Electronic Currency Trading

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DEFINITION of 'Electronic Currency Trading'

A method of trading currencies through an online brokerage account. Electronic currency trading involves converting base currency to a foreign currency at the market exchange rates through an online brokerage account.

INVESTOPEDIA EXPLAINS 'Electronic Currency Trading'

Electronic currency traders use analysis based on technical and fundamental indicators to help them forecast the movement of the currency pair being traded. Because currency trading by this method is wholly electronic, execution speeds are extremely fast, allowing the trader to quickly buy and sell currencies to cut losses and take profits at a moment's notice.

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    All currencies are quoted in pairs - one country's currency against another country's currency. A currency converter is used ... Read Full Answer >>
  3. How is the value of a pip determined?

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  4. How do I set a strike price in foreign exchange trading?

    In trading with a foreign exchange, a trader can set a strike price for a currency pair by entering a limit order or a stop ... Read Full Answer >>
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