FOREX BASIC TERMINOLOGY

In order to become a successful trader, it is vital to understand the basic Forex terminology, which at times may be misleading.
Leading Indicators
Statistics that are considered to predict future economic activity.
LIBOR
The London Inter-Bank Offered Rate. Banks use LIBOR when borrowing from another bank.
Limit order
An order with restrictions on the maximum price to be paid or the minimum price to be received. As an example, if the current price of USD/YEN is 102.00/05, then a limit order to buy USD would be at a price below 102. (ie 101.50)
Line Charts
The Line Chart connects single prices for a selected time period.
Liquidity
The ability of a market to accept large transaction with minimal to no impact on price stability.
Liquidation
The closing of an existing position through the execution of an offsetting transaction.
Long position
A position that appreciates in value if market prices increase. When one buys a currency, their position is long.

PACKED WITH THE KNOWLEDGE OF THE BASIC TERMS, YOU ARE ONE STEP AHEAD IN MAKING YOUR TRADING JOURNEY A PROSPEROUS ONE.