Forex Test

1. What is an exotic currency pair?

A major currency paired with a smaller or emerging-market currency A pair with Bitcoin only A pair with two stocks A pair that cannot be traded

2. In EUR/USD, what is USD called?

Lot currency Base currency Spread currency Quote currency

3. Which factor often strongly affects currency strength?

Option expiration Company stock splits Interest rates NFT artwork

4. What is a currency pair?

Two stocks in one order Two crypto wallets Two currencies traded against each other Two futures contracts

5. What is a downtrend?

Price staying at one level Price making higher highs only Price becoming risk-free Price making lower highs and lower lows

6. What is fundamental analysis in Forex?

Counting social media followers Only drawing lines on charts Checking crypto wallets Studying economic factors that affect currency values

7. What is an uptrend?

Price making lower lows only Price staying flat forever Price making higher highs and higher lows Price disappearing

8. What is a take profit order?

A broker deposit An order that increases losses An order designed to close a trade at a target profit A tax form

9. Why do traders prefer lower spreads?

Lower spreads stop volatility Lower spreads reduce trading costs Lower spreads remove risk Lower spreads guarantee profit

10. Why is leverage risky?

It guarantees profits It stops price movement It removes margin calls It can amplify both profits and losses

11. Who participates in the Forex market?

Banks, institutions, governments, businesses, and retail traders Only stock companies Only crypto exchanges Only retail traders

12. What is the bid price?

The price at which you can sell The price at which you can buy The broker password The dividend amount

13. Why is Forex considered a 24-hour market?

Because it never closes at all Because only robots trade Because global sessions open across different time zones Because brokers ignore weekends

14. What does GDP measure?

A broker’s profit The spread size A trader’s account balance Economic output of a country

15. Which session overlap is often the most active?

No overlap Asian and weekend overlap Market close overlap London and New York overlap

16. What is resistance?

A currency symbol A price area where selling pressure may appear A lot size A wallet backup

17. Why do central bank decisions matter?

They create crypto wallets They control stock dividends They stop all trading They can affect interest rates and currency value

18. What is traded in the Forex market?

Company shares Currencies Crypto wallets Real estate contracts

19. What is a margin call?

A guaranteed profit alert A phone call from a bank for savings A warning or action when account equity falls too low A dividend payment

20. What is liquidity in Forex?

How easily a currency pair can be bought or sold How many indicators are used How much water a country has How many brokers exist

21. What is risk-to-reward ratio?

A broker password A type of spread Comparison of potential loss to potential gain A currency exchange rate

22. What is technical analysis in Forex?

Using passwords Reading bank statements only Studying company earnings only Studying price charts and patterns

23. Why are pips important?

They replace stop losses They remove risk They guarantee profits They help measure profit, loss, and price movement

24. What does Forex stand for?

Financial Exchange Office Foreign Export Fixed Exchange Rate Foreign Exchange

25. What is the New York session commonly known for?

Only weekend trading No movement High activity, especially with USD pairs Only Asian currencies