“Forex Currency pairs in Forex trading have been standardized by the IMF. The pairs most commonly traded are:

* EUR/USD, the Euro and the U.S. dollar * USD/CHF, the U.S. dollar and the Swiss franc (sometimes called “”the Swissie”") * GBP/USD, the pound sterling of Great Britain and the U.S. dollar (sometimes called “”the cable”") * USD/JPY, the U.S. dollar and the Japanese yen * USD/CAD, the U.S. dollar and the Canadian dollar * AUD/USD, the Australian dollar and the U.S. dollar

These pairs account for 80% of all trades in the Forex market. They all involve the U.S. dollar, because it’s still the biggest economy in the world and one of the most inviting to trade. But this is also a holdover from the Bretton Woods Accord of 1944, which pegged all currencies to the U.S. dollar as a benchmark. Although the Accord was abandoned in the early 1970s, some of its effects are still evident in the market.

The first currency in the pair is known as the base currency, and it’s the important one. Its value is always one in the exchange rate, and it controls the direction of the trade and the chart. The second currency is called the cross.

For example, in the GBP/USD, the British pound is the base currency and the U.S. dollar is the cross. If the price on this pair is 1.7609, that means that one pound is worth 1.7609 U.S. dollars. If the chart goes up, that means the pound is strengthening against the dollar; if it goes down, the dollar is strengthening against the pound.

Because a purchase automatically includes two currencies, one being traded against the other, it’s just as possible to make a profit in a bear market as a bull market. For the same reason, there’s no prohibition against selling short in Forex trading as there is in the stock market; it’s built into the system.

Prices are measured in pips, which is an acronym for Price Interest Point, and it’s the smallest digit in the price. This is an important point, because not all pips are created equally; they reflect the base currency of the pair. If the U.S. dollar is the base currency, then one pip equals one dollar in a mini account or ten dollars in a standard account. If you place a trade with one of these currencies and earn fifty pips, that would be a profit of $50 in a mini account or $500 in a standard one.

But if the base currency is not the U.S. dollar, then the value of one pip is equal to one unit of the base currency. In the GBP/USD, because the pound sterling is the base currency, one pip is equal to one pound; in the AUD/USD, one pip equals one Australian dollar. Therefore, when you take profits in these currencies, you’re taking them in the base currency, which then must be exchanged into the U.S. dollar at the current exchange rate.

If the exchange rate is one or more, then this works in favor of U.S. traders; but if the value is below one, it’s not such a good thing. For example, a gain of fifty pips in the GBP/USD equals not U.S. $50, but £50. If the exchange rate was still 1.7609, then the profit after conversion would be around U.S. $88.

But a gain of fifty pips in the AUD/USD equals AU $50, and the exchange rate is more likely to be around 0.7467. So the profit would be closer to U.S. $37.”

“For most working adults, the answer to that question is yes. Having a bank account can be very useful as you go through life, and it can help you many ways, especially as you begin to build your credit history.

Opening a bank account is relatively easy for most people. You will need some documents when you go to open your account. At a minimum you must provide proof of your age, address, and legal status. This is true whether you open a bank account in person, on the phone, or on the Internet. Legal documents can be a valid driver’s license, birth certificate, or state ID card. You will also need a social security number in most cases.

You should have these papers with you when you go to the bank to open the account. Most banks can service you within thirty minutes or so. If you are planning to open a joint account, both parties should be present, and both parties will need the same papers. In other words, you both must provide the documents that you need.

Before you go to the bank, you should decide what kind of account you want or need. The most popular account and the most useful is a checking account. This type of account allows you to deposit money and write checks. Some banks offer interest-bearing checking accounts, which allow you to earn money on your deposit.

Some banks will require a minimum deposit in order to open the account, others will not. Some banks may charge a small fee to help cover the cost of your checking account, but other banks offer free checking. Whenever possible, choose the free checking option.

If you want to save money, a savings account may be the way to go. These accounts allow you to deposit money and the money will earn some interest. The longer it stays in the account the more interest it will earn. You are allowed to withdraw this money if you need it, but it is always better to let it stay in place if possible.

For those who have access to one, a credit union is another option. Credit unions act a lot like banks and they have many of the same services that a bank has.

If you wish, you can open an account with an online bank. If you decide to do this, make sure that you check the bank out carefully before you send any money to them. You want to visit the online area and read their policies carefully. Of course, in order to get the most out of an online bank you will need an internet connection and computer.

Many local banks also offer online banking and that is something many consumers find useful. This allows you to do your banking without having to go to the bank in person. Online banking allows you to make deposits and withdrawals and it allows you to keep up with your account on a daily basis. It is simply a matter of logging into your account to view your current status. Many people find online banking extremely useful.”