Glossary
 • Appreciation An increase in the value of a currency.

 • Ask The price requested by the trader. This usually indicates the lowest price a seller will accept.

 • Base currency The currency that the investor buys or sells (i.e. EUR in EURUSD).

 • Bear Someone who believes prices are heading down. A bear market is one in which there has been a sustained fall in prices and which does not look like it will recover quickly.

 • Bid The price offered by the trader. This usually indicates the highest price a purchaser will pay. 

 • Bid/Ask The Bid rate is the rate at which you can sell. The Ask (or offer) rate is the rate at which you can buy.

 • Bull Someone who is optimistic about the market. A bull market is characterised by enthusiastic and sustained buying.

 • cross When trading with currencies, the investor buys one currency with another. These two currencies form the cross: for example, EURUSD.

 • Cross rate An exchange rate that is calculated from two other exchange rates.

 • Depreciation/decline A fall in the value of a currency.

 • Exchange rate What one currency is worth in terms of another, for example the Australian dollar might be worth 58 US cents or 70 yen.