TRADER MAKES £13000 TRADING LIQUIDITY FOREX CONCEPTS
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In this video we're going to take a look at the liquidity concept in-depth. After this video you should be able to understand what liquidity is and how it's used.
How liquidity works in forex?
So in the forex market, liquidity pertains to a currency pair's ability to be bought and sold without causing a significant change in its exchange rate. A currency pair is said to have a high level of liquidity when it is easily bought or sold and there is a significant amount of trading activity for that pair.
How do you know which side of liquidity will be taken first in forex?
You can identify liquidity zones in forex by looking at the order book. The order book shows the bids and asks for a currency pair. The bid is the price at which you can buy the currency, and the ask is the price at which you can sell the currency. The difference between the bid and ask is called the spread.
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🕖 Timescodes
00:00 TRADER MAKES £13000 TRADING LIQUIDITY FOREX CONCEPTS
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