near the peak.

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