Trader's Glossary

Carry Trade

A strategy employed in currency trading, whereby an investor sells a currency with low interest rate and buys a currency with a high interest rate so as to benefit from the interest rate differential of the two currencies. Profits are usually maximised by the use of leverage.
Did you know?

The average daily trading volume in the foreign exchange market exceeds $5 trillion.

Word of the day
"Yard" - Slang term for 1 billion units of a particular currency.
Pro Tip

Most market activity occurs when at least two market centres are open at the same time.

UP