Exotic Currency

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Dictionary Says

Definition of 'Exotic Currency'

A foreign exchange term for a thinly traded currency. Exotic currencies are illiquid, lack market depth and trade at low volumes. Trading an exotic currency can be expensive, as the bid-ask spread is usually large.
Investopedia Says

Investopedia explains 'Exotic Currency'

Exotics are not considered major currencies because they are not easily traded in a standard brokerage account. Major currencies include the U.S. dollar, Euro, Canadian dollar and Swiss franc. Examples of exotic currencies include the Thai baht, Uruguay peso or Iraqi dinari.
Search results for

'Exotic Currency'

  • Exotic Options: A Getaway From Ordinary Trading

    http://www.investopedia.com/articles/optioninvestor/07/exotic-options.asp
    ... premium if they are willing to take on this additional risk of currency exchange
    as ... Exotic options can't be as easily priced, at least not with a measure as ...

  • Investopedia

    http://www.investopedia.com/ask/ViewFAQPrintable.aspx?url=%2fask%2fanswers%2fforex%2fforeign-currency-option-trading.asp
    ... strangles and spreads are popular methods for limiting the potential of loss in
    a currency trade. (To learn more on this topic, see Exotic Options: A Getaway ...

  • Getting Started In Forex

    http://www.investopedia.com/articles/trading/04/081804.asp
    ... willing to take. For example, less leverage (and therefore less risk) may
    be preferable for highly volatile (exotic) currency pairs. ...

  • Trading Systems: Designing Your System - Part 1 | Investopedia

    http://www.investopedia.com/university/tradingsystems/tradingsytems2.asp
    ... But because of the availability of 'exotic currency pairs' - that is, currencies
    from smaller countries - the range in terms of volatility is not necessarily ...

  • Is it possible to trade forex options?

    http://www.investopedia.com/ask/answers/forex/foreign-currency-option-trading.asp
    ... strangles and spreads are popular methods for limiting the potential of loss in
    a currency trade. (To learn more on this topic, see Exotic Options: A Getaway ...

  • Profit From Forex With Currency ETFs

    http://www.investopedia.com/articles/mutualfund/07/currency-etfs.asp
    ... or Swissie). As currency ETFs grow in popularity you will see more and more different
    currencies being tracked as well as more exotic strategies being used. ...

  • Forex Currencies: Ways To Trade | Investopedia

    http://www.investopedia.com/university/forex-currencies/currencies2.asp
    ... more exotic derivatives are generally designed for institutional investors, individual
    investors often use futures and options. The most popular currency pairs ...

  • Top 7 Questions About Currency Trading Answered

    http://www.investopedia.com/articles/forex/06/SevenFXFAQs.asp
    ... Although some retail dealers trade exotic currencies such as the Thai baht or the
    Czech koruna, the majority trade the seven most liquid currency pairs in the ...

  • Top 7 Questions About Currency Trading Answered

    http://www.investopedia.com/articles/forex/06/sevenfxfaqs.asp
    ... Although some retail dealers trade exotic currencies such as the Thai baht or the
    Czech koruna, the majority trade the seven most liquid currency pairs in the ...

  • How To Trade Forex On News Releases

    http://www.investopedia.com/articles/forex/05/TradingOnNews.asp
    ... The Bottom Line As we've seen, the currency market is particularly prone to short ...
    A variety of exotic options are available for traders who want to capture a ...

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