01 / MARKET FOUNDATIONS
Base and quote currencies
In EUR/USD, EUR is the base currency and USD is the quote currency. A price of 1.10 means that one euro is quoted at 1.10 US dollars. This is an example, not a current market quote.
02 / MARKET FOUNDATIONS
Bid, ask and spread
The bid is the price at which you can sell; the ask is the price at which you can buy. The difference is the spread. Forex spreads are expressed in pips. Index spreads are expressed in points. Check each instrument specification for the monetary value of its unit.
03 / MARKET FOUNDATIONS
From price to exposure
The effect of a price move depends on position size and the instrument specification. Leverage can amplify both gains and losses. Understand margin requirements before placing a trade.
Keep the full picture in view.
CFDs are leveraged products and involve a risk of loss. This guide is general educational information and does not take account of your personal circumstances.
Read the risk information