Reading a foreign exchange quote is simple if you remember two things:
1. The first currency listed is the base currency
2. The value of the base currency is always 1
A currency pair quote is comprised of a bid/ask price expressed in the following format:
EUR/USD: 1.2836 / 1.2839 or EUR/USD: 1.2836/39
The first number in the series represents the bid price, the cost of selling the Euro against the Dollar, or going ‘short' on the Euro.
The second number represents the ask price, the cost of buying the Euro against the dollar, or going ‘long’ on the Euro.
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