In the foreign exchange market, currency is traded in pairs. Pairs have meaning in relation to each other so must always stay together.
In a currency pair, the first currency is called the “base currency”; the second currency is called the “quote currency” or “counter currency”. The majority of the trading volume in the FX market is represented by these 18 pairs:
Also known as ‘margin’. The required collateral that an investor must deposit to hold a position.
Also known as ‘leverage’. The required collateral that an investor must deposit to hold a position.
A request from a broker or dealer for additional funds or other collateral on a position that has moved against the customer.