Currency Markets – Choose The Best Words

In this comprehensive article, readers will explore into the intricate world of currency markets, gaining valuable insights into exchange rates and trading strategies.

1. When the government doesn’t control the exchange rate in any way, the currency is __________.

a. freely convertible
b. totally convertible
c. absolutely convertible

2. The Japanese yen is trading for less than its usual value. You can talk about __________.

a. a small yen
b. a bad yen
c. a weak yen

3. The Mexican peso is trading for more than its usual value. You can talk about __________.

a. a big peso
b. a good peso
c. a strong peso

4. A sovereign is a coin made of 7.3 grams of gold, and is worth a lot of money. However, its __________ is just one pound.

a. front value
b. face value
c. written value

5. Changes in the values of currencies are called __________.

a. currency fluctuations
b. currency alterations
c. currency changes

6. An Internet site which does currency calculations based on the latest exchange rates is called a __________.

a. currency changer
b. currency converter
c. currency setter

7. When you change money, you usually have to pay a __________.

a. commission
b. percentage
c. fee

8. When changing money, banks tend to offer a _________ exchange rate than bureaus de change.

a. better
b. nicer
c. fatter

9. Traders sometimes agree to trade currency in the future for an agreed rate. A “long position” means that the trader will make a profit if the currency __________.

a. goes up
b. goes down
c. stays the same

10. A “short position” means that the trader will make a profit if the currency __________.

a. goes up
b. goes down
c. stays the same

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