A Foreign Exchange Primer

ISBN-13: 9780470754375 / Angielski / Twarda / 2009 / 256 str.

Shani Beverley Shamah

Opis

This book will provide a thorough introduction to the foreign exchange markets, looking at the main products through to the techniques used, coverage of the main participants, details of the various players, and an understanding of the jargon used in everyday dealings. Written in a concise and accessible manner, it will be an ideal introduction for anyone looking to become involved in the FX markets, from dealing rooms or sales perspectives, to novice investors.

The new edition has been updated to reflect the changes that have taken place in the industry over the past few years. Most chapters have been enhanced and this new edition now features new material on the psychology of trading, the psychology of price movement and online trading.

Spis treści

Disclaimer ix

1 Introduction 1

PART I MARKET OVERVIEW 7

2 A Brief History of the Market 9

3 MarketOverview 25

4 Major Participants 33

5 Roles Played 43

6 Purposes 45

PART II FOREIGN EXCHANGE PRODUCTS 49

7 Spot Foreign Exchange 51

8 Forward Contracts 59

9 Short– and Long–Dated Contracts 69

10 Broken–Dated Contracts 73

Glossary of Terms for Chapters 7 to 10 77

11 Non–Deliverable Forwards 81

12 Foreign Exchange Swaps 91

13 Currency Swaps 95

14 Foreign Exchange Options 99

15 Picturing Profit and Loss of Options 117

Glossary of Terms for Chapters 14 and 15 133

16 Foreign Exchange Futures 137

17 Exchange for Physical 145

PART III ESSENTIAL KNOWLEDGE 149

18 Foreign Exchange Dealing Rooms 151

19 Managing the Relationship with an Institution 155

20 Foreign Exchange Dealings 159

21 Foreign Exchange Market Orders 165

Glossary of Terms for Chapter 21 169

22 Electronic Foreign Exchange Trading 171

23 Margin Trading 179

PART IV FUNDAMENTALS AND TECHNICAL ANALYSIS 183

24 Fundamental versus Technical Approaches 185

25 Fundamental Analysis 191

26 Key Factors Impacting Currencies 197

27 Technical Analysis 207

Glossary of Terms for Chapters 24 to 27 221

28 Market Psychology 223

29 Final Remarks 231

Index 235

O autorze

SHANI SHAMAH joined Jared James Associates as a Director mid 2006 to focus on treasury products including foreign exchange, currency options, commodities and the spectrum of short–term money markets instruments. The coverage extends globally across all revenue and non–revenue generating areas with specialization in trading, sales, structuring, research/strategy and eCommerce. With over 26 years experience in the City with various top and second tier international financial institutions, mostly in foreign exchange and currency options, she is also a specialist in the business development of eCommerce offerings (both institutional and retail) and a generalist in various other financial products with a formidable appreciation and market awareness of the risk management and compliance functions.

Blurb

Building on a very popular first edition, A Foreign Exchange Primer, Second Edition provides an extremely accessible and up–to–date reference for anyone who wants to work or trade in this unique market.

The book begins with a market overview to introduce readers to this trillion dollar financial market before going on to foreign exchange products such as spot foreign exchange; forward contracts; short– and long–dated contracts; broken–dated contracts; non–deliverable forwards; foreign exchange swaps; currency swaps; foreign exchange options; picturing profit and loss of options; foreign exchange futures and exchange for physical. The book then goes on to discuss essential knowledge required in order to understand the foreign exchange market, with advice on foreign exchange dealing rooms; managing the relationship with an institution; foreign exchange dealings; foreign exchange market orders; electronic foreign exchange trading and margin trading. The book concludes with a discussion on the differences between fundamental and technical analysis, covering their different approaches, key factors impacting currencies and a brand new chapter on market psychology.

Fully updated from the 1st edition, A Foreign Exchange Primer, Second Edition provides a clear understanding of how this market functions, from the main products through to the techniques used, coverage of the main participants, details of the various ′players′ and an understanding of the ′jargon′ used in everyday dealings in order to equip readers with all the practical skills necessary to understand the foreign exchange market today.