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Chapter 1. Introduction to Fundamental Analysis.

 

 
 

3.Exchange Rates?

What then is the rate used to exchange one currency for another?
How many Euros are exchanged for one US Dollar?
This rate is where the ‘Forex game’ begins. What does this rate depend on?

Several conditions affect the rate of one currency against the other. The most significant factors that move currency rates are interest rates, global trade, inflation, and political stability.

Many other factors determine currency rates and these will be examined next.

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