The first currency in each currency pair is called the "base" currency, and the second currency is called the "quotation" or "relative" currency. For example, take Euro/USD as an example. Euro is the base currency of this currency pair, while USD is the relative currency.
In order to avoid confusion, the currencies in Euro/USD must be arranged in the corresponding order. Unless you trade foreign exchange futures, you won't see this currency pair in the order of "USD/EUR".
With financial leverage, you can control a large amount of capital with relatively little capital.
For example, a first-hand currency pair contains currency worth 654.38+ million units -654.38+ million euros or 654.38+ million dollars, and so on. But do we really need 654.38 million euros or dollars to trade euros and dollars?
No, we only need 1/200 to close the deal. People who trade like this are using the financial leverage of 200: 1.
The size of financial leverage can be adjusted according to the individual needs and "comfort zone" of traders.
Foreign exchange transactions can be divided into two forms: real transactions and virtual transactions. The way to open an account varies greatly.
Firm offer: Take your foreign currency, open an account in a bank that supports foreign exchange trading (most banks support foreign exchange trading), and open online banking to facilitate future transactions.
False quotation (also called foreign exchange margin): you can only open an account with a foreign exchange dealer, because foreign exchange margin trading is not supported in China at present. You can use ODL FXDD FXCM FXSOL KGFX. You can learn about the accounts of various companies online according to your own financial situation, and then apply for opening an account (it is best to practice with simulated accounts before opening an account).