The law of supply and demand of the foundations of the knowledge economy, which is based on different economic laws determined by the markets, and intended the offer that the amount of goods or services offered by the able-bodied producers to sell at a certain price within a specified period of time, but the demand is the amount of goods and services that consumers want to purchase it at the level of a certain price within a specified period of time. Various commodities markets and financial markets move based on supply and demand, and can be explained by rises or declines resulting in the market are as follows:
Result in an increase in the request for a commodity or a currency at a higher price
Resulting from the increase in the presentation of a commodity or a currency at a low price in
It could be argued that the inverse relationship between the item or service that we want to buy and the price of that commodity and therefore an inverse relationship in the law of demand, and the relationship is a direct correlation between what the displays of goods and services and the price tag and be a positive relationship in the law of supply.
Forex
Forex
Supply and demand in the forex market
The Forex currency would such as markets and other trading market is subject to various economic laws, there are goods (currency) and there are buyers and sellers, any trading on a particular aspect counterproductive process on the other side of the process, when the currency can be bought and asked when the offer can sell. And looking Traders usually good levels of supply as are consumers like, and looking the dealer for a strong move to the price points of currency demand here waiting for strong action to be the purchase of the low price (demand), and the process is counterproductive in the law of supply where sellers seen a low price for the sale takes place.
Forex
Forex
The difference between the selling price and the purchase price (spreads)
It is the difference between the selling price (Bid) and the purchase price (Ask) for a particular pair of currencies in the trading platform, and according to the law of supply and demand is the difference between the price at which the buyer will pay the merchant for the pair and the price you would accept or waiting for the seller. The difference between the two prices is the cost paid by the parties to do the deal, each broker in exchange for their implementation through the trading platform, and vary these Alforac between the currency pair and another most liquid currency is considered the least difference between the price displayed and the price requested by the other currencies in which the liquidity ratio less than where it is the largest the difference between the price of supply and price request.
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