Quote definition

Quote

A quote is the final price an asset is traded for when a transaction is completed. Before a transaction is processed, the asset’s price is listed as a bid quote, which means the current price of the asset is subject to change before the transaction is finalized.

In forex, the quote refers to the second currency in a bid/ask pair. It represents the cost of purchasing one unit of the base currency in the currency pair.

How to read forex quotes

To read a forex quote, look at the currency pair, which shows two currencies separated by a forward slash. The first currency is the base currency and is always equal to 1. The second currency is the quote currency and represents how much of that currency it would cost to purchase one unit of the base currency.

For example, EUR/CAD is a currency pair. The quote currency may look like EUR/CAD = 1.25

The quote means that 1 Euro costs 1.25 Canadian Dollars

Search the Glossary

Look up the meaning of hundreds of trading terms in our comprehensive glossary.

A
B
C
D
E
F
G
H
I
J
K
L
M
N
O
P
Q
R
S
T
U
V
W
X
Y
Z