Placing a buy stop means?

A) Intention to buy from lower prices.
B) Intention to buy from the current prices.
C) Intention to buy from higher prices.
D) All of the above.

The wrong answers include A), intention to buy from lower prices, C) intention to buy from higher prices, D) all of the above.

The correct answer is B) intention to buy from the current price placed upon in the buy stop order. By doing so, you are telling the broker that you wish to buy the currency pair once a specific price is touched.

A “swap” is?

A) Always positive
B) interest rate differential
C) a cost
D) all of the above

The wrong answers are A) always positive, C) a cost, and D), all of the above.

The correct answer is B), interest rate differential. The “swap” is calculated at the end of the day, and either paid or deducted from your account based upon the interest rate differential of the 2 currencies in any position that you hold.

Placing a buy limit order means?

A) Traders want to buy from higher levels.
B) Traders want to buy from current levels.
C) Traders want to buy from lower levels.
D) All of the above.

The wrong answers are A), traders want to buy from higher levels B), traders want to buy from current levels, and D), none of the above.

The correct answer is traders want to buy from lower levels, typically. When a trader places a buy limit order, it suggests that the trader is looking to buy only the financial instrument at a specific price or better.

Trading at market means?

A) Buying or selling at current prices
B) buying or selling at higher prices
C) buying or selling at lower prices
D) all of the above

The wrong answers are B), buying or selling at higher prices, C), buying or selling at lower prices, and D) all of the above.

The correct answer is a) buying or selling at current prices. The term “at market” means the current price of an asset.