A pattern. - page 28

 
the price includes everything...except one thing - the trader's profit XDD
 
MANS_FOREX:
price includes everything...except one thing - trader's profit XDD

There's nothing surprising about that. Conservation of mass is not compromised). And ...yada...yada...

 

Igor Makanu:

Do banks trade in order to sell currency to customers? - A long time ago I searched this forum and saw a statement that someone works in a firm that buys equipment for foreign currency and they often order large amounts of currency from the bank, but the order must be made one month in advance and then the bank will give the price at which the currency will be purchased... - i understand that the bank will also order and will probably hedge with futures?

ZS: it has been a long time since i looked at CME, i can`t remember, but CME seems to deal with futures and options? - am I wrong?

If there is an arbitrage situation, the market will instantly remove it. You and I sit here and dream of making money, while there are investment funds that hire quants who look for these situations for very serious fees.

the daily volume of forex: 5 trillion dollars.
the daily volume on the SME currency exchange (give me a figure) is much smaller.

so it would be logical to assume that it is the interbank forex that is pricing, not the exchange.


Here's the CME. The currency section. There are somewhere around 500,000 lots in a day, which is $50,000,000,000.

That's 100 times less than interbank forex.

http://www.cmegroup.com/trading/fx/


and someone else is watching putocalls and trying to trade on them.
 

The foreign exchange market is like this mechanism.

Each currency is a cog in the overall mechanism called forex.

242GearSphere

All currencies are interconnected.

A change in the price of one currency will inevitably lead to a chain of changes in other currencies.

Pricing is done independently from any centre. No one has to worry about it).

Gaps in price changes are quickly filled by all participants in the exchange operations. Fortunately, modern tools allow this to happen instantly.

 
Uladzimir Izerski:

The foreign exchange market is like this mechanism.

Each currency is a cog in the overall mechanism called forex.

All currencies are interconnected.

A change in the price of one currency will inevitably lead to a chain of changes in other currencies.

Pricing is done independently from any centre. No one has to worry about it).

Gaps in price changes are quickly filled by all participants in the exchange operations. Fortunately, modern tools allow this to happen instantly.

The main cog in forex is Inflation - it always spins in one direction. And the modern financial system without this cog would simply collapse.
 
Texnolog:
The main cog in forex is - Inflation - it always spins in one direction. And the modern financial system without this cog would simply collapse.

"The main cog in forex is Inflation" The general understanding seems to be that.

Inflation for whom exactly? Maybe, but it's more a difference of inflation. Everyone uses this tool to a different extent...

 
It seems to me that kotir is born on the CME and goes to all sorts of markets
 
Renat Akhtyamov:
It seems to me that kotir is born on the CME and is distributed to all sorts of markets
it seems to me that the quote is born on the interbank forex.
and what's on the sme is adjusted by arbitrageurs to fit the forex quotir.
 
Renat Akhtyamov:
It seems to me that kotir is born on the CME and goes to all sorts of markets

I always assumed that and it makes more sense

 
sme works 8 hours a day. who shapes the quotire at other times?

the volume on sme is 1% of all currency exchange in the world. the 1% is hardly shaping the rate.